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Tuesday, October 8, 2024

Shortcomings in Council ad process


The wording of Murrindindi Council’s tender process for advertising services appears to favour certain media operators in the Shire, and to disadvantage others.

A tender process has been established by the Council to set up a panel of selected advertising space providers over coming years.

Council’s advertising costs in the 2017-18 year totalled $138,171. Most past advertising has been placed with Alexandra Newspapers Pty Ltd, publishers of The Standard and The Chronicle newspapers.

The Council’s document starts with an incorrect statement: “There is no single newspaper that covers the whole region”.

The Local Paper covers the entire the municipality, with a distribution of more than 70 outlets.

The tender is being split into two tiers. Council says future Tier 1 suppliers are “likely” to be paid newspapers, have a paywall and “publish more than one newspaper in the Shire”.

The Standard (1534 circulation) and The Chronicle (547 copies) are the only “Charge for print” newspapers in the municipality.

They are the only outlets to have a paywall (which leads an extremely small online readership).

They are the only company to “publish more than one newspaper in the Shire”.

On the other hand, The Local Paper (published by Dindi Media) has 3675 average print circulation, and 35,361 hits at its websites during February, far exceeding any other print media operator.

“Readership and reach of publication across (the) Shire” is only a small factor in the Council’s evaluation criteria.

Readership and publication reach – the aim of most advertising – accounts for only 5 per cent of the ‘weighting’b y the Council.

Other factors are price (40 per cent), capacity to deliver (20 per cent), capability to deliver (15 per cent), relevant experience (10 per cent), and on time delivery (10 per cent).

Website-only operators are unlikely to win selection to the advertising services panel being set up the Council.

Tender documents became available last Thursday (Mar. 7). Briefings will be held on Monday next week (Mar. 18) at the Council’s Alexandra offices.

Tenders close at 3pm on Thursday, April 4, using the Tendersearch platform. An evaluation team will consider the responses.

Applicants are required to complete a statutory declaration, and are not permitted to try to influence the outcome.

The contract is for two years, with further one year plus one year optional extensions.

“Council is committed to buying from suppliers based in the Shire of Murrindindi and will give preference to these suppliers where their price is within 5 per cent of the highest scoring value for money offer and they have demonstrated that they can meet Council’s requirements with minimal risk.”

Tier 2 suppliers are “likely” to be less frequent publications (“fortnightlyor monthly”), “reach a smaller audience”, and “have mainly volunteer staff or permanent staff who work only a few days per week”, and “produce a printed newsletter-style publication (as distinct from a newspaper”.

“Council would consider favourably bids by Tier 1 suppliers with a commitment to adhering to Australian Press Council standards,” says the tender document.

Tier 1 suppliers are required to have public liability insurance of $5 million, professional indemnity insurance of $5 million and adquate Work Cover insurance.

Council seeks to make payments from monthly invoices.

Murrindindi Shire Council says it will consider “favourably” Tier 1 suppliers “with membership of an accredited press association (either the Australian Press Council or the Victorian Rural Press Association).”

No organisation by the name of ‘Victorian Rural Press Association’ exists.

There is an organisation called Victorian Country Press Association. only Alexandra Newspapers Pty Ltd is a member.

Dindi Media (Local Media Pty Ltd) proprietor Ash Long was a member of VCPA from 1984-93. He won its statewide Best Local Reporting award.

Long’s companies have also held past membership of organisations such as the Australian Rural Press Association, and Allied Community Newspapers, and he was a member of the National Promotions Committee of the Australian Suburban Newspapers’ Association.

He is a former judge of the National Awards of ASNA.

“A number of the sections of Council’s tender document are clumsy. Murrindindi Council should be chasing best value for money for its advertising dollars, but it says that readership and reach is only a 5 per cent factor in its considerations,” Mr Long said.