Full response by New Age spokesperson Gary Naidoo
We find it very strange that a competitor should be asking questions of this nature as wedo not understand its relevance and news worthiness.
Question: Transnet forked out R17.5 million for 18 breakfast sessions while Eskom paidR7.2 million to sponsor six sessions (at R1.2 million each) between November 2011 andlast year. Telkom is paying R12 million to sponsor 12 briefings in 2012/13
.Answer: The New Age has developed relationships with several entities, both governmentand private to secure revenues. Some of these relationships are based on a mix of eventsponsorship (business briefings is one such example) and advertising
and theserelationships are based on confidential agreements between the parties. As with your keyclient relationships, the details are closely held as revealing it to a competitor will reveal akey element of our business plan.We find it very strange and unethical that as a competitor so much focus is being brought onthe clients we have secured. These same clients appear in your newspaper and it wouldseem your questions are driven by the fear of losing market share. It would seem that your
motive is one of finding a mechanism to place a “chilling effect” on those c
lients who havebought into our visions of being proudly South African, and fiercely independent throughthe publication of news in a balanced fashion.Our innovative packages have clearly won us market share at the expense of somecompetitors and we have no doubt that this is the reason for questions of this nature whichare clearly aimed at providing a chilling effect on advertisers who have seen the advantageof supporting a new voice in the current media market. We know that our loyal partnerswill see through this bullying by competitors and continue their support of our newspaper.
Are these state-owned companies helping the New Age stay afloat?
The question is truly naïve. Government and state-owned enterprises are major advertisersin all titles, including City Press and The New Age. So the question could quite easily applyto City Press and perhaps you should reveal the size of revenues City Press receives fromgovernment and its related parties and what impact it has cumulatively on your profitability.
Is it true that the briefings are broadcast for free by the SABC's Morning Live?