Covid-19 did not cause the problems the media are currently experiencing but it has cruelly exposed them (1).
In pre-Covid-19 times the ‘old media’ (television, radio, film studios, advertising agencies, print) was being hammered by ‘new media’ (everything based on the internet). Advertising revenues were falling. Commercial media owners were petitioning Government to be allowed to merge. Speculation was rife about the amalgamation of TVNZ and RNZ.
Debate about how to resolve the problems of the media flourished.
But the arrival of Covid-19 changed the ball-game. Bauer announced it was closing a suite of magazines, newspaper journalists lost their jobs or agreed to salary reductions, the end of local newspapers was predicted (again), some radio programmes disappeared, advertising revenue went off a cliff, television and film projects ground to a halt and plans for public broadcasting disappeared as talk of an existential crisis circulated.
In response, the Government announced a $50 million dollar rescue package and indicated that more funding would be forthcoming.
As with tourism, international education, air travel and the many other areas of the economy that Covid-19 has disrupted, it is clear the future is not going to see a return to normal. A new normal is going to have to be ‘imagined’ and worked towards.
There is no immediate upside to this situation. It will hurt. But in the medium to long term, the kind of change being forced on the media could turn out to be positive for both the industry and audiences.
Acknowledging that the media will continue to morph in response to new technologies, science and shifts in society – what might the New Zealand media landscape look like within five years?
We need to start with some idea of what we want. For me, a vibrant, sustainable and diverse New Zealand media capable of informing, educating and entertaining diverse audiences is the starting point. To achieve this outcome, we might try the following.
1. Public service broadcasting
Public service broadcasting is an essential and distinct part of any media landscape in an open democratic society. What makes it distinct is that public broadcasters are funded to make programmes in the public interest. This, I hasten to say, does not make public broadcasting better than other forms of broadcasting – just different.
Currently, New Zealand has one public service broadcaster, Radio New Zealand (RNZ), plus publicly owned television in the form of Television New Zealand (TVNZ). Prior to Covid-19, the Government was looking at ways to bring RNZ and TVNZ together to form a new platform for public service broadcasting. This was not intended to be and could not be a merger. While RNZ does approximate a public broadcaster, TVNZ is commercial in nature. The two could not merge even if that was the plan.
In addition, the result of bringing the two organisations together would need to result in something different if is to be relevant to 21st century New Zealand. Exactly what that would look like is not for me to say. The new entity would have to retain all of the features consistent with public service – universality, provision for smaller audiences, serving the public good, a commitment to education, distance from vested interests, excellence in programming and freedom for programme makers – but the way it delivered on its new mandate would need to match the times.
Given these assumptions, the Government should create a new public broadcasting entity and give it the freedom to reshape itself in ways that meet the needs of a society creating a new normal while seeking to win a place for itself the rapidly changing global environment.
2. Maori Television
Maori Television has proven itself to be a vital part of the contemporary media landscape. When it was established, there was a view that it should be part of TVNZ (this was when TVNZ had a public service Charter). Thankfully, the argument in favour of Maori Television being autonomous won out and it has gone from strength to strength. It is a broadcaster in the public domain, but it is distinct because it serves a Maori audience augmented by a growing number of New Zealanders from other ethnic backgrounds who have grasped the importance of Maori culture to the future of the nation.
If there is a weakness in Maori television, it is its low level of funding.
3. The New Zealand Film Commission
Making New Zealand films, a fraught and contested space in past years, is now something New Zealanders want and are proud of. We want to tell our own stories and we hope that people around the world will enjoy them as much as we do. Funding for the Film Commission should be continued.
Another more controversial reason to fund the Film Commission is that it can support international film makers to come to New Zealand. The controversy stems from concerns about labour conditions and the possible impact on local production. Neither of these issues are beyond our ability to handle in positive ways. Meanwhile, international films (or films made for the international market like Jackson’s Lord of the Rings trilogy) contribute a great deal to the local industry and put New Zealand on screens all over the globe.
