ABC changes U.S. newspaper circulation rules to include digital reach

Posted by Savita Sauvin on July 27, 2010 at 3:10 PM

U.S. newspapers will completely change they way they report circulation beginning October 1, following changes to circulation rules made by the Audit Bureau of Circulations' board, Editor & Publisher reported today.

The changes include newspapers now being able to count one subscribers multiple times; for example, a subscriber may be counted once for his print subscription, once for his e-reader subscription, and so on. This also includes online, mobile and other subscriptions. Another major change is that newspapers may include "branded editions" (products published under a different name, such as a commuter daily) in their total average circulation. "The board's aim is to establish a foundation for the future as more newspapers move to bundled print/digital subscription offers and hybrid publishing plans," the ABC board announced in a press release.

The changes are detailed in a prototype Publisher's Statement, which was approved by board members and will be effective beginning March 2011, according to the press release. The Publisher's Statement also incorporates branded editions, subscriptions via e-readers, websites, mobile apps, readership data, and a newly "verified" category of non-paid circulation.

As newspapers head toward bundled print and digital subscription offers and other "hybrid publishing plans," the new rules aim to address and better count these new types of readership on multiple platforms.

"Beginning Oct. 1, newspapers that receive at least 5% of the price of the first or base subscription for each additional product made available in the offer can qualify all copies as paid circulation," according to an announcement by the ABC Board, E&P reported. "For example, if a newspaper offers subscribers a three-day print subscription for $100 for one year, it can additionally offer to serve the other four days in a digital format for an extra $5 per year. Additionally, a newspaper could offer subscribers a seven-day print subscription for $100 per year and then offer access to the newspaper's digital edition for an extra $5, access to the newspaper's mobile app for an extra $5 and access to the newspaper's e-reader edition for an extra $5. If the subscriber wanted access to all formats of the newspaper, he would pay a total of $115 for the year."

The circulation can qualify as "verified circulation" if subscribers register and activate a digital edition, and the newspaper does not receive an incremental amount. To qualify for the "paid circulation," the new rules introduced require that the subscriber's digital edition is opened or accessed to be counted as paid in the ABC circulation reports, according to E&P.

"In a bundled promotion, the first or base subscription counts as paid circulation. For any subsequent digital editions, the newspaper must demonstrate that the subscriber accessed the digital edition at least once per week to qualify the circulation as paid."

For magazines in the United States and Canada, the "board modified the public notification policies that address the late filing of ABC Publisher's Statements. The board also agreed that claims of analyzed nonpaid bulk circulation can include replica digital editions accessed via an unrestricted website." And, like newspapers, magazines will now be able to present a more comprehensive image of their publishing channels, across print and digital platforms, while also "providing the transparency and data required by media planners and buyers. The task force anticipates finalizing its recommendations by early 2011."

For business publications in the two countries, the ABC board unveiled a new policy aimed at giving publishers more visibility to digital products that are published more frequently than print. They can now report products with different frequencies as separate circulation averages.

For the fourth year in a row, the board also agreed to freeze audit rates and prices in 2011.

Many more changes introduced to the reporting and circulation rules for newspaper publishers are explained in detail on the ABC board website.