I received the news release below (with the names changed to protect the magazines involved), and it got me thinking ... is this proper behavior?

On one hand, I was always taught to not talk poorly about your competition, as it reflects badly on you. But, if, in this case, the competition has been shown to be behaving unethically by a third party, are these kinds of tactics okay? I'm curious to hear people's thoughts ...



NEWS RELEASE

BPA Audit downgrades XYZ Magazine circulation by 10%
ABC Magazine now officially has over 60% more circulation than XYZ Magazine*

CITY, COUNTRY -- DATE, 2007 -- BPA Worldwide, the publishing industry’s circulation watchdog, has confirmed XYZ Magazine's earlier circulation claims pertaining to its March 2007 published statement could not be substantiated, and consequently has downgraded its previously published numbers by 10% across the board.

According to BPA “as a result of the March 2007 circulation audit, the following changes and adjustments were made to the previously released, unaudited March 2007 and September 2006 circulation statements…The audit found 10% non-qualified records on the February/March 2007 issue. As a result, the total qualified circulation for all issues from April/May 2006 to February/March 2007 has been reduced by 10%.” In addition, the audit found 2,506 or 50.6% of XYZ Magazine's circulation has not been verified in more than two years.

“This news only confirms what we have been telling advertisers all along,” said "Jane Smith," publisher of ABC Magazine magazine. “When you now compare the audited circulation of both publications, you will see that XYZ Magazine'’s circulation has fallen to 4,951 and that ABC Magazine with 8,008 has 61.7% more documented circulation than XYZ Magazine. This is more than a modest difference.”

“Circulation is the most crucial asset of any publication,” Smith emphasized. “It’s the heart of what an advertiser is paying for. After all, in order to see an ad, one must first receive the publication. Advertisers need to be vigilant and should not be fooled into thinking they are getting more for their advertising dollar than what they are in fact receiving. Price should be a function of the value delivered. The old adage, ‘You get what you pay for’ has never been more true.”

Interesting point. A publication I worked for got a wrap on the knuckle for erroneously making a statement about its circulation following a complaint from a rival publication.

ABC are very strict on this so maagazines need to be careful about any claim they make regarding their circulation.

On the other hand, the complaint from our rivals soured relationships immeasurably between the two publications so sometimes a little discretion should be recommended.

It's often surprising how little attention some advertisers pay to ABC figures on the basis that if the price is right they will do business with the magazine that offers them the most competitive price, regardless of readership or circulation.

One does have to be careful. A press release should come from the third party. I think that would be best. But I don't know BPA's policy on that. Sometimes you do have to play hardball.

The b2b is so fluid now that the competition may one day be your sister publication, or even your publication. I know in the market I work in--taxes--we've been increasingly doing projects with third parties (i.e., the competition). So far, the result has been more profits and higher quality content.

Seems to me, the most professional (and ethical) way to address this is by supplying your sales people with this information. If, and only if, the client brings up the publication that has been reprimanded by BPA or ABC, then the salesperson can use this ammunition. Sending out a press release like this one is sleazy. (And why do the previous posts care about maintaining good relationships with the competition?)

Good relationships with your competition are not essential, but if you work in a small b2b market where you attend the same meetings/conferences, it helps if you can be civil to each other.

Also if your advertisers/readers hear about an argument between you and your competition, it may affect your reputation.

I think it is best to try and remain civil with your competition. I have worked with some people who felt the competitors were somehow less than human. Come on, we all have to right to try to make a living! Chances are those people are also passionate about the industry that you (I hope) care about. And competition will make us better.

Back to the original post. I agree with some others, sending that release is in poor judgement. Arm your salespeople with the specific data, maybe a letter from BPA that they can give people on sales calls, should the circulation subject come up.