HARARE – Zimbabwean media organisations are facing their toughest financial stress in history, pummeled by the effects of the coronavirus outbreak, according to the Advertising Media Association (ADMA).
Zimbabwean newspapers and radio stations have been on a retrenchment exercise and cutting loose stringers in a bid to contain costs after advertising revenues cratered beginning in March when the country went into lockdown to slow the spread of the virus.
ADMA chairperson Susan Makore, who is also the CEO of AB Communications, said media organisation needed a government bailout to stay afloat.
“All of us are struggling. It’s a crisis of historic proportions. I doubt that there’s a media organisation that can say they’re doing well. I can say we’re just surviving, some surviving better than others. Advertising has taken a massive knock because the productive sector is dead,” Makore told ZimLive.
“We need a rescue package. Those with printing elements are struggling with newsprint and inks. When you talk about printing, there are lots of consumables that you must import.
“In broadcasting, I will use our example as ZiFM. We have 15 transmitter sites and the issue of foreign currency is a major one because maintenance components are imported. We must pay BAZ (Broadcasting Authority of Zimbabwe) for the frequency; we must pay rent for the transmitter sites to Transmedia and meanwhile power has gone up – all these take their toll on any business. These are real problems for the sector.”
Makore said during the lockdown, advertising revenues hit rock bottom. Newspapers faced distribution challenges and sales suffered.
“All businesses, not just media, are suffering. We need innovative ways of doing things,” Makore said, adding that retrenchments or what she called “resizing” was inevitable.
The Daily News last month retrenched over a dozen workers, including some from editorial. Zimpapers paid their staff late for the month of June and Alpha Media Holdings is constantly under pressure from workers over low pay.
Makore’s AB Communications are the owners of the Business Times, ZiFM and Hevoi 98.4.
She said their business was “resizing”, adding: “People forget we run businesses and must bring cost containment into it.”
As part of their “resizing”, freelancers who were on contract were being let go.
“Some were full time employees and are now freelancers. We’ve not retrenched but we’re right-sizing, re-evaluating and rejuvenating and ensuring that we live within our means,” she added.
