09 September 2010  

Advert Debts: Some Media Owners Lack Sincerity – Kankarofi - 2008-06-16

The Nigerian advertising industry has come a long way, passing through good and turbulent times; and above it all is APCON (Advertising Practitioners Council of Nigeria), the umbrella body that regulates activities of all practitioners in the country. In this interview with Dumbiri Frank Eboh, the Registrar of the body, Alhaji Garba Kankarofi, speaks on issues bordering on the industry, especially as they affect APCON, Excerpts.

How would you assess the industry with respect to what it used to be before you came on board?

I have always been a part of the industry, having been a media owner for many years. So, if I am to speak from the standpoint of a regulator, it would be different from the standpoint of a media practitioner. As a media owner you are concerned about your firm but as a regulator, your concern is on the entire industry and how to oversee its affairs. And I think it is quite a task, there are new issues, new ways of doing things. Of course, when I came on board, I met existing problems on ground but we have been able to raise the industry a little bit further. Like my chairman always says, we are not politicians; we are regulators who have a fixed job to do. APCON has a vision and mission and we don't go beyond that. We have a mandate created by law and so we keep our work in line with that mandate. But I am glad to tell you that we have made a major breakthrough. When I took over, we had less than 300 active members; but today we have over 2,000 active members. The sectoral members were not as vibrant then as they are now, even the government has changed its attitude towards APCON.

Is it really true that creativity is declining in the sector?

Personally, and having been in the industry for a very long time, I noticed the dwindling fortunes of creativity but it is subjective. It depends on the standard you are using as a parameter. Is it universal standard, African standard or Nigerian standard? Yes, there is a dearth of creatives in the industry. Even in the University, how many creatives do we graduate from our universities these days? But like I earlier said, it is subjective and controversial. At APCON, we are looking at how we can set an agenda for its debate because it is a debatable issue. So to answer your question, I will say the answer is yes and no!

If you take a critical look at the industry, you would notice that while annual budgets for marketing communication keep going up, agencies revenue is taking a dive. What could be responsible for this development?

I am not particularly happy with the dwindling fortune of agencies. The NPAN and BON are basically not in the mainstream because they have other sources of generating revenue. But for the agency, it is quite worrisome. I think the sector is now addressing those issues. I am particularly delighted with the way the leadership of AAAN is addressing the issue. Whether we like it or not, the truth is that clients are not behaving too straight and I think the earlier ADVAN looks into this, the better. For instance, if you say you won't pay agency commissions in full, then you are preventing a legitimate business from growing. It's true, advertising spend is increasing but agencies fortune is dwindling. Obviously it is a challenge to both APCON and AAAN to look into the issue. But by and large, globalization is playing an impressive role. Small agencies are putting up shops everywhere. There is enough for everybody but the issue of agencies recording dismal return on investment should be addressed, especially by AAAN because they are at the core of the business. I believe the earlier this is done, the better for every practitioner in Nigeria because it would tell badly on the economy if the agencies die. The more vibrant agencies are, the better, because they employ a lot of people and thus keep the industry vibrant; and that's the best way they can serve the client. But if the client keeps pushing the agency it means there is going to be a shift.

The issue of debt is becoming a perennial one in the industry. Media owners are complaining that agencies owe them for years without paying. How true is this and is there a legal framework for a media owner to fall back to in the event of such a debt?

Well, I think I will disagree with you in this issue of debt. Currently, APCON is interceding in this matter. We have a special committee (where all parties are well represented) that is presently looking into it. I don't think there's sincerity on the part of these so-called creditors. If you say I owe you and you are unable to give me the details of what I am owing, are you a serious person? It is rather unfortunate that the bigger radio/TV stations that are claiming to be owed, do not comply with the mode and pattern agreed. However, I believe that in a few months time, this issue of debt will be laid to rest. You cannot claim that I owe you and yet cannot prove that I owe you. The issue is being blown out of proportion. Yes, debts are owed; but, if you don't keep your records straight, who is to blame? Besides, why do you allow yourself to be owed in the first place? There is already a format. NPAN has a policy -you must pay before your advert is published. The only area left is probably OAAN and BON. . There is very little APCON can do in that regard. We only take care of the profession and the professionals. When it comes to trade terms, it is between the two parties involved. I think it is no use hammering every day, that you are owed and yet cannot prove it.

So what you are saying is that media owners should put their house in order?

Absolutely. That's what I mean. The other day, that's what I was telling them. If you don't have the decency and temerity to put your books in order, why blame agencies? The truth is that most of these so-called creditors are not organized.

They have lots of internal problems. There are three different collecting bodies: the Account, the Credit Control and Marketing. Most times, these three do not reconcile internally and when ADVAN tells them to produce the necessary document, they are not able to do so. So why claim you are being owed when you are not organized yourself?

In the last forum on who is killing advertising in Nigeria, some resolutions were reached. In Nigeria, it is easy to reach resolutions but difficult to implement them. How far has APCON gone towards the implementation of agreements reached in that forum?

I think what everybody agreed to was the fact that everybody was not playing to the rules of the games. So they knew the fault is a collective one. What it means is that we should all mend our ways and play according to the rules that govern the game. ADVAN should not do direct media buying , they should ensure that incident of sharp practices - such as going to media directly, using quacks when there are genuine agencies established by the law , which are doing legitimate business etc cease to exist. If your client is not playing to the rules, report him/her so that the right penalty can be applied. Same goes for the media owners. Do what is right, make sure ads are published as and when due. I think those are some of the agreement reached at that forum.

You mean there was not a more cohesive approach to the issue? Everyone should just go home and implement it his own way?

Yes, it was agreed that advertising sectoral groups should meet to iron out issues involving rate increase, non-deliverables, deliverables, change of appointment, things like that. Our focus is on making sure that these sectoral groups agree and this we will achieve in no distant future.

What roles does APCON play in the grooming of Marketing Communications students who have decided to pitch their career in advertising?

What APCON does is to establish a continuous education outfit besides the diploma and professional programs . We accredit schools' department of Mass Communication. The law has provided an enactment that allows us to determine what the course content should be in Nigerian universities. At the moment, we have over 40 accredited universities already accredited by the Institution Committee because they have complied with our standards. So, directly or indirectly, we are helping to train professionals and graduates. Right now, we have close to over 200 students taking our May/June exams. We have courses on media management, brand management, we are now moving to the political zone.

How does APCON influence government policies on Advertising?

W are a regulatory body. We advise the Honourable Minister and the federal government on certain policies. We are also part of the National Committee on policies where we have imputes. And we report directly to the Honourable Minister for Information and Communications. These are the various ways we impact on government and of course through the statuary committees of ASP, we carry out a number of activities to make sure there is compliance in the industry.

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