The Reader's Digest Association
Encyclopedia
The Reader's Digest Association, Inc. (RDA) is a global media and direct marketing
company, best known for its flagship publication founded in 1922, Reader's Digest
. The company is headquartered in New York City
, where it moved from Pleasantville, New York
.
The company was founded by DeWitt and Lila Wallace in 1922 with the first publication of Reader's Digest
magazine, but has grown to include a diverse range of magazines, books, music, DVDs and online content.
RDA publishes 92 magazines globally including 50 editions of Reader's Digest
magazine. Other magazines include Every Day with Rachael Ray (U.S.); The Family Handyman
(U.S. and Australia); Best Health (Canada and Australia) and RD Specials, one-time publications sold at supermarket checkout counters. RDA also sells 50 million books a year worldwide including general books, illustrated reference books, Select Editions
(condensed book
s), and adult and children's trade books. The company also markets music collections, videos and other products, and has a number of branded online communities including allrecipes.com.
In 1991 the company acquired Joshua Morris Publishing, a children's book publisher based in Wilton, Connecticut
and made its first move into the children's book industry.
In 2002, the company purchased Reiman Publications, based in Greendale, Wisconsin
, from Madison Dearborn Partners. Reiman Publications, publisher of Taste of Home, Healthy Cooking, Simple and Delicious, Birds & Blooms, Country, Country Woman, Farm and Ranch Living and Reminisce, was started by Roy Reiman
.
In March 2007, after being publicly traded for 15 years and posting net losses in its last two fiscal years, Reader's Digest was acquired by an investor group led by Ripplewood Holdings
, a private equity
firm. Mary G. Berner, formerly of Conde Nast Publications
, was appointed as RDA's President and Chief Executive Officer.
Berner replaced executives and sold unprofitable businesses, including
Books Are Fun in November 2008. This is a North American book and gift display marketer which RDA acquired in 1999 but had been operating at a loss for many years.
In November 2008 the company also announced a multimedia partnership with Rick Warren
, the minister and author. Hoping to tap into the vast audience for his book The Purpose Driven Life
, they aimed to create a Christian membership organization, The Purpose Driven Connection, built on Warren’s call to faith and charitable work.
RDA has 5,000 employees who are dispersed across 66 office locations in 45 countries. RDA products are sold in 79 countries. The company claims to have readers in more than 100 million households worldwide with a diverse range of geographic and demographic profiles.
RDA is well known for its philanthropic contributions through The Reader's Digest Foundation, a charitable, grant-making institution established by the Company's founders and funded by contributions from The Reader’s Digest Association, Inc.
The company has been criticized for its controversial sweepstakes marketing tactic where customers are invited by mail to participate in a draw of up to $1,000,000. The invitation has been criticized for implying that customers need to make a purchase to enter the draw, when in actual fact the draw is open to anyone who is on the mailing list. Sweepstakes have been discontinued in the USA but are still used in Canada, Australia and now in India as well.
In 2006, the company acquired Allrecipes.com.
The company filed for bankruptcy on August 24, 2009 and emerged on February 22, 2010, owned by its lenders. In April 2010, the UK arm was sold to its management
in a £13 million deal backed by Jon Moulton
, leaving a £125 million pension liability with the US parent.
On April 26, 2011, Mary G. Berner was replaced as president and CEO of the Reader's Digest Association by former Chief Financial Officer Tom Williams.
International
(Operations in 100+ countries selling products in 120+ countries)
Direct marketing
Direct marketing is a channel-agnostic form of advertising that allows businesses and nonprofits to communicate straight to the customer, with advertising techniques such as mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional...
company, best known for its flagship publication founded in 1922, Reader's Digest
Reader's Digest
Reader's Digest is a general interest family magazine, published ten times annually. Formerly based in Chappaqua, New York, its headquarters is now in New York City. It was founded in 1922, by DeWitt Wallace and Lila Bell Wallace...
. The company is headquartered in New York City
New York City
New York is the most populous city in the United States and the center of the New York Metropolitan Area, one of the most populous metropolitan areas in the world. New York exerts a significant impact upon global commerce, finance, media, art, fashion, research, technology, education, and...
