Companies often choose a custom publisher when they’re looking to create a complex document, such as a magazine or newsletter, and recognise that they don’t have the necessary resources or expertise in-house to do the job.

When planning a custom publication, one of the first issues that needs to be addressed is what’s the most appropriate business model for the project. As you’ll see below, each approach has its pros and cons (you’ll see examples of each of these at the Custom Publishing Australia web site).

Client pays all expenses

In this model, the client basically pays all the expenses. The advantage to the client is that they have full creative control of the magazine, the disadvantage, is that custom publishing can be expensive.

Client pays expenses, but invites suppliers/vendors/partners to advertise for a fee to defray costs

With this approach, the client pays all the expenses, but asks suppliers/vendors/ business partners to kick in some money through paid advertising. This is a good way of defraying costs if there’s a compelling reason for suppliers to advertise. Here, the client retains creative control of the publication, but for this approach to be sustainable, the client needs to have good relationships with its suppliers/vendors and business partners, who are willing to support the magazine in he long term.

Client pays expenses, but sells advertising to recover costs and make a profit

This scenario arises when a client from a non publishing background wants to embark on a publishing venture, but they don’t have the internal resources to put the publication together. In this case the custom publisher is simply as an outsourced publishing department for the client. Again, the client retains creative control of the publication, but for this approach to be sustainable, the client needs to have good relationships with its suppliers/vendors and business partners, who are willing to support the magazine in he long term.

Custom publisher sells advertising to pay expenses, though client still subsidises publication

In this model the custom publisher sells advertising on behalf of the client to help fund the magazine, although the client still makes a contribution to help cover costs. This usually happens where the client is keen for a publication to be produced, and there is a healthy pool of advertisers who can be approached to support the magazine. Here the client may only have limited control of the publication’s creative as the custom publisher needs to make the magazine as appealing to a broader pool of advertisers. The client’s input may simply consist of a set of guidelines that need to be adhered to.

Custom publisher sells advertising to cover production costs, no contribution by client

Where there is a significant pool of advertisers, and a compelling sales story, the custom publisher sells advertising to completely fund production of the magazine. The client makes no financial contribution to magazine, and in some cases receives a license fee or a share of the profits. Here the client may only have limited control of the publication’s creative as the custom publisher needs to make the magazine as appealing to a broader pool of advertisers. The client’s input may simply consist of a set of guidelines that need to be adhered to.

Of course, all of these models are just generalisations, and there is a lot of room for negotiation in how a custom publishing project might be managed.

The key of course, is coming up with a business model that is sustainable in the longer term. There’s nothing worse than launching a custom publication that fizzles out because the business model hasn’t been well though out.

You’ll find more information about custom publishing at the Custom Publishing Australia web site.