4. The New Zealand Media Bank
When New Zealand broadcasting was deregulated in the mid-1980s, the only public service platform to survive was RNZ National and ConcertFM. Due to last minute concerns that deregulation would see an end to New Zealand produced content, the Broadcasting Commission (now New Zealand on Air) was established.
New Zealand on Air has been very successful, but in the current environment it is clear that its funding should be available to all forms of media – a media bank as opposed to being reserved for broadcasting.
This is not a new idea and it something to be found in other countries – France is an example. Such a bank could be approached by anyone wanting to produce content for any media platform – from television, to radio, to print, to the internet. The kinds of conditions that currently apply to television programme makers would apply to everyone – in particular, that there is an audience for what they produce.
One specific benefit of having such a bank would be that journalists, many of whom are going to find it hard to regain employment in a post-Covid-19 world, would be able to find funding for their work. This would be unlikely to be newsgathering, more the kind of investigative or long form journalism that is difficult to fund in the current environment.
5. Commercial media
Commercial media earns its living by delivering audiences to advertisers. Once again, let me stress this does not make it better or worse than other forms of media, just different.
The problem commercial media in New Zealand faces is twofold. On one hand there is too much media making competition for audiences fierce. On the other hand, satellites and now the internet have seen the arrival of global corporations who have been grabbing both audiences and advertisers. Prior to Covid-19, all commercial media was under pressure and had been banging on the Government’s door for help.
In particular, Fairfax and NZME (two largest media companies, two largest websites plus other assets), had been asking the Commerce Commission to let them merge. Because this merger would have meant a decrease in competition and, possibly, a decrease in diversity, the merger was vociferously opposed by many people. It was declined by the Commerce Commission.
Opposition is now academic. Commercial media suffered considerable losses in recent weeks, and it seems now that a merger is inevitable/desirable. It should therefore go ahead. There is an argument that the pressure of falling audiences and revenue would have forced a great deal of innovation that a merger would allow the new entity to put off. Maybe, but if there is nothing left to innovate with not much will happen.
It is also the case that if the kind of agenda being developed here is followed, there will be plenty of diversity and innovation in the media marketplace.
A last point is that commercial media will need to explore funding models beyond advertising with subscription being the most obvious. Subscription has the virtue of linking media directly to their audience who will only pay if they are getting what they want. This arrangement may help with the problem the media has with declining audience trust.
6. Local print media
The position of local newspapers has been difficult for many years now. Some have collapsed, others have shrunk in size (both physically and in terms of readership) while others have been sold to local interests.
It is this latter option that could be of use in the current environment. The sale of newspapers to local interests (Wairarapa is an example) for a peppercorn amount would allow them to be reshaped to suit local appetites. One of the likely outcomes of Covid-19 is that people are going to rediscover the importance of place. This was already a trend not just in New Zealand but globally. An interest in place will go hand in had with an interest in local stories. These would be commercial publications, but if they have the benefit of a very low price of entry, this should be possible.
7. New Zealand Media Association (NZMA)
The demise of the New Zealand Press Association in 2011 was one of the early signs of how difficult the media environment was becoming. The NZPA provided quality content for a wide range of newspapers and its demise left a considerable journalistic hole.
Ideally, the NZPA should revived in the form of the New Zealand Media Association where a pool of journalists could work together to produce news for any media outlet that wants it. This would provide work for journalists and ensure much needed diversity.
Establishment funding for the NZMA would come from a tax or levy imposed on internet based corporations such as Google and Facebook as well as from outlets that use what journalists produce. The justification for the tax/levy would be that, apart from the fact they pay too little anyway, they exploit their unfair advantage in the New Zealand media environment. That advantage come from their global presence whereas New Zealand media, who ever owns it, plays to an audience of five million.
8. International Broadcasting
Public service broadcasting has long included the responsibility to provide programming to the Pacific. At times, this service has been at risk and for the most part it has been underfunded. This service should not only be continued, it should be enhanced. New Zealand should ensure its voice is heard throughout a region where its influence is crucial. The interests of island nations should also be advanced by ensuring they have access to accurate information, sound educational programming and quality entertainment. The service should be provided through whatever entity comes from bringing RNZ and TVNZ together and funded by the Media Bank.
