Strategy Management

Tempo Magazines

Strategy
Managem
ent
Tempo Magazines

Josephine Moira
2015
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Tempo Magazines

Contents
Introduction........................................................................................................... 3
The History of Indonesia Newspapers....................................................................4
Indonesia Press Reformation..............................................................................5
Company Profile..................................................................................................... 6
Tempo History........................................................................................................ 7
Tempo Unit Business and Product..........................................................................8
Tempo Magazine................................................................................................. 8
Tempo English Edition......................................................................................... 8
Tempo Daily Newspaper..................................................................................... 8
Travelounge........................................................................................................ 8
Komunika............................................................................................................ 8
Aha! Magazine.................................................................................................... 8
Tempo TV............................................................................................................ 8
Tempo Radio (KBR68H)....................................................................................... 9
Tempo.co............................................................................................................ 9
Indonesia Media Network Structure.....................................................................10
Figure 3: Network Structure of Media Ownership in Indonesia......................10
Figure 4: Twelve Major Media Groups Indonesia............................................10
The End of Tempo Print Media Industy?...............................................................11
Table 1: Number and Circulation of Indonesia Media.....................................11
Figure 1: Number of Indonesia Media............................................................12
Tempo Advertising............................................................................................ 12
Table 2: Tempo Ad Revenue 2009 2012......................................................12
Media Channel..................................................................................................... 13
TempoTV........................................................................................................... 13
Online Media........................................................................................................ 14
Figure 2: Indonesia Internet User (in million).................................................14
Tempo Online Media......................................................................................... 15
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Tempo.Co....................................................................................................... 15
Conclusion........................................................................................................... 16
Bibliography......................................................................................................... 17

Introduction
The newspaper was first published in Strasbourg, Germany in the 17th century. The
weekly newspapers, called the Relation, commenced publication in 1605 and survived
for more than 70 years. It took many more years before newspapers started appearing in
other countries.
In Indonesia, the newspapers grow and have their own role in society today. History
records that the product is Johann Gutenberg's printing press, has taken a significant role
in the development of Indonesian newspapers of various aspects of association as an
influential mass media in society.

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The History of Indonesia Newspapers

The history of newspapers in Indonesia is divided into two rounds. The first round was the
white round, because it was happen when Indonesia was still in a state colonized by
Dutch colonialism. It called white because the paper round at the time was absolute
property of the Europeans, the Dutch-speaking and Dutch-language intended for readers.
The content revolves around the lives of the people of Europe and has no corresponding
native life. This round took place between the years 1744-1854.
Since the first newspaper published in Batavia Bataviase Nouvelles in 1744, the
Indonesian press is never free from restraint. To resist the colonialism, it came a term
"press struggle" media. Knowing this, the Dutch colonial government started policy to
require a license or censorship of press publications in Batavia, Semarang and Surabaya.
Since then, the opinion on press freedom was split. One party rejected the permit issue,
censorship and bans, but on the other hand said that the control of the press needs to be
done.
The colonial government leave a number of rules that were brought even after Indonesia
Indepedence. The rules are as Druckpers Reglement (Press Law) issued in 1854, Haatzaai
Delicten (Mass Communication Law Criminal Law) in 1856 or Persbreidel Ordonnatie
released in 1931. It all contained a clear control of the press.
Although it has been removed by the Law No. 23/1954, the Indonesian press does not
mean free from deprivation. As said current president at that time, Sukarno, while
inaugurating the Supervisory Board and Executive Board of Antara News Agency on
October 15, 1952, "I do not want an objective news broadcasts, but our revolution and hit
the enemies of the revolution." Therefore, the press that not related to the revolution
were all eliminated. So not surprisingly, actions, allegations and media bans happen
many times.
As in 1952, has taken ban action against two newspapers, Merdeka (Freedom) and Berita
Indonesia (News Indonesia), and 12 other charges against the press. Allegations of
violations by the same amount also occurred in 1953. In 1954 only 8 actions happens
then increased again in 1955 with 13 actions and 32 actions in 1956.
The worst was on March 14, 1957 when Indonesia launched SOB Staat van Orlog en Beleg
or state of emergency, when there was separatist movement in some areas. At that time,
there were 125 acts against the press, including the closure of three news agencies,
banning 10 newspapers and detention of seven journalists.
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The press was developed in New Order government. Banning, censorship, and the need
to issue the license is officially banned by Press Law (article 4 and 8, paragraph 2), with
article 33H presenting Press Publication Business Permits (SIUPP) to restraint the press.
The publication permits (SIUPP, Surat Izin Usaha Penerbitan Pers/Press Publication
Business Permit) for national news magazines were only granted to those who had close
connections to the President or political establishment.
The banning of Tempo, CNN, Editor on June 21, 1994, indicating the inability of the legal
system of the press to develop the concept of a free press and legally responsible. Three
press media Sinar Harapan, Priority and Monitor were all banned without trial.

