Fairfax Austereo to become rivals but not in cyberspace

radioinfo reported recently on news that Austereo and Fairfax Digital announced they would share online content and technology, including all Austereo websites being hosted on Fairfax Digital’s platform.

It has now been revealed in the Sydney Morning Herald that more of Austereo’s content, such as its football coverage and its chart show Hot30, will be placed onto Fairfax’s websites, as well as using the radio group’s stations to cross-promote new ventures.

This relationship continues despite the fact that Fairfax has announced it’s intention to buy Southern Cross Broadcasting’s Metro stations. Austereo CEO Michael Anderson is very relaxed about the business arrangement.

“We don’t expect there will be any changes to our commercial arrangement, we’re extremely happy with our deal. It’s been a great enhancement, both to our sales and our online engagement with our listeners.”

Fairfax Digital chief executive Jack Matthews expressed the same sentiments when questioned about the arrangements.

These are very different audiences and, if anything, we see it at best as complementary, and at worst just not relevant to the Southern Cross deal.”

Leigh Terry, managing partner at media buyer OMD, said the arrangement with Austereo was a “double win” for Fairfax.

“Not only are they are extending their potential in terms of their existing base by going into radio, they are going into new territory with the Austereo deal, that takes them into new demographics and new advertisers.”