New data shows ABC’s advertising spending soared in the 2023/24 financial year
The taxpayer-funded broadcaster has increased its advertising spending by 33 per cent in the past 12 months, as it deals with declining audiences.
The ABC’s spending on advertising, promotions and audience research has soared by more than 33 per cent in the past 12 months, increasing to $21.41m despite the public broadcaster registering a sharp decline in audiences.
New data obtained under freedom of information showed in the 2023/24 financial year the ABC splashed $12.52m on advertising, $1.39m on promotions and $7.5m on audience research. On advertising alone, the ABC’s spending spiked from $8.29m in the 2022/23 financial year to $12.52m, an increase of 51 per cent.
The latest data, obtained by the Institute of Public Affairs, comes after former ABC chair Ita Buttrose criticised the broadcaster last week, saying one of its biggest challenges was being able to provide Australians with “what they want”.
The figures also show that in June this year, the ABC spent $2.44m on advertising alone — the highest amount for any month in more than two years.
In the past 12 months the ABC’s advertising has been seen across the country on billboards in major capital cities, at public transport hotspots and on social media platforms.
Despite this investment, the ABC’s audience continues to fall — in its 2022-23 annual report the total number of weekly users to all of its website and apps was at 13.09 million, down 23 per cent.
The IPA’s deputy executive director Daniel Wild said the ABC was wasting money on promoting itself instead of focusing on providing diverse views held by Australians across its platforms.
“The ABC is no longer an institution of cultural importance in Australia, as it once was,” he said.
“The ABC fails to represent the diverse views of the community, despite receiving billions in taxpayer funds each year.
“Australians have little faith in the independence and integrity of the taxpayer-funded broadcaster. Spending millions of taxpayer dollars to promote itself will not change this.”
The ABC’s latest annual report shows that in the first year of the five-year funding cycle introduced by the Albanese government last year, its total funding was $1.138bn.
ABC chair Kim Williams made headlines in June after he called for an increase in funding to help the broadcaster achieve its “renewal”.
“Of course, achieving our goals will also take something else. Something you have probably guessed. Investment,” he said. “We all know greater investment will be needed.
“The ABC is an investment in Australia’s future because a revitalised ABC will be a source of great national strength. Such an investment will repay itself over and over and over again.
“I am confident that we at the ABC can make the case for it. The budgetary outlook is tight; however the rationale is plain.”
Mr Wild said there was “little justification” for the ABC to increase its spending on advertising and promotions in order to compete with commercial organisations. “ABC funding is increasing every year, but ratings are falling, which shows that there are deep structural and cultural problems at the national broadcaster,” he said.
A spokesman for Communications Minister Michelle Rowland said in a statement: “The ABC has operational and editorial independence. Questions about ABC advertising and research spending is a matter for the ABC.”
The ABC was contacted for comment, but did not reply.
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