New Observer fails to sustain circulation rise

by Olivia Solon, Media Week 13-Feb-07

The Observer has failed to hold on to most of the readers it gained when it moved to the Berliner format last year, with January circulation figures showing a year-on-year fall of almost 100,000 copies.

Circulation for the Sunday title, owned by Guardian News & Media, fell
18.06% from 542,075 in January 2006 to 444,186 this year, according to
the Audit Bureau of Circulations.

A spokeswoman for The Observer said the circulation was particularly

high in January 2006 because of the change of format, the launch of

Observer Woman and heavy promotion. The title's circulation fell 10.65%
month on month immediately after the relaunch to 484,357 in February
2006.

This month's figure is closer to The Observer's pre-Berliner circulation
level, which was 430,401 in December 2005.

Meanwhile, average circulation over the six months of August 2006 to
January 2007 fell 0.25% compared with the same period the previous
year.

Anthony Gibson-Watt, media director at Zed Media, said this did not mean
the investment in the Berliner presses was wasted. "Agencies and
advertisers welcome the change," he said.

The Independent on Sunday was the only title in the Sunday quality
market to have a year-on-year circulation increase (2.66%) this month,
helped by a CD giveaway and a rise of about 10,000 in combined bulk and
international sales.

The Sunday Telegraph fell by 3.35% year on year, while The Sunday Times
fell 5.06%.

PROMOTIONS

- Evening Standard Gave away free mobile phone chargers

- The Daily Telegraph Gave away a Beatrix Potter audio CD, a puzzle
special, and ran an 'eat out for £5' promotion

- The Guardian Gave away posters, stickers, a guide to free events, and
a DVD of What's Eating Gilbert Grape

- The Times Gave away a book of name meanings, a Great Gastro Pub Guide,
and a Michael Palin DVD. Also ran an "eat out for £10" promotion
and a promotion in WHSmith for £1 off magazines with The Times

- The Independent Ran a Test Your Brain CD, bird song CDs and bird post
cards

- Daily Mirror Gave away Merlin Premier League albums and a National
Geographic wildlife DVD, stickers and posters.