Mediawatch
Duopoly apathy, ad income slump, local paper paper row
Apr 5, 2025
In this insightful discussion, Brad Olson, Chief Executive and Principal Economist at Infometrics NZ, shares his expertise on the persistent grocery duopoly that dominates the market. Dilipa Fonseca, Senior Correspondent at Business Desk, sheds light on the government's challenging efforts to reform supermarket deals for Kiwis amidst public doubt. They also tackle the slump in media ad income as revenue shifts to digital giants, revealing the struggles that local papers face and the urgent need for a reevaluation of media funding.
36:16
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Quick takeaways
- The government is pushing for reforms to challenge the grocery sector's longstanding duopoly, yet media skepticism clouds the feasibility of these changes.
- Digital advertising is increasingly overtaking traditional media revenue, intensifying financial pressures on local outlets amidst a rapidly evolving economic landscape.
Deep dives
Impact of Supermarket Duopoly
Two major companies have maintained a duopoly in the grocery sector for years, leading to unusually high prices compared to global standards. The government is pushing for significant reforms to address these concerns, particularly through structural separation of supermarket operations. This proposed action has sparked skepticism among media analysts and the public alike, questioning the genuine feasibility of achieving real change in such a tightly controlled market. Many consumers feel disillusioned, fearing that reform might only yield marginal financial relief in their weekly grocery bills.
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