Ronan Redmond a leading expert working in the Nigeria Advertising sector, has today commended the announcement from The Advertising Regulatory Council of Nigeria (ARCON) of its intention to establish two committees to promote Nigeria as a brand and evaluate the true worth of the country’s advertising market.
Redmond is especially pleased to see ARCON establish the “GDP Multiplier Committee” which it is planned will set out to determine: the industry spending, the industry contribution to GDP and the multiplier effect which advertising spend has as contribution to the wider Nigeria economy
It was at last year’s ARCON conference in Abuja that Redmond delivered a key note address in which he advocated that it was high time for the Nigeria Advertising stakeholders to clearly communicate the direct and indirect benefits advertising spend makes to the Nigeria economy and its citizens. By way of an International example he referenced the Deloitte report “The Economic Contribution of Advertising in Europe Report”.
That study set out to demonstrate the contribution of advertising to the European and national economies. There the report found that advertising spend in the European Union has a seven-fold impact on the wider economy which became known as the “Multiplier Effect”. The benefits from a healthy advertising spend are: (1) economic benefits (2) employment benefits and (3) social benefits.
Redmond says that following this most recent ARCON announcement he is very optimistic that a similar study here can unlock “the multiplier effect” in the Nigeria advertising industry. It is only when the true estimate of “the multiplier effect” is established that the Nigeria advertising industry will really convince policy makers as to the importance of a robust and healthy advertising sector worthy of continued support and investment.
In turn a vibrant advertising sector will go some way towards a more diversified Nigerian economy and benefit all.