D 10.1 Channels of Subscription Sales

Subscription production shall be classified by channels in Bureau reports designated for business publications in accordance with the following definitions and instructions.

Paragraphs (a) through (d) apply only to paid subscription circulation. Paragraph (f) applies only to non-paid circulation to field served.

(a) Ordered by mail: Subscriptions produced by a publisher, individually or in behalf of other publishers; department stores; or other media may be classified as "Ordered by Mail and/or direct request" if the subscription order is received as the result of a voluntary effort by the subscribers or telephone orders initiated by the subscriber.

Subscriptions sent in by mail as the result of solicitation or obtained as a result of a telephone solicitation by a field salesperson shall be classified as "Ordered through salespeople."

Subscriptions sent by internet related mediums, via e-mail, fax and other electronic means may be classified as "Ordered by Mail and/or direct request" if the subscriptions are a result of a voluntary effort initiated by the subscriber.

(b) Ordered through salespeople:

(1) Catalog agencies and individual agents:

A catalog agency is a concern which publishes in substantial volume a wholesale price list and/or a retail price list, commonly known as a "catalog." Catalog agencies generally accept subscriptions for many and often for all publications. The retail price catalogs are mailed direct to prospective subscribers by catalog agencies. The wholesale catalogs are distributed to subagents such as individual agents, department stores, bookstores, newsdealers, postmasters or others dealing directly with prospective subscribers. Subagents employ various forms of solicitation such as direct mail, telephone, newspaper and periodical advertising and door-to-door canvass. Retail catalogs are usually furnished subagents by catalog agencies for mailing. The subagents or agencies send the subscriptions which they originate to the wholesale catalog agency which in turn clears them to respective publishers. The term "individual agents" is intended to apply to subscription salespeople who are not attached to the staff of a field selling organization such as referred to in (b)(2) below. It also applies to agencies which do not publish a wholesale trade price list and/or a retail price list. Such agents are either part or full time workers who are compensated by either cash commission or merchandise reward. They include individuals and concerns variously described as "pin-money salespeople," "personal effort solicitors," individual salespeople, newsdealers, bookstores, postmasters, etc.

(2) Publisher's own and other publishers' salespeople:

Subscriptions produced by the publisher through:

(a) Full-time field selling employees.

(b) Appointed independent field selling contractors who report directly to the publisher.

(c) A field selling subscription agency jointly owned by two or more publishers shall be shown in Bureau reports as having been ordered through "publisher's own and other publishers' salespeople."

(3) Independent agencies' salespeople:
Subscriptions produced by outside field selling organizations which are totally unaffiliated with publisher except as subscription producers shall be shown in Bureau reports as having been ordered through "independent agencies' salespeople."

NOTE: The distinguishing characteristics of field selling staffs listed in (b)(2) and (b)(3) above are:

That the personal solicitation involved is conducted by professional salespeople who have chosen subscription selling as their principal means of livelihood. These salespeople are usually, although not necessarily, associated with others in crews. These salespeople usually take subscriptions for publications in accordance with authority specifically granted by the publishers.

(c) Association memberships:

Subscriptions received as the result of membership in an association shall be included in the subdivision "association membership."

(d) Subscriptions sold on a non-deductible basis to registrants at trade shows or business seminars or similar types of business meetings shall be included in subdivision of "All other channels" with the caption "Sold as non-deductible at business seminars or trade shows."

(e) The Bureau shall prepare a list of subscription selling organizations as defined by this rule and distribute same to publisher members with appropriate instructions as a guide in properly classifying their production.

(f) Analysis of the sources of non-paid circulation to field served shall be shown in Paragraph 3(b) of the Paid and Qualified Non-Paid Circulation Form. Information furnished on sources of non-paid circulation to field served is to appear in the explanatory paragraph and shall exclude statements of a promotional nature and shall be subject to editing by the managing director.

D 10.2 Separate Editions

(a) A member business publication, published in either a print or digital format, may include the circulation of a separate edition, either print or digital format, in the qualified circulation of the member in Publisher's Statements and Audit Reports, subject to the following condition:

(1) The edition may maintain the same publication name and logotype characteristics as the member publication, or editions or portions of the publication's distribution may show on the front page a name other than the name under which ABC membership is held provided the logotype of the member is shown in a manner consistent with the member's basic logotype on all editions, and the term "edition" is consistently shown on each edition and both are clearly legible.

