Independent Media to further review its structure

Independent Media announced today that due to the harsh economic realities and the changing landscape in the media industry, the company would be redesigning its business operations in consultation with employees to make it more sustainable. Picture: Supplied

Independent Media announced today that due to the harsh economic realities and the changing landscape in the media industry, the company would be redesigning its business operations in consultation with employees to make it more sustainable. Picture: Supplied

Published Jun 15, 2023

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IN RECENT years, the decline of print media in South Africa has been a significant phenomenon, mirroring global industry trends. Several factors, including the rise of digital media, shifting consumer preferences, and economic challenges encountered by print publications, have contributed to this decline.

Independent Media announced today that due to the harsh economic realities and the changing landscape in the media industry, the company would be redesigning its business operations in consultation with employees to make it more sustainable. This business redesign will result in possible headcount reduction.

In a statement the print media giant said: “The traditional print industry, upon which Independent Media has built its legacy, is facing significant challenges. Advertising spend has shifted, and the advent of digital media has altered the dynamics of the market. While Independent Media has worked tirelessly to retain jobs over the past few trying years, and has instituted numerous measures, the time has come to face the difficult and hard choices that other media houses have already undertaken.”

The company recently embarked on an inclusive process that asked management and staff for suggestions to cut costs and realise more efficiencies in the business.

This has, for example, given rise to the introduction of a new weekend edition of Isolezwe (in place of a separate Saturday and Sunday edition); a single weekend title for the Cape - Weekend Argus, which saw the amalgamation of the Saturday and Sunday editions into a single weekend publication; the inclusion of Pretoria News into The Star, and more among other cost-saving suggestions.

“Impactful as it may be, it has not been enough to arrest the decline of revenues – what with the increase of print and paper, which has had the biggest impact on the business.

“Echoing what is occurring around the world, to date, several South African media houses have already embarked on massive cut-backs, including the closure of stalwart magazines and newspapers and have in some instances, outsourced their editorial and production of certain publications in an effort to stem the loss of revenue.

“Independent Media has not been spared from these challenges either, but the company has managed to hold on – for as long as it could.

“For Independent Media, the Covid-19 pandemic, loadshedding, rising inflation and an overly stressed South African economy, have also exacerbated an already fragile environment. Circulation figures, whilst not experiencing radical decline, have, however, reduced quarter on quarter and year on year. This has been further compounded by the significant drop in advertising budgets, as advertisers have sought alternative mediums, especially digital, to reach their audiences,” read Independent Media’s statement.

Independent Media’s chief executive Takudzwa Hove said to secure the media house’s future, the realities of the situation now needed to be confronted head-on. “We understand the profound impact these decisions may have on our valued employees, and it is not something we take lightly, however, to ensure the long-term sustainability of the company and continue delivering the news to our loyal readers, we have been forced by a series of industry challenges and prevailing conditions, to now make these difficult calls, and go where our competitors have already had to go by trimming our human capital component.”

The company thanked its staff and colleagues for their support to date and the innovative suggestions that have been provided. It said it would continue to proactively engage with stakeholders, including employees, unions, and the wider public, to provide updates and ensure transparency throughout this process.

Independent Media is also exploring innovative strategies to adapt to the ever-changing media landscape and identifying new opportunities for growth. “As Independent Media makes these difficult decisions, the company remains steadfast in providing reliable, unbiased news to its readership. Independent Media will continue to prioritise the public’s right to access accurate and relevant information,” the company said.

The company also asked its colleagues in the media to respect the process it is undergoing at present.

It is important to note that while print media has experienced a decline, it has not disappeared entirely. There is still a significant audience that prefers the tangible experience of reading a physical newspaper or magazine.

However, the overall trend indicates that the future of news and media consumption in South Africa lies in the digital realm, requiring print publications to adapt and embrace digital strategies to remain relevant and sustainable.