Stuff Limited – the rebranded Fairfax New Zealand business – will significantly increase its push into digital in 2018, moving toward “a business model where digital revenue growth outweighs declines in print”. The company reported a 33 per cent lift in digital revenues during parent company Fairfax Media’s half year results on Wednesday, as well...
The company reported a 33 per cent lift in digital revenues during parent company Fairfax Media’s half year results on Wednesday, as well as announcing plans to accelerate the transition to digital with a 35 per cent reduction in its print publications.
The lift was attributed to the continued user growth of hyperlocal social networking site Neighbourly and the increasing popularity of recent investment Stuff Fibre.
“Our strategy is focused on achieving a business model where digital revenue growth outweighs declines in print – so we can maintain a strong national footprint to serve our New Zealand communities with our quality journalism, content and great experiences,” Stuff CEO Sinead Boucher said prior to the result announcement.
Ms Boucher said this decision would help to create a sustainable business model.
“The Stuff business is delivering strong digital revenue growth, benefiting from the growth of our new business ventures,” she said.
“This is providing some offset to ongoing print advertising challenges, however we need to continue to act decisively in transitioning our business model into an increasingly digital business.”
The transition to this model will include the sale or closure of more than a third of the business’ smaller rural and community mastheads.
“We appreciate that this process creates a level of uncertainty for some people – and we will move as quickly as possible to provide them with clarity,” Ms Boucher said.
“Changing the print portfolio has involved some tough decisions, but it is clear where the future of the business lies.
The future of the 28 mastheads is expected to be finalised by the end of the 2018 financial year.
The list of publications affected include: