Study Indicates Tougher Times for Media Subscriptions
- Almost a quarter (24%) are cutting back on newspaper and magazine subscriptions
- Nearly a fifth (18%) say they are considering cancelling paid for TV
Research released today by communications experts Callcredit
Marketing Solutions shows subscriptions to magazines and newspapers
are being cut by consumers anxious to save money during the
recession. Over three quarters (82%) say that such subscriptions
are a luxury in life rather than a necessary expenditure.
24% said they were planning to spend less on such subscriptions this year, with almost a fifth (18%) saying they will cut back on paid for TV packages such as Sky. Over three quarters, (79%) of those surveyed said that paid for TV was a luxury, with a further fifth (18%) going as far as to say they are thinking of cancelling their service this year.
In some good news for media companies, it appears that the older generation are still holding on to their subscriptions. A fifth (20%) of respondents over 65 said that they thought newspaper and magazine subscriptions were a necessity, and 23% of this age group thought that paid for TV was one of life's essential items.
The study, carried out by YouGov, asked 2500 people about their current financial attitudes and steps they are considering taking over the next few months. UK consumers appear to have abandoned their 'borrow now, pay later' attitude and are now committed to pulling themselves through their financial difficulties. 35% check their financial statements more carefully, while 22% have started a weekly or monthly budget.
Caroline Worboys, MD of Callcredit Marketing Solutions, comments:
"The financial situation has knocked UK consumers' confidence so it's no surprise that they are keeping a close eye on their spending. The 'borrow now, pay later' bubble has burst and as a result, people are letting go of the things they feel to be non-essential to their lifestyle.
"The subscription model is a hugely valuable concept and is fundamental in the fight to engage consumers and build a relationship with them. It's crucial that companies use a mix of methods and styles to communicate with their customers if media content is to remain monetised."
Notes to Editors:
About Callcredit Marketing Solutions
Callcredit Marketing Solutions (www.callcreditmarketing.com) designs and executes
marketing programmes with measurable customer value as the starting
With marketing services from consumer data and contact centres
to direct marketing and credit marketing, Callcredit Marketing
Solutions helps clients gain greater knowledge of customers and
prospects, as well as the best ways to engage with them. By
transforming raw consumer data, into actionable customer insight,
it helps clients maximise marketing budget while encouraging
customers to buy more, do more and stay customers for longer -
measurably improving return on investment.
Callcredit Marketing Solutions' service offering
Real-time channel-rich customer interaction capabilities
Customer value strategy, planning and analysis
Customer database build and management
Data processing and enhancement
Consumer data assets including classifications, prospects and credit data supply