Victorian Government to cease newspaper advertising within weeks
The Victorian Government will cease virtually all metropolitan print newspaper advertising from next month, in a multi-million-dollar blow to Nine Publishing and News Corp Australia.
Premier Daniel Andrews will today confirm the dramatic shift in its paid media strategy, citing a return to pre-pandemic levels of spend and a need to deliver taxpayers better bang for buck.
From 1 July, metropolitan newspaper ads will not be placed by the government unless required by law.
Television and digital advertising “will remain an important part of the government’s advertising agenda”, a government spokesperson said.
The cost to Nine’s The Age and News Corp’s The Herald Sun is potentially significant.
In 2019-20, 14.7 per cent of the $84.6 million splashed on government ads went to newspaper spots, according to official documents. That’s roughly $12.4 million.
The year prior, of the $102.8 million spent in total, newspapers took a 13.2 per cent share of the pie, or about $13.5 million.
And based on the latest figures for 2021-22, which show a mammoth surge in spend due to the Covid-19 pandemic, to $150 million, papers grabbed 9.6% or about $14.4 million.
Both Nine and News Corp declined to comment. It’s understood the change was not expected.
Mumbrella understands Victorian Government bean counters based the decision on global trends that have seen public money shift away from newspapers on the back of declining circulations.
It’s possible Nine could recoup some of the lost press revenue via an increased spend across radio and television, and The Age will still be eligible for digital placement. Aside from possible digital ads on The Herald Sun, News Corp is far less well-positioned.
The Victorian Government will also continue a special focus on rural and regional messaging, including in available local press, which accounts for 20 per cent of all campaign spend, as well as dedicated multicultural messaging, which accounts for 10 per cent of spend – both exceeding set targets.
“Advertising is an important part of promoting the work of the government in our hospitals, our schools and kinders, our transport infrastructure projects and our $31.5b tourism sector – boosting our economy and creating jobs,” the government spokesperson said.
“We’re also finding kinder teachers to give our youngest Victorians the best start in life, hospital workers to look after Victorians, and the best people to build roads, remove level crossings and build the infrastructure a growing Victoria needs.
“As we return to pre-pandemic levels of annual advertising, and ensuring value for money, television and digital channels will remain an important part of the government’s advertising agenda.”
Victoria’s government advertising is purchased through a function known as Master Agency Media Services (MAMS), via a contract managed by Treasury.
OMD currently holds the MAMS contract.
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topics
Daniel Andrews
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Master Agency Media Services
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The Age
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Victorian government
Yeah, I think people can look for bias here and a lot of Murdoch haters will be drinking some nice frosty schadenfreude today. But really, this is completely in line with broader ad spends. You can pop my tax dollars into a media channel people actually see, thanks.
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So essentially the deeply entrenched Labor Govt is starving NewsCorp of cash, but those less critical will still get a drink, albeit not as much as before
ahhh democracy.
“better bang for buck”…really?
when you can get away with simple assertions, why not?
I mean, there’s clearly no need to justify why The Age digital gets favoured status when its readership numbers are eclipsed by Herald Sun digital, which will receive nothing
and don’t you love the blithe, unashamed confession that taxpayers’ dollars are “promoting the work of the government”
ahhh propaganda – for the people, paid by the people, for the benefit of those people who are just a teeny bit more equal than the rest
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This press conference should be fun. The investment in press from all governments has never been anything more than an exercise in appeasement.
Can’t help but think if reporting on state politics was a little more balanced, then this decision is unlikely to have been made.
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@Sven Svenson
‘deeply entrenched Labor Govt is starving NewsCorp of cash’
hahahahahahahahahahahahahahahaha hyperbole much! [Edited under Mumbrella’s comment moderation policy]
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The governments job is to advertise a message to reach the most people for the most efficient cost. This isn’t about media orgs but simply about not advertising on something that has low circulation. I haven’t seen a newspaper being read in public in 10 years, regardless of the circ figures.
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hahahahahaha. who would thought that years of hyper partisan media coverage would have consequences
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There is clearly a rational basis for moving media expenditure from the printed format (and both News & Nine are assisting this process with their own focus on digital vs print) and it follows a whole-of-market trend.
What hasn’t been rational (or in the public interest, or measured, or healthy for a pluralistic society, or in line with community expectations re. balance and objectivity) is the coverage of politics in Victoria by a rabidly partisan News Corp.
Moreover, if Woolies or Telstra, etc. were on the receiving end of years of politically calculated smear campaigns and unceasing, unhinged ideologically motivated bullying, they would have pulled up stumps years ago.
What is a reasonable decision based on communications objectives and strategy has never tasted so sweet or been so deserved.
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Makes sense. Newspapers are just a rag to be flicked through in a cafe, when you forgot to bring your phone.
They’re nothing but Harvey Norman brochures with additional PR pieces now.
Happy to see our tax money being spent on better performing channels.
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which part of the facts are eluding you, my friend:
Dan Andrews is in his 9th (NINTH) year and 3rd (3RD) term as Victorian Premier
First term – late 2014-2018
Second term – 2018-2022
Third Term – 2022 – to date (re-elected after setting the world record for pandemic lockdowns, beating out Buenos Aires with 262 days)
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the ABC, probably
spend years blatantly favouring Labor Govts, remain untouched by modernity, accountability, leadership and fiscal responsibility
“our ABC” my a*se
It belongs to the comrades whose wages we taxpayers pay for
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What hasn’t been rational (or in the public interest, or measured, or healthy for a pluralistic society, or in line with community expectations re. balance and objectivity) is the coverage of politics in Victoria by a rabidly partisan ABC and Age, and others
Never ceases to amaze me how many media pundits don’t recognise (let alone admit) their own partisanship
At least conservatives can admit that the media they prefer has conservative political leanings
You will NEVER see a ‘progressive’ admit that the media they prefer has left-wing political leanings – they even go so far as to assert that the ABC and Age are unbiased
Staggering, really
The great irony, of course, is NewsCorp’s harder right turn didn’t lead the harder left turn of the ABC and Age- it followed them.
Just like Fox in the US, which was unambiguously created as a conservative response to the increasingly “progressive” cable news channels, the once-great CNN, CNBC, MSNBC et al
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