Kath Watson, OMD CEO

Would there have been any advantages from a media buying/advertising perspective, had NZME and Fairfax merged?

OMD was an enthusiastic supporter of the proposed merger of NZME and Fairfax. Our media market has radically changed and will continue to do so. From a media buying perspective, international content providers offer scale and efficiencies our local partners cannot compete with. But we also need local providers to offer New Zealand consumers locally relevant content in an engaging and innovative environment which in turn, creates effective opportunities for our clients. This merger would have allowed the resource to deliver this.

Granted, amalgamation would reduce duplication within the businesses. But, this would have created efficiencies to be funnelled into quality, local and topical content; as demanded by consumers and our clients. Global players do not pour enough resources into small markets like New Zealand to provide quality local content. This creates a clear role for Nzme/fairfax in the market and exciting opportunities for advertisers.

Without this merger, we worry about the future of our local publishers and their ability to produce content that New Zealanders love, and advertisers’ demand for engagement with audiences. Declining print circulations and difficulties in monetising digital content are constant challenges, but a merged Nzme/fairfax would create a commercially viable local voice to represent all of New Zealand.