A Letter From The President

Dear Circulation Friends,

As the busy holiday season is behind us, I wish you much success in the year ahead. There are many new programs and challenges in the newspaper industry that we plan to address in the year 2001. NYSCMA will be represented in a national network group conference that is talking about carrier retention. We will keep you updated on the result.

We had a very successful training session this fall in Albany, Readership and Retention: Circulation for the Future. The information was so helpful that we decided to expand the "member service concept" at our spring training session on Thursday, April 5, in Utica. Mark your calendars for this session, Beyond Retention...Into Reader Loyalty. It will include the ever-popular Alex Grimshaw from Lockwood Leadership and we are bringing back Tim Pearson from Seacoast News in New Hampshire. Discount registrations will once again be available for newspapers sending three or more circulators.

As announced at last year's conference we will be holding our 85th conference at Cooperstown, the historic home of our national pastime, baseball. The conference will be held Sunday May 6, through Wednesday May 9, 2001, at the Otesaga resort Hotel. I will be hosting the President's reception in the National Baseball Hall of Fame. The room registration will be a little different - all your meals are included with the room rate. One price for an exciting and informative conference. We will have top speakers from our industry plus golf, tours and an additional free entry to the Baseball Hall of Fame during our time together.

Again, plan to save $25 for your registration for the NYSCMA Spring conference if you get your Promotion Award Entries in on time. So start collecting your best successes and watch for the entry material you will receive in the mail.

We want to announce the retirement of brian Donovan (President 1991-1992) after his 38 years with Gannett Newspapers. We wish Brian and Jean the best in their retirement years and know they will still remain friends of NYSCMA. Additionally, Mark Vinciguerra has announced his new position in Pittsburgh, Pa. We will miss Mark and his dedication to NYSCMA through his many years on the board and planning many successful training sessions.

We want to make our organization informative for your future newspaper needs through networking and future programs, so please do not hesitate to call me with your ideas, suggestions or comments.

Best Regards,

Claudia Hartz
President, NYSCMA

Past President Announces Retirement

Dear Members,

I would like to inform you of my retirement from the newspaper business, effective December 31, 2000.

My career with Gannett lasted for 38 years, and has been very enjoyable. Jean and I have made the decision to go for an early retirement, and pursue some of life's rewards, that work "just seems to get in the way of."

I feel very honored to have been a member of NYSCMA, and have made many friendships over the years as a result. I've always felt that my best years in NYSCMA were the years of "going through the chairs," and eventually resulting in my presidency in 1991-1992.

Career-wise, I had the honor of learning from two of the best in the business, and both are long-time members of NYSCMA. I began my circulation career under Ron Anderson for 5 years, and eventually Frank Gennarelli, for another 15 years. If you want to learn circulation, you couldn't ask for two better mentors. Then, I was promoted to Circulation Director by another esteemed member of NYSCMA - Carleton Rosenburgh. Again, I was very fortunate to be placed on some Gannett steering committees by Carleton, and continue my "education" in circulation.

It has been a fun ride, and I feel very good about retiring - although there are some mixed emotions. I do plan to continue to attend as many annual NYSCMA conferences as possible, and look forward to continuing my relationship with my friends there.

My highest gratitude to my good friends at NYSCMA, who have preceded me in the offices, and helped me through my years in office.

Lookjing forward to Cooperrstown,

Brain Donovan

Generation X Takes on Itself

Re-printed from November 2000 Circulation Update.
by Jennifer Storey
   Are you reaching the 25-to-34 year-old market? Marketing to this segment can be a daunting task. How do you attract Generation X without alienating the baby boomers, your traditional and loyal base of newspaper readers? The Desert Sun (morning, 56,986; Sunday, 59,728) in Palm Springs, Calif., chose not to reinvent the wheel but to take a fresh look at initiatives it already had in motion.
   Newspapers strive to add value for their readers by identifying the interests and concerns. To identify the interest and concerns of Generation X readers, The Desert Sun brought together 10 staff members who represented each department and whose ages fell within or close to traditional 25-to-34-year-old Gen X range. We were charged with identifying what topics, issues and elements would attract our peers to reading the newspaper each day.
   While we each had different ideas about what would interest us, we found that most of the topics were actually already in the newspaper each day. What we needed to learn was how to improve the packaging of these interests. In May, we presented to the publisher and operating committee the newspaper's Top 10 lists of improvements to attract Gen X readership. Their response was both

