Clearing the tariff jungle

Insertion rates More and more daily newspapers are switching at least partially to the new, somewhat simpler rate system. Even the Tages-Anzeiger is following suit at the beginning of 2007.

Insertion rates More and more daily newspapers are switching at least partially to the new, somewhat simpler rate system. Even the Tages-Anzeiger is following suit at the beginning of 2007. 
The mishap is well known: From the point of view of advertising clients and agencies, the rates for print media are too different, too confusing and often not in keeping with the times, but rather rooted in old (printing) traditions. The handling of the print genre is correspondingly complicated. If you want to know where the clients' shoes pinch, you can browse through the annual reports of the Swiss Association of Advertising Clients (SWA): the longest list of demands is always addressed to the print media. The 2005 report still lists 18 points (see below) - despite the efforts of Publicitas and some publishers (including the NZZ) to standardize the publishers' tariff system.
After all, there are around 15 major daily newspapers that have been offering a color millimeter price since this year. This also includes a number of daily newspapers in French-speaking Switzerland, which had already taken this step earlier. 13 of these titles also introduced fixed-format rates in 2006, i.e. fixed prices for four-color advertisement sizes (such as panorama pages, full and half pages). In most cases, these fixed formats are even somewhat cheaper than if they were calculated on the basis of the color millimeter price.
However, the Basler Zeitung, the Tages-Anzeiger, the Berner Zeitung and the three Ticino dailies Corriere del Ticino, la Regione Ticino and Giornale del Popolo have not yet taken this step. Not to mention the smaller daily newspapers with circulations of less than 50,000 copies. No wonder the SWA doubled down last week in a communiqué and demanded that "all publishers" should finally introduce the new tariff model in view of the Publimedia Forum on September 27 (WW 33/06).
But the publishers' guild is not quite there yet. Nevertheless, Rainer Sauser, Marketing Director at Publicitas, can report some progress. "More titles are tackling the price reform again this year," he reveals one day before the Publimedia Forum. His trend report is based on a sample of 40 P-directed daily newspapers, some of which are smaller. "Of these, around a fifth have decided to introduce fixed formats as of 2007," says Sauser. Together with the 13 titles from last year, there should soon be two dozen daily newspapers implementing the core of the new system with integrated color millimeter rates and fixed formats. According to Sauser, the number of papers that are simplifying their rates is also growing.
For example, eight titles will only list a black-and-white and a four-color rate in their next rate documentation, and the surcharges for two- or three-color ads and for Pantone, house or Euroscale colors will be dropped. Two further points, the discounting of job advertisements and a weight tariff for inserts, will even apply to most of the 40 titles. "There are only a few that don't have this yet," says Sauser.
PubliGroupe's Marketing Director is satisfied with this interim result: "We are once again seeing a strong movement towards the planned industry solution. This is becoming increasingly broad-based." He expects it to become even stronger, as experience shows that some reluctant publishers will decide to participate towards the end of the year.
Sauser is wisely not naming any names. Because as long as the tariffs have not been published, nothing is set in stone with the publishers. But one thing is certain: the six titles mentioned are not (yet) involved in Sauser's reported progress, as he has not received any feedback from them to date. Werbewoche is different: it can at least report good news from Zurich: Tagi is also switching to the integrated color millimeter rate as of 2007. It can be assumed that the Metropool partners BaZ and BZ will also follow suit.
SWA demands on the print media "Advertising marketing
is not focused enough on customer benefit", complains the SWA in its 2005 annual report, calling for "more service mentality, more flexibility and better advice" in general. Specifically, it considers the print tariffs to be "too different". "The prices are often based more on tradition than on proven performance," he criticizes. Accordingly, his wish is: "The color millimeter price should be introduced for more titles." Price surcharges for colors and overrun should be reviewed in view of today's printing technology. In addition, the SWA expects various standardizations, such as for insert prices or discounting and closing principles. The fact that job advertisements and financial advertisements cost more than comparable commercial advertising is also not acceptable to the SWA. It therefore insists on "clear new regulations and a simplification of the price structure - and that it should also have a say in this.
New philosophyThe new tariff system,
Publicitas is working to persuade customers of the benefits of this new format, which is based on a changed philosophy: instead of starting from a base price and "scaring" customers with surcharges, the company now offers fixed formats that tend to be cheaper, with deviations from standards possible but somewhat more expensive in relation to the fixed formats. The aim is also to reward customers with a price reduction if they deliver their advertisement in a fixed format and in accordance with certain technical standards. Today, this is often handled differently: those who deliver good quality are "penalized" because they pay the same as a customer whose advertisement first has to be entered.
Markus Knöpfli

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