Looking back on the media horror movie that was 2024
Dec 16, 2024
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Glen Kyne, a media commentator and expert on the New Zealand media landscape, joins Duncan Greive to dissect a tumultuous year for the industry. They dive into the collapse of major news organizations and the challenges faced by local production companies. The conversation explores the shift of TVNZ and WBD towards digital, the impact of advertising drops, and regional differences in media regulations. Glen shares predictions for 2025, emphasizing the need for reform and innovation in the media world.
The closure of traditional news outlets like Newshub highlights the urgent challenges facing New Zealand's media, driven by declining advertising revenues and shifting audience preferences.
Significant cutbacks in the production sector signal a precarious future for local shows, threatening media diversity and representation amid increased layoffs and reduced funding.
The necessity for media companies to diversify their revenue streams beyond advertising is crucial for sustaining journalism amid an evolving digital landscape.
Deep dives
The Decline of Traditional News Outlets
The significant changes in New Zealand's media landscape are largely attributed to the closure of traditional news outlets like News Hub, which faced unprecedented challenges due to decreasing advertising revenue and audience decline. This situation reflected a broader trend where linear broadcasting struggled to adapt amidst a rapidly changing market, as digital platforms and streaming services gained traction. As audience sizes for older formats decreased, especially within specific demographics, these traditional outlets found it increasingly difficult to sustain their operations. This decline has raised concerns about the future of journalism and accessible news coverage across the country.
Impact of Financial Cutbacks on Media Production
The effects of shrinking ad revenues have not only impacted news organizations but have also severely affected the production sector in New Zealand. Many popular shows which relied on commercial funding, such as The Great Kiwi Bake Off and The Block, are at risk as production companies lay off staff and reduce production capacities. This wave of production cutbacks indicates a challenging future where fewer local shows may be produced, leading to a significant decrease in media diversity and representation. As these challenges mount, the industry is urged to innovate and explore new avenues for funding and distribution to sustain content creation.
The Necessity of Adaptation in Media Models
The current media landscape in New Zealand highlights the urgent necessity for media companies to diversify their business models away from dependence solely on advertising revenue. Companies that have successfully mixed different income streams, like Sky with its paywall operations and NZME with its various paywall brands, show that diversification is a path forward. The ongoing challenges faced by traditional media underscore that businesses must adapt to new models such as subscription-based or hybrid offerings to thrive in the evolving digital environment. Such adaptations are seen as vital to maintaining robust journalism and media production in the country.
Government Regulation and Media Reform
Calls for increased government regulation and reform of the media landscape in New Zealand have gained traction as the concentration of power among large media holding companies raises concerns. The proposed merger of major advertising agencies hints at an escalating consolidation that may negatively impact local media outlets and their viability. Greater scrutiny of digital platforms and their financial relationships with local media is seen as crucial to ensuring equitable competition. An upcoming digital bargaining act serves as a potential starting point for creating a more balanced ecosystem, benefiting both media companies and the audiences they serve.
The Evolving Role of Public Media
Public media in New Zealand, particularly with the rise of RNZ, is increasingly viewed as a stabilizing force amidst the turmoil experienced by commercial entities. RNZ's growth in both audience and content quality is redefining its role and positioning it as a crucial player in the media landscape. While this shift brings advantages, there is concern about its impact on private media outlets, which are facing declining audiences and may feel competitive pressure. The ongoing growth of RNZ exemplifies the need for robust public media that can operate alongside traditional and new commercial models to ensure diverse content and representation.
Glen Kyne returns to join Duncan Greive on The Fold for an epic year in review, going deep on all the big storylines that defined a year which broke New Zealand's media. Including, but by no means limited to: the end of Newshub, Sunday and Fair Go; the downsizing of Shortland Street and challenges to the productions sector; a dive into Australia's approach to big tech; assessments of every major mainstream media company, the advertising and media agency sector and a pair of predictions for the first half of 2025. All in 77 action-packed minutes!