Date

Mon - 20.11.2017


Fairfax

Times are tough down under. Embattled traditional media outlets in Australia are being beaten in the struggle for advertising revenue by online media companies.

Where once classified advertisements were rivers of revenue that sustained print titles for almost two centuries, they are now more commonly found at specialist sites that are presenting a serious challenge to newspaper’s position in the advertising market.

According to the Commercial Economic Advisory Service of Australia, 2012 is the first year in which online ad spend in Australia overtook that of newspapers. The dominance of new media companies focused on the sale of classified ads online, in particular Carsales.com, recruitment site SEEK, and real-estate site REA, contributed greatly to the change, which saw the online market receive 27 per cent of the country’s total advertising dollars. Newspapers attracted 24 per cent.

Reuters reports that the shift in advertising dominance from traditional media to online companies is a relatively new phenomenon in Australia. As recently as April the value of traditional media organisations was greater than that of online companies, but in the intervening months the worth of newspaper outlets and television broadcasters plummeted.

Author

Amy Hadfield

Date

2012-09-20 16:32

Fairfax News and Media Company has posted losses of A$2.732 billion for the financial year 2011/12, after writing down its media businesses and plants and equipment (including printing presses in Tullamarine and Chullora that are to be shut down in 2014) by almost A$3 billion. The losses announced on Thursday for the year to June were seven times higher than those for the same period in 2010-11, which stood at $390.9 million. Fairfax is Australia’s oldest news publisher, and its titles include the country’s oldest paper, The Sydney Morning Herald

The company’s write-down of mastheads and goodwill comes in light of the woeful financial forecasts predicted for the next three years. In a statement following the release of the company’s full-year financial results, Fairfax Chief Executive Greg Hywood said: "The assessment of the carrying value of our intangible assets - mastheads, goodwill and customer relationships - is based on the three-year outlook for each of our business units. That outlook worsened considerably over the course of the second half of the year as the cyclical downturn became more pronounced, and our confidence in a sustained improvement in market conditions reduced."

Commenting on the present state of the advertising market, Hywood expressed his belief that never in his 30-year career had it been in such a bad condition, but he also added that the present drop in advertising revenue was part of a “cycle” and would “inevitably pass.”

Author

Amy Hadfield

Date

2012-08-23 17:00

The smartphone has become the latest hope for news outlets struggling to fight falling print revenue.

The Star, Malaysia’s most read English daily, recently introduced the iSnap, a feature that brings the “newspaper to life” using augmented reality technology and two major Australian publishers, Fairfax and News Limited have both launched new smartphone enhancements in the past month.

Over at The Star, iSnap sprang from an internal challenge thrown to the New Media Department and to the paper’s technology partner, Knorex Pte Ltd of Singapore. Summoned by the owners to find new ways to enhance the flagship publication, both teams started an intense brainstorming session that eventually triggered the iSnap concept.

Author

Amy Hadfield

Date

2012-07-20 16:03

"Fairfax of the Future"

  • 1,900 jobs to be cut over the next 3 years
  • 300 jobs to be shed in Metro division over 2-3 months
  • 2 Metro dailies to shrink to tabloid size on March 4, 2013
  • Digital paywalls to be introduced in 2013
  • 2 printing presses to be shut down by June 2014
  • Expected annual savings of $235 million by 2015

Fairfax is today announcing fundamental changes to the way we do business,” reads the memo that one of Australia’s largest media companies lodged with the Australian Securities Exchange (ASX) on Monday, sending shockwaves through the press.

The changes, which include the elimination of 1,900 jobs over the next three years, are expected to reduce costs by $235 million over the same period, and to provide Fairfax with the flexibility to shift toward a “digital-only model if that is what is required in the future,” says the document, entitled “Fairfax of the Future.”

Author

Emma Knight

Date

2012-06-18 12:20

Syndicate content

© 2015 WAN-IFRA - World Association of Newspapers and News Publishers

Footer Navigation