According to CEO Christine Hefner, Playboy sees the gay market as a real opportunity to boost revenues.
"We've extended the Playboy brand to women, and where there is a meaningful gay market, launching under a different brand is something we are very comfortable doing,” Hefner said.
Hefner said Playboy is likely to test its new brand in Britain because of the importance of the gay market there.
“In the U.K., our television people are very interested, and I wouldn’t be surprised if we launched something this year,” Hefner said.
The decision to test a gay brand is part of a broader diversification strategy at Playboy. While the famous magazine does turn a profit, Playboy sees opportunities for growth in other areas.
The company has launched a clothing and accessories line aimed at women and plans to supply video clips to mobile phones in the future.
TV remains Playboy’s most profitable division. Last year the company returned a pre-tax profit of $14 million, which ended several years of losses, attributed to investment and building an Internet presence.
While testing a gay brand may seem antithetical to the Playboy image, Hefner stressed that Playboy is about “valuing sexiness and style.”
There is no word yet on a name or logo for the new brand.
