INSIDE BAUER MEDIA’S REINVENTION

CHRISTIAN BAESLERSEPTEMBER 18, 2014

1,000 PRODUCTS ACROSS 17 COUNTRIES

Directly operated

17

BAUER IS THE #1 SELLER OF MAGAZINES AT RETAIL IN THE COUNTRY.

BAUER’S PRINT BUSINESS MODEL: RETAIL BASED PUBLISHING

Source: AAM December 2013

Rodale (7 Titles)

Meredith (18 Titles)

Conde Nast (18 Titles)

Wenner (3 Titles)

Hearst (20 Titles)

AMI (13 Titles)

Time Inc. (21 Titles)

Bauer (7 Titles)

0 20 40 60 80 100 120

10

15

23

27

49

69

80

114

Wenner

Rodale

MILLIONS OF MAGAZINES

SALES LEADER AT U.S. RETAILBauer

Time Inc

AMI

Hearst

Conde Nast

Meredith

Source: AAM 2013

SALES LEADER AT U.S. RETAIL

# 1 # 2 # 8

UNTIL 2012: DIGITAL SIMPLY MARKETING CHANNEL FOR PRINT PRODUCTS

TAKING OVER THE DIGITAL TEEN SPACE

Jun-

13

Jul-1

3

Aug-1

3

Sep-

13

Oct-1

3

Nov-1

3

Dec-1

3

Jan-

14

Feb-

14

Mar-1

4

Apr-1

4

May-1

4

Jun-

14

Jul-1

4

Aug-1

40

500,000

1,000,000

1,500,000

2,000,000

2,500,000

3,000,000

3,500,000

4,000,000

Unique VisitorsSource: Google Analytics

J-14’S INCREDIBLE TRAFFIC GROWTH

J-14 IS NOW THE LARGEST TEEN EDITORIAL BRAND ON FACEBOOK

J-14’S HIGH POST ENGAGEMENT

EFFICIENT SCALING: REVENUE

EFFICIENT SCALING: TECHNOLOGY

Proprietary CMS

EFFICIENT SCALING: OFFICE SPACE

NEXT: INTOUCHWEEKLY.COM

Jul-1

3

Aug-1

3

Sep-

13

Oct-1

3

Nov-1

3

Dec-1

3

Jan-

14

Feb-

14

Mar-1

4

Apr-1

4

May-1

4

Jun-

14

Jul-1

4

Aug-1

40

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

Unique Visitors

Source: Google Analytics

TODAY’S MODEL OF PREMIUMADVERTISING IS BROKEN

KEY TAKEAWAYS

• Unique products that serve a true market need will be successful.

• Overcome limitations implied by standards of existing businesses.

• “Efficient Scaling” will enable building a profitable digital business.