Telcos’ N16.4bn Ad Spend, Highest In The Nigerian Advertising Space
With N16.4 billion advertising spend, which is the 18 per cent of the total above the line (ATL), advertising expenditure in 2016, the telecommunications service providers have continued to maintain dominance among top advertising categories in ad spend in the Nigerian advertising space.
This is contained in the 2017 edition of mediafacts, an annual report of the mediareach OMD, which details media and advertising spending trends for the year under review.
According to the report, telco firms are followed by personal paid ads with N7.2 billion, eight per cent, while the banking and financial services sector occupied the third spot with 6.3 billion naira, six per cent, for the period in review.
Corporate advertising occupy the 4th position with N5.8 billion spent during the period while the Lager Beer categories spent N5.3 billion. Soft drinks, cocoa beverages, milk and dairy spent 3.5, 2.9 and 2.4 billion respectively.
Among the top 20 advertising companies that advertise their goods and services in Nigeria), sundry services leads the chart with 10.8 billion naira in ad spent. Others are MTN with 5.6 billion, accounting for six per cent, followed by Nigerian Breweries with 4.3 billion, Airtel, 9Mobile and Globacom with 3.8, 3.7 and 3.3 respectively. In all the top 20 categories account for 62 per cent of advertising spent for 2016.
Though there was reduction in the total advertising spend for 2016 in contrast with 2015 by seven per cent, a situation attributed to the economic recession which started in 2015, and also certain government economic policies, television has continued to dominate advertising spent in Nigeria for the past five years.
Television accounted for 35.5 billion, about 35 per cent of media ad spent for the year in review. This was followed by outdoor with 28.8, about 32 per cent while press accounted for 18.1 and radio with 12.5 billion. The report however does not tract digital media during the period.
While other subsectors in the industry have been experiencing decline in expenditure in the last five years, the outdoor sub sector however has not experienced decline in the last ten years. The report noted that with a minimal 7.1 billion in 2007, outdoor advertising expenditure grew to 28.6 billion in 2010, though dropped marginally in the years between, it picked up in 2016 to record 28.8 billion in ad spent.
This latest edition of mediafacts for marketing professionals in West and Central Africa, covers Nigeria, Ghana, Cameroon, Benin Republic, Burkina Faso, Cote d’Ivoire, Democratic Republic of the Congo, Gabon, Mali, Niger, Senegal, Togo, and The Gambia.
Other countries covered include Liberia, Sierra Leone, Guinea, Guinea Bissau, Equatorial Guinea, Rwanda, Chad Republic, Mauritania, Congo Brazzaville, Central African Republic and Cape Verde.
Source: THISDAY
