Client

Digital Editions Update
Client update February 2013

The Digital Landscape

Small and smart, the saplings that will rise
after the press forest fire
"The decline in the quality and depth of The Washington
Post in the past few years has made readers less likely
to pay for it, rather than more.
What we have is a forest fire in which only the truly
biggest, tallest sequoias will survive. Among magazines
here I can see The New Yorker and The Economist
surviving, but not lesser brands."
The Sunday Times, 16 December 2012

 IDC estimates that 1.7 billion smartphones were shipped globally in 2012. An increase
of 45% year on year. They predict that by 2016 that will grow to 2.2 billion.
 Digitimes Research predict a 38% growth in global tablet shipment in 2013, to 210
million units. By 2015, they forecast there will be 300 million tablets shipped.
 Over 33% of Americans own an e-reader, according to PEW, 22% own a tablet and
44% a smartphone.
 According to Flurry, over 17 million devices were activated on Christmas Day.
increase 35%.
Digital is not the Future.
It’s the Present.

Over 62% of tablet and smartphone owners get the
news each week through their device.
60% will return to trusted sources for their news.
Importantly 21% of tablet owners read in-depth
article on their tablets.

Snacking, Research,
Community, Sharing
Ritualistic Pleasure of
Reading Lean back only better
A reader of The Economist

Our Strategy
•Create and operate our digital editions under the
same business model as our print business
 Subscriptions: premium pricing = print
 Advertising: full page, beautiful, branding experience
•Allow our customers to float between the medium of
their choice without impeding us commercially
•Focus on the deep/incisive premium content our
customers love

Our App offering
• The (container) app is free to download
• Editor’s Highlights – currently 6 free articles
• Full Edition – available to all digital and print subscribers
• Single issues can be purchased in-app
• Subscriptions can be purchased in-app, online, and by
phone
• Weekly issues – delivered to devices on Thursdays at
9pm (UK time)
• Every article, graph, chart and photo from the weekly
print edition (including audio)
• Full page advertising

The App Family
Now available on iOS, Android, RiM and Windows 8
Also available on e-readers: Kindle, B&N Nook & Kobo and on Zinio, Le Kiosk & ADLP

The Economist on…
Replicates the lean-back, immersive
experience that readers get in print.
Offers a quick download of :15 for each
issue.
Provides an uninterrupted reading
experience - wifi connection not
needed.
Supplies audio versions of each story are
available, ideal for the mobile audience.
Entices return visits with bookmarking
of articles and access to past issues.
Combining Brand Name Journalism with Digital Technology
© The Economist 2012

Reception - media

Reception - Users

Jan 2013: Introduction of tappable ads on iPhone
Nov 2010: Launch iPad and iPhone apps
Feb 2011: Regionalisation of Ads
April 2011: Premium positioning for Ads
June 2011: Introduction of sharing and bookmarking on iOS apps
Aug 2011: Launch of Android app for Smartphone
Oct 2011: Upgrade of iPad app for Newstand
Jan 2012: All Ads are allowed to tap out to any location
April 2012: Launch of Android app for tablet app
June 2012: Optimisation of Android app for ICS
Dec 2012: Upgrade of iPhone app for Newstand globally
Sept 2012: Introduction of Interactive ads on iPad
Dec 2012: Launch of Windows 8 App
The App Story so far…
April 2012: Launch of Playbook html5 app
Feb 2013: Launch of Blackberry 10 smartphone app

Adoption – Unique Downloads
0
1,000,000
2,000,000
3,000,000
4,000,000
5,000,000
6,000,000
7,000,000
8,000,000
Nov-10
Dec-10
Jan-11
Feb-11
Mar-11
Apr-11
May-11
Jun-11
Jul-11
Aug-11
Sep-11
Oct-11
Nov-11
Dec-11
Jan-12
Feb-12
Mar-12
Apr-12
May-12
Jun-12
Jul-12
Aug-12
Sep-12
Oct-12
Nov-12
Dec-12
Android
iPhone
iPad