(b) A business publication published in more than one edition in which advertising is sold separately in one or more editions shall be required to list the average circulation for each edition and state frequency of publication in Paragraph 1(d) under a heading "Average Paid and Non-Paid Circulation of Regional and Demographic Editions" and totals for all editions in separate columns in Paragraphs 3(a) and 4 of Publisher's Statements and Audit Reports.

(c) A publisher member may designate certain portions of the distribution, either print or digital format, of its publication as "editions."

(d) In the absence of specific designations as "edition" or "editions," a publication shall be required to list the average circulation for each portion, in Paragraph 1(d) and totals for each in Paragraphs 3(a) and 4 of Bureau reports, in which advertising is regularly sold separately, except for areas comprised of a complete state, province or country or comprised of complete business or occupational classification reported in Paragraph 3(a) (or group of each).

(e) A business publication, reporting on either the Paid Circulation Form or the Paid and Qualified Non-Paid Circulation Form and published in more than one edition in which advertising is sold separately in one or more editions shall, in the event any such edition or editions have less than 70 percent paid circulation as defined in 2.11 of the bylaws (or less than 50 percent paid circulation in the case of provisional members), be required to list in separate columns the paid, non-paid and non-qualified circulation, for each edition and totals for all editions, in Paragraphs 1(a), (b) and (c) of the Publisher's Statement. The column for each edition having less than the required paid circulation, as defined above, shall be identified by a reference to the paragraph devoted to general explanations, where a full explanation shall be made. If no edition has less than 70 percent paid circulation as defined in 2.11, of the bylaws (or less than 50 percent paid circulation in the case of provisional members), the segregation for each edition in Paragraphs 1(a), (b) and (c) of the Publisher's Statement shall be optional with the publication for any complete audit period.

D 10.3 Digital Versions and Digital Editions

(a) The labels "digital version" or "digital edition" will be used to describe all copies distributed via electronic or paperless means.

(1) Digital version is defined as a publication distributed via electronic / digital means that maintains the basic identity of the host publication by maintaining the same name / logo and wherein the editorial and advertising content is a replica of the core host product. The digital version may contain "hotlinks" to the publisher's Web site provided the Web site contains updated or expanded editorial content when compared to the print edition.

(2) Digital edition is defined as a product distributed via electronic / digital means that maintains the basic identity of the host publication either by maintaining the same name / logo or by identifying itself as "an edition of ________," but contains different editorial and/or advertising content.

Digital edition circulation must be reported separately in Publisher's Statements and Audit Reports in accord with Bureau Rule D 10.2.

(b) Digital versions and editions may not be comprised of a newsletter / e-newsletter or unrestricted website access.

(c) Both "push" and "pull" methods of distribution are acceptable. Therefore, notification to the subscriber of the product's availability on restricted access Web site qualifies as a delivery.

(d) Digital version / edition-only subscribers shall be required to provide a land address for reporting purposes in Paragraph 4 Geographic Analysis. Digital version / edition-only subscribers who do not provide a usable land address shall be reported as "e-mail address only" and shall not be subject to the 5 percent limit as articulated in Rule D 5.1(c) Geographic Analysis.

(e) Provided all other qualification criteria are met, copies identified as delivery issue "bounce backs" may be included in qualified circulation for a limited time frame provided the delivery issue associated with the bounce back is rectified, or the subscriber is purged from the subscriber file in accord with the following scale: daily – 10 issues; weekly – four issues; biweekly – two issues; and monthly – one issue.

Where the initial delivery of a subscriber's digital version / edition takes place outside of the publisher's normal means of distribution, or subsequent to the delivery of the publication's main file, the above schedule is effective with the next scheduled delivery of the main file (both print and digital versions / editions). Any initial digital version / edition served outside of the publisher's normal distribution channel or subsequent to the distribution to the main file is not subject to the "bounce back" schedule, nor is it eligible for inclusion with qualified circulation.

(f) Mid-term conversions from print only to digital version / edition only may be completed at the publisher's discretion provided the subscriber has the opportunity to "opt-out" of the conversion and retain the print subscription or terminate the subscription altogether.

(g) Paid bulk sales and license agreements may be reported as qualified circulation in ABC reports provided the purchaser pays a qualifying price for each subscription.

(h) Publications are required to provide a statement of digital delivery methodology in the explanatory paragraph of ABC reports.