By Charles Muchoki | Africa Guardian
Since the invention of the printing press, news agencies have grappled with finding sustainable revenue models. Deodatus Balile, president of the Eastern Africa Editors Society and managing editor of Jamhuri Media in Tanzania, highlighted at the recent INMA News Media Summit that the profitability of news media has always been tied to the prevailing technology—whether print, radio, television, or the Internet. History shows that adaptability is crucial for maintaining profitability in the industry.
However, print media is now in crisis. Around the world, profits are plummeting, and Africa is no exception. The Daily Sun, for example, saw an 89% decline over the past decade, and the Sunday Times dropped by 75%. This downturn affects not only print media but also radio and online news platforms.
Jamhuri Media’s Strategic Shift Towards IT
In Tanzania, this trend is keenly felt, as Balile explained. Yet, companies like Google, Apple, and Baidu are thriving, with revenues soaring. The key difference? Their embrace of mobile technology, advertising, and—crucially for news sites—the development of platforms to monetize their content.
Balile pointed out that platforms like Google and Facebook profit from news content without compensating the creators. “We have neglected our roles of collecting, processing, and publishing content,” he said, emphasizing the need for the news industry to reclaim its position.
To combat these challenges, Tanzania is adopting new technologies, integrating existing news platforms with innovative ones, and monetizing content through advertising. Jamhuri Media is also diversifying into real estate, manufacturing, and the fuel industry. But above all, they are prioritizing IT integration, which Balile sees as essential: “Without IT, we are done.”
IOL’s Three-Pronged Revenue Model
Lance Witten, editor-in-chief of South Africa’s IOL, echoed the need for innovation. He noted that digital margins are much smaller than those of traditional media, necessitating new revenue models. IOL, a major South African news site, has developed three primary revenue streams: affiliate content, sponsored sections, and events.
Affiliate content, which generates revenue through user interactions, is IOL’s largest income source. The next is sponsored content, where companies pay for placement on the website. A significant portion of this content comes from South Africa’s major sports teams, which attracts a dedicated audience.
The third revenue stream, events, is IOL’s newest venture. For example, during the May elections, they organized events where people could engage with politicians and discuss issues. This not only generates revenue but also builds brand loyalty and strengthens community ties.
Radio Tigabane’s Community-Focused Approach
In Malawi, Radio Tigabane offers a unique model. As a leading news station in Mzuzu, owned by the Catholic Church of Mzuzu Diocese, it broadcasts in multiple languages—Tumbuka, Chichewa, and English—to reach a diverse audience.
Their revenue model is equally distinctive, relying primarily on listener donations. This fosters a sense of ownership among listeners, who feel invested in the station’s success. Additional revenue comes from advertising, hosting political debates, and project proposals, often promoted through social media.
Radio Tigabane is deeply integrated into the community, supporting local schools, construction projects, and food distribution programs. They are also looking to expand into agriculture and poultry to further support their public radio initiatives.
Open Parliament Zambia: Expanding Through Digital Engagement
Richard Mulongo, CEO of Open Parliament Zambia (Open Parly ZED), part of the Magamba Network’s Parliament Africa project, is focused on engaging Zambia’s youth in the parliamentary process through digital tools. However, they face significant challenges, including censorship and political influence, which stifle free expression in traditional media.
Open Parly ZED addresses these issues by publishing videos, infographics, and live streams of parliamentary sessions. They also train journalists to provide unbiased coverage, partnering with the National Assembly of Zambia to enhance media transparency.
Their content is distributed on platforms like Facebook, Spotify, and YouTube, helping to combat government corruption and strengthen democracy. Open Parly ZED generates revenue through donor-aided grants, consultancy projects, video production, and publishing. Their mission remains clear: to empower citizens and support Zambia’s democratic growth.