Nigeria: Expert Predicts Advertising Investment to Hit N120 Billion in 2011

Investment

Tolu Ogunkoya, President Media Independents Practitioners Association of Nigeria (MIPAN) and Chris Doghudje, Managing Director, Zus Bureau Services during a joint press conference announcing the forthcoming seminar on Modern Techniques in Media Investments co-organized by MIPAN, Zus Bureau and Media Planning held at Media Reach Corporate Office, Ikeja, Lagos recently

Above the line (ATL) media investment which hit N80 billion in 2010 is projected to increase to N120 billion this year, representing about 90 per cent of overall marketing spend.

Olayiwola Afolabi, managing director of Media Planning Services Limited (MPN) disclosed this in Lagos recently while presenting a paper entitled Modern Approach to Media Investment -researcher's insight, at a one-day media industry seminar organised by Media Independent Practitioners Association of Nigeria (MIPAN) in conjunction with Zus Bureau and Media Planning Services.

He noted that practitioners - marketers, advertising and media agencies - have been slow to accept that the old models of media, many of them created more than fifty years ago, are no longer applicable to the new consumer media world.

Afolabi observed that in industry discussions with leading advertising and media agencies, media owners, content providers, market researchers and advertisers, one major factor stands out as the fundamental issue to media investment approach - data access and usage.

He contended that all stakeholders involved in media channel strategy either have access to significant amounts of unique/proprietary data (data silos) or have knowledge/experience (individual silos) that is deployed as part of their communication delivery process.

He defined media investment as the act of investing; laying out money or capital on media channels with the expectation of reaching media audience cost effectively or how much to spend on media as well as how to allocate the spending across various media and the researcher as somebody who performs research, the search for knowledge or in general any systemic investigation to establish facts, adding that researchers can work in academic, industrial, government, or private institutions.

Also speaking, Mr. Tolu Ogunkoya, president of MIPAN who in his paper gave a specialist insight on modern approach to media investments noted that significant cynicism exist in the advertiser mind about the value delivered by media advertising, adding that in today's media industry, media planning and buying is critical to the advertiser's business.

While highlighting the role of the media in the marketing decision process at the seminar, which was attended by representatives from media houses, advertisers, advertising and media agencies, he said that marketing objectives must define what needs to be achieved.

He also said that advertising objectives should also define what advertising must d to fulfil marketing objectives. Also speaking at the seminar, Kevin Ejiofor, managing director of City 105.1FM Radio in his paper entitled Modern Approach to broadcast media selling: Lessons from research, said let research become an industry-wide responsibility as a matter of life and death. He defined research as the search for knowledge, or any systematic investigation, with an open mind, to establish novel facts, usually a scientific method.

Ejiofor said some of the lessons that would be derived from research are openness, accountability through participation and principle of common interest.

He said democratization of research would sanitise the results of research, separate myths from facts, end disputations and the compilation of reliable statistics to aid effective planning. He urged stakeholders to pay close attention to offering quantifiable value to the industry through democratization of research.

Earlier in his opening remarks, Chris Doghudje MD, Zus Bureau said the seminar was intended to provide a new direction in the optimization of media budget because globally, there is convergence of media.

He noted that newspapers' circulation was dwindling and media has become very expensive, especially the print media, adding that there is need for content development to attract the target audience.

For Kole Ademelekun, President Association of Outdoor Advertising Practitioners there is need to gather adequate data for research purposes. He said government agencies were driving outdoor rates up while operators are restricted to commission and stressed the need for outdoor advertising to be flexible.