The Economics Of SkyMall Magazine

June 11, 2013 in Daily Bulletin

On domestic flights in the United States there is inevitably an issue of SkyMall magazine in the seat pocket in front of you. Rohin Dhar took a look at the economics of the magazine:

  • 70% of all domestic American passengers are estimated to read SkyMall – helped, at least a little, by the rule banning the use of electronics during take-off and landing.
  • The company behind the magazine makes about $130 Million in revenue – and about 40% of that is a result of the magazine.
  • Its website is also fairly successful – it is estimated to be the 185th largest ecommerce website by revenue.
  • To advertise in SkyMall retailers are charged up to $129,000 for a full page ad that runs for three months, as well as a 6% transaction fee.

Read more about SkyMall’s original failed incarnation, how it has fallen into bad company recently, and more over here.

Source: Priceonomics