Indonesia Press Reformation

When Soeharto relinquished power in 1998, policies on the press and the media in
general were subsequently revisited and revised. New newspaper and other media began
to emerge and those once banned such as Tempo returning to business. This period can
be seen as one of revival for media particularly the press industry.
Since that turning point, the Indonesian press can spread the news transparently without
concern their business license will be revoked. No need to be afraid anymore to show
controversial figures who sued or at odds with the government. Likewise, no need to
hesitate anymore to present the news or reports previously considered at risk.
Following the trend of the current media delivery, Indonesia no longer outdated in both
remote printing, and use of the Internet. Some newspapers such as Kompas, Media
Indonesia, Republika, Koran Tempo, Sinar Harapan, Bisnis Indonesia and many others,
have been able to read through a computer screen. Not only based on newspapers and
magazine, theres also news media that directly inhabit virtual network like detik.com,
okezone.com, vivanews.com, and many more.
The role of the Internet as an alternative media when the media in the country haunted
by fear after the banning of Tempo, CNN and Editor is quite significant. Through the site
Apakabar, IndoKini or Indonews, both opinions and stories that can not be published can
be read.

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Company Profile

PT
Tempo
Inti Media Tbk is an
Indonesiabased media company
primarily engaged in the production and publishing of news. The business is classified
into two segments: publishing and printing. Its flagship product is Tempo, a weekly news
magazine. It also publishes Koran Tempo, which is a daily newspaper; Tempo English,
which is an English edition of Tempo, and Tempo.co, which is an online news portal. Some
other products of the Company include Majalah Aha!, a monthly children magazine, and
various lifestyle magazines, namely Travelounge and KOMUNIKA. The printing business is
operated by its subsidiary, PT Temprint.
Tempo was famous because its sharp and critical written news. Therefore, in Tempo news
always elicit a reaction from the authorities. This proves that the Tempo prefers
independence, although it is not something that is lightweight and easy.
Since reissued, with annual harmonize energy experience with young blood, it is not easy
for Tempo to be able to lead magazine industry in the middle of the competition. But now,
Tempo magazine has again serving approximately 535,000 readers from readers who
remain loyal, simultaneously captivate young readers from among the urban upper
middle.

