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Business Operations Business Models

How Does PCH Make Money (Business and Revenue Model)

The Publishers Clearing House (PCH) business model

Publishers Clearing House PCH logo
Here’s what you should know:
  • What is Publishers Clearing House, and how does PCH work?
  • How does Publishers Clearing House (PCH) make money?
  • Magazine Subscriptions
  • Selling Merchandise
  • Ad Revenue
  • Publishers Clearing House (PCH) profit and revenue
  • What is the Publishers Clearing House (PCH) business and revenue model?
  • Publishers Clearing House (PCH) funding, net worth, and valuation
  • Publishers Clearing House (PCH) subsidiaries, acquisitions, and exits

How does Publishers Clearing House (PCH) make money? Well, here is a full, in depth, breakdown of their three (3) revenue streams and the different products and services they offer, as well as the Publishers Clearing House (PCH) business and revenue model, how much Publishers Clearing House (PCH) makes per year, and how Publishers Clearing House (PCH) works.

What is Publishers Clearing House, and how does PCH work?

Publishers Clearing House (PCH) is a direct marketing company that was founded in 1953 by Harold Mertz, Joyce Mertz, and LuEsther Mertzsells that merchandise and magazine subscriptions with sweepstakes and prize-based games.

So, how does Publishers Clearing House work? To use PCH, you need first to visit their website and create an account to gain access to the site and its content.

Once signed up, members can earn coins by playing games, taking quizzes, etc., and using those coins to enter into sweepstakes and contests – among other things.

Some of Publishers Clearing House‚Äôs competitors include Omaze and other sweepstakes and prize-based companies.

Publishers Clearing House (PCH) App in Apple App Store | Publishers Clearing House (PCH) Business Model | How Does Publishers Clearing House (PCH) Make Money? | How Does Publishers Clearing House (PCH) Work?
Source: Apple App Store | Publishers Clearing House (PCH)

How does Publishers Clearing House (PCH) make money?

Below is a breakdown of how much money Publishers Clearing House (PCH) makes and its revenue model. Including all revenue streams and how much they charge for their services.

Here are the 3 ways how Publishers Clearing House (PCH) makes money in 2022

Publishers Clearing House (PCH) has a revenue model that makes money in three (3) ways; through magazine subscriptions, selling merchandise, and ad revenue.

#1. Magazine Subscriptions

One of the ways Publishers Clearing House (PCH) makes money is through the magazine subscriptions they sell.

To this day, Publishers Clearing House still offers more than 100+ magazine titles from magazines such as Time, People, Sports Illustrated, US Weekly, Inc., and more.

PCH prices range based on the title, issues, and discount offered. For example, 24 issues of Time magazine will cost a member $7.50, while 26 issues of People magazine will cost them $56.96, at the time of writing this.

#2. Selling Merchandise

Before 1985, magazine subscriptions were PCH’s main source of revenue before beginning to sell merchandise; which now, according to Publishers Clearing House, makes up the majority of their money.

Today, PCH has over 7,000 items available for sale every year including a selection of home decor products, collectibles, jewelry, and more.

#3. Ad Revenue

In addition to subscription and merchandise revenue, Publishers Clearing House (PCH) also makes money from the ad revenue they earn through their digital and search advertising.

Publishers Clearing House (PCH) profit and revenue

Although Publishers Clearing House has not released any official reports in regard to company earnings. It has been reported by multiple sources, including Business Insider, that PCH brought in $1 billion in revenue back in 2017.

Note: Because Publishers Clearing House is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.

What is the Publishers Clearing House (PCH) business and revenue model?

Publishers Clearing House (PCH) makes money through a few revenue models that they combine within their company, they are:

  • Subscription business model
  • Transaction based business model
  • Advertising based business model
  • Business to business (B2B) business model
  • B2B2C (partnerships) business model
  • Mergers and acquisitions (M&A) business model

Publishers Clearing House (PCH) funding, net worth, and valuation

According to Publishers Clearing Houses Crunchbase profile, PCH has not raised any funds to date.

Publishers Clearing House (PCH) subsidiaries, acquisitions, and exits

To date, Publishers Clearing House has made a total of 5 acquisitions.