​Africa Community Media’s Sandy Naude in conversation

What are the current growth and encouragement areas for Africa Community Media?

2024 has been a challenging yet significant year for ACM. We’ve seen strong momentum in digital transformation, with an increased focus on data-driven insights to guide our strategies. One of the most encouraging trends is the expansion of our digital base to build audiences and engagement. This growth is due to our tailored content offerings that resonate with diverse audiences and the integration of new technologies that have improved user experience. Additionally, we’ve made progress in diversifying revenue streams, including events, branded content, and native advertising.

What has been the impact of AI on the business?

AI is having a profound impact on our operations, particularly in content curation, audience segmentation, and advertising. AI-driven analytics allow us to better understand reader behavior, which in turn helps personalize content and enhance the user experience. Additionally, AI is helping us optimize our programmatic advertising, improving both targeting and performance, which has had a positive impact on revenue. For journalists, AI is welcomed as an assistant in taking on the 'grunt work', freeing up our writers to produce additional investigative and quality content.

What’s your relationship like with the big tech platforms?

Our relationship with the major tech platforms is collaborative, yet complex. Platforms like Google and Facebook are key to content distribution, but we are also cautious about the balance of power. As we push for greater control over our audience data and revenue models, we’re diversifying our distribution strategies. We are particularly focused on leveraging proprietary platforms to engage directly with our audience.

How important is innovation and strategy, and what does that represent to you?

Innovation is at the core of our strategy. We’ve been investing in AI tools for content recommendation and advertising optimization, along with data analytics to track user engagement more accurately. Moreover, we’re focusing on mobile-first experiences, given the increased consumption of content via smartphones in South Africa. One exciting strategy is our hyperlocal content, which allows us to resonate more with regional audiences while maintaining a national outlook.

Are subscriptions the future?

Subscriptions are a key part of our future, but they aren’t a silver bullet. We believe a hybrid model that combines advertising, subscriptions, and branded content is the way forward. Advertising supports our subscription drive by lowering the entry point for users to experience our content, building loyalty and trust, which eventually leads to paid conversions.

How do you build a strong media brand in today’s market?

Building a strong brand today is about authenticity, consistency, and relevance. For ACM, it’s crucial to stay true to our mission of delivering quality journalism while adapting to the fast-changing media landscape. Maintaining brand relevance is about understanding our audience and responding to their evolving needs, especially in a region as diverse as Africa. We actively engage with our audience on social media platforms and through live events to foster deeper connections.

What are the differences in media consumption across your regions?

Media consumption patterns differ significantly across the African continent. In some regions, mobile is the dominant mode of access, while in others, traditional media like radio and print still play a key role. We tailor our strategies by localizing content, optimizing for mobile platforms where necessary, and offering multi-language options. In regions with strong digital infrastructure, we’re seeing more engagement with digital subscriptions, while in others, we’re focusing more on building brand awareness through events and partnerships.

How do you see the current state of the African advertising market?

The advertising market is evolving rapidly, with a noticeable shift towards digital and programmatic advertising. We’ve observed some decline in traditional advertising revenues, particularly in print, but this has been offset by growth in digital and branded content. Our approach is to diversify our revenue streams and remain agile, responding to changing advertiser needs by offering innovative solutions such as data-driven ads and branded content partnerships.

What about the future of your sales team’s skills and consultative selling by them?

The future of media sales will undoubtedly require new skill sets, especially in data analysis and AI-driven insights. We’re moving towards a more consultative approach, where sales teams act as partners to advertisers, helping them navigate the complexity of media buying across platforms. AI will play a big role in automating routine tasks, freeing up our teams to focus on relationship building and long-term partnerships.

Where does print’s role sit in the portfolio?

While digital is taking precedence, print still holds relevance in certain segments of our market. We sell print advertising as part of a broader portfolio, where print complements digital campaigns. For younger media planners, we highlight print’s role in building credibility and as a medium for premium, long-form storytelling. It’s also part of our integrated campaigns to ensure advertisers reach a multi-platform audience.

What about events? Do they have an importance to you?

Events are a growing area for us, offering opportunities to create exclusive, subscriber-only experiences. These events help build community and deepen audience loyalty. We have a specialized team focused on this area, organizing industry forums, conferences, and webinars. Events also provide an avenue for networking, content partnerships, and sponsorship opportunities.

And podcasts and other audio offerings?

Podcasts are an important part of our media mix, though they are resource-heavy. We’ve seen significant engagement with podcasts on business trends, leadership, and culture in Africa, but monetization is still evolving. We are exploring both advertising and subscription models to generate revenue from audio content.

Any other revenue diversification streams to mention?

We’ve had success with branded content, which allows advertisers to align their messaging with trusted editorial. E-commerce is also an area we’re exploring, particularly around exclusive content and merchandise tied to our brand.

How do you see future advertising trends emerging?

We’re seeing growth in video advertising, particularly across social platforms. AI-driven ads, which allow for hyper-targeting and real-time optimization, are also shaping the future. As mobile continues to dominate in Africa, mobile-first advertising strategies will be key. Traditional media will still have a role to play, but it will need to evolve to integrate more seamlessly with digital platforms.

What will drive the future of media?

Over the next decade, we expect media to become even more fragmented, but also more personalized. Traditional media will still have a place, but its role will be more niche, serving audiences that prefer in-depth, investigative journalism or premium content. Digital platforms will lead, with AI playing an increasingly important role in curating and distributing content.

What are your main challenges and opportunities?

The biggest challenges today are declining ad revenues in traditional formats and the need for continuous adaptation to new technologies. However, there are also immense opportunities in the form of data-driven insights, personalization, and diversified revenue streams like subscriptions, events, and branded content.

Any words of wisdom for 2025?

To media companies facing ad revenue losses, my advice is to diversify your revenue streams and embrace technology. Don’t put all your eggs in one basket—subscriptions, branded content, and data-driven strategies can help weather the storm. Also, remain focused on delivering value to your audience; when you prioritize audience needs, revenue follows.