L2 Names Time as Top Magazine in Digital IQ Index
Entertainment Close-up
(c) 2011. Close-Up Media, Inc. All rights reserved.
New research demonstrates a relationship between a magazine brand's digital aptitude and its advertising revenue per-page, according to the most recent Digital IQ Index published by L2 in conjunction with NYU Stern.
The Company said the ranking, developed by NYU Stern Professor Scott Galloway and a team of experts from L2, measures the digital footprint of 87 magazine brands, assessing more than 350 data points across four dimensions: Site, Digital Marketing, Social Media, and Mobile. Each brand is assigned a Digital IQ and a corresponding class of Genius, Gifted, Average, Challenged, or Feeble. While 37 percent of the brands in the Index were classified as Gifted, only Time earned the Genius distinction.
"Technology did not get the memo regarding traditional media's business model around aggregating eyeballs," says Index author Scott Galloway. "Even with total advertising revenue down 20 percent from its pre-crisis peak, the business model online for the magazine industry remains opaque."
Key findings of this Digital IQ Index, as described by the Company, include:
-Digital IQ is positively correlated with a brand's advertising revenue per-page, one of the best proxies for a book's perceived influence, relevance, and impact on readers.
-Publications associated with portfolio companies (e.g., Conde Nast) score better in aggregate, suggesting economies of scale translate to the digital realm.
-Brands with high circulation do not consistently produce online communities. In this industry, social media prowess is the result of active effort, not a function of past success in traditional media.
-For most magazine brands, mobile strategy has become synonymous with iPhone/iPad strategy. Only 13 percent of the brands in the Index apply resources towards ALL of the following platforms: mobile-optimized site, iOS device, tablet edition, Android device, and eReader device.
"Any product that can be distilled to zeros and ones will have digital at the center of its future," adds Galloway. "We believe that the Digital IQ is a proxy for a brand's ability to survive and prosper."
L2 helps brands navigate the changing digital landscape through events, research, and advisory services.
New York University Stern School of Business, located in the heart of Greenwich Village, is a management education school and research center.
More information:
www.L2ThinkTank.com