Stephanie Clifford of the New York Times reports Wednesday that Consumer Reports has agreed to acquire the Consumerist site for an undisclosed price.
Clifford reports, “In buying Consumerist, Consumers Union is seeking to attract younger readers, with the hope of eventually selling them online or print subscriptions to Consumer Reports.
“It is also something of a logical fit. Consumerist is popular, with about 1.8 million unique visitors a month, according to the online measurement service Quantcast, but has had trouble attracting advertising because the site often criticizes companies. Consumer Reports does not accept advertising, and once the sale closes on Jan. 1, neither will Consumerist.
“Unlike most magazines, Consumer Reports makes its money from subscriptions, which cost $26 for the Web site or print edition. In the company’s last fiscal year, which ended May 31, it had $229 million in revenue — up 10.6 percent from the previous year — from Consumer Reports and a handful of smaller magazines.
“In a year that has been difficult for magazines, Consumer Reports’ subscription and newsstand sales have risen. Circulation was 4.6 million, up from 4.3 million in 2007. The Web site has 3.3 million subscribers.”
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