Below, we have summarized new rule amendments passed by BPA’s Board of Directors at their December 2011 meeting.
Unless otherwise specified, all changes are effective immediately.
The Board also approved changes to our bylaws positioning BPA for growth in assurance, but non-circulation audit related areas. A separate mailing of the proposed bylaw changes will be sent as amendments. These changes must be approved by the membership and we need your vote! Please watch for this communication.
Board Actions Applying to All Members
Reporting Apps: The ability to serve magazines and newspapers through tablets and other hand-held devices is one of the most exciting developments in publishing. Many publishers have, or are developing, electronic formats to deliver via apps.
Publishers are implementing three general types of apps:
1. Apps that serve the magazine/newspaper on a mobile device (ipad, tablet, smartphone, e-reader)
2. Apps that serve the magazine/newspaper and additional functions (news feeds)
3. Apps that are related to the brand, but serve a function other than delivering editorial content (data/games/etc)
BPA rules allow for the first group and second group to be reported as digital copies. The third group cannot be reported as a digital copy and should be reported as its own channel on a BPA Brand Report. However, at the moment, there is very little audit documentation to report apps metrics on BPA reports. Some service providers provide download reports and session reports, but this is the extent of the data that can be analyzed. Service providers cannot tell how many individuals have deleted the apps, and they cannot tie sessions into individual users.
In addition, new issue notification is moving toward automated “push notification” within the app and away from email notifications. When push notification is used, there is no tracking mechanism for successful delivery. The push notification is a one-way communication. There is no bounce back or return, so it is impossible for publishers to tell how many people actually received the notification.
There are software companies and production/distribution vendors that are building software solutions, including tracking beacons in the app, to provide publishers with deeper data. However, this is not in wide spread use at the moment. Without information about deleted apps or successful notification, app copies cannot be reported as “qualified” on BPA reports. Of course, downloaded “issues” may be reported as qualified circulation.
The BPA Board approved reporting “Downloaded Apps” by month with an aggregate total, along with a footnote disclosing the limitations of the figures. If a member chooses to report apps, they may do so, but must utilize a BPA Brand Report.
Again, downloaded issues may be reported a qualified circulation. BPA is working with the industry to develop improved metrics. Stay tuned.
Board Actions Applying to Business Publications and Consumer Magazines Only
Digital Circulation: Ensuring that source and age parameters are applied equally to print and digital, the Board has updated reporting rules to allow digital editions for all sources: request and non-request. Digital circulation shall be clearly identified on the BPA statement/report, conform to the Field or Market Served and Definition of Recipient Qualification. Proof of production, distribution and demographic data where claimed (which is no older than 36 months) must be provided for these copies at the time of audit.
Non-request digital distribution can include sources such as email newsletters or other email lists of recipients who meet the qualifying criteria, but have not specifically requested to receive the publication in either print or digital form.
Age and Source Reporting: Responding to feedback from members and the marketplace, the Board moved to reverse its May 2010 decision to consolidate 3b reporting. The updated rule requires publisher members to report five source categories: Direct Request; Request from Recipient’s Company; Membership Benefits; Communication other than Request; and Sources other than above (see example below). At their option, publishers may subdivide request and report by type: written, telecommunication, and electronic.
This rule is effective July 1, 2012, with first reporting on the December 2012 statements/reports.
Telecommunication Sources: Authorized Requestors: “Company request” rules were amended to clarify any co-worker can make a “company request” for any others within their organization.
Telecom Scripts Approval: To add efficiency to publishers’ and telemarketing firms’ processes, the Board voted to change the rules to not require, but have as an option, to have every telecom script be reviewed and approved by BPA.
BPA staff will review telecom scripts, if requested. BPA staff will review one script per title per year inclusive in the membership fee. Any additional reviews will be recorded as audit time. To avoid unbudgeted costs, the Board also stipulated that only those scripts submitted by publishers will be reviewed by BPA staff. Vendors should not submit scripts for approval without prior authorization from publishers.
Pre-Populated Demographic Data: Telecom request recordings have alleviated previous concerns about the quality of telemarketing sources. When calls are recorded you may confirm name, address, title, email, fax, phone number, and prior-year demographic information during the telephone interview.
