It’s been less than a month since News Corp CEO Robert Thomson spoke out about the bad state of the advertising market, and here he is at it again.
Speaking at the UBS Global Media and Communications Conference in New York yesterday, Thomson said advertising agencies need to be more accountable for where they were placing their ads following the recent scandals around digital measurement and fake news, The Australian reported.
“You would like to think now that the debate over fake, over fallacious, over faux, over fraudulent (news) will lead to advertisers in particular, ad agencies and others reassessing the value of different platforms because… the ad market is dysfunctional at the moment, and not because we’re not getting our fair share.
“It is dysfunctional, and it’s digitally dysfunctional.
Thomson said the caricature of old school “martini sodden” advertising executives had made way for the “slightly techno tipsy”.
“We’ve sort of gone from the era of mad men to mad metrics,” he said.
According to The Australian, Thomson noted that print growth at The New York Times in recent quarters has been up as much as 12 to 13 per cent, while circulation revenues at The Wall Street Journal were up 6 per cent last quarter – double the rate of The New York Times.
“So you’re seeing growth in circulation revenue, but what you are also seeing is a significant decline in advertising revenue,” he said.