Enver Groenwald the SABC's new sales boss as job title is changed to chief commercial officer

Thinus Ferreira

South Africa's public broadcaster has appointed Enver Groenewald as the new SABC boss in charge of sales and replacing Cindy Diamond who left in May, with the job title of group executive of sales also being changed to chief commercial officer.

Enver Groenewald will oversee all of the SABC's advertising and sponsorship sales, as well as SABC TV Licence collections, alternative revenue streams, partnerships and new commercial opportunities.

Nomsa Chabeli, SABC CEO, in a prepared statement about Enver Groenewald's appointment and the job title change, says "The appointment of a chief commercial officer signals a new chapter in the way we approach revenue generation".

"This is not just a title change, it is a strategic shift to ensure every commercial lever works together in delivering value for the SABC and for our stakeholders."

Enver Groenewald says "I am honoured to join the SABC at such a pivotal time in its journey".

"The new chief commercial officer mandate provides a powerful platform to reimagine how we deliver value to our audiences, our clients, and the country at large."

"I look forward to working with the team to unlock the full commercial potential of the SABC and to help secure its sustainability for the future."

Enver Groenewald has held executive roles as Africa director for media at Unilever, CEO at Ogilvy South Africa, CEO at Interbrand Southern Africa, and was general manager for revenue at Arena Holdings when it was known as Avusa, as well as CEO of Ochre Media.

SABC ropes in Arise/365 Digital, Media North and Mediamark to help boost digital ad sales as it continues with retrenchment process of in-house digital sales division

Thinus Ferreira

The South African public broadcaster has appointed Arise/365 Digital, Media North as well as Mediamark as digital sales partners.

The SABC's appointment of Arise/365 Digital, Media North and Mediamark as specialist digital sales companies to try and bring in advertising income for the beleaguered broadcaster comes as the SABC has started a retrenchment process of its sales division staff.

The SABC announced last month that its Section 189 process could affect as many as 180 workers across its various sales divisions, including the broadcaster's digital sales division, with job cuts expected by the end of November.

The Bemawu trade union disputed the number of affected SABC staffers and said that it's not 180 but 262 workers affected by the latest retrenchment process.

The retrenchments will potentially be across the SABC's sales divisions of enterprise sales, corporate sales, government sales, SMME (Small, Medium, and Micro Enterprises), digital sales, sports sales, category management including RAP radio and product management), sales operations, Ad-venture sales, the sales intelligence division, as well as sales governance and the deals team.

The SABC's sales division has been underperforming for years.

About the appointment of the outside agencies, Nomsa Chabeli, SABC CEO, says in a statement "These partnerships are about unlocking greater value for our clients".

"By collaborating with trusted specialist partners, we are strengthening our ability to deliver innovative, multi-platform solutions across radio, television and digital."

"This ensures that advertisers can reach audiences in more impactful ways while benefitting from the growth of our digital platforms and the comprehensive opportunities they provide."

According to the SABC the appointment of these agencies will help with the public broadcaster's latest 5-year corporate plan that is looking to add new revenue streams for the corporation.

According to the SABC its sales partnerships with Arise/365 Digital, Media North and Mediamark as digital sales partners will help with broader market coverage through enhanced representation across the SABC's various digital platforms, as well as its streaming service SABC+, SABC News, SABC Sport, and its video entertainment and radio divisions.

The SABC says potential clients who want to advertise on the SABC will get "Access to experienced digital sales professionals who can respond quickly to evolving client needs" and that these agencies will "work alongside SABC’s internal sales teams, complementing rather than replacing them, to maximise client service and revenue potential".

The SABC notes that it remains "committed to transparency and collaboration, ensuring that all agencies and clients are supported through this transition and have access to the best possible service and opportunities".

Forensic report finds that shocking corruption and irregular discounts by ad reps in the SABC advertising sales division has cost public broadcaster at least R1.5 billion over 18 months.

by Thinus Ferreira

Irregular discounts given by several reps inside the SABC's advertising sales division has cost the beleaguered, cash-strapped and technically insolvent South African public broadcaster at least R1.5 billion over 18 months a forensic investigation into its corrupt SABC Commercial Enterprises division has found.

On Sunday the City Press newspaper reported that a forensic investigation by Nexus Forensic Services uncovered corruption totalling at least R1.517 billion between January 2018 and June 2019 inside the SABC's advertising division.

The investigation that concluded in October 2019 scrutinised the top 35 advertisers at the SABC who were responsible for the bulk of the R6.6 billion in advertising income the struggling broadcaster receives.

At least 17 junior account executives and senior managers at the SABC's sales department gave discounts to advertisers as high as 85% of rate card rates while they all ignored several rules pertaining to how much and when discounts for airtime could be granted.

"These discounts and added value devalue the rate card rates and have significantly impacted on the revenue collected by the SABC," states the forensic report.

The shocking corruption and irregular sales discounts were so bad that one SABC sales representative allegedly provided confidential SABC information to his wife, who was running an agency that advertised with the SABC.

The person was able to spend millions of rand on beachfront properties and 20 vehicles.

Nexus Forensic Services says "We recommend that the SABC consider instituting appropriate disciplinary action against the employee,” recommended the investigation findings.

in December 2019 the SABC fired the former SABC Commercial Enterprises executive Tshifhisa Mulaudzi after he was found guilty on a variety of charges including corruption, dishonesty, and failure to act in the best interest of the SABC.

Tshifhisa Mulaudzi also received an international trip to China in May 2018 as well as a job for his wife from a company with a big advertising contract with the SABC. Disciplinary hearings have also been brought against three other employees. Malaudzi denied any wrongdoing.

The SABC in a statement says "Tshifhisa Mulaudzi faces 11 charges of misconduct, including fraud, corruption and doing business with his wife's company without declaring this to the SABC."

"He was found guilty on all 11 charges and the chairperson of the disciplinary hearing recommended his immediate dismissal from the corporation."