The New Age is estimated to have pulled in R49m in advertising revenue in the first half of 2012 - putting it in a "top ten" list of ad spend in South Africa's daily newspapers. This emerged from a presentation by Milton Tshabalala, Associate Director, Advertiser solutions at Nielsen (AIS/AdEx) at the launch of Audit Bureau of Circulations (ABC) results for the 2nd Quarter of 2012.
The daily newspaper, which was launched in late 2010 by the Gupta family, has been able to bring in this degree of revenue despite not being a member of the ABC - which audits and publishes the circulation figures of most other publications in South Africa.
According to the Nielsen data presented by Mr Tshabalala the top ten daily newspapers in terms of ad spend between January and June 2012 were: (1) The Star (Monday to Friday) - R186m; (2) The Sowetan - R96m; (3) Daily Sun (Monday to Wednesday) - R90m; (4) Daily Sun (Thursday to Friday) - R88m; (5) Beeld (Wednesday to Friday) - R80m; (6) Business Day - R79m; (7) Cape Argus (Monday to Friday) - R77m; (8) The Citizen (Monday to Friday) - R73m; (9) the Daily News (Monday to Friday) - R61m; and (10) The New Age - R49m.
Mr Tshabalala says that Nielsen calculates Advertising Expenditure (AdEx) in all media above the line including newspapers and magazines by measuring the space taken up by advertising in specific newspapers against the listed rate cards of those publications, the gross rate card figures. However, this calculation does not take into account any discounts, barter deals or agency commissions negotiated between those publications and advertisers or their media agencies.
The figures in this "top ten" also list the value of the advertising purchased in the main bodies of those publications on the specific days mentioned. They do not include advertising spend in additional supplements, and so do not represent the total advertising spend in those publications.
When asked by Politicsweb if the Nielsen figures were a fair reflection of how the New Age was doing CEO Nazeem Howa commented "Nielsen's measurement has always been debated due to the basis of calculation. We are certainly of the view that it is a reliable indicator of marketshare and as such we are happy with how it has measured us as the margin of error exists equally for all titles on an annualized basis."