Britvic’s CEO Simon Litherland delivered his first speech as ISBA president at the body’s annual conference this morning (11 March), outlining the priorities and issues for the advertising industry this year.
Opening on the economy, Litherland said: “The ‘new normal’ has emerged post-recession and is characterised by leaner and fitter companies dealing with increasingly more price-sensitive consumers.”
On the political front, Litherland said that “concerns about obesity remain uppermost across the political spectrum and it is likely that the Government will press for restrictions on exposure of children to HFSS advertising on TV and online.
“However, it is encouraging to hear acknowledgements of the effective self-regulation of advertising and the need to maintain an evidence-based approach.”
Litherland added that it is important that “all concerned recognise that advertising – easy target that is – is not the driver of obesity and that a holistic approach needs to be followed that includes exercise, diet, parenting and education, among other elements.”
Moving on from the political arena Litherland pointed to trust as “the biggest threat” confronting the industry right now.
“Trust in advertising has slumped to an all-time low among consumers,” he said. “Various explanations have been surfaced for this, including privacy concerns with regard to data, the rise of social media, and the relentless barrage of messaging that consumers receive daily. It is therefore critical that we bottom out the key drivers and explore what we can actually do about it.
“It is now time to shift the focus to the consumer. What actions can we, as an industry, take to address their issues? The answer is an open and transparent conversation on the ‘value exchange’ between consumers and this community which serves them.”
Advertising Standards Authority CEO, Guy Parker, echoed this concern moments later in his address. “Trust is going down – at the same time as consumer expectation is increasing,” he said.
