Amid a wave of speculation in The Australian about the future of New Zealand publisher and broadcaster NZME, one line sent a shiver down my spine. It suggested the owner of the New Zealand Herald could opt for “a digital-only publication model”. That would decimate its newsrooms.
Normally, speculation is just that: Something to take with a grain of salt until it comes to pass or not. However, the editor of The Australian’s Dataroom column, Bridget Carter, seems to have been particularly well plugged-in to the NZME boardroom battle precipitated by Canadian billionaire and New Zealand resident James Grenon.
Carter has been devoting more space than usual to what is happening, or about to happen, to media on this side of the Ditch and, although her suggestion of interest in NZME from toy manufacturer Nick Mobray did not pan out, she has been up with the play on other scores.
Hence, I am more inclined to put some weight on her predictions for the directions that a reconstituted NZME board might take. For example, I agree that there could be a pull-back on the plan to move more into news video streaming (by no means a guaranteed revenue source). She also flagged investing in talent to boost subscriptions and I can see the benefit of that.
However, I hope she is wrong about a potential move to a digital-only publication environment.
Yes, I freely concede that on my bookshelf is a coffee mug carrying the slogan I love the smell of newsprint in the morning (a souvenir from Washington’s Newseum). And, yes, it does sit beside another mug that is testament to my age – Grumpy Old Man. However, my reasoning goes beyond a sentimental attachment to the medium in which I spent a large proportion of my now-surprisingly-lengthy working life.
I believe a digital-only strategy at this point could well spell the end of the New Zealand Herald as an influential news source. The revenue fall would leave it unable to maintain the current newsrooms. So I only hope that incoming NZME directors are smart enough to leave a digital-only strategy in the ‘pending’ file.
NZME relies on its print publications for a significant proportion of its revenue and, although it is declining, it continues to far outstrip what is generated by its digital services. Continue reading “No printed Herald? Let’s hope the speculation is wrong”