It might be considered as to how New Zealand could extend its broadcasting further afield.
9. Community media
The deregulation of the broadcasting and the subsequent allocation of bandwidth saw the rapid expansion of community radio stations. These are largely staffed (as they should be) by enthusiastic volunteers. They range from student, community, Maori, ethnic to special interest formats and are, in the main, valued by their audiences.
They should be supported to continue to the extent that they can receive grants for capital items and basic operations as long as they can demonstrate a need for their services. Other funding would need to come from advertising where possible or subscriptions. The volunteer element of community media should always be present.
There are examples of regional television stations that have come and gone. Television is a much more expensive proposition than radio, print or a web based format. If local television stations are to be supported, something I am cautious about, they would need to prove they have substantial support financial support from their audience
10. New media
If we thought the internet was driving innovation before Covid-19, over the past few weeks a thousand flowers have bloomed and provided evidence that New Zealanders will continue to identify new ways to exploit the potential of a digital world.
All media will use the internet to innovate if they want to survive. The Media Bank could actively encourage new programming options and new ways of operating.
We should also welcome the fact that the internet allows New Zealanders access to all kinds of content from all over the world.
There are, however, concerns. The internet brings both positive and negative content. What is negative depends often on who is looking, but there are boundaries that can be agreed on such as we saw after the Christchurch shootings in 2019. Where possible international agreements should establish sensible boundaries without interfering with freedom of speech. A very difficult question, but one that has to be addressed.
So too does the issue of taxation. Large global corporations like Google and Facebook pay too little tax and have a considerable impact on the viability of local media. It seems reasonable they pay their fair share and that some of that revenue is directed toward maintaining local media.
11. Miscellaneous (the creative arts)
Performing arts may not be thought to be part of the media environment, but they are a crucial part of ensuring local content continues to flourish. Support is already provided to performers, but a maturing of policy would be of great assistance to a country that sees itself as creative and innovative. Enhancing these values would be or value to not only New Zealand culture(s), but also our ability to project ourselves around the world.
This is not the place to review policy related to performance, but it should be in scope as policies aimed at New Zealand media are considered.
A Final Word
These are modest proposals that build in practical ways on what already exists while seeking a pathway forward. Anything more runs the risk of trying to second guess what the rapidly changing media environment will serve up in the future.
What we need to decide as New Zealanders is how important we think the media are to us as individuals, as communities and as a nation. For a while, back in the 1980s and 90s, there was a strand of opinion that saw policies relevant to New Zealand media as at best marginal. One Minister of Broadcasting went as far as to wonder if any New Zealand media, at least in the area of entertainment, was needed at all. The National Government of John Key did not bother with a Minister of Broadcasting.
Thankfully, not many New Zealanders think this way today. We can see that New Zealand media able to inform, educate and entertain is central to who we are and who we want to be in the 21st century.
It is encouraging that in the midst of Covid-19 the Government has been willing to provide financial support to the media. It is good to hear they will do more.
But, as in so many areas, funding to get our media through a crisis will not be enough. The problems were there before Covid-19 – they have just been made worse. Much worse.
It would be easy to excuse the Government (and New Zealanders) if in the rush to get the economy going again, we thought of the media as a later cab off the rank. This would be a mistake. The media are an essential part of the economy and they will be vital to the process of rebuilding a nation that is going to have to be very different in the years ahead.
Amidst everything else that needs to be done a vibrant, sustainable and diverse New Zealand media capable of informing, educating and entertaining diverse audiences is about as important as it can get
Notes.
1. Disclaimer. I am a former Minister of Broadcasting. I am also a former academic who taught a second year university paper on Media, Culture and Society during the 1980s at Massey University. I have published a range of articles on media related topics over the past three decades. There are two articles of immediate relevance to the issues discussed here on the Pundit.co.nz website concerned with public broadcasting and one on the selling TVNZ on the National Business Review website.