Metro expansion to boost turnover by half
Last week, Metro extended distribution beyond the capital to Kraków, Poznań, Wrocław and the Tricity. Initially, it will publish in the new cities on Mondays and Fridays. If successfull in its new markets, it will begin to publish five days a week, as well as scout out new cities for distribution. But it's too early to say when further expansion would begin.
"It's been our plan to expand for some time," says Jens Torpe, the publishing company's chief operating officer. He explains that in Poland, Metro is following its tried-and-true strategy that has been paralleled in other countries such as Spain, Hungary, Sweden, France and Denmark. The world's fourth largest newspaper in terms of readership often initially targets capitals then expands. Earlier this year, for instance, it launched its fifth edition in France as well as two new editions in Spain.
Torpe declined to provide last year's revenue figures for Poland, but justified the target of 50 percent revenue growth by the fact that many potential Metro advertisers in the country have eschewed full campaigns because the newspaper was only available in Warsaw. Many larger advertisers have strategies that are national in scope.
"Brand advertising is always nationwide," he said.
Metro opted to begin distributing the newspaper last week, because advertisers often begin new nationwide campaigns in the early spring. And in an estimated zł.1.5 billion ($380 million) advertising market, Metro is betting that it has much room to grow in the future.
Metropol, which was launched in November 2000, distributes 140,000 copies in the capital and counts some 325,000 readers. The new launch will increase its distribution to 240,000 on Mondays and Fridays.
For all the company's optimism, however, it does not discount the competition in the new markets, in which other large well-known national papers, such as Gazeta Wyborcza and, most recently, Fakt, are also competing for advertisers.
"We have plans of what we would do if something were to happen," he said, referring to the potential competition. He declined to comment on what those plans might be.
"In the past, we have navigated the different types of competition," Torpe says of markets outside of Poland. This experience, he explains, will enable the company to weather the market in this country.
However, he says that the country has been greatly improved by recent competition.
"What's happening is very exciting," he said. "The launching of Fakt ... it was very professional and what has happened is that the market has been broken up."
A more balanced market is a boon for publications such as Metropol that are looking to expand.
"It's been our plan to expand for some time," says Jens Torpe, the publishing company's chief operating officer. He explains that in Poland, Metro is following its tried-and-true strategy that has been paralleled in other countries such as Spain, Hungary, Sweden, France and Denmark. The world's fourth largest newspaper in terms of readership often initially targets capitals then expands. Earlier this year, for instance, it launched its fifth edition in France as well as two new editions in Spain.
Torpe declined to provide last year's revenue figures for Poland, but justified the target of 50 percent revenue growth by the fact that many potential Metro advertisers in the country have eschewed full campaigns because the newspaper was only available in Warsaw. Many larger advertisers have strategies that are national in scope.
"Brand advertising is always nationwide," he said.
Metro opted to begin distributing the newspaper last week, because advertisers often begin new nationwide campaigns in the early spring. And in an estimated zł.1.5 billion ($380 million) advertising market, Metro is betting that it has much room to grow in the future.
Metropol, which was launched in November 2000, distributes 140,000 copies in the capital and counts some 325,000 readers. The new launch will increase its distribution to 240,000 on Mondays and Fridays.
For all the company's optimism, however, it does not discount the competition in the new markets, in which other large well-known national papers, such as Gazeta Wyborcza and, most recently, Fakt, are also competing for advertisers.
"We have plans of what we would do if something were to happen," he said, referring to the potential competition. He declined to comment on what those plans might be.
"In the past, we have navigated the different types of competition," Torpe says of markets outside of Poland. This experience, he explains, will enable the company to weather the market in this country.
However, he says that the country has been greatly improved by recent competition.
"What's happening is very exciting," he said. "The launching of Fakt ... it was very professional and what has happened is that the market has been broken up."
A more balanced market is a boon for publications such as Metropol that are looking to expand.