, where it moved from Pleasantville, New York
Pleasantville, New York
Pleasantville is a village in Westchester County, New York, United States. The population was 7,019 at the 2010 census. It is located in the town of Mount Pleasant. Pleasantville is home to a campus of Pace University and to the Jacob Burns Film Center...
.
The company was founded by DeWitt and Lila Wallace in 1922 with the first publication of Reader's Digest
Reader's Digest
Reader's Digest is a general interest family magazine, published ten times annually. Formerly based in Chappaqua, New York, its headquarters is now in New York City. It was founded in 1922, by DeWitt Wallace and Lila Bell Wallace...
magazine, but has grown to include a diverse range of magazines, books, music, DVDs and online content.
RDA publishes 92 magazines globally including 50 editions of Reader's Digest
Reader's Digest
Reader's Digest is a general interest family magazine, published ten times annually. Formerly based in Chappaqua, New York, its headquarters is now in New York City. It was founded in 1922, by DeWitt Wallace and Lila Bell Wallace...
magazine. Other magazines include Every Day with Rachael Ray (U.S.); The Family Handyman
The Family Handyman
The Family Handyman is an American home-improvement magazine, owned by the Reader's Digest Association.The magazine was founded in 1951 by Universal Publishing & Distributing. UPD sold the magazine to Webb Publishing in 1977 to pay down debts that would ultimately finish off the company...
(U.S. and Australia); Best Health (Canada and Australia) and RD Specials, one-time publications sold at supermarket checkout counters. RDA also sells 50 million books a year worldwide including general books, illustrated reference books, Select Editions
Reader's Digest Select Editions
The Reader's Digest Select Editions are a series of hardcover fiction anthology books, published bi-monthly and available by subscription, from Reader's Digest...
(condensed book
Book
A book is a set or collection of written, printed, illustrated, or blank sheets, made of hot lava, paper, parchment, or other materials, usually fastened together to hinge at one side. A single sheet within a book is called a leaf or leaflet, and each side of a leaf is called a page...
s), and adult and children's trade books. The company also markets music collections, videos and other products, and has a number of branded online communities including allrecipes.com.
In 1991 the company acquired Joshua Morris Publishing, a children's book publisher based in Wilton, Connecticut
Wilton, Connecticut
Wilton is a town nestled in the Norwalk River Valley in southwestern Connecticut in the United States. It is located in Fairfield County. As of the 2010 census, the town population was 18,062. In 2007, it was voted as one of CNN Money's "Best Places to Live" in the United States.Located along...
and made its first move into the children's book industry.
In 2002, the company purchased Reiman Publications, based in Greendale, Wisconsin
Greendale, Wisconsin
Greendale is a village in Milwaukee County, Wisconsin, United States. The population was 14,405 at the 2000 census.-History:Greendale was settled in 1938 as a public cooperative community in the New Deal Era...
, from Madison Dearborn Partners. Reiman Publications, publisher of Taste of Home, Healthy Cooking, Simple and Delicious, Birds & Blooms, Country, Country Woman, Farm and Ranch Living and Reminisce, was started by Roy Reiman
Roy Reiman
Roy Reiman is the founder of Reiman Publications based in Greendale, Wisconsin, which is best known for its country-oriented magazines, books, and other home products. Roy Reiman is credited with building the country’s largest, private, subscription-based publishing company...
.
In March 2007, after being publicly traded for 15 years and posting net losses in its last two fiscal years, Reader's Digest was acquired by an investor group led by Ripplewood Holdings
Ripplewood Holdings
Ripplewood is an American private equity firm based in New York, New York that focuses on leveraged buyouts, late stage venture, growth capital, management buyouts, leveraged recapitalizations and other illiquid investments....
, a private equity
Private equity
Private equity, in finance, is an asset class consisting of equity securities in operating companies that are not publicly traded on a stock exchange....
firm. Mary G. Berner, formerly of Conde Nast Publications
Condé Nast Publications
Condé Nast, a division of Advance Publications, is a magazine publisher. In the U.S., it produces 18 consumer magazines, including Architectural Digest, Bon Appétit, GQ, The New Yorker, Vanity Fair, and Vogue, as well as four business-to-business publications, 27 websites, and more than 50 apps...
, was appointed as RDA's President and Chief Executive Officer.