Consolidating Passive Sources: As static passive sources have given way to dynamic online databases, it has become increasingly difficult for publisher members and BPA staff to determine the difference between the four passive sources (association rosters and directories; business directories; manufacturer’s, distributor’s and wholesaler’s lists; and other sources) within the “Sources other than above” category.
To facilitate the reporting process, the Board voted to consolidate all passive sources reported into one new category: “Sources other than above, including: association rosters and directories, business directories, manufacturer’s, distributor’s and wholesaler’s lists, and other sources” (business publication statements); and “Sources other than above, including rosters and directories, manufacturer’s, distributor’s and wholesaler’s lists, and other sources” (consumer magazine statements). The consolidation should eliminate the confusion among members. If a member chooses to continue to report a passive source separately they may do so at their option.
Electronic Request: The Board ruled that subscriber access to digital copies (by downloading the issue or accessing it online) may be used to substantiate a renewal to continue receiving a digital subscription. Subscriber access within the following schedules will now qualify as a request to continue to receive the publication:
* A publication issued on a weekly basis must be accessed nine times every six months.
* A publication issued on a monthly basis must be accessed twice every six months.
* A publication issued on a quarterly basis must be accessed once every six months.
* A semiannual publication must be accessed once per audit period.
Publications must maintain proof of initial request and subsequent engagement activity for review at time of BPA audit. NOTE: This rule applies only to those digital recipients who have previously made a personal direct request to receive the publication.
Digital Edition Reporting: Magazines/Publications: BPA received feedback stating that the current format for reporting individuals that receive both print and digital versions of a publication or magazine is confusing. The current format reports copies in three columns: “print,” “digital,” and “both.” An individual who receives both print and digital copies is reported only once in the “both” column. There was concern from members that if an advertiser is buying only print, or buying only digital, the number on the BPA report may be confusing. To get the true print circulation, one must add the “print” total and the “both” total. To get the true digital total, one must add the total “digital” and the total “both” column.
As a result, the Board updated reporting rules to include categories for Total Print, Total Digital, and a new third column for Total Qualified (Unique Recipients). This format is in alignment with the new International Federation of Audit Bureaus of Circulation (IFABC) standards for reporting print and digital circulation (see example below). This circulation must be reported separately in paragraphs 1 and 2, but it is now optional throughout the balance of the statement/report. However, if a publisher is reporting non-requested digital circulation, that circulation must be reported separately in the age and source paragraph.
Disclosure Comments: Multiple Copy Same Addressee (MCSA)/Sponsored/Price: The rules for disclosure have been amended with added thresholds to make the disclosure comments more manageable, including an optional reporting table of MCSA/sponsored/circulation. This will make BPA reports easier for media buyers to use, more efficient for publisher’s to prepare, and more efficient for BPA audit.
Sponsored sales between 5% and 10% of average total qualified circulation must be reported in the explanatory paragraph on the last page of the statement. Sponsored sales that are greater than 10% of average total qualified circulation must report the average sponsor price on page 1 of the BPA statement (under the non-sponsored average price) and include a footnote in paragraph 1 referencing further details to be found in the explanatory paragraph.
The amended rules also base MCSA and sponsored thresholds on average total qualified circulation rather than paid circulation.
Geographic Breakout – United Kingdom: Geographic reporting rules had required that if circulation is 25% or more in the United Kingdom then a county or regional breakout is needed. Members and fulfillment bureaus have noted that there are challenges in reporting this way since postcodes do not match to counties and the mapping of postcodes to regions is not precise.
The rule was amended to mandate reporting by country in the UK, but a publisher may opt for a more defined breakout (as shown):
- Northern
- Yorkshire & Humberside
- North West
- East Midlands
- West Midlands
- Northern Ireland
- Scotland
- South East
- Wales
- East Anglia
- Greater London
- South West
Reporting Renewal Percentage: The reporting of renewal percentage rate is optional. Most members opt not to report renewal percentage on their statements.
The BPA Board amended the rule to allow members the option to report one aggregated renewal rate for paid circulation, or separate renewal rates by paid individual, membership benefit, and multi-copy same addressee.
