Nigeria’s advertising expenditure through the organised private sector appreciated in 2013 as it recorded over 37.3 percent increase from N91.8 billion in 2012 to N125 billion last year, according statistics from the Association of Advertising Agencies of Nigeria (AAAN).
This amount, which passed through the agencies, was believed to have stabilised the marketing communication and the media industries and deepen awareness of advertisers’ products and services.
The association said that telecom and banking industries would still dominate advertising spend this year, while it also expects over N20 billion to be spent on political campaigns alone in 2014.
Bunmi Oke, president of the association, however, regretted that the expected N20 billion political advertisement expenditure this year may not pass through the organised private sector.
Business analysts had projected that political campaigns and the World Cup in Brazil in June this year would greatly increase advertising spend while telecom and banking sectors are expected to increase over last year’s figures.
Oke also believes that licensing of power sector distribution companies will increase advertising spend in the sector.
“FMCG and SME will both play major role in 2014. The business outlook for 2014 portends some potential for practitioners and agencies. It is believed that advertisers will also increase spend and operate within the framework of the law, ethics and best business practices,” she said.
On the total sectoral advertising spend last year, the association said TV advertising expenditure still dominated with N66.3 billion. This shows an improvement when compared with N49.399 billion it recorded in 2012 as monitored by Mediafacts, an annual publication of MediaReach OMD.
Press and radio advertising expenditure, according to AAAN statistics, also performed well in 2013 with press recording N23.5 billion while radio spend was N22.5 billion. Figures for 2012 released by MediaReach OMD showed radio recording N15.782 billion as against N13.142 billion spent in 2011, while press recorded N8.974 billion lesser than the N15.395 spent in 2011.
In 2013, outdoor advertising expenditure was N23. 8 billion, about N6 billion increase from what the sector recorded in 2012. MediaReach had put outdoor advertising expenditure in 2012 at N17.692 billion less than N28.142 billion spent in 2011.
By: Daniel Obi
