South African media company Media24 is set to close four print publications, including Beeld, City Press, Daily Sun and Rapport, and focus on digital-only brands. The move, which is in line with a global trend of print media struggling to stay relevant in the digital age, could result in up to 800 job losses. Media24’s Chief Executive Ishmet Davidson said the company had been impacted by falling circulation and advertising figures as well as rising fixed distribution costs.
What is Media24’s restructuring plan and how will it impact the future of print media in South Africa?
Media24 plans to shut down four of its print publications, including Rapport, City Press, Beeld, and Daily Sun, and shift towards digital-only brands. In addition, the company plans to sell off its media logistics company and community newspaper portfolio. The restructuring could potentially impact up to 800 jobs and is indicative of the larger global trend of print media struggling to remain relevant in an increasingly digital world.
Media24’s Restructuring Plan and Implications
Media24, internationally recognized for its diverse publishing portfolio, has proclaimed a substantial reorganization that could imperil a significant number of jobs. The potential closure of four of its legendary print publications introduces a wave of unpredictability into the industry.
The company’s print publications – Rapport, City Press, Beeld, and Daily Sun – have significantly contributed to the vibrant South African media scene over time. An exclusive report from Moneyweb divulged the impending upheaval, with insiders confirming the decision to close these print versions, subsequently validated by a company statement.
Further, Soccer Laduma, another print title, is allegedly under examination as Media24 seeks to eliminate what it identifies as the ‘dead wood.’ The bulletin also uncovered a shift in strategy, as Rapport, City Press, and Daily Sun are set to evolve into digital-only brands.
Beyond the Newsroom: The Full Impact of the Restructuring
The reorganization strategy expands beyond the newsroom. Media24 plans to sell off its media logistics company, On The Dot, and its community newspaper portfolio to Novus Holdings.
Media24’s CEO, Ishmet Davidson, justified the impending changes by pointing to the structural downfall that print media has undergone globally. He attributed collapsing circulation and advertising figures that have persisted for years, coupled with rising fixed distribution expenses, as critical elements significantly affecting print operations.
The proposed changes could potentially impact up to 800 jobs. A minimum of 400 job losses are foreseeable, while an estimated 400 positions are likely to be transferred to Novus Holdings.
During a town hall meeting with employees, additional decisions were disclosed, including the cessation of the digital editions of Volksblad and Die Burger Oos-Kaap and the shutdown of the digital hub SNL24.
Underperforming Titles and the Future of Print Media
Davidson conceded that Media24 titles in the northern part of the country had been underperforming for some time. “Cumulative losses are expected to reach R200 million over the next three years,” he claimed. He asserted that attempts to reduce costs and save the print operations had hit a dead end, and the company found itself without alternatives.
Nevertheless, not all print titles are being targeted for dismissal. Die Burger and Son in the Western Cape are set to survive, as both are “marginally profitable,” and the former holds considerable historical significance. The newspapers designated for closure are anticipated to cease operations on 30 September.
Criticism and the Global Perspective
The restructuring has been met with disapproval. Civil rights group AfriForum asserted that Media24 would be backing out of its obligation towards its Afrikaans readers if it discontinued the print versions of Rapport and Beeld. AfriForum stressed that Media24’s origins lie in the sacrifices and financial support of the Afrikaans community. By discontinuing these print titles, the group argues, Media24 is turning its back on a community that has backed it for over a century.
This intended restructuring is indicative of a broader, worldwide trend of print media wrestling with its relevance in an increasingly digital world. While these changes are a necessary reaction to the evolving media landscape, they also signify an end of an era. The printed versions of these newspapers have made lasting impressions on their readers, becoming integral to their Sunday traditions and morning routines. As they transition into digital brands, the challenge will be to preserve the unique voice and ethos that have made them cherished elements of South African media.
What publications will Media24 be shutting down as part of their restructuring plan?
Media24 is set to close four print publications as part of their restructuring plan: Beeld, City Press, Daily Sun, and Rapport.
Why is Media24 restructuring and what is their plan for the future?
Media24 is restructuring due to falling circulation and advertising figures, as well as rising fixed distribution costs. Their plan for the future is to shift towards digital-only brands and sell off their media logistics company and community newspaper portfolio.
How many jobs could potentially be impacted by Media24’s restructuring?
Media24’s restructuring plan could potentially impact up to 800 jobs, with a minimum of 400 job losses expected and an estimated 400 positions likely to be transferred to Novus Holdings.
Are all of Media24’s print publications being targeted for closure?
No, not all of Media24’s print publications are being targeted for closure. Die Burger and Son in the Western Cape are set to survive as they are marginally profitable, and the former holds considerable historical significance.
What is the global trend surrounding print media in the digital age?
The global trend surrounding print media in the digital age is one of struggling to stay relevant. Many print media companies are shifting towards digital-only brands or facing closure due to falling circulation and advertising figures, coupled with rising fixed distribution costs.
What is the impact of Media24’s restructuring beyond the newsroom?
Media24’s restructuring plan goes beyond the newsroom. They plan to sell off their media logistics company, On The Dot, and their community newspaper portfolio to Novus Holdings, potentially impacting jobs beyond the newsroom. Additionally, the restructuring plan includes the cessation of digital editions of Volksblad and Die Burger Oos-Kaap and the shutdown of the digital hub SNL24.
