As in other sectors, the nation’s integrated marketing communication (IMC) industry was not immune to the challenges that plagued the country’s economy in Year 2024.
The federal government’s reforms seemed to have adversely affected some multinationals, resulting in huge losses, and their ultimate decision to exit the nation’s business space. Expectedly, their exit was not without its consequences for the IMC sector. Agencies servicing some of those multinationals were left stranded, while opportunities in the space continues to shrink as a result of this.
Fragmentations within the sectoral groups
Besides, 2024 would always be remembered by stakeholders as that year the existing cohesion and unity in the industry were put to huge test.
For instance, in the second quarter of the year, the Advertisers’ Association of Nigeria (ADVAN), announced its decision to pull out of Heads of Advertising Sectoral Group (HASG), citing ‘current actions’ of the HASG, which, the association stated, were not in tune with the Group’s stated objectives.
The association argued that while HASG provided the opportunities for collaboration with dedicated industry professionals, there was, however, a ‘’misalignment between the current actions of HASG and its stated objectives”. They have since pulled out and efforts, in the course of the year, to have the association back had remained futile.
With the industry still smarting from the sudden exit of this very important sectoral body from HASG, the Out-of-Home Advertising Association of Nigeria (OAAN) also took on the Group, in the third quarter of the year. This time around, it was on the proposed Chartered Body for Out-of-Home Media Bill.
For instance, while opposing the bill, the President of HASG, Lanre Adisa, had expressed the group’s fear that the much-needed cohesion in the industry would be negatively impacted, if OAAN’s prayers, regarding the Bill, were answered.
OAAN’s grudge, therefore, was the Group’s decision to distance itself from the proposed Chartered Bill, without consulting it, a member of the Group, and which was directly affected by the issue at hand.
More vexatious, according to the association, was the impression created by the leadership of HASG that its members were part of the meeting where the Bill was opposed.
Interestingly, since then, it’s been a cat-and-mouse relationship between the Group and the association; a development many believed could further widen the noticeable crack in the industry, if not quickly checked.
Of milestone regulatory pronouncements, and resistance..
Interestingly, it was an admixture of feelings, regarding regulations and their enforcements in the year.
ARCON continued to forge ahead with its regulatory duties. Besides, the Advertising Industry Standards of Practice (AISOP), other decisions taken by the council, such as online advert regulations, and the use of foreign models, were not without stiff resistance from some practitioners, who believed their influence and powers, within the space, were being whittled down.
For instance, ARCON was challenged by ADVAN, on some of the reforms, since the association believed whoever pays the piper must dictate the tune. But, while ARCON stated it didn’t have anything against such position, it however insisted such powers must be exerted responsibly, within the ambit of the law, and in tune with best global practices.
“Why would a media organisation here have to wait for eternity to get paid for a job done for advertisers, while same advertisers usually pre-pay when dealing with foreign media organisations? That is exactly what we’ve come to correct,” Lekan Fadolapo, the Director General, ARCON, had once said, in defence of some of those policies.
But besides the onslaught from ADVAN, ARCON’s path also crossed with that of OAAN over the proposed Chartered Out-of-Home Media Bill.
Though the association had repeatedly refuted the claim that the Bill, which had passed the second reading on the floor of the national assembly, was meant to contend with ARCON, not a few stakeholders believed granting the association’s prayers would lead to further disintegration of the industry.
ARCON, while stating its position on the proposed bill warned that its passage could lead to overlapping of functions, increased bureaucracy and disruption in the advertising.
It also believed the bill’s objectives duplicate existing regulatory frameworks already provided for in the ARCON Act No. 23 of 2024.
Industry watchers are, however , of the opinion that it would require tact and diplomacy on the part of those concerned to reduce the heat the Bill had generated among stakeholders in the last few months.
A year of foreign exploits…
It wasn’t all negative for the industry in the outgoing year, as the nation’s advertising is gradually becoming a force to reckon with, on the global space. Towards the last quarter of the year, one of the nation’s frontline advertising agencies, X3M Communications, again, put Nigeria on the global advertising map by winning two awards at Lisbon International Advertising Festivals, making it the second consecutive year the agency would be winning the prestigious awards.
N605.2 billion sector’s contribution to Nigeria’s GDP growth….
Another of such positives in the year in the sector is the fact that for the first time, the sector was able to put the value of its contributions to the nation’s Gross Domestic Product (GDP), in 2023, at N605.2billion, as revealed in a report released by PricewaterhouseCoopers (PwC), and presented to stakeholders in June, this year.
The DG, ARCON, Dr. Lekan Fadolapo, explained that the decision by the Council to commission the report stemmed from the need to quantify the industry’s size and impact as an economic enabler.
He expressed the optimism that the report would serve as a foundation for stakeholders to assess the advertising space and its multiplier effects on the economy, on a yearly basis.
Digitising the audience measurement system…
The launch of the Audience Measurement System (AMS) by the Ministry of Information, as a way of digitizing audience measurement system remains another highlight of 2024.
The scientific-based system is designed to enhance advertisers’ confidence in the accuracy of viewership numbers, leading to more strategic and impactful advertising campaigns in Nigeria.
For many, therefore, while there were some issues of concerns to stakeholders in the year, 2024 still remains a year to beat, as far as the sector is concerned going by some milestones recorded in the year.
READ ALSO: 2023: What a year for IMC!
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