New South Wales government print contractors are set to face another setback with the NSW Government Media Agency Services cutting around $24m from its traditional (print) advert spend in favour of digital communications.
The government says, “Whilst availability of traditional advertising agency creative services are still critical to some customers, the delivery of government information through new and cost efficient digital channels is increasing in importance and thus government requires access to expertise in this area.”
The $92m a year NSW Government Media Agency Services agreement is currently being prepared for renewal, this is the agreement that manages all state government communication to the public.
In October 2012, The NSW government made cuts to the printing sector, as it switched about 50,000 copies of its annual report from printed versions to online, costing the print industry $2m in lost work.
It also plans to further cut print spending under proposed budget cuts announced by Penny Wong, minister for finance and deregulation, who has already chopped some 5 per cent, or $6m, from the federal government/s print spend.