December 3, 1998 | Read Time: 2 minutes
The American Benefactor, a quarterly philanthropy magazine sold to charities for free distribution to donors, is ceasing publication after its Winter 1998 issue. The move marks the end of a two-year experiment that charity executives both lauded and criticized.
W. Randall Jones, chief executive of Capital Publishing, The American Benefactor’s owner, said that beginning early in 1999, the magazine’s editorial content will be integrated into a sister publication, Worth, a financial monthly that is sold on newsstands and to subscribers.
Slightly more than 3,000 charities buy The American Benefactor to give to donors, Mr. Jones said. With more than one million non-profit groups in the United States, he said, “that’s poor market penetration.
“What it tells me is that the non-profits aren’t that interested in using a magazine as a way of building greater dialogue with their donors.”
Mr. Jones said marketing The American Benefactor through non-profit groups “wasn’t a workable economic proposition” because it took charities too long to decide whether to subscribe, it cost too much for his company to tailor magazines to each subscribing charity, and sometimes the company had to wait for charities to pay their fees.
Mr. Jones said charities that have subscribed to The American Benefactor will have the option of getting a refund or receiving a limited number of issues of Worth for their donors.
While some charity executives have embraced The American Benefactor as an innovative fund-raising tool, others have panned it as an inappropriate way to build good relations with donors. Critics have said the magazine focused too much on wealthy celebrities and advertisements for expensive jewelry and clothing. Such content could offend donors who are conservative in their spending habits, the critics have said.
Under the new plan, stories about philanthropy will be included in an 8- to 12-page section of Worth that will carry the title The American Benefactor. In addition, Worth subscribers will get three special magazines a year titled The American Benefactor, Mr. Jones said. The magazines will focus on rankings, such as lists of the most generous donors and most effective charities.
Capital also will market seminars to help wealthy individuals better plan their philanthropic strategies and may sell books under The American Benefactor name, he said.
