Advertising in luxury media has held up better than advertising as a whole, Enders analyst Douglas McCabe told the Financial Times recently. But, amidst a shifting advertising marketplace, luxury magazines are also turning to alternate revenue streams to bolster their brands and their business.
This is also true for Robb Report. “There is still a major point of distinction and focus with the small number of luxury publications," according to David Arnold, managing director of Robb Report. "They remain focused on a core audience and the editorial speaks exclusively to that demographic. It informs and educates in a unique way. It provides pertinent information from a trusted and reliable source that is unduplicated.”
Robb Report, as a luxury media brand, focuses strongly on their advertisers and their audience that helps drive advertising resilience. “We listen to our clients. We spend time in the marketplace with our audience and understand the needs, passions and curiosities of the luxury customer. Combining this intelligence helps us to formulate ideas, products and programs that resonate in the market," Arnold said.
But, they also continue to innovate and update their product offerings, he explained. "In fact, we are excited to be unveiling a series of refreshers to our products in the coming weeks and months, including some aesthetic updates to our website, RobbReport.com, and to our print magazine."
Luxury advertising can be divided into high luxury, which includes watches, jewellery, fashion and accessories, and broad luxury which includes luxury automobiles, cosmetics and perfumes.
For Robb Report, there are certainly segments of advertising that are stronger than others right now. These include advertising in watches, luxury resorts, private aviation, jewellery and luxury automotive, Arnold said.
Zenith recently released a new report “Luxury Advertising Expenditure Forecasts 2017” that indicated luxury ad spend is going to grow by 2018, but lags behind the ad market as a whole. According to the report, broad luxury advertising is driving growth, and high luxury advertising is overwhelmingly print-based.
According to the report, "Print is currently the principal medium for luxury advertising, accounting for 32.7 per cent of adspend in 2016, compared to 31.3 per cent for television and 25.8 per cent for internet advertising."
However, digital advertising is making inroads into the luxury advertising market. The report forecasts internet advertising to account for 87 per cent of adspend growth between 2016 and 2018.
“By 2018 we forecast the internet to be the biggest advertising medium for luxury, accounting for 30.6 per cent of adspend, compared to 29.9 per cent for television and 29.7 per cent for print. Print will nevertheless remain much more important to luxury than for the ad market as whole: 13.8 per cent of adspend across all categories will go to print in 2018, down from 16.7 per cent in 2016."
Indeed, as consumer expectations are changing, luxury media and advertisers are responding, according to Vittorio Bonori, Zenith’s global brand president. "Consumers are now looking for luxury experiences that are personal and relevant to them, and targeted brand communication is central to creating this extra brand value.”
Robb Report does just that. Beyond advertising, Robb Report is investing in alternative revenue streams, including an exclusive group for members and other curated and tailored events. “These events are more intimate, curated experiences," Arnold said. "Experiences that provide access to programming, products and brands, not available unless you are connected through your relationship with Robb Report.”
Recent experiences have taken “RR1” members on the road with McLaren through New York and Massachusetts, or to enjoy springtime in Japan. In 2017, RR1 members will experience a world-class Gala dinner prepared by master chefs Thomas Keller and Daniel Boulud, or drive 13 cutting-edge vehicles from the most acclaimed automotive marques at Robb Report’s annual Car of the Year event in Napa.
“We have a core platform of signature events including our acclaimed Car of the Year franchise, among others. Also, experiential programming developed for, and with, our by-invitation-only membership, RR1," Arnold said. "Robb Report is also rolling out our in-house Robb Report Studio which will work to develop content and video solutions for our brand partners that showcase the luxury of a great story.”
***Get stories such as this in your inbox with our weekly FIPP World newsletter. Subscribe to FIPP World here. And join us at the 41st FIPP World Congress, 9-11 October in London, to hear from 75+ leading international speakers dissecting challenges and opportunities in building future media***
More like this
The Google Reviews platform is becoming an increasing headache for businesses, who are able to escape trolling on social media but not on the wider web. How has the search giant been able to cultivate such a monopoly over digital reputation? We look at the curious case of Google Reviews.18th Oct 2018 Features
Miraculous growth in reach and income characterised the transformation of Worldwide Media in India from a print magazine publisher to a multi-platform, multi-income stream, media company. Delegates to the recent FIPP Asia conference in Wuhan, China, enjoyed an insight into how this was done in only three years when Deepak Lamba, chief executive officer, shared key aspects of this journey.17th Oct 2018 Features
Alan Segal is VP for audience and analytics at CNN Digital in the United States. He will speak at the 8th Data & AI for Media conference in London about how CNN Digital leverages data and AI to understand its audience and drive advertising revenue.15th Oct 2018 Features
Last month, The Economist announced a new podcast series, “The Secret History of the Future,” in partnership with US-based online magazine Slate. The 10-part audio series is presented by The Economist deputy editor Tom Standage and Slate senior editor Seth Stevenson.15th Oct 2018 Features
The establishment of an International Magazine Centre in Edinburgh is fast becoming a reality. Announcing the plans internationally for the first time, centre manager Nikki Simpson explains how this globally unique centre will bring international publishers to Scotland to grow into a hub for publishing expertise. It will also aim to promote a love for magazines and showcase the passion and talent of the publishing industry to consumers.15th Oct 2018 Features
View and download the speaker presentations from the FIPP Asia international conference, 14-15 September, Wuhan, China.10th Oct 2018 Insight News
Bloomberg is widening its expansion efforts in South America with a new co-branded digital partnership with Perfil, a leading publisher in Argentina.8th Oct 2018 Features
Pop-Up Magazine is a magazine unlike any other. Launched nine years ago in San Francisco, each issue is performed in front of a live audience with writers, filmmakers, photographers, radio producers, and since 2014, has been on tour across the United States.15th Oct 2018 Features
Magzter has now crossed 50 million downloads. This milestone has become possible due to the digital platform's consistent efforts in introducing innovative new features every month to attract new users across the globe.15th Oct 2018 Industry News
Visit our Youtube channelFIND OUT MORE
FIPP newsletters allow you to keep up with industry trends, research, training and events across the worldFIND OUT MORE
What’s happening now, what’s coming next