news article24 April 2012
Rate Card Standardisation
Standardised newspaper rate cards offer advertisers clarity and consistency
Fairfax Media is standardising its newspaper rate card format across its network, offering both advertisers and agencies consistency and clarity.
The standardisation is being rolled out gradually, with regional newspapers having already made changes. From 1 August 2012, all of Fairfax Media's nationwide and metropolitan newspapers will migrate to the standardised rate cards with the remaining community newspapers following later in the year.
For ease of use, all advertising charges on the new rate cards will be inclusive of colour and have a standardised rate of discounts applied commensurate with volume purchasing rates. This means removing the direct rate card from the market and working off one card only - a much maligned bug bear of agencies, and delivers on the commitment to agencies to achieve parity between the direct and agency rate cards.
Group Sales and Marketing Manager Sandra King says the standardisation will make it easier for its customers to do business with Fairfax Media. "This standardisation makes it much simpler for our customers. Newspapers have also moved to a magazine-style rate card, so rather than worrying about a whole range of column centimetre rates and extra charges for colour, advertisers and media planners will now be able to swiftly see the cost for a colour full page or a half page advertisement, for example. This makes larger format ads more cost effective."
Following discussions with the market over the last 12 months, Fairfax Media is also changing the rate of commission paid to accredited advertising agencies. A key reason for this change is the consolidation of the separate commission and non-commission bearing rate cards currently in the market place. As a result, agency commissions will be reduced to 10 per cent (five per cent plus five per cent prompt payment). This follows a continuing trend of reducing agency rates, following TVNZ's move in January 2011. The change to agency commission is effective 1 August 2012 and will apply across Fairfax Media's divisions, including Fairfax Magazines and Fairfax Digital.
Ms King says "We are committed to ensuring our business model is meeting our customers' needs. As part of our review of our rate cards; standardising the format and reviewing the direct card, we assessed the market and felt it was appropriate to reduce our commission rates. This has been done in consultation with the market and we feel media agencies understand our position. We of course are open to their ongoing feedback."
About Fairfax Media
Fairfax Media is an innovative, integrated multi-media business with strong brands across multiple platforms including newspapers, magazines and digital.
Fairfax Media has two national, nine daily and more than 60 community newspapers, 25+ magazines, and market leading website stuff.co.nz.
Click here to see the company's full portfolio of media brands.
For further information, please contact:
Fairfax Media Communications and Marketing Manager
(09) 925 9817or 027 704 7521