Board Actions Applying to Canadian Newspapers Only
Hybrid Subscriptions: Hybrid subscriptions are subscriptions fulfilled through a combination of print and digital editions with the intent to count only one copy as circulation per day. For example, an individual subscriber receives the print newspaper Monday-Friday and a digital edition Saturday and Sunday. Copies delivered Monday-Friday will be reported as print; copies delivered Saturday and Sunday will be reported as digital.
Bundled Subscriptions: Bundled subscriptions include print and digital editions (platforms) with the intent to count each copy served over multiple platforms per day, which will result in multiple “copies” per individual, per day. The combination sale rule and the digital edition rule have been amended to include bundled subscriptions that include multiple platforms of the same paper. Total unique recipients are also to be reported/required.
Board Actions Applying to Newspapers (Excluding Canada)
Digital Edition Reporting: Newspapers:[GH1] BPA rules for digital newspapers categorized digital as falling into four types: Dynamic, Targeted, Enhanced and Replica, with definitions of each. Working with other audit bureaus around the world through the international federation (IFABC), we have begun to set global standards. The Board has approved modifications to the BPA rules. The category of “Replica” will now be stated as “Editorial Replica.” The category of “Enhanced” will now be stated as “Replica Plus.”
In addition to reporting all four types separately, it was approved to group the four types into two categories. The two new sub-total categories for reporting are “Replica” and “Non-Replica.” Included in the “Replica” category shall be “Editorial Replica” and “Replica Plus” copies. Included in the “Non-Replica” category shall be “Dynamic” and “Targeted” (see examples below).
For the full set of newspaper rules, see rule N3.13 on the BPA web site.
The BPA Board agreed with the IFABC recommendations, and will now allow BPA newspaper members to report gross distribution by channel (replica, non-replica) and require the reporting of unduplicated subscribers when they can be identified by name, or address, or email, or other means.
The Board approved that each platform report a count of one, and a unique count of subscribers must also be reported, as stated above.
The Canadian daily newspapers tabled the item for this Board meeting and will review the matter again in six months at the May 2012 Board meeting.
These changes are now being considered by our Business and Consumer magazine groups for possible amendment by the Board at its next meeting in May.
Hybrid Subscriptions: Hybrid subscriptions are subscriptions fulfilled through a combination of print and digital editions with the intent to count only one copy as circulation per day. For example, an individual subscriber receives the print newspaper Monday-Friday and a digital edition Saturday and Sunday. Copies delivered Monday-Friday will be reported as print; copies delivered Saturday and Sunday will be reported as digital.
Bundled Subscriptions: Bundled subscriptions include print and digital editions (platforms) with the intent to count each copy served over multiple platforms per day, which will result in multiple “copies” per individual, per day. The combination sale rule and the digital edition rule have been amended to include bundled subscriptions that include multiple platforms of the same paper. Total unique recipients are also to be reported/required.
Sponsored Circulation Sold with Advertising: Rules were amended, for newspapers outside Canada, allowing sponsored circulation to be sold with advertising, but the sponsored circulation must meet the following criteria:
* The advertising agreement and newspaper purchase agreement are shown on separate contracts; or,
* The advertising agreement includes specific language disclosing the newspaper purchase price within the contract when the agreement includes both advertising and newspapers; or,
* The purchase price of the newspaper is a separate itemized line within the contract or invoice when the agreement includes both advertising and the newspaper.
* The purchase transaction must be separate from any financial agreement between the third party purchaser and the newspaper.
* A clear audit trail must be maintained from the invoice/contract to the circulation records.
* Recipients must be advised that the copies are made available by the purchaser.
* Recipients must receive initial notification that includes all information necessary to cancel delivery.
Board Actions Applying to Associate Members Only
The Board approved criteria for associate membership. These include the requirement of three (3) positive references to prove successful completion of service to BPA members. In addition, associate members will be granted the use of a new BPA Associate Member logo. If an associate member’s work is found to be negatively impacting publisher members and the industry, BPA will take action under Section 10 of the Bylaws (offenses and penalties).