By Princewill Ekwujuru

Companies in Nigeria have exposed consumers to N412billion worth of  advertising campaigns in five years aimed at influencing their’ buying behaviour and drive sales.

This was one of the highlights of the marketing expenditure of  companies from 2012 to 2016 released  by Mediareach OMD, in the latest edition of its annual Mediafacts, an advertising book. Analysis of the expenditure shows that television or TV marketing expenditure dominated with N154 billion or 37.4  percent of total ad expenditure in five years.

Print marketing expenditure followed with N95.1billion, which is 23  percent of the total advertising expenditure.

The Out-of-Home expenditure was N92.3billion representing 22.4 percent, while radio came last with  N70.6billion representing 17.1 percent.

Further analysis showed that marketing expenditure for television was N49.4billion in 2012, 47 billion in 2013, N34.6 billion in 2014, N39.0 billion in 2015 and N31.5 billion in 2016.

The print marketing expenditure trend in 2012, 2013 and 2014 were N9.0billion, N18.5billion and N25.8billion respectively. While in 2015 and 2016 the companies spent N23.7billion and N18.1 billion.

For radio marketing expenditure trend, the book revealed that N15.8 billion was spent in 2012, N15.1billion in 2013, and N12.1billion in 2014; while N15.1billion and N12.5billion were spent in 2015 and 2016 respectively.

The out-of-home, OOH marketing expenditure trend in 2012 was N17.7billion, N23.2billion in 2013, N20.5 billion in 2014, N20.1billion in 2015 and N28.8 billion in 2016.

Vanguard  Companies and Marketing, C&M  findings show that companies explored their products through other marketing channels such as public relations and experiential marketing which expenditure trend was not available for computation.

From the spending trend, the dominance of TV expenditure was due to consumers spending most of their time watching TV and fiddling with their phones as they are easily attracted by visuals, as well as the changing viewership offered by Youtube, subscription video on demand, SVOD, computers and Netflix on smartphones.

C&M  findings also show that the online media played an increasingly significant role in the lives of consumers during the period under review.

Products and marketing channels

C&M  noted that these multiple channels were employed to reach consumers to foster brand-building and influence product purchase behaviour.

Other Consumer-oriented marketing channels and techniques deployed by advertisers’ include TV ad, product placements,(shelve arrangements) the internet and consumer targeted promotions.

Promotions

Promotions are a commonly used marketing method for reaching consumers which include tie-ins, sweepstake prizes. Cross-selling and tie-ins combine promotional efforts to sell a product. As a result of this, the companies have forged promotional links with star actors and actresses, sportsmen and women.

Kid consumer clubs

In order to reach  kid consumers, several companies have introduced branded kid clubs to communicate with them.   The club is a misnomer in that many kid clubs are not really clubs, but standard marketing programs with names like they are clubs.

The heavy marketing directed at consumers appears to be driven largely by the desire of the companies to develop and build brand awareness/recognition, brand preference and loyalty,  C&M  observed.

Further finding by  C&M  reveal that the companies believe that brand preference begins before purchase behaviour does.

Brand preference in consumers seems to be related to two major factors; consumer’s positive experiences with a brand, and the consumers liking the brand. As a result of this, companies have intensified their efforts to develop brand relationship with consumers’ beginning from infancy.

Experts Speak

In the light of an eventful 2016, our outlook for 2017 was very positive and optimistic. “We believe agencies which are able to provide integrated marketing communication with strong engagement tactics will excel this years. In continuation of current communication trend, digital deployment will continue to grow in the dimension of tactics and budget,” said Chief Executive officer of Modion Communications, Odion Aleobua.

President, Experiential Marketers Association of Nigeria, EXMAN, Kehinde Salami, said: Experiential marketing activities in 2016 was low, but 2017 witnessed an improvement even though we do not have a general data for the industry. “We are also working towards that.”

The post Nigerian firms expose consumers to N412bn ad to drive sales appeared first on Vanguard News.

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