Lecture Seven

Commercial Media. 

This lecture coincided with next weeks lecture - Commercial Media vs. Public Media (next week). 

• The Australian Media Landscape

• Why does Commercial Media exist?

Commercial Media exists as the eyes and ears to advertisers. It is the money makers for both television broadcasters and advertisers. It is a great way for TV to make money off advertising and a great way for advertisers to capture their targeted audience's attention and show off their goods and services.

• What is Commercial Media?

Profit-driven media production

Not government funded (or license funded)

It survives or fails on business success

Its business is generating ‘audiences’

Audiences generate profit through selling advertising

• What do the major players produce?

Major players include: Foxtel, Nine News, News Limited, 20th Century Fox, Fox Sports, Sky News etc. 

Major players produce: Newpapers, film, Cable TV, Magazines, Books, Sports, Radio etc.

• The Form and Function of C.M.

FORM - Commercials - Subscription (Foxtel), Sponsored (9 News), Subsidised (government $$)

Social responsibility of The Media in a Democracy:

1.a truthful, comprehensive, and intelligent

account of the day’s events in a context which

gives them meaning;

2.a forum for the exchange of comment and

criticism;

3.the projection of a representative picture of the

constituent groups in the society;

4.the presentation and clarification of the goals

and values of the society;

5.full access to the day’s intelligence.

(Hutchins Commission 1947)

How do we keep Commercial Media under control? 

1. Formal State Requirements

2. Legal Prescriptions 

3. State Oversight 

Statutory Control: Australian Government - Australian Commercial and Media Authority

Voluntary Control: Australian Press Council

FUNCTION - Commercials (Austereo), Propaganda (Fox News Channel), Social 

The ‘first duty [of the media] is to shun the temptations of monopoly.Its primary office is the gathering of news.At the peril of its soul it must see that the supply is not tainted.Neither in what it gives, nor in what it does not give, nor in the mode of presentation must the unclouded face of truth suffer wrong.Comment is free, but factsare sacred.

C.P. Scott (Editor / Owner of The Guardian)

• Challenges for Commercial Media

There is a decrease in the need for broadcasting media and therefore revenue for this kind of media continues to slide down. Loss of revenue means less investment, less money for quality production, more brought-in content, and more repeats of sitcoms and reality TV.

• The Future of Commercial Media?

Commercial Media needs to focus less on their revenue from advertising and more on improving the products that they have to offer. Consumers will pay more if they are getting better quality picture, shows, and service. If they improve their image and content then they will make more money off selling their product to existing and new consumers. They can move their existing consumers to digital TV with will satisfy their customers and ultimately produce more revenue for them in the long run. They can also introduce more Paywalls on the internet. 

After this summary of the lecture, we can see that Commercial Media mainly serves the purpose of making money through advertising and bringing this advertising the the attention on consumers. However, the decline in demand for media advertising has meant less revenue for broadcasters. What effect does this have on Journalism? Well, the news we produce will usually end up on one of these channels, in a newspaper or magazine which survives on the help of Commercial Media. If Commercial Media dies out, then so will these mediums in which we need to publish our work.