By Paul Pannone
Emerging information about more budget cuts for the 2013 fiscal year at Condé Nast will exceed the original 10% cuts required by top Conde’ officials earlier this year. The latest squeeze adds another 5% on top of the 10% haircut equaling a 15% reduction in operating expenses.
Conde’ Nast announces an extra 5% round of budget cuts on top of the 10% haircut slated since the summer.
So far job losses were not mentioned in the reports but management at each publication are left to their own decisions about how the goals are met.
Sources familiar with the story say the necessary business steps are clearly defined and appropriate for all properties except Bridal, given the uniqueness of the customer reading the publication.
According to one source, “Unlike magazines in other categories, the wedding date represents a deadline by which all shopping must be completed. Consumers don’t have the time or the patience to wait for subscriptions to kick in to start wedding planning. Obviously, Conde Nast is pushing to fit a square peg into a round hole by forcing Brides to comply to the same formula that is effective for Vanity Fair, The New Yorker, and Lucky. This strategy ultimately will destroy Brides.”
The statement comes after BRIDES magazine was conspicuously not mentioned in any of the published information, as the magazine undergoes changes to update the way they operate. According to magazine sources the bridal business requires added attention and doesn’t fit into the traditional way magazines operate.
Information surrounding the cuts at Conde’ Nast and other publications say more resources for digital will free up, as the shift from print continues to unfold.
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