 

enthusiastic and encouraging.
   Since then, our committee has grown in size and scope. One of our committee members was chosen to be a part of the Gannet Co.-wide Gen X Task Force, from which we also generated many new ideas.
   The Desert Sun's committee now meets monthly to assist with and tackle projects designed to spearhead newspaper-wide improvements. Those projects include the revamping of our Living and Sports sections, as well as the overhauling of our classified section and retooling promotion and sales plans.
   How can we take such aggressive steps in a predominantly senior market? While the market is primarily older in age, Gen X readers are crucial to establish overall readership strength and single-copy growth. Only 42 percent of Gen Xers read the paper daily, compared to 61 percent readership among those 35 and older.
   Our market wants simple design and clear presentation. Understanding this is vital for us to attract and retain readers, regardless of age. Changes proposed by committee will make The Desert Sun easier to navigate and more attractive to all our readers.
   The desert Sun also will develop and maintain a strong presence throughout the community. Our new "Go Van" will hit the streets of the Coachella Valley starting in late 2000. Taking note of what radio stations
have done for years, the van will promote the paper at area events, new single-copy-locations launches and throughout the community. It not only will be used to sell papers but also to provide T-shirts, hats and other promotional materials that will increase "top-of-mind" awareness of The Desert Sun. It will target high growth areas, community-sponsored events and single-copy outlets with high Gen X visitation.
   In addition "10 cent Tuesdays" will drive readership and brand awareness. On "10 Cent Tuesdays" The desert Sun will sell 300 copies at this special rate at events promoted in advance through run-of-press advertising and held in conjunction with live radio remote on popular Gen X stations as well as at high-visibility locations.
   The Desert Sun is making changes to grow its Gen X readership and circulation. How can this be accomplished at your newspaper? It is as easy as the staff in front of you. After all, who would know better how to market to Gen X segment than Gen Xers themselves. It is amazing what can happen when you get together enthusiastic, committed staffers with endless imaginations and creativity.

The Desert Sun's top 10 things to attract Gen X readers:

10.
9.
8.
7.
6.
5.
4.
3.
2.
1.
Infuse the paper with attitude - from display to content to layout.
Demand provocative and interesting reporting.
Hire and retain Generation X staffers and include them in the decision-making process.
Use more eye-catching graphics throughout the page.
Display more enticing headlines.
Put more local stuff in the paper.
Put sports and entertainment on the front page.
promote risk-taking in writing and promotion in the paper.
Commit to the integration of both your cyber and fiber products.
Include more Top 10 lists.

 

Database Aids in Route Analysis

Re-printed from November 2000 Circulation Update.
by Warren W. Schmidt
In the world of home delivery, one of the ongoing concerns beyond customer service, collections, and sales, is carrier profitability. While I cannot guarantee that an independent contractor will earn a profit, I certainly don't want to promote a losing opportunity if I can help it. I needed some way to assess whether a route I was offering could be profitable for the prospective contractor.

My search for a reliable analysis tool began when I found myself managing motor routes as opposed to carrier routes. Since carriers on "walking" routes have minimal ongoing expenses, it was very easy to conclude that these carriers were going to realize a profit. Assuming the rates are reasonable, a walking carrier would have to do something very wrong to generate expenses that would eat up all profit. This result is not always so obvious in the case of a motor route.

Some motor routes as we all know, cover territories that have high concentrations of customers, making the routes quite profitable because the primary expenses are greatly reduced. others on the other hand, cover large territories with low customer concentrations. It's these routes that pose the biggest challenge.

I realized early on that I could take many things into consideration when analyzing a route, but in the end, there are two main factors that consistently

do the job well. Not surprisingly, these are also two of the top three bits of information every prospective contractor wants to know. How much time will I spend each day, and how big is the route? This is right after they ask, how much does it pay?

It's easy to see that if the gross revenue of a route is equal to or greater than the result of a formula that calculates mileage expense and hourly compensation, then the route has a good chance of being profitable. Once this determination is made, you're in a better position when negotiating a contract with a prospective contractor.

Of course, independent contractors are not compensated for mileage or time. Instead, they earn their profit by buying their papers from us and selling them to their customers. Knowing this, we need to be very careful when using this information in connection with independent contractors. I use it only to put the motor route in perspective. Independent contractors receive a report showing number of customers, profit per customer, total-market-coverage compensation and route allowance, along with estimates on delivery time and mileage so they can decide for themselves whether the route is profitable.

This approach seemed to work very well, but I still didn't have one comprehensive tool that brought all this information together. How do you determine if a route can sustain an increase in territory? How do you answer a current or prospective

 

contractor's questions quickly and accurately? How do you stay on top of contract-renewal dates? Can a tool be developed that is "point and click" easy, and is easily shared with other circulators?

The answer, after more than a few modifications, is a database application. using this format, I am able to view all information connected with a route, including number of subscribers, profit from subscribers, revenue from subscribers, and route income expressed as a percent of revenue. Also included is estimated current profit expressed as a "per hour" figure, as well as a suggested route allowance, complete with an annual budget-impact figure. All this information is available on one easy-to-read form. A printed analysis report is also easily accessible, as a report suitable for sharing with the contractor. The inclusion of a contract-renewal letter and mail labels are just some of the neat little "add-ons." As a result, I now have one easy-to-use tool that helps me manage nearly all motor route related issues quickly and easily.

This tool is set up to suggest changes in route allowance. It could also be adapted to suggest rate changes in situations where no route allowance is used. It is particularly valuable for keeping route analysis consistent through changes in management, helping to maintain a consistent philosophy when negotiating with contractors.

Notice

The agenda for the 2001 marketing conference to be held in July in Washington, D.C., is progressing. Co-chairs will be needed for the 2002 program planning committee, due to the fact that the 2002 marketing conference will be held in January in San Diego, California.

 

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