Maybe Si Newhouse won’t have to start licensing his magazine brand names’ to fashion lines after all: the results from the first sales of Condé Nast‘s digital applications are in, and they aren’t half bad.
GQ‘s “Man Of The Year” iPhone app has already made close to $20,000 since mid-November, and the entire January issue has been downloaded 12,000 times as of this writing. Considering that each issue/download goes for $2.99, that’s a promising amount of cash and a hint of the money to be made in digital downloads in the future.
Although, if you look at magazine applications as providing the same service as a full subscription (like the one you could buy on an e-reader), the question still remains if the consumers purchasing the product are the same people who would buy a physical GQ subscription anyway. In which case the company is actually losing money from their monthly newsstand costs. However, magazines never really survived on their newsstand sales anyway, relying mostly on advertising revenues, and it’s nice to see at least one revenue number on the rise.
“We threw a great idea at a new medium and it is sticking,” Condé Nast CEO Charles Townsend said.
Condé said they are now planning more content for the iPhone, and, although the single download price of a digital GQ will remain $2.99, repeat customers will be able to get it for $1.99, as “subscription offerings are being evaluated.”
Condé Nast is slowly but keenly tapping into the digital market, as evidenced by November’s launch of the late Gourmet magazine application. Condé’s actually found a way to isolate the market for the dead title’s new digital life. Now if only they could shutter all their magazines so people would have no choice but to by the application. Wait, what?
Press release after the jump.
Previously: Condé Keeps Gourmet Alive In App Form, How To Lose Your Brand Identity And Influence Consumers: A Condé Story, Condé Keeps Gourmet Alive In App Form