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Tempo History
One day in 1969, a group of young people dreaming of making a weekly news magazine.
As a result, there appeared a weekly news magazine called Express. Among the founders
and managers of the beginning, there are names like Goenawan, Fikri Jufri, Christianto
Wibisono, and Osama. However, due to the difference in principle between the editors
and owners of major capital, there was a split.
In another corner of Jakarta, Harjoko Trisnadi was having problems. Djaja magazine,
owned by the Government Special Capital Region (DKI), which manages since 1962 was
couldnt published.
Faced with these conditions, employees Djaja wrote a letter to the Governor of Jakarta at
the time, Ali Sadikin, asked for Djaja magazine to be privatized and run by the Foundation
Jaya Raya (a foundation that is under the city government of Jakarta)
Then there was tri-conflict between Jaya Raya Foundation that led by Ir.Ciputra, former
Express magazines people and former Djaja magazines people. That result in agreement
of establishment Tempo magazines with PT. Grafitti Press as its publisher.
Why the name Tempo? According to Gunawan Leader Editor at that time, its because this
word is easily spoken, especially by the retailer. Well suited to the nature of a periodic
media publication, ie weekly. Maybe also because it is close to the name of the news
magazine published by the United States, Time, because Tempo in English related to
time.
With an average age of managers who still 20s, Tempo looks different and socially
acceptable. By prioritizing the news coverage honest and balanced, as well as writings
presented in an interesting and witty prose, Tempo accepted by society.
To increase the scale and the ability to the world of business media, then in 2001, PT.
Arsa Raya Perdanago went public, from that it was born PT. Tempo Inti Media Tbk.
(PT.TIM) as the new Tempo magazine publisher. In the same year (2001), was born daily
Tempo newspapers which competed in the daily media.
Distribution of information under PT TIM Tbk, continues to grow with the advent of new
products such as Tempo English Edition, Travelounge (2009) and Tempo Interaktif- which
later became tempo.co and Tempo News Room (TNR), news agencies that serve as the
center of the news media Group Tempo. Tempo also tried to grow the television business
by establishing Tempo TV, in cooperation with the radio news agency KBR68H.
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Tempo Unit Business and Product

Tempo Magazine
First published on March 6, 1971, the weekly news magazine Tempo consistently reveals
the facts behind the news through investigative following coverage. Assignment mass
media is close to the truth, also filter the correct information from the "flood of
information" that is now happening. Tempo Media Group wants to continue act as a
"clearing house of information". After its consistency that is held firm for almost 4.5
decade, Tempo became the leading media running the investigative reporting of each
rubric. The result in various magazine reports, among them was the investigation of
corruption and political scandals and legal, while also paid great attention to the issues of
education, environment, arts and culture, and human rights.

Tempo English Edition

Tempo English edition called Tempo Magazine on 12 September 2000. English edition is
published every week, two days after Indonesian edition published. For their circulations
7.000 copies in its first edition.

Tempo Daily Newspaper

On Tempo anniversary of 30th on April 2, 2001, Tempo released Koran Tempo, a daily
newspaper. The result is remarkable, in Jakarta, Tempo managed to be ranked second in
the Kompas.

Travelounge
First published in November 2010, Travelounge not only about travel writing. Some of the
columns also show modern lifestyle articles of interest, such as the Fine Dine, which tells
the story of a unique and delicious meal, Travel Guide, which contains guidelines visit an
area with a variety of attractions, complete with a choice of accommodation, also rubric
Culture, which tells of the traditions and cultural detail in certain areas.

Komunika
KOMUNIKA magazine officially published for the first time in November 2011. This
publication is a collaboration between TEMPO MEDIA GROUP with universities. In terms of
content, the magazine KOMUNIKA designed as Student Life Style Magazine. With this
concept, the magazine has two types of content, which is the first information (article)
about lifestyle and trends that are happening in the university world.

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Aha! Magazine
Children's magazine is published and managed by Tempo Media Group, which is intended
as a reference supporting elementary school students in grades 4,5 and 6, with the
concept of serving the informative, concise and easy to digest children.

Tempo TV
TempoTV is a journalism-based content provider. Until now, TempoTV has produced
hundreds of episodes of programs broadcast by various local TV. In addition to making
television programs, TempoTV also serve good documentation of companies, educational
institutions, and NGOs.

Tempo Radio (KBR68H)

Tempo has a long history and experience in the field of journalism in Indonesia, while
KBR68H, although relatively new media, has managed to build a network with more than
900 news radio in Indonesia, Australia, and a number of other Asian countries.

Tempo.co
Originally TEMPO.CO news portal was born with the name Tempo Interactive
(www.tempointeraktif.com). Portal is a news portal pioneer, since 1995 present to answer
the needs that are able to present information that is "easy to read and can be trusted".

