MediaCommunications

MediaCom View: The double digit growth enjoyed by the Independent helped Independent News & Media group post a 4.2% revenue increase for the 6 month period ending June 2005. Overall the 70.2m brought in through advertising was enough to keep Sir Anthony OReilly (INM Chief Executive) in a positive frame of mind for the rest of the year: Because of the geographically diversified nature of the Group's asset base in strongly growing economies, its market leading brands and a commitment to be the low-cost operator, the board remains confident of its group's ability to deliver double-digit full year earnings growth for 2005 and to sustain superior earnings growth into the future. To achieve this goal the Independent will have to perform better than in its last ABC: not only did its circulation dip 2.5% year on year but the Guardian have now launched the eagerly awaited Berliner and theyll be hoping to attract some of the Independents less loyal readers to pastures new.

MediaCom View: According to DMGTs latest trading update, the Daily Mails display advertising revenue dipped by 2.5% over the last year and the Mail on Sundays by 1.3%. Despite this decline, Associated still enjoyed an overall increase of 1.7%. Metro was the star performer with a 19% year on year rise. The switch to a full colour paper earlier in the year helped significantly boost colour advertising revenue, with no reductions in yield.

MediaCom View: After dropping 10.1% year on year in the Jan-Jun 05 ABCs the German owned publisher has increased the cover price by over 5% to 95p. Bauer and IPC have been locked in a price battle for much of the year with both Whats on TV and TV Choice dropping cover prices early in 2005. Julie Lavington, publishing director of Bauers TV Listings titles believes this change in strategy to be a step in the right direction for Bauer: Total TV Guide has an extremely loyal audience with over 75% having bought the magazine religiously since it launched years ago. The Level of service we offer for both TV and Radio is quite simply superb and this price increase reflects that. Total TV Guide is currently the smallest circulating title in the market, but with the price rise it will increase the retail sales value to 4.6m per annum.

MediaCom View : Following the departure of Mike Anderson to News International, the Evening Standard are set to review their media strategy. Bert Hardy, who has stepped into Anderson s shoes, is said to be leading this initiative, which could potentially see the Standards current rate card system being scrapped. However, with rumours of Standard Lite being about to close, and with a continual decline in circulation, Associated Newspapers still need to work through a number of issues.

MediaCom View : From September BARB is to include PVR ratings within its weekly figures. Timeshift or consolidated ratings will be recorded in a similar way to those from video recorders, ie fast forwarding through programmes will not register. PVR ratings are also set to feature in overnight numbers, obviously as long as the programme is watched live. BSkyB and Nielsen have worked to identify content stored on PVRs and adopt measuring systems to ensure the process can take place.

MediaCom View : As blogging becomes the fastest growing area of online media, Google has naturally beat the competition to launching a tool that capitalises on this development. Yesterday it launched its ad-free blog search product, which works exactly like the main interface and is just as fast - the tool scans content posted to all blogs and feeds in real-time. It will be interesting to see how quickly Yahoo and MSN begin their frenzied race to second place. Clients might also be interested in exploring the tool to see what bloggers are saying about them. blogsearch.google.com

MediaCom View : National Geographic Kids will be launching a UK edition in 2006, with the first issue expected in September. There are currently 10 local/regional editions worldwide and the National Geographic society believe the title will give a breath of fresh air to the current UK children's market. Its tagline 'dare to explore' emphasises the goal of encouraging children of between 8 and 14 years old to explore their world rather than sit at home playing on a games console or watching television. It is yet to be decided whether National Geographic Society will publish the UK edition themselves or enter into a partnership with a UK-based publisher. As yet there are no circulation guarantees, although the US edition has been a great success, selling 1.27million copies a month. They would also expect to have a large subscriber base using the business model of the NG Kids older brother.