MELBOURNE: Fairfax Media has gone into damage control and sent a letter to real estate advertisers asking if they will continue to advertise in The Melbourne Weekly Magazine, ahead of the launch of Metro Media's The Melbourne Review.
The letter, signed by Fairfax chief executive and publisher Don Churchill, has been sent to more than 20 Melbourne real estate agents, and was prompted by media reports that advertisers had entered partnership arrangements with the former head of marketing at The Age, Antony Catalano and his publication, which was unveiled this week.
In the letter, Churchill urges his clients to disclose their agreements with the new publication, and indicate whether they will continue to place advertising with The Melbourne Weekly, which derives most of its revenue from real estate advertisers.
"As an important advertising client of Fairfax Media, and in particular The Melbourne Weekly Magazine we are obviously interested in better understanding your intentions. As you will appreciate, your advertising is important to us for the maintenance of our business.
"To that end, can you confirm the reports that you have entered into some arrangement - whether through a shareholding or other financial interest or as an advertiser - with the new publication? Can you tell us when the new publication will first be published?"
The Melbourne Review was unveiled this week as a weekly high-end glossy lifestyle magazine which will be delivered to affluent areas of the city. More than 20 Melbourne real estate agencies have taken shares in the venture, including Fletchers, TBM, Hocking Stuart, Bennison Mackinnon, RT Edgar, Woodards, JR Buxton, Gary Peer & Associates, Jellis Craig, Kay & Burton, Marshall White, Abercrombys, Hodges, Noel Jones, Christopher Russell, Williams Batters and McLaren.
Churchill was non-committal when AdNews asked him to confirm speculation Fairfax had been discounting rates ahead of the competitor's launch, saying; "We do not disclose our client arrangements. At any time, as with any other media company, we can have various offers in the market that clients can take advantage of."
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