Berner replaced executives and sold unprofitable businesses, including
Books Are Fun in November 2008. This is a North American book and gift display marketer which RDA acquired in 1999 but had been operating at a loss for many years.
In November 2008 the company also announced a multimedia partnership with Rick Warren
Rick Warren
Richard Duane "Rick" Warren is an American evangelical Christian minister and author. He is the founder and senior pastor of Saddleback Church, an evangelical megachurch located in Lake Forest, California, currently the eighth-largest church in the United States...
, the minister and author. Hoping to tap into the vast audience for his book The Purpose Driven Life
The Purpose Driven Life
The Purpose Driven Life is a devotional book written by Christian author Rick Warren and published by Zondervan. The book has been on the New York Times Best Seller list for advice books for one of the longest periods in history, while also topping the Wall Street Journal best seller charts as...
, they aimed to create a Christian membership organization, The Purpose Driven Connection, built on Warren’s call to faith and charitable work.
RDA has 5,000 employees who are dispersed across 66 office locations in 45 countries. RDA products are sold in 79 countries. The company claims to have readers in more than 100 million households worldwide with a diverse range of geographic and demographic profiles.
RDA is well known for its philanthropic contributions through The Reader's Digest Foundation, a charitable, grant-making institution established by the Company's founders and funded by contributions from The Reader’s Digest Association, Inc.
The company has been criticized for its controversial sweepstakes marketing tactic where customers are invited by mail to participate in a draw of up to $1,000,000. The invitation has been criticized for implying that customers need to make a purchase to enter the draw, when in actual fact the draw is open to anyone who is on the mailing list. Sweepstakes have been discontinued in the USA but are still used in Canada, Australia and now in India as well.
In 2006, the company acquired Allrecipes.com.
The company filed for bankruptcy on August 24, 2009 and emerged on February 22, 2010, owned by its lenders. In April 2010, the UK arm was sold to its management
Management buyout
A management buyout is a form of acquisition where a company's existing managers acquire a large part or all of the company.- Overview :Management buyouts are similar in all major legal aspects to any other acquisition of a company...
in a £13 million deal backed by Jon Moulton
Jon Moulton
Jon Moulton is a British venture capitalist. He is the founder and managing partner of the private equity firm Better Capital, and is the former managing partner of the private equity firm Alchemy Partners...
, leaving a £125 million pension liability with the US parent.
On April 26, 2011, Mary G. Berner was replaced as president and CEO of the Reader's Digest Association by former Chief Financial Officer Tom Williams.
Business Divisions
United States- RD Community -- Reader's DigestReader's DigestReader's Digest is a general interest family magazine, published ten times annually. Formerly based in Chappaqua, New York, its headquarters is now in New York City. It was founded in 1922, by DeWitt Wallace and Lila Bell Wallace...
magazine, rd.com, Trade books, music; - RD Food & Entertaining -- Taste of HomeTaste of HomeTaste of Home magazine is an American cooking publication, founded by Roy Reiman, publisher of Reiman Publications, and currently owned by The Reader's Digest Association, which purchased Reiman Publications in 2002. The magazine was first published in 1993. It specializes in recipe exchange and...
(and other Reiman publications), World Wide Country ToursWorld Wide Country ToursWorld Wide Country Tours is a guided tour company founded by publishing icon Roy Reiman in 1972 and is now the exclusive tour operator for and part of the Reader's Digest Association family of companies...
, Allrecipes.com, Taste of Home Entertaining; - RD Home & Garden -- The Family Handyman, Birds & BloomsBirds & BloomsBirds & Blooms is an American magazine about backyard plants, birds, butterflies, and other creatures. It is published by Reiman Publications. Most of the articles and photographs in the magazine are reader-submitted, giving the magazine a non-scientific approach...
, Country,Farm & Ranch, Reminisce; - RD Health & Wellness -- major US publisher of health books sold directly to consumers;
- School & Educational Services -- Weekly ReaderWeekly ReaderWeekly Reader is a weekly educational classroom magazine designed for children in grades Pre-K–12. It began in 1928 as My Weekly Reader....
Publishing Group, which publishes classroom periodicals and books.
International
(Operations in 100+ countries selling products in 120+ countries)
- RD Europe, Africa and Middle East
- RD Asia Pacific
- RD Canada & Latin America regions