-- Open letter from the Editor in Chief
Popular ABC media show MediaWatch is investigating automotive media outlets. It's believed the program is preparing a story regarding disclosure in auto journalism.
A researcher from the television program contacted the Carsales Network this week. The researcher asked this writer a series of questions regarding the logistics of new car launches, both international and local. In particular, the researcher asked questions regarding who pays for the cost to attend launches and other events.
A further series of questions was asked regarding the recent MX-5 Ice Race event in Sweden.
I have since confirmed MediaWatch also contacted at least two auto manufacturers -- in particular Mazda (which hosted the Ice Race event) and Mercedes-Benz. In addition to the Carsales Network, MediaWatch contacted News Limited's auto arm CARSGuide and Fairfax's Drive.com.au division.
Typically car manufacturers and distributors pay the costs to transport, accommodate and cater for journalists at new car launches and other major events. Local launches are usually one to two-day events, however, with travel time, international launches and other events such as motor shows and the like may see journalists travelling for the better part of a week.
The reason for MediaWatch's contact is it contends that automotive editorial outlets should declare the fact manufacturers pay for participants' accommodation, travel and so on. MediaWatch researcher Steve Skinner likened this form of disclosure to those already made in some newspapers' travel sections.
To set the record straight, it is common practice worldwide for manufacturers and/or distributors in a whole range of fields to invite specific media outlets and host them at product launches and other events. Boeing does it when it rolls out a new aircraft and clothing houses bring the fashionistas from around the globe to the various [choose your own city or sponsor name here] Fashion Weeks...
With some very rare exceptions (especially in the motoring world), without manufacturer assistance media outlets would not be able to afford the cost of attending such events. Indeed, around a decade ago one prominent Australian media outlet sought to follow the example of the Wall Street Journal (one of the few worldwide that consistently espouses the practice of paying its own way) and pick up the costs to attend all automotive events. The accountants soon cried enough.
In today's even more active automotive market, with in excess of 45 brands operating locally, the number of events the Carsales Network team is invited to attend easily tops 120 per annum. The choice for us is simple: accept manufacturers' assistance to attend events; or refuse and attend a very limited number of events.
Far be it for me to speak for MediaWatch but the implication appears to be that by accepting manufacturers' 'hospitality' somehow the independence or relevance of the material produced (car reviews, interviews, news and in our case, rare features stories) is compromised. In my experience (almost 20 years across motorcycles, marine and automotive), that's not the case...
Simply, it is not common practice for automotive media outlets to specifically disclose manufacturer assistance when attending new vehicle launches and the like. To the best of the writer's knowledge, no mainstream automotive websites or magazines in Australia, the UK or the USA does so.
Like the Carsales Network, however, they typically have a formal editorial policy that deals with such issues as conflict of interest and the labelling of sponsored content, as well as other issues. Our editorial policy does not exclude us from accepting manufacturer-funded travel for the purposes of attending appropriate events. Nor should it, for the reasons outlined above...
But MediaWatch may have a point... Though it seems to me unlikely that the majority of consumers are not aware that manufacturers pay the cost to get media outlets to events, we're happy to clear up any confusion.
To this end we have taken the step of adding an additional statement to the disclaimer that appears at the foot on every editorial page across Carsales' Network of automotive sites. The disclaimer reads in part: "In most cases, the Carsales Network attends new vehicle launches at the invitation and expense of vehicle manufacturers and/or distributors".
My question to our readers: Does any of the above make any difference to your perception of our content? I'm genuinely interested in receiving your thoughts directly [email to: mike.sinclair@carsales.com.au] or via our DISQUS commenting system below.
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