Consultancy firms, tech coys’ dominance in advertising worries AAAN

The Association of Advertising Agencies of Nigeria (AAAN) held its Annual General Meeting (AGM) in Lagos, last week, where it portrayed the dangers posed by the activities of technology companies and consultancy services outside the industry, that are gradually growing their services within the industry’s market. These, it says, provide services which, by scope and structure, are of the preserve of advertising agencies. Speaker after speaker, focus was on curbing the incursion of nonindustry companies engaging in advertising practice and service provision, and its dangers to the industry and its operators.

Key among the critical issues considered at the deliberation was the evaluation of the essence, value appropriation and the competitive edge of the industry players that should be identified as competitive edge to help it define its space and exclusivity.

The collective position, therefore, is that until the industry, and indeed the association clearly defined its and lay hold to its definite differentiating factor that can guarantee its exclusivity, the industry will remain open for incursion and ‘cannibalisation’ by all-comers.

The emerging trend shows that technology and consultancy service providers are developing products and providing services within the purview of advertising practice to clients. This is a major challenge, as its questions the relevance and control of advertising industry players in a market that is defined and exclusive to registered practitioners and operators.

The guest speaker, Bayo Adekanbi, of MTN Nigeria said the advertising industry must make the deliberate effort to position for self-respect, drawing from its enormous capacity, and starting with a re-orientation among agencies’ leadership.