In a time of dramatic changes, news media organisations must embrace new strategies for growth and profitability. During the recent INMA South Asia Media Festival, attendees heard ideas on how to approach this changing world.

In an increasingly challenging economic time, a clear strategy and goal is critical, Sabrina Daryanani, head of APAC and principal at FT Strategies, said. Once you know where you want to be, she suggested three questions to see if you’re on the right track:

1. Is your current business sustainable?
2. Are there things you could stop doing?
3. What should you start doing?

By taking a pause to answer that question, companies may gain new insights into what the next steps should be.

“You have to understand where you’re at,” she said, adding 20% of content drives 80% of engagement, which means “there’s a lot of content not valued by your audience, and that results in an inefficient use of resources. We try to focus on content and product that drive value and helps the client save money, time, effort.”

Building business models for the future

One way to solve for today’s problems is to look at where the company needs to be in five years and what it will take to reach those future growth targets.

“It is impossible to build or plan for the future without taking into account two things: the next generation of news consumers and AI,” Daryanani said. FT Strategies conducted a Next Gen News Study, which interviewed 18- to 25-year-olds in the United States, India, and Nigeria and provided into what young readers will want in 2030.

“They’re already exhibiting behaviours that show us what they want,” she said. 

Among the things that are important to Gen Z are trusted sources, personal significance, and storytelling delivered in a way that works best for them. The next generation engages with news differently, she explained, relying on social media, group chats, and notifications as some of the ways they connect.

“It’s not just about the news outlets and brands, it's about content creators they trust and connect with,” she said, noting it is important for news media organisations to understand that so they can better appeal to them. 

To prepare for that future, companies should modernise their language, provide more personalisation and customisation options, develop socially friendly content, and cater to different modes of consumption.

And one more essential way to reach them, Daryanani said, is to offer hope and empower action: “Onboard thoughtfully, provide solutions, and encourage participation.” 

Diversification as a revenue strategy

Another essential way to survive in the changing world is to continue diversifying not only the type of content provided but how it is delivered. Ritu Kapur, founder and managing director at The Quint, has talked with leaders about what it takes to thrive in the changing landscape.

“Every conversation about revenue tends to start with diversification,” she said, using The New York Times’ addition of The Athletic, Wirecutter, Cooking, and Games as an example. “Can news alone be a business model any more?”

Suparna Singh, co-founder and CEO of Frammer AI, said reinvention is the only way to survive, but that doesn’t mean the news brand needs to be diluted: “The idea is to strengthen that part of the business, including differentiation. How do you make your content stand out?”

Embracing AI can help by freeing up teams to focus on creating that differentiation.

Tushar Vyas, chief strategy officer for WPP, said diversification must include looking at revenue possibilities in areas beyond the news: “News is the reason you exist, but it’s not the only thing you make money at,” he said, pointing out that Amazon is an e-commerce platform. That isn’t necessarily its only source of income thanks to its AWS cloud computing platform and subscriptions. He compared Amazon’s e-commerce platform to advertising for the news industry — it’s an important component, but not the only one.

“We increasingly talk about four pillars: communication, which is where advertising sits; experience; commerce; and tech,” Vyas said. “It’s a connected journey. The fundamentals are not going to change but the way you’re looking at the core is changing.”

Increasingly, he said, it is more about relationships than reach, and it’s vital for users to be able to connect with the brand and even co-create with it.

“It’s not just about quality. It is about understanding the audience and bringing it out,” said Bharat Gupta, CEO of Jagran New Media. “The first and most fundamental part of the journey is understanding why consumers consume information.”

From there, he said, companies can create communities and build value beyond the news brand, creating digital avenues for connecting with customers.

That’s a process that must be done thoughtfully, said Praveen Someshwar, CEO and managing director of HT Media: “This is not about starting randomly. You need to draw up a business plan and know what you’re going to do.”

Collaborating for common good

Part of that plan should include expanding capabilities beyond what media companies have traditionally done. 

Divya Karani, chairperson and executive director of the content network Kulfi Collective, and Sandeep Bhushan, former director/global marketing solutions for Meta, agreed that collecting and leveraging data is vital for every area of operation — from gaining an in-depth understanding of customers to knowing how to provide integrated communication marketing solutions. 

There are challenges to that, Bhushan said, such as different types of media having different forms of measurements, so it’s important to know your metrics.

Data, KPIs, and metrics should be applied to every piece of content, Karani said, and all parties need to be working together to reach a clearly defined goal.

“The future is about increasing collaboration and convergence,” she said. “We can’t do it alone. As simple as it sounds… all parties need to have it. There must be a singular goal, and we must march in complete sync to that singular goal.”

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