Industry standard

Business decline, unemployment looms as advertisers reject FG’s advertising industry standard of practice

Rahim Akingbolu
Small and medium-sized enterprises (SMEs) in the economy, the media industry and local advertising agencies could experience another phase of downturn if the Federal Government’s directive on the new term of employment as issued by the Council of Advertising Practitioners of Nigeria (APCON), is not allowed to stand, predicted APCON Registrar, Dr Lekan Fadolapo.

In an interview with THISDAY on the Association of Advertisers of Nigeria (ADVAN) ‘s rejection of the implementation of the new standard of practice, which advertisers claimed was an unconstitutional attempt to infringe the rights of private entities to determine their contractual terms, Fadolapo said the organization was trying, through action, to weaken the Nigerian economy and frustrate many local businesses.

ADVAN recently issued a statement supporting the plan to create a standard of practice for the advertising industry and echoed its willingness to be part of any initiative to develop industry best practices, which will facilitate the growth of businesses and the economy, but was quick to point out that the Supreme Court had, in numerous judgments, declared that the justification for freedom of contract is based on public order: that is, that is to say that the major and competent parties are deemed to have the greatest freedom to contract and that their contracts, when concluded freely and voluntarily, must be considered sacred and be enforced by the courts.

To this end, the industry body as the main benefactor of advertising services has stated that its role and contribution with regard to the Advertising Industry Standard of Practice (AISOP) by the regulator no. ‘has not been fully integrated, thus stating that the current AISOP is void of critical elements that protect the rights and interests of the ADVAN community.

“It is the submission of ADVAN and all of its members, that the current AISOP does not serve the collective interest, but rather allows unfair authority of some parties over others and creates a hostile business environment,” said declared the organization.
Reacting to the development, Fadolapo said ON DAY that the Federal Government’s directive was simple and straightforward and that development has become necessary, following the approval of the Minister of Information and Culture, Lai Muhammed, for APCON develop a fair and acceptable framework in accordance with federal government reform plans aimed at accelerating the pace of economic recovery from the pandemic, improving gainful employment, overhauling the institutional and regulatory framework of the Nigerian advertising industry in accordance with best practices.

“It is rather sad that ADVAN has chosen to be a stumbling block in the movement to revive the marketing communications industry and make it strong enough to contribute well to the economy. The government’s position is that the terms of engagement must conform to international standards. Over the years, the media debt problem has remained a recurring development that the government is trying to resolve once and for all. If followed by the latter, the new directive will make it impossible for multinationals to owe their media agencies and companies more than the agreed payment days. It will also encourage the payment of pitch fees to agencies and make local agencies and SMEs viable. On a final note, to avoid unnecessary staff reductions among agencies, AISOP needs to get buy-in from all stakeholders, ”said Fadolapo.

Meanwhile, the Association of Electronic Media Content Owners of Nigeria (EMCOAN), the Association of Advertising Agencies of Nigeria (AAAN) and the Outdoor Advertising Association of Nigeria (OAAN) have fully supported the new code of conduct and urged APCON to move forward. with its implementation.

AAAN President Steve Babaeko, while welcoming the development, noted that he could now breathe a sigh of relief, adding that it was long overdue. “This is a good one from APCON; I think it’s long overdue. As President of AAAN, these are some of the things that keep me awake, when members complain about some of these issues that the law has resolved. I look forward to the application and enforcement of laws, ”Babaeko said.

As a major stakeholder in the media broadcasting ecosystem, EMCOAN said its members have carefully reviewed and reviewed the AISOP policy document and are confident that proper implementation and monitoring will go a long way towards achieving Charting a new positive path and better opportunities for content owners, other industry players and the media advertising industry in general.

The association assured APCON that EMCOAN and all of its members would not only comply with these new AISOP guidelines, which ensure globally accepted best practices and standards in the industry, but also support stakeholder guidance. and publicizing the benefits of AISOP to the media / broadcasting advertising industry as a whole.

“EMCOAN will provide the Registrar and the APCON team with the necessary support to ensure proper implementation and compliance with AISOP policy among the industry stakeholder base. This is important because if there are no serious measures to control violators of the new policy, things will return to “business as usual”. Therefore, proper direction, implementation and ongoing evaluation will be essential to ensure the success of the new AISOP. guidelines, ”he said.
However, marketing communications specialist Dr Jide Johnson asked APCON to deepen stakeholder engagement ahead of implementation to gain support from all.

“It is a known fact that the activities of the major players in the marketing communications industry and other providers working for multinationals are in decline as a result of the increased debt profile of media buying agencies and multinational companies and all stakeholders have always called for a proper review of terms of engagement. This is why we are so excited about this recent development. However, I think APCON needs to act with caution and deepen the engagement of its stakeholders, as some of the conditions can only apply to listed companies and not just any dick, tom and harry in the environment. Nigerian marketing, ”Johnson said.