Advances in artificial intelligence and actualization of reforms in the marketing sector are among the key factors that will influence the marketing communications ecosystem in 2024, writes Rahim Akingbolu .
Over the past year, conversations around marketing technology, advances in artificial intelligence and industrial reforms have dominated many forums discussing the future of marketing in Nigeria.
Under the brand “Smart Advertising”, many local and international researchers have tried to understand how artificial intelligence-based advertising will change the market in the coming years.
In the twilight of 2023, the debate following the popular advertising sector reform promoted by the Advertising Regulatory Council of Nigeria (ARCON) culminated with a decision by the Advertisers Association of Nigeria (ADVAN) challenging the regulatory council. courts for reform.
But at the National Advertising Conference 2023 held in Abuja last month to develop the industry ahead of opportunities and prospects for 2024, stakeholders including leaders of five industry bodies, communication academics marketing and federal government officials, reaffirmed their support; ARCON on reforms.
Speaking at the event, ARCON Registrar Lekan Fadolapa assured practitioners that the industry would be overhauled in 2024, but said there was no turning back on reforms . “Even if we start to benefit from the benefits of the reform, it will be completed next year,” Fadolopa said.
Fadolopa urged practitioners to prepare well to support the FG's efforts to revive the economy, stressing that studies have shown that marketing communications as an economic activity is strategic to the growth and development of the Nigerian economy . Thus, it confirmed the position of many experts that communication is the engine of a healthy and prosperous society.
In a telephone conversation with THISDAY, Fadolapa confirmed that 2024 will see a new order of players in the marketing communications sector.
“Activists expect the industrial reform to be fully implemented this year. This will be a new procedure for resuming practice and business. You will agree with me that the Bola Tinubu-led administration does a lot to position the economy. Industry reform will undoubtedly help the movement as it will lead to the expansion of agency and standardization of creative work, which will have a positive impact on the economy" , Fadolapa said.
Flight of capital
Taking into account current developments, the ARCON reform will strengthen regulation and reduce capital flight in the marketing communications sector by 2024. In the last quarter of last year, the Advertising Offenses Court used a big stick and challenged some agencies for unapproved documents. For example, ARCON has the Chairman of the Council of Ambassadors Mr. Samson Oseva to appear in court for publishing an advertisement that was not reviewed or approved by the Advertising Standards Commission.
The council had earlier issued a statement advising advertisers to stop capital flight and prevent other developing countries from going abroad to produce advertisements for the Nigerian market, thereby killing the advertising industry. The advertisement.
In 2022, ARCON found that the Nigerian advertising industry was losing over $120 billion annually in production of advertisements, advertisements and marketing communications and announced that targeted advertisements, promotions and marketing communications should have 75%. local content. In the Nigerian market.
Smart advertising
Speaking to CEJOUR on the outlook for 2024, former President of the Experiential Marketers Association of Nigeria (EXMAN), Tunji Adeyinka, admitted that this year will be a turning point in the Nigerian BMI market, because practitioners envisage consolidation through a strategic prelude. cooperation in various fields. He also emphasized that artificial intelligence and marketing technologies will play an important role.
He said. “While we've talked about advances in marketing technology and artificial intelligence, this year we'll start to see more practical applications of artificial intelligence in the marketing communications ecosystem. Economists predict that the Nigerian economy is not out of the woods yet, so consumer purchasing power will further deteriorate, which will affect marketing spending. Spending will be more outcome-focused and short-term, and we believe sales-focused marketing functions, such as experiential spending, will increase accordingly. Regulation will be a crucial topic this year due to the expected implementation of the ARCON Act.
As Adeyinka noted, current industry developments have shown that AI is rapidly changing the Nigerian content ecosystem, affecting everything from how content is created and distributed to how it is consumed and monetized. Artificial intelligence is expected to have a major impact on the Nigerian content ecosystem as it appears to make content creation, distribution, consumption and monetization easier and more efficient. This results in a more vibrant and diverse content ecosystem in Nigeria.
Around the world, almost all major platforms (Google, Facebook, Amazon) and independent software platforms now use intelligent algorithms to optimize advertising campaigns. Meanwhile, Google has recently taken the implementation of artificial intelligence to a whole new level in advertising technology, introducing AI tools that can now replicate the work of professional marketing agencies.
Expert opinion
Steve Babaeka, president of the Association of Advertising Agencies of Nigeria (AAAN), said that regarding the likely trend for 2024, optimism among creative agencies for the new year is fueled by a hint of caution. “Expectations were about the likely implementation of the President's policies, particularly in key areas such as exchange rate stability, inflation and security, which could provide a much-needed panacea to our economic woes. Fingers crossed, we expect a positive impact on the purchasing power of Nigerians.
“However, a shadow appears in the form of a possible escalation of the global geopolitical crisis. Such external pressures could put pressure on an already fragile global economy, posing a threat to any domestic recovery in the first two quarters,” did he declare.
Despite these concerns, the AAN chief expressed optimism about the resilience of the marketing communications sector, noting that while it navigates uncertainty, it is prepared to weather the storm and meet the challenges. challenges.
“Our mission is to consistently communicate brands' core values to consumers, increase their trust and help them make informed purchasing decisions. Furthermore, we presented a comprehensive plan to rebrand Nigeria as Minister of Information. We are optimistic about the implementation of this initiative in the current year, aware of the significant support our people need,” he added.
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“Current industry developments have shown that AI is rapidly changing the Nigerian content ecosystem, affecting everything from how content is created and distributed to how it is consumed and monetized. Artificial intelligence is expected to have a major impact on the Nigerian content ecosystem, as it appears to make content creation, distribution, consumption and monetization easier and more efficient. This results in a more vibrant and diverse content ecosystem in Nigeria.
“Activists are counting on a comprehensive reform of the sector this year. This will be a new procedure for resuming practice and business. You will agree with me that the Bola Tinubu-led administration is doing a lot to position the economy .Industrial reform will definitely contribute to progress, as it will lead to increased creativity and standardization, which will have a positive effect on the economy.
