Basic HTML Version
/
17
APN
annual report
2011
Expanding our portfolio
APN is continuing to build a
portfolio of high growth digital
ventures, working in partnership
with entrepreneurs. During
2011, we expanded the portfolio
with strategic investments
including GrabOne, CC Media
and Jimungo.
digital
During 2011, APn invested to
accelerate its digital capabilities
and as a result it has built
significant digital revenue and
earnings momentum.
APn’s new digital team is
implementing a digital strategy
with a dual approach.
Firstly, APn is expanding digital
capabilities in existing assets,
with a focus on mobile, video,
social, ad product and data
analytics. Initiatives are being
developed by the divisions
with expert support from
a centralised digital team.
this allows APn to drive this
innovation in a coordinated,
cost effective and customer-
responsive way.
the team has made a strong
contribution to digital
achievements, which has
resulted in APn more than
doubling its group-wide digital
revenues to $33.7 million in 2011.
examples include the launch
of 27 regional mobile sites and
rapidly growing video audience
(up 66%) and video advertising
(up 100%) on nzherald.co.nz.
Secondly, APn is continuing to
build a portfolio of high growth
digital ventures, working in
partnership with entrepreneurs.
In 2011, APn expanded its digital
ventures portfolio by increasing
its investment in grabOne to
75%, taking a controlling position
in CC media and acquiring the
online sports tipping platform
Jimungo. APn also invested with
digital incubator Pollenizer to
explore new digital opportunities
alongside APn’s existing media
assets. this includes a seed
investment with Friendorse,
a neighbourhood based
community recommendations
site for local businesses.
APn also exited digital ventures
eventfinder and Finda as they
were inconsistent with ongoing
strategy. APn continues to use
the digital platform developed
for Finda to underpin its
regional websites.
Overall, the digital ventures
portfolio has performed well
during the year, particularly
grabOne and CC media, which
are now both profitable.
grabOne is the largest online
daily deal site in new Zealand
with approximately 70% market
share. In 2011, grabOne sold
more than 2.1 million coupons
valued at $51 million and more
than doubled its revenues
between the first and second
half of the year.
Over the last 12 months,
grabOne has expanded
rapidly from one deal per day
in Auckland, to more than 100
deals per day in three countries
and 23 regions. grabOne has
created seven verticals, such as
grabOne escapes and grabOne
Home and gardens, and
launched grabOne Instant.
CC media is Australia’s leading
online retail advertising network.
Its inC digital distribution
network reaches around 6 million
unique viewers per month and
for the 2011 Christmas period
CC media delivered more than
2.2 million digital catalogues
for retailers.
APN believes the
digital media industry
is entering an exciting
phase in its development,
where substantial value
will be created. APN
is approaching this
opportunity by making
measured but significant
investments across
a portfolio of digital
businesses in areas where
value is emerging.