Kiki magazine discount

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Read the following case study and then answer the question which follows:

Kiki magazine is a quarterly publication established in the fall of 2007 for tween girls. With approximately 10 million females between the ages of 10 and 14 in the United States, the founders saw an opportunity to capture a niche market of girls who wanted a magazine that looked like the glossy newsstand magazines geared to older girls but featured design-based content, rather than pop-culture based content.

Magazines, newspapers, and books are the three major forms of print media in the publishing industry. In 2007, the publishing market had a market value of $157.9 billion, with magazines representing 9.4 percent of the total. There were approximately 6,800 consumer magazines and 12,725 business magazines produced in the United States. Magazines generate income via advertising and circulation revenue, with advertising accounting for an average of about 55 percent of revenue. Circulation revenue is derived from both subscriptions and single copy sales. The top 300 magazines in 2006 generated $34.4 billion in revenue. Of this revenue, the 10 largest consumer titles had combined circulation and advertising revenues of $7.7 billion.

There are approximately 250 magazines in the United States targeted exclusively to children (8 years and younger), youth (9 to 12 years), and teens (13 to 19 years). Kiki competes in the youth and early teen segment of the magazine marketplace, which has a magazine readership of about 48 percent of the segment. There are three major types of magazines in this age range: sexualized girls' magazines, kids/fun magazines for both boys and girls, and educational magazines for girls.