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Indonesia Media Network Structure

Figure 3: Network Structure of Media Ownership in Indonesia

Source: Mapping the landscape of the media industry in Indonesia

Figure above shows the structure of the concentration of media ownership in Indonesia,
which is dominated by the twelve biggest groups show below.

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Figure 4: Twelve Major Media Groups Indonesia

Source:
Mapping the landscape of the media industry in Indonesia

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The End of Tempo Print Media Industy?

The newspaper industry, just like television and multimedia, is a profitable one, but it is
starting to get left behind. The younger generation are more apt to believe in blogs and
online media. Adjusting to the new technology, newspapers are also expanding their
news to online media, making online news and applications that can be accessed
anywhere, anytime as long as an Internet connection is available. This online version of
print media has been booming over the past five years, since they also provide channels
for citizen participation by means of comments and feedback, as well as dedicated
channels for readers.
Reading a newspaper online and through links is faster for keeping updated. Moreover,
online media spread news and information in real time, faster than print media.
Does this mean the beginning of an end to print media? Apparently not.
Overall newspaper circulations in Indonesia still show an increase from 20 million in 2010
to 25 million in 2011.
In 2010, the Press Council noted the number of print media (newspaper, magazines,
tabloid) in Indonesia reached 1.076 pieces with circulation of approximately 21,5 million
copies. Ten years ago, the number of new print media were only 289 pieces with
circulation of 14.5 million copies.

Table 1: Number and Circulation of Indonesia Media

2008
2009
Media Circulation Media Circulation
Bulletin

3
318

7.809
5.925.857

3
322

7.809
6.234.357

290

7.490.252

302

8.080.694

224

1.039.853

232

1.063.353

173

4.621.055

177

5.427.955

1.008

19.084.82
6

1.036

20.814.16
8

Magazines
Daily news
Weekly news
Tabloid
Total

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2010
Media
Circulatio
n
5
33.809
294
6.235.24
3
349
8.744.48
3
240
1.084.07
5
188
5.400.80
3
1.076
21.498.4
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Source: Indonesia Newspaper Publisher Association, June 2010

Figure 1: Number of Indonesia Media
In

addition, the time to read print media now also decreased. In June 2009, survey of 15
cities in Indonesia by SPS (Indonesian Newspaper Publisher Association) shows that
average time to read daily paper just 34 minutes per day, magazine 30 minutes, and 27
minutes average for tabloids.

Tempo Advertising
Profits in print media companies have also increased we cannot see that this will end in
the near future. For example, the profit of the Tempo magazines increase from 1,4 billion
rupiah in 2009 to 5,3 billion rupiah in 2010.
According to Tempo report in 2011, in the competitive world of advertising are
increasingly tight and competitive, ad performance in 2011 was quite impressive.
Revenue recorded an increase of 16 percent from the previous year. The largest
contribution comes from the Tempo Newspaper which reached 17 percent.
While Tempo report in 2012 shows the ad revenue of both Tempo magazines and
newspapers keep increasing year to year. The ad revenue for its print media still strong.
Table 2: Tempo Ad Revenue 2009 2012
2009
2010
Tempo
52.981
62.387
Magazine
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2011
71.296

2012
77.491

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Tempo Magazines

Tempo News
Total

37.068
90.050

50.686
113.073

Source: Tempo Financial Report 2012

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59.318
130.614

62.056
139.547

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Tempo Magazines

Media Channel
In the media business, profit comes from the content through advertising. The
development of the media industry depends on the advertising which keeps the industry
alive. Indonesia has the highest advertising expenditure in South East Asia, which
increased 24% from USD 1.7 billion in 2010 to USD 2.1 billion in 2011.
There are no particular regulations on advertising, particularly in the media. The more the
content is consumed by the audience, the more profit the media gain.
Today, production houses and advertising agencies cannot be separated from the media
company itself. In fact, media companies also have their own in-house production and
advertising agencies. MNC Group, for example, has its own content producer called MNC
Pictures and Innoform Media, in addition to its own creative agency Star Media
Nusantara. Some news media groups, in response to this, have created their own content
provider.

