EBSCO Serial Price Projections Laura Ralstin 26 Feb 1996 18:10 UTC
PRESS RELEASE FROM: Laura Ralstin Corporate Communications EBSCO Subscription Services Birmingham, Alabama, U.S.A. (205) 991-1492 Preliminary Price Projections for 1997 Subscriptions Birmingham, Ala. U.S.A. -- Publishers have indicated to EBSCO that base price* increases will be slightly lower for 1997 subscriptions than they were for 1996 subscriptions. Based on information received from publishers during the first quarter of this year and on historical price increase data, EBSCO is now projecting a base increase of 9 to 11 percent for 1997 subscriptions. Projecting increases is difficult at this time of year as many yet-undetermined factors will affect journal prices, including: page increases, volume expansion, subscription cancellations, basic inflation, postal rates and currency exchange rates in effect at the time prices are set or publishers are paid for 1997 subscriptions. EBSCO continually communicates with major publishers regarding projected price increases, and updated projections will be provided later in the year. Postal rate increases One factor that will have a key effect on journal prices this year is an increase in postal rates for most major countries throughout the world. Rates for most countries are scheduled to increase in January 1997, due to a resolution passed in 1994 by the Universal Postal Union (an agency of the United Nations that establishes practices for transnational mailings and the rate at which countries are reimbursed for handling these mailings). The amount of the increase has not yet been set and will vary among countries. Therefore, it is difficult for publishers to know how much of their costs will be attributable to postage and difficult for vendors and publishers to project total subscription price increases. Projections by subscriber billing currency Projected increases for libraries and organizations invoiced in various currencies are listed in the box below. For U.S. journals, projections are based on the estimated base price increase of 9 to 11 percent and the current, relative value of the customer billing currency compared to the U.S. dollar. For European journals, projections are based on the estimated base price increase of 9 to 11 percent and the current, relative value of the customer billing currency compared to that of the local currencies of major European publishing centers.** Ranges shown are for European journals published outside the corresponding country for each billing currency (e.g., the projected increase for customers invoiced in British pounds does not apply to U.K. journals). Conservative budgeting As always, EBSCO recommends all customers add 2 to 5 percent to the estimated price increases for non-domestic journals to protect their budgets from a weakening of the currency in which they are invoiced between now and when subscription rates are set or publishers are paid. PROJECTED PRICE INCREASES BY CUSTOMER BILLING CURRENCY Customer Projected Projected Billing Increase for Increase for Currency U.S. Journals European Journals ______________________________________________________________ Australian dollar 9.0 - 11.0% 7.0 - 9.0% British pound 9.0 - 11.0% 8.0 - 10.0% Canadian dollar 11.0 - 13.0% 9.5 - 11.5% Dutch guilder 11.0 - 13.0% 10.0 - 12.0% French franc 11.0 - 13.0% 10.0 - 12.0% German mark 11.0 - 13.0% 9.5 - 11.5% Italian lira 10.0 - 12.0% 10.0 - 12.0% Japanese yen 12.0 - 14.0% 10.0 - 12.0% New Zealand dollar 7.0 - 9.0% 6.0 - 8.0% South African rand 12.0 - 14.0% 10.5 - 12.5% Spanish peseta 10.0 - 12.0% 10.0 - 12.0% U.S. dollar 9.0 - 11.0% 9.0 - 11.0% *The base price increase is the change in the cost of a journal purchased within its country of origin with the official currency of that country. When subscribers from other countries buy the journal, the base price increase will either be offset or compounded by the exchange rate between the subscriber's and the publisher's currencies. **Mid-February exchange rates were used for these projections. Released: Feb. 22, 1996