East Africa’s largest media group by reach and product portfolio Nation Media Group (NMG) has acquired KenyaBuzz and UgandaBuzz, an events and movie ticketing platform in a move to diversify from general news and build new revenue earners.
The 10 year old events and lifestyle platform was founded by Alix Grubel and its acquisition is a ray hope for both the founder and the team which might help it expand and build a stronger brand than its struggling former self. Online advertising is yet to pick up in Africa and online only platforms are just beginning to monetize.
Classifieds platform such as OLX, which is owned by Naspers and PigiaMe, which is run by Ringier last year unveiled paid for featured posts to bolster their revenue streams. Google and Facebook and YouTube have a bigger share in online ads spent even though most of their content is user generated forcing classifieds and digital platforms to either be creative or go home.
With this acquisition, NMG needs to add platforms such as KenyaMoja.com and Ghafla to reach the digital first generation. Compared to Naspers which also began as a media house, NMG has failed totally to build its own digital platforms and it recently lost interest in its classifieds platform NSoko and fired the team running it but with the renewed interest, NMG might still grow up from news publishing to more verticals such as eCommerce, payments among others.