Captivated
Readers said they spent an average
of 2 hours and 15 minutes reading the
June 2nd
issue of The Economist
A fifth spent 3 hours or more reading
the issue
Readers have looked through the
issue an average of 4 times
Source: Harvey Research, June 2012

Recall seeing or reading
89% 88% 87% 87% 85% 83% 83% 82% 82% 81% 80% 80% 79% 77% 75% 74%
69%
Leaders
The
w
orld
this
w
eek
U
nited
States
Europe
Technology
Q
uarterlyB
usiness
Science
and
technology
B
ritain
International
Finance
and
econom
ics
A
sia
The
Am
ericas
B
ooks
and
arts
M
iddle
Eastand
Africa
Letters
Econom
ic
and
financialindicators
O
bituary
What our readers are reading

WHAT OUR READERS ENJOY ABOUT THE
ECONOMIST DIGITAL EDITIONS’ EDITORIAL
“Gives good insight and sheds light
on the other side of a lot of stories”
“I like the short summaries that keep me
relatively knowledgeable about current
events”
“The Economist’s reporting is
always more objective and
informed than quality
newspapers”
“The Economist covers topics
I don’t see elsewhere”
“I do not always agree with
The Economist’s opinions but it
does often have a good argument”
“Keeps me on my toes”
“Great and mind opening material”
“My way of keeping up with worldwide news”
“It’s how I form my opinions
on major world events”
“Best buy. I have to keep up”
“The quality of the Leaders is a principal reason
for buying The Economist. Clear, well-reasoned analyses
and policy development are always thought-provoking.
I may not always agree, but I feel I have been informed”

Advertising on the App

Within the market, 2 models have been developing
 Beautiful
 Impactful
 Within content

Recall rate in Digital Editions: 48%-75%
Source: Harvey Research, June 2012 Base: All recalling ad
15%
62%
Average Action
taken
Average Recall
seeing
Actions taken include tapping on ad (iPad only), returning to ad for more detail, speaking to
family or friends about service or product and feeling more favourable about the advertiser.

What our readers say about our advertising
“The visual appeal of the
ad - it's eye-catching”
“Liked the opportunity to download an app to my
iPad for further investigation.”
“I read the Economist almost exclusively on my
iPad and I liked the interactive features
of the ad - especially the option for the app for
further information”“Nice graphic design. The bold messages really
made me want to learn how these superb results
were achieved in such different business
environments”
“Great visuals, simple,
contrasting text to read”
“Visually appealing and the text
matched the photography without effort”
“Visually attractive ad and
an interesting colour”
“Possible business purchase”
“Most relevant, eye-catching”
“Liked the interaction via iPad”
“Excellent. Complete configuration
tool INSIDE the app. Very cool”
“Interesting picture. Drew me in”

Winner of the Digital
Magazine Awards 2012
Advertisement of the Year
Avis “It’s Your Space” iPad
ad in The Economist

Be clear on what you want the user
to do.
Lessons from the best ads
Keep it simple.
Think about the user journey.
Consider the device.

Global Weekly Active Readers: 646,020
Up 7% from November
iPad iPhone
Android
(Smartphone)
Android
(Tablet)
Global Audience Reach
(What platform the
reader is using) 35% 31% 31% 3%
December Digital Editions at a glance
* Weekly Active Readers: A weekly average of the unique devices that have accessed the apps during the period stated.

December active readers per region
Region
Smartphone
weekly readers
Tablet weekly
readers
Total weekly
readers
World Wide 397,994 248,027 646,020
North America 167,339 104,280 271,679
Latin America 11,118 10,893 22,011
C. Europe 59,212 40,918 100,130
Asia / Pacific 93,649 49,710 143,359
UK 54,154 30,069 84,222
Middle East & Africa 12,463 12,157 24,620
This report, provided for information purposes, has been compiled from data provided to us by third parties.

Advertising report always
includes:
Readership
Ad Views/ Interactions
Share of Voice
Articles Read
Reporting on bespoke ad
features can be done
seperately.

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