Telecoms tops Nigeria’s Ad spend with N16.7bn in 2015

Telecoms sector retained its lead position as the highest advertiser in Nigeria in 2015, with a combined total expenditure of N16.7 billion.

Latest information in the just-released 2015 Mediafacts, a key media resource for marketing professionals in West and Central Africa, the figure represents 17 percent of N97.9 billion total advertising spend last year.

The total spend in 2015 showed an increase over 2014 figure, which was N93.1 billion.

 The report produced annually by MediaReach OMD, a specialist media company that provides media planning, buying, control and inventory management services, put personal paid advertisement at N12.2 billion; corporate communications ad at N6.3 billion; banking and finance ad at N5.8 billion; lager beer ad at N4.6 billion; public service ad at N3.8 billion, while soft drinks ad at N2.8 billion

According to the report, cable TV spend at N2.5 billion; milk and diary at N2.2 billion, and broadcast at N2.2 billion, as part of other top advertising product categories that contributed to the total ad spend.

Others are: Noodles (N2.1bn), cocoa beverages (N2bn), skin cleansing (N1.8bn), nutritional drinks (N1.8bn), dental care (N1.6bn), seasonings (N1.5bn), online mall/education imparting knowledge and skill/malt (N1.4bn), NSD powder (N1.3bn) and others (N22.4bn). Mediafacts stated that these are the top 20 advertising product categories in 2015.

According to Mediafacts, “The top 10 advertisers in communication and telecoms sector in 2015 include: Sundry ad (other inform. services) – N13.5 billion, MTN – N4.7 billion, Airtel – N4.1 billion, Etisalat – N3.7 billion, and Globacom – N3.7 billion. Others are: Nigerian Breweries – N3.7 billion, state government – N3.1 billion, sundry advertisers (services) – N3 billion, Reckitt Benkiser Nigeria – N2.7 billion, and Procter & Gamble – N2.1 billion.

Mediafacts further revealed that the TV stations attracted the highest ad expenditure of N39 billion in 2015. The report also put the ad expenditure attracted by the print media, outdoor and radio stations at N23.7 billion, N20.1 billion and N15.1 billion, respectively.

Tolu Ogunkoya, managing director/CEO of MediaReach OMD, said: “Nigeria’s media is one of the most vibrant in Africa. State radio and TV have near-national coverage and operate at federal and regional levels. All 36 states run at least one radio network and a TV station. There are hundreds of radio stations and terrestrial TV networks, as well as cable and direct-to-home satellite offerings.”

Meanwhile, the ad expenditure that went to the print media last year declined marginally by 4 percent from N25.8 billion in 2014 to N23.7 billion in 2015. Also, the outdoor performed better the previous year when it attracted N20.5 billion advertising spend against N20.1 billion in 2015. However, the TV and radio stations in Nigeria attracted more advertising spends of N39.0 billion and N15.1 billion in 2015 compared with N34.6 billion and N12.1 billion the previous year.

Mediafacts put the advertising expenditure in the first and second quarters of 2015 at N23 billion each, while it was N29.8 billion and N22.1 billion in the third and fourth quarters of the year. “The highest spend for 2015 was recorded in Quarter 3 (N29.8 billion), which represents 30% of the total spend,” the report stated.

Among the various regions in Nigeria, Lagos state attracted the highest advertising expenditure of N53.1 billion followed by the North Central (N12.1 billion), South West (N10.2 billion) and South South (N10 billion). “The highest spend for 2015 was recorded in Lagos, 54%, followed by North Central (12%), while North East took the rear position. The paltry spend, less than 1% in the North East was traceable to the space of insurgency in the region”, Mediafacts revealed.