The smart finance titles are riding the super wave Heather Jacobs
AUSTRALIANS, as automatic shareholders via compulsory superannuation, are becoming more proactive in preparing for retirement and demanding more financial information.
The media has responded with dedicated finance magazines, newspapers, Web sites, television shows, along with tip sheets, seminars and newsletters from professional organisations.
Fairfax Business Media advertising director Phil Gallagher says consumer interest in financial information is about self-preservation.
He points to the rapid rise in dual-income families, which means people have more money. They are now looking for ways to protect it through their retirement years, which have been extended due to improved health.
Wealth Creator Magazine publisher Reuben Buchanan says traditional methods of wealth creation—home ownership, a secure job, super, retiring at 65—are not stacking up for many Australians.
Because of the excess of “what’s happening” information already on the market, Buchanan is aiming instead to inspire through Wealth Creator. The title details wealth-creation strategies by profiling successful business people.
Buchanan says initial market readership surveys show the magazine is read by high-income-earning male professionals focused on four main sources of wealth creation: income, home ownership, property investments and share portfolios. (Buchanan has also launched a new monthly lifestyle title called HLF—Health, Lifestyle and Fitness.)
But Gallagher says there is strong demand for quality information as people are becoming disenchanted with professional financial services following widespread publicity about the misdeeds of companies charged with protecting their investments, with hidden commissions and “Chinese Walls”.
“I think there is a real drive back towards quality independent journalism because there are no hidden agendas. We are not trying to manage funds, we are reporting on them,” he says.
Gallagher says ACP Publishing’s Money Magazine—which has a spin-off TV show on the Nine Network—tends to attract an audience that is just starting to get serious about managing money. It offers advice on managing debt, starting a savings program and getting into a managed funds program. However, Fairfax’s Personal Investor (PI) tends to attract more sophisticated investors who choose long-term investments.
Fairfax stablemate Shares tends to attract people using the magazine either as an educational guide to the stock-market, or for tips on stocks that might make a worthy investment, he says.
Greg McMahon, managing editor of niche publisher HWW, says titles—Your Mortgage, Home Buyer’s Guide and Women’s Money—aim to provide readers with practical information that will benefit them financially.
McMahon says circulation for HHW’s titles is steady, despite tough market conditions and increased competition.
While PI has lost some circulation, Shares has fallen dramatically (down over 25%, comparing June 2003 with June 2002), as has ACP’s Money Magazine (down 20%).
Fairfax Business Media marketing manager Sue Kelly says this mirrors the performance of the stock-market. However, the market has since steadied. Gallagher claims the long-term future for Fairfax Business Media titles is strong, because of a sea-change in the public’s attitude to super. As Australians realise they need to make informed decisions, circulation, readership and ad revenue for relevant titles will increase.
[ABC numbers hard hit for finance titles] www.bandt.com.au > Sept 4 2003
