By Paul Pannone
Since consolidating their divisions and changing the company name to the XO Group in June, the Knot has struggled to attract positive attention from the wedding business that is also struggling. Declining demand in nearly all wedding related products stem from a departure from formal/traditional weddings that have fallen out of favor among couples that choose to cohabit.
In the case of the Knot– the largest wedding entity and publicly traded company in the wedding business– the company admitted providing positive investment performance value to investors could become even more challenging than it already is, citing specific reasons including increased competition in their latest financial report.
eWedNewz watches the giant struggling not only in the wedding arena but also in print, media and a sinking show in New York. Print publishing experts say the Knot magazine is a nicely produced product but cannot understand the format of the book, questioning placement by some advertisers with egos as big as Texas.
In a recent public comment, Jim Duhe of Bridal Guide replied to the Knot’s admission of growing competition wanting to set the record straight on one of their statements;
“To set the record straight . . . Bridal Guide isn’t owned by Meridith. It’s owned by the Rosenbloom Family Publishing (RFP). However, that doesn’t make Bridal Guide any less threatening. Bridal Guide newsstand sales increased in 2011 and are expected to continue to grow in 2012. Our web site has been redesigned, is easy to navigate. Site traffic is setting new records for us. Competition is fierce but never insurmountable for us.”
With a decline in formal weddings, birth and ongoing challenges to print magazine the combination spells bad news for the XO Group.
On the baby side of the XO organization a slowdown in the birth rate cannot be good news for the company. The number of births fell to an estimated 4 million last year, the fewest since 1999, according to National Center for Health Statistics data.
Since consolidating and announcing their name change the XO Group got a bump in July but stock value has been declining ever since.
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