Facts and realities do not favour gov’t in SN ads case

Dear Editor,

Today it is Stabroek News.  Tomorrow it could be the turn of Kaieteur News to feel the blunt blow of the advertising axe.  The day after, in some other form, it could be me or you.  Though not exempt, other publications have friends and patrons and need no helping hand.

First, the public chronology of developments is helpful.  There was: 1) a dunning letter dated May 22, 2019 from Guyana Publications, Inc. (SN) about arrears; 2) a follow-up letter dated August 22, 2019 from SN about prior communication; 3) an article in SN dated September 29, 2019 titled, “DPI cuts state ads to Stabroek News -Editor-in-Chief sees move as attempt to muzzle newspaper;” 4) a response from the DPI in KN dated October 1, 2019, captioned, “Reduction of State ads…Govt and Stabroek News holds conflicting views” and also in SN under the title, “DPI claims cut in gov’t ads to SN due to action on arrears.”

My immediate reaction is that the government took too long to respond to such a sensitive matter (especially at this distrustful hour) and this matter is now heating up.  To begin with, the lengthy silence was tricky; the breaking of it, trickier and not measuring up to a principled posture.  Facts and realities do not favour government; its response lacks some lustre. I focus on a couple of the main points.

The government’s position is that SN had stopped accepting ads, because of huge amounts owed.  SN acknowledged taking such restrictive action.  In an effort at balance here, I think that SN pushed too hard for $22 million.  Though not a massive amount, it is not small change.  Having said this, I know that this is how businesses operate.  Often, they are compelled, if only in self-interest, to draw lines with debtors.  Worldwide, governments are recognized as substantial customers; governments are also the worst paymasters around.  Delays, runarounds, partial payments, among other ingredients, are ever-present portions of the territory.

Take it or leave it.  Sensitive businesses take it for a time, then leave it.  No more ads.  That is, until…  I may not agree, but I understand.  Business does not work like government, where deficits matter little, and the bigger the number the better.  Only the paying taxpayers care; they foot the bill. 

It is reasonable to stop doing business; thus, halting adding to arrears.  Best to send a hard message, to act, to cut losses.  Banks live this way; they take away the house.  Cevons and Puran’s had to do so repeatedly, over garbage hauling.  The city stank.  Ordinary people do, too; through the hammer dropped on deadbeat friends and family members: no more.  Bad blood ensues.  All over, it is: Pay first; return later.

It is the same when dealing with governments.  Now, truth be told, government officials have the perfect solution to thorny problems.  Don’t start back.  Postpone.  Dissemble.  Squeeze some more.  Send own message.  It is most unpersuasive, as these only pour salt during surgery.  Nobody should be fooled.  Stopping to do business because of nonpayment furnishes the rationale to engage in subterfuges of a condemnable nature; sinister shades seen before from government.  And that is the second point which I now emphasize.

According to the coverage in the SN, “the Department of Public Information (DPI)…also announced a major shift in the manner in which ads are being placed.”  On the face of it, a prerogative that sounds like a reasonable marketing strategy and bottom-line business practice.  Here I have a major problem on the execution of this stated vision.

The fact is that the major shift as asserted by the government impacts mainly one entity only: that is Stabroek News.  If it was more evenhanded, not necessarily equal, then that could stand irrefutable.  It does not; therefore, I must differ.  For this so-called “major shift”, in result, is definitely (major) in one direction only and a pronounced (shift) from solely one to elsewhere.  The DPI’s graphic accompanying its story (Oct 1) spreads things across years to appear balanced.  It is not.  For there was a prior statistical table (SN September 29), which reflected the divergence and disparity in ad revenue streams, when compared to competitors, from government (and this is key) versus a baseline of May.  In column/inches, the precipitous decline began in June (just under 90%), July (over 90%), August (an improvement to around 70% under where it was before), and at the time, an incomplete September (over 90% again).  Less column/inches mean much less dollars.

I highlight that May was when GPI (SN) dispatched its demand for payment.  The first blow came in June, and due also to the restriction placed by SN of no money, no space.  But what happened since payment was made?  Why not resumption?  Both sides signaled that matters were normalized: payment, on the one hand, and ads would be accepted, on the other.  Why the continuing fallout?  The glaring targeted fallout?

As the DPI attested, government is reaching to more diverse audiences and far-flung communities; newer platforms, too.  With due consideration to that counter, I stand fast at this bridge: the advertising stretch and pain should have been more diverse, and less concentrated.  Looks recriminatory.  Smells suspicious.  I recognize a spirited and zealous sales job.  I am unmoved, and so should the rest of Guyana.  Does not add up persuasively.  Merely confirms fears of the vindictive through the retaliatory.  This is detestable and highly unacceptable

I bypass claims and counterclaims of who was/is arrogant and self-serving and malicious.  The government erred.  My concern is that this government which I (still) endorse looks too much like the one that I abhorred.

My last word is: having gone there, let it go.  Start over by remedying the situation, marketing strategy or no marketing strategy.  Don’t sell sun (or floods) to Guyanese.  We have had enough of that particular bull.

Yours faithfully,

GHK Lall