News Corp Boss Warns Of Ad Market “Mayhem”

News Corp Boss Warns Of Ad Market “Mayhem”

News Corp CEO Robert Thomson has issued a dire warning to adland, saying the market is in turmoil as brands suffer from a lack of transparency and online traffic fraud.

In a speech following the release of News Corp’s results for the September quarter – in which it posted a headline loss of US$15 million ($19.5 million) and an 11 per cent decline in ad revenue – Thomson noted how automated ad buying was wasting money by putting advertisers on low-quality websites, according to The Australian.

“We are seeing… mayhem in the ad market”, he said, with “products bobbing around in bilge water”.

“Hype and hip are not alternatives for quality and integrity.

“In the middle of this commercial commotion, it is appropriate that ad agencies are under scrutiny as too much ad tech is fad tech.”

Thomson added that the crisis facing the ad market “can’t continue ad infinitum”.

According to The Australian, Thomson said News Corp’s newspapers remained focused on cost reductions and digital subscription growth.

News Corp Australia posted 283,800 digital sales at September 30 – up from 246,400 a year ago – and The Australian Financial Review reported that it will cut $40 million in costs (including jobs) this fiscal year to cope with falling ad revenue and the company’s continued shift to digital.

Please login with linkedin to comment

Emaling Robert Thomson

Latest News

Kyle Sandilands and Jackie Henderson (Kyle & Jackie O) from KIIS at the 2015 ACRA Awards
  • Media

Kyle & Jackie O Crowned Best On-Air FM Team At Commercial Radio Awards

KIIS 1065 breakfast duo Kyle Sandilands and Jackie “O” Henderson have won the Best On-Air Team (Metro FM) category at the 30th Australian Commercial Radio Awards (ACRAs). Held on Saturday night at the Melbourne Exhibition and Convention Centre, and hosted by The Chaser’s Chris Taylor and Andrew Hansen, the ACRAs celebrated the best and brightest talent in […]

Digital Asset Management Solution Collaboro A Natural Fit With Open Data Initiative
  • Technology

Digital Asset Management Solution Collaboro A Natural Fit With Open Data Initiative

Digital asset management solution Collaboro claims its offering is a natural fit with Adobe’s, Microsoft’s and SAP’s new Open Data Initiative, as more organisations centralise their data on a single platform to improve their customer management and improve marketing performance.   According to Warwick Boulter (main photo), co-founder and CEO of Collaboro, a leading full-service solution for managing enterprise-level […]