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Newsletter n° 11
12.07.05
THE BUSINESS OF NEWSPAPERS MANAGEMENT

MANAGEMENT: African Press Trends 2005 - This Week: NIGERIA

The World Press Trends 2005 report, released at the WAN 58th Annual Newspaper Congress in Seoul, shows an increase in circulation and revenue from advertising for the newspaper industry worldwide in 2004. As part of a five week special, RAP 21 will publish African data from the report and speak to the leaders of some of the most successful newspapers on the continent about trends in their markets, and their views on the future of the newspaper industry.

The newspaper industry in Nigeria

With a population of 128 million, Nigeria has a GDP of US$1148 billion, and a GDP per capita of US$836. It is one of the richest African countries in terms of GDP, yet has suffered in past decades from political instability, corruption, and unfavourable economic conditions, despite being rich in natural resources. This has not stopped the countrys independent press from flourishing. Arguably one of the most mature newspaper markets on the continent, Nigeria boasts more than 100 national and local newspapers. All newspapers in Nigeria are privately owned, which is rare in Africa. At the close of 2004, there were more than 10 major daily newspapers, six weekly newsmagazines, and several evening newspapers and tabloid publications.

Internet access is not restricted in any way in Nigeria, however, unreliable and costly telephone services limit access and hinder internet service providers from developing. Because newspapers and television are relatively expensive, radio remains the most important medium of mass communication and information.

The Punch

The Punch newspaper is Nigerias largest daily. In 2004 it had an average daily circulation of 80,000, which was 20,000 more than the countrys second largest publication, a tabloid called The Sun. RAP 21 spoke to PUNCH editor Azubuike Ishiekwene about changing trends and his newspapers performance over the past year.

RAP 21: Newspaper advertising revenues have grown worldwide in 2004. Is this the case for Nigeria as well?
Azubuike Ishiekwene: It is true in Nigeria, though the higher ad sales volume in 2004 appears to have been limited to the more established media. The Punch, for example, recorded a 10 per cent improvement in 2004 over its 2003 sales figures.

RAP 21: From what sectors are the biggest advertisers today?
Azubuike Ishiekwene: The biggest ads are from telecommunications, automobiles and banks, in that order. It’s been the trend in the last three to four years.

RAP 21: Has your circulation grown or declined in the past 12 months?
Azubuike Ishiekwene: It has improved steadily over the past 12 months. While the daily newspaper has gained about 8 per cent, the weekend titles (Saturday and Sunday Punch) have increased by about 12 to 15 per cent.

RAP 21: What do you hold to be behind it?
Azubuike Ishiekwene: Innovation in content has been largely responsible for the improvement in circulation. The introduction of a "personal finance column" in our daily, and the introduction of more human interest stories in the weekend editions, plus improved language and layout, are the major success drivers.

RAP 21: Has the change in content also attracted new advertisers?
Azubuike Ishiekwene: As you know, circulation and advertising are very closely linked. Even though The Punch increased its advert rate in January 2004 and again in June 2005 (as a result of increasing costs of production and distribution), we have leveraged our circulation strength to increase advert sales. So, improved content has helped circulation; and circulation has helped advertising.

RAP 21: How have changes in technology influenced the newspaper industry in Nigeria?
Azubuike Ishiekwene: Technology - which at The Punch includes the use of CTP (computer-to-plate) and the use of digital cameras by reporters - has helped to improve speed, quality and efficiency. It has also helped to improve the freshness of the news. We’re currently experimenting with a system where reporters can use their mobile phones and laptops to file in stories straight from location.

RAP 21: Do you feel optimistic about the future of the role of newspapers in Nigeria?
Azubuike Ishiekwene: I’m confident that the newspaper has a bright future, but the industry has to pay a lot more attention to what readers want and how they want their newspapers delivered. I get a strong sense that not enough attention is being paid to consumer research in the media. We sort of play it by the ear at the moment. The new technologies appear to be influencing how many readers - especially young ones - use the media. We need to look onto that.

RAP 21: What needs to be done to improve the position of consumer research?
Azubuike Ishiekwene: Publishers could poll resources to conduct industry-wide surveys and save cost. If they don’t, media users - especially advertisers - will force them to do it, by insisting on up-to-date readership surveys as a basis for advertising.

Next week, RAP 21 speaks to editor of Le Soleil in Senegal.


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