TempoTV
Tempo has its own journalism based content provider called TempoTV. Unlike MNC, which
focuses on sinetron, TempoTV focuses on producing content for local television stations
and documentaries for non governmental organization.

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Online Media
In the mid 1990s, the boom of the Internet became a trigger for the birth of online media
in Indonesia. The first newspaper to have an online version was Republika in 1995, but at
that time Republika online did not progress very well since it was only an extension of its
print version. When the print edition of Tempo magazine was banned in 1994, its
publishers created an online version of the magazine, tempointeraktif.com, also in 1995.
Its growth began to increase after the fall of Soeharto in 1998, the same year that
detik.com - later to become the largest online publication in Indonesia - was established.
In the intervening years, almost all media groups have established their own online
media presence, and the number of online media publications is increasing.
As shown in Figure below, since the beginning of Internet boom in the 2000s, the growth
of Internet user keep increasing,
Figure 2: Indonesia Internet User (in million)

Source: Indonesia Ministry of Information Statistics

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Tempo Online Media

Tempo.Co
Tempo.co (formerly Tempo Interaktif) is a web portal of news and articles online that was
established by PT Tempo Inti Media Tbk. News content divided by the types of news,
among others: national, metro, business, sports, technology, lifestyle, international, arts
and entertainment, celebrities, and automotive.
Tempo.co founded in 1996 by Yusril Djalinus From, Bambang Bujono, S. Prinka, and Saiful
B. Ridwan. Previously, PT Tempo Inti Media Tbk. has experienced ban for two times in the
New Order. After the bans, the passion of Tempo Media Group started with the
Tempointeraktif sites, which eventually became the pioneer of internet news in Indonesia.
Tempo.co noted that the number of visitors to their website in 2010 showed an increase
of 190% on the previous year. In Tempo Inti Media Group, both online and offline (printed)
media increased their profits. This tells us that even though online media are popular and
attract more readers.
In addition, according to Tempo Report in 2013 noted that the business of Tempo Media
Group in the digital area. It shows from the digital ad revenue rose by 35& and digital
circulation soared up 73% compared to last year.
This is evident from the growing number of visitors Tempo.co significantly. The figure
reached 24 million per month in 2013, surging 140 percent from the previous year.
Similarly, the number of pages opened (page per view), an increase of 50 million per
month in 2012 to 99.5 million per month in 2013. The increase in the impact on digital
advertising revenue grew 35 percent in 2013 over the previous year. Tempo Media Group
is also developing business by creating an online store: Tempo Store. Positioning
themselves as one-stop shopping for digital products, Tempo Store presented to facilitate
the reader to subscribe to all print products Tempo in digital applications. The results of
this is the digital circulation revenue. Noted, in 2013, Tempo Media Group managed to
increase revenue by 73 percent digital.
In the coming years, digital business remains promising due to the growing number of
Internet users and mobile application significantly. In addition, it said that number of
Internet users in Indonesia in 2014 reached 107 million.

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Conclusion
The print media market in both Indonesia and US is different.
In Indonesia, the circulation of print media year to year is increasing, contrast to US. New
York Times prints ad revenue also keep decreasing while Tempo keeps increasing. Both
New York Times and Tempo digital subscribers keep increasing year to year. The different
is for NYT, its digital circulation is increasing with the decrease of print ad revenue. While
for Tempo, both their digital and print ad revenue increase.
The rise of online media was once seen as a threat to print media. But the truth is that
print media is still growing rapidly. The distribution of print media, particularly
newspapers, has been across Indonesia. The number of print media publications available
in each province, be it newspaper or tabloid, is still growing year by year, proving that
print media remains one of the most accessible forms of media for Indonesia citizens.

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