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Revenue Recognition
 6 Months Ended
Jun. 30, 2021
Revenue from Contract with Customer [Abstract]  
Revenue Recognition

12. Revenue Recognition

 

Disaggregation of Revenue

 

The following table provides information about disaggregated revenue by product line, geographical market and timing of revenue recognition:

 

  

Three Months Ended

June 30,

  

Six Months Ended

June 30,

 
   2021   2020   2021   2020 
Revenue by product line:                    
Advertising  $13,548,069   $7,541,616   $24,622,494   $19,379,600 
Digital subscriptions   7,690,111    6,089,450    14,774,592    11,626,697 
Magazine circulation   12,642,018    8,629,166    27,352,041    21,166,698 
Other   866,314    830,708    1,612,866    1,330,798 
Total  $34,746,512   $23,090,940   $68,361,993   $53,503,793 
Revenue by geographical market:                    
United States  $33,360,160   $22,049,636   $65,934,337   $51,331,766 
Other   1,386,352    1,041,304    2,427,656    2,172,027 
Total  $34,746,512   $23,090,940   $68,361,993   $53,503,793 
Revenue by timing of recognition:                    
At point in time  $27,056,401   $17,001,490   $53,587,401   $41,877,096 
Over time   7,690,111    6,089,450    14,774,592    11,626,697 
Total  $34,746,512   $23,090,940   $68,361,993   $53,503,793 

 

Contract Balances

 

The timing of the Company’s performance under its various contracts often differs from the timing of the customer’s payment, which results in the recognition of a contract asset or a contract liability. A contract asset is recognized when a good or service is transferred to a customer and the Company does not have the contractual right to bill for the related performance obligations. A contract liability is recognized when consideration is received from the customer prior to the transfer of goods or services.

 

The following table provides information about contract balances:

 

   As of 
   June 30, 2021   December 31, 2020 
Unearned revenue (short-term contract liabilities):          
Digital subscriptions  $19,358,809   $15,039,331 
Magazine circulation   52,539,366    46,586,345 
   $71,898,175   $61,625,676 
Unearned revenue (long-term contract liabilities):          
Digital subscriptions  $685,039   $593,136 
Magazine circulation   27,297,916    22,712,961 
Other   177,500    192,500 
   $28,160,455   $23,498,597 

 

Unearned Revenue – Unearned revenue, also referred to as contract liabilities, include payments received in advance of performance under the contracts and are recognized as revenue over time. The Company records contract liabilities as unearned revenue on the consolidated balance sheets. Digital subscription and magazine circulation revenue of $35,652,466 was recognized during the six months ended June 30, 2021 from unearned revenue at the beginning of the year.

 

 

During January and February of 2020, the Company modified certain digital and magazine subscription contracts that prospectively changed the frequency of the related issues required to be delivered on a yearly basis. The Company determined that the remaining digital content and magazines to be delivered are distinct from the digital content or magazines already provided under the original contract. As a result, the Company in effect established a new contract that included only the remaining digital content or magazines. Accordingly, the Company allocated the remaining performance obligations in the contracts as consideration from the original contract that has not yet been recognized as revenue.