Magazine reporting of average price

Definitions, key points, and calculation examples.

Rule F 1.3 Average Price

Overview

Average price reflects the total value of all subscriptions sold during the current six-month reporting period (less sponsored and multi title digital) divided by the total number of copies generated from these sales. 

Definitions

Average Subscription Price Per Copy: The average price of subscriptions sold in a six-month period, presented on a per-copy basis. This is calculated by taking the dollars generated from subscription sales within the period, subtracting sponsored sales, multi-title digital and international sales if total international subscribers are more than 10% of average circulation, and dividing by the total number of copies generated from these sales.

Average Subscription Price Annualized: The average price of subscriptions sold in the six-month reporting period. This is calculated by taking the calculated six-month average subscription price per copy and multiplying by the magazine annual issue frequency effective for the statement period.

Key Points

  • Current six-month period: All data in the calculation is for the current six-month reporting period.
  • Credit subscriptions: Included in the calculation are those sales that were paid at the time of sale and those sold on a promise to pay basis. Credit cancelled subscriptions are included in the average price calculation.
  • Premiums: The average price calculation is not required to deduct the value of any premium included in the subscription sold.
  • International sales:
    • Publishers with less than 10% international circulation may include these copies and their associated value in the calculation.
    • Publishers with more than 10% international circulation should exclude these sales and associated value from the calculation but can include an average price inclusive of that circulation in the notes section of the report.
  • Sponsored and multi-title digital: Sponsored and multi-title digital copies sold during the period are excluded from the average price calculation.
  • Transferred subscriptions: Transferred subscriber names or the purchase of a subscriber list are excluded from the average price calculation.
  • Membership, partnership, and combination sales: For subscriptions sold as part of a membership, partnership, combination sale or other package, the amount allocated to the magazine is included in the average price calculation.
  • Combined or double issues: Based on the practices of the publisher, combined issues may be reflected as one or two issues in the calculation of the frequency for average price. Publishers serving combined issues should explain in the notes section of the report the impact of the frequency due to the service of combined issues.
  • Frequency changes: For publications undergoing a frequency change during the period in which the average subscription price calculation is made, there are two options for determining the frequency used for annualizing the average price:
    • Option 1: Use the surviving frequency at the end of the current statement period. Include the details of the old and new frequency and timing of this change in the notes section of the report.
    • Option 2: Use a weighted average of the frequencies in effect for the period covered by the average price.

Note: When determining how to account for combined/double issues, special issues, or frequency changes in the average price calculation, consider that the annualized per copy price is meant to reflect what the average price ordered per copy for subscriptions sold during the six-month statement period then annualized as if everyone ordered a 12-month subscription.  

 
Calculations

Use this helpful worksheet to calculate your publication's average price.

Average Subscription Price Per Copy

Average subscription price per copy calculation

Average Subscription Price Annualized

Average subscription price annualized

Examples

Average Subscription Price Per Copy

Average price calculation example

Average Subscription Price Annualized

Annualized price example