It’s no surprise that advertising isn’t quite the engine for media companies that it once was. Horsepower is leaking away as print circulations shrink and digital ad spend is hoovered up by platforms rather than publishers. At Digital Media Strategies ’17, a panel of media experts from Hearst Magazines UK, Dennis and Future Plc discussed the need to move away from an overreliance on advertising and discover new revenue streams.
Future Plc’s chief financial officer Penny Ladkin-Brand began the morning sessions by explaining the situation as succinctly as possible, saying: “There’s a lot of headwinds around digital advertising right now. That’s why we’re focusing on diversifying our product portfolio”.
Consequently, she notes that Future Plc has been focusing on acquisitions that promote new revenue sources, noting that its acquisition of Team Rock earlier in the year was driven in large part by its pre-existing membership service.