For those considering acquiring a new business or becoming business partners with another business, the potential for growth is likely one of the many benefits of the merger. Yet there are many important questions that need to be asked to ensure that the merger is a success in both the short and long term, including the potential for business litigation. Ensuring that both companies can complement or work with each other in a stable relationship is critical to ensuring the financial success of the venture. This is hopefully the case for the Louisiana Cookin' magazine and Hoffman Media.
Hoffman Media, a company already familiar with cooking-related magazines such as Cooking with Paula Deen, has acquired Louisiana Cookin' magazine. The exact terms of the deal are currently unknown, but some of the company's future plans for the magazine have been released. Among the details, Hoffman Media says it intends to try and make the magazine a national seller.
This will be done, the company's chief operating officer says, through a variety of strategies including increasing checkout purchases and increasing the promotion of the magazine. Hoffman hopes to expand circulation by as much as 75,000 copies, which is nearly a tenfold increase in circulation for the magazine, which is currently seen as a regional brand. Hoffman predicts that revenues will triple in as few as three years.
How does the company expect this to happen? Company officials say it's because the magazine plays to Hoffman's already developed skills and is relatively free of competition.
Since the details of the acquisition aren't public, what this acquisition means for the staff of Louisiana Cookin' is not yet known.
Source: Folio, "Hoffman Media Buys Louisiana Cookin'," Bill Mickey, April 26, 2012