By Abiola Ayankunb
This is certainly not the best time for the media managers whose firms are practicing simultaneous printing either by themselves or through third parties. The reason is not far-fetched; the business model, if any, has collapsed and seems irretrievable. New and an enduring one is desirable now!
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Sometimes in 2020, I wrote an article that many printing presses are doing little and there was no justification for setting up those facilities as at the time because they were running at a loss. The total sales (copy and space) were not up to a factor out of the four factors of production. As at the last count done by AbingMO3 Marketing Management Consultancy in 2020, there were over sixty printing presses.
Recent research that was conducted by AbingMO3 Marketing Management Consultancy revealed that none of the media firms’ printing press is doing up to 3% of its installation capacity. Presently, these printing presses that are based in either Aba (Abia state), Asaba (Delta state) or Port Harcourt (Rivers state) print between 700 and 1,500 copies per day and the total waste copies being recorded in an attempt to attain perfect print, range from 600 – 800 copies per printing session. Some newspapers have since stopped circulating their newspapers in the entire South- South and South- East. Furthermore, no media house sells above 40% of its supply figure.
Meanwhile, this precarious situation looks self-inflicted. Firstly, not minding that the printing presses are located in the zone, lateness of paper to the market on nearly every other day is being experienced. Secondly, news from the areas being serviced are not always and regularly on the cover pages or promoted on the cover pages. Equally, all the news items are promptly uploaded on the various websites even before the print editions are delivered to agents and vendors.
This is the more reason why the newspapers are no longer feasible on the streets or newsstands. Although, one cannot ignore the effect of internet on the copy sale but it is ridiculous for a national newspaper to be supplying 30 copies on a daily basis to Rivers state. Media houses are still labouring in vain to convert their online contents into money making venture.
It is an understatement that all of them are in perennial financial crisis because they rely heavily on the headquarters for supports from time to time. The head offices are not finding it easy also. It has gotten to a point that the machines are not being serviced or maintained as expected. The prints are now horrible (poor colour separation) and stain easily. Some of them are offering to sell their machines as scraps. Specifically, a press that is located along Airport road in Asaba, Delta state has been offered for sale. Unfortunately, a press that cost over N300m few years ago is being priced for a paltry sum of N50m.
The management of these media firms acted very late and would definitely be regretting their actions now. This is due to the fact that the concerned media firms sold more copies when they serviced all locations from their headquarters than now when the printing presses are closer to their markets. If they had acted earlier, they would have recovered their returns on investments before this disastrous period.
For the best reason known to the management, staff members are not being adequately informed about the hopelessness situation thereby leading to uninformed and needless arguments by the staff that their newspapers are performing better in the market.
Finally, in order to minimize the risk of dwindling revenue and yet keep alive the opportunities for survival and growth, each of these media houses must formulate add-and-drop policy. The total number of staff is surely on the high side vis – a- vis the number of copies being printed. Usage of third party press (at a reasonable cost) instead of one’s press for printing is the first thing to be done in this instance. Printing machines ought to be reconfigured in order to accommodate idle time, joint newspapers distribution should be considered in order to reduce freighting cost, merger of newspaper companies is also an option and diversification remains another alternative
Ayankunbi is MD/CEO at AbingMO3 Marketing Management Consultancy.
0802 305 1315.
abiolaayankunbi@yahoo.com
