The Advertising Regulatory Council of Nigeria (ARCON) would take all lawful actions to sanitise the nation’s advertising environment as the industry regulator and not yield to threats.
In a statement issued by its Head, Corporate Affairs, Winifred Akpan, the regulatory agency said its latest rules are not meant to strangle advertising, but to defend stakeholders’ interests and stop income loss, especially the annual loss of over N120b to international models.
The apex regulatory agency has clashed with the Advertisers Association of Nigeria (ADVAN) over some of its new policies.
ADVAN quickly criticised its decision to establish the Advertising Industry Standards of Practice (AISOP) last year, stating the document needed the input of all industry stakeholders.
We support reforms. But we feel people that will be affected by such policies should be actively involved,” ADVAN President, Mr. Osamede Uwubanmwen, told BJAN members at last year’s end-of-year celebration.
ADVAN called the newly established Advertising Offences Tribunal autocratic and a tool to silence industry players.
ARCON stated that these reforms are intended to reposition the industry and make it globally competitive.
The regulatory authority denied ADVAN’s assertion that its members were not involved in AISOP’s creation, saying the association had a representation on the AISOP Committee.
For record purposes, ADVAN had a representative on the AISOP Committee that worked on the Advertising Industry Standards of Practice; ADVAN had a representative on the Nigerian Advertising Code Review Committee; Fellowship Committee and National Advertising Conference Committee, to mention but a few’, the agency said.
The council stressed that a public meeting at the National Assembly, where ADVAN representatives gave oral and written remarks, showed that ARCON included all stakeholders in its law review.
The regulatory agency said it merely insisted on being part of advertising contracts with advertisers and other shareholders to set minimum industry standards for advertising, advertisement, and marketing communications. The standard guides all stakeholder interactions, it added.
Certain ADVAN members that participate in coercive policies with impunity over the years are concerned with the new fair-trade to practise framework’, it added.
ARCON also questioned why oppressive policymakers would comply with payment policies in other markets but not in Nigeria.
The agency said it banned foreign models to benefit the country and its people from advertising.
The policy stipulates a minimum local content proportion in all commercials, encouraging companies to incorporate Nigerians as key elements.
It contended that the policy disapproves of enterprises that excessively rely on imported advertisements, which causes job losses and huge money outflow from Nigeria.
ARCON also disagreed with ADVAN’s payment strategy, arguing that the industry standard is to pay within 45 days. Hence, the regulatory authority accused ADVAN of unethical and unfair tactics that threaten the Nigerian advertising business.
ARCON accused the group of seeking to prevent change that would strengthen the nation’s economy and allow Nigerians to benefit from advertising.
The policy’s justice and fairness are the only reason some ADVAN members oppose it. You can fire an agency or end a contract. Before hiring another agency, reconcile and fulfil contract responsibilities after terminating such arrangements. ARCON stressed that ADVAN considers its position interfering.
ARCON also questioned the ADVAN President’s claim that a retired judge cannot serve as the Advertising Offence Tribunal (AOT) Chairman, calling it sad and a sign of a lack of grasp of Nigerian law.