New York Magazine’s women’s fashion and lifestyle publication, the Cut, is expanding its staff and offerings
New York Magazine’s women’s fashion and lifestyle publication, the Cut, is defying the trend of layoffs among digital publishers by expanding its staff and offerings. The Vox Media-owned title is adding four full-time editorial staff members, as well as new verticals and inventory. This expansion is fueled by a surge in advertiser demand, particularly in luxury brands, retail, beauty, and CPG (consumer packaged goods) categories.
Advertiser demand drives revenue growth for the Cut
Geoff Schiller, Vox Media’s chief revenue officer, explained that the Cut’s advertising revenue, which makes up the majority of its business, has been increasing year-over-year. The company has hit its revenue goals for the first quarter, with growth seen in both the average advertiser deal size and the number of deals won. To further capitalize on this momentum, some of the revenue is being reinvested into the Cut to expand its audience.
Market demand and industry trends drive investment in the Cut
The Cut was not affected by the layoffs that Vox Media experienced last year, which impacted other brands in the company’s portfolio. Schiller clarified that the decision to invest in the Cut is based on market demand and industry trends, rather than the cost-cutting measures implemented by Vox Media in response to those trends.
“Close Friends” initiative aims to strengthen advertising business
To meet the outsize demand from advertisers, the Cut has introduced a new offering called “Close Friends.” This initiative involves partnering with 15 fashion and beauty influencers for branded content and social content on platforms like Instagram and TikTok. By leveraging the influence of these creators, the Cut aims to strengthen its advertising business and convert its readers into subscribers and shoppers.
Mixed responses to the Cut’s expansion plans
The Cut’s expansion plans have garnered mixed responses from industry experts. Kathleen Brogan, svp of integrated investment at ad agency Dentsu Media U.S., described it as a risk but acknowledged the potential payoff, especially as luxury and beauty brands seek fresh perspectives to reach younger and more diverse audiences. Media buyers and publisher CROs have also noted the consistent demand from luxury clients in the fashion content space.
The Cut’s contribution to New York Magazine’s business
In addition to its advertising revenue, the Cut is contributing to New York Magazine’s affiliate and subscription businesses. Over 50% of the magazine’s top-converting stories for subscriptions come from the Cut each month. This success has allowed the Cut to add four full-time positions this year, enhancing its editorial capabilities.
Expansion into new verticals and increased social media presence
The Cut is expanding into new verticals, including a women’s sports section that launched in January. The publication plans to continue sports coverage beyond the initial underwriting period with the support of freelancers and its editors. The Cut’s social media presence on platforms like Instagram and TikTok will also be doubled this year, with dedicated social media editors overseeing the increased output.
Continued growth and confidence in the future
Overall, the Cut’s expansion is driven by its ability to meet advertiser demand, grow its audience, and generate revenue through various channels. With positive results thus far, the publication is confident in its continued growth for the year and beyond.
Analyst comment
Positive news: The Cut, New York Magazine’s women’s fashion and lifestyle publication, is expanding its staff and offerings due to a surge in advertiser demand. The expansion is fueled by luxury brands, retail, beauty, and CPG categories. The Cut’s advertising revenue has been increasing year-over-year, leading to the decision to reinvest in the publication and expand its audience. This expansion is seen as a risk but has the potential for a significant payoff, especially with luxury and beauty brands seeking fresh perspectives. The Cut’s success in driving affiliate and subscription businesses has allowed the addition of four full-time positions and the expansion into new verticals. With positive results thus far, the publication is confident in its continued growth.
