ISBA Policy Conference 1996
An industry under threat was the context of Wednesday’s ISBA conference in London. ISBA believes that media inflation and fragmentation, more and more complex Directives from Brussels that limit commercial freedoms, diminishing brand equity exacerbated by cuts in support and competitive erosion and growing scepticism from non-marketing colleagues at the validity of media spending are all threats the media industry faces. Overcoming these problems and finding practical solutions to improve marketing communications was the aim of this conference.
The Keynote address by Simon Bullimore, UK Managing Director of Mars Confectionery and ISBA President, outlined many of the problems advertisers face. He focused on the fact that the problem is not that the role of advertisers cannot be established or proved: it is that it is not understood. Advertisers had allowed their detractors to say what was wrong with advertising, and by the time the industry had marshalled its arguments and produced the evidence, people were no longer interested in the issue. It is the advertisers’ priority to regain the high ground by making sure that they counter-attack and correct critics and create an atmosphere in which everyone understands what it is advertisers are doing by advertising and the benefits it brings.
Expenditure on advertising continues to grow. In 1994, total advertising expenditure in the UK amounted to over £10 billion, an increase in real terms by 8% over the previous year. Mr Bullimore then went on to point out what it would be like to have no advertising: “a monochrome world without brands”, there would be no choice, no new product introductions; there would be less television, fewer newspapers, higher costs for the media and less availability, higher costs for products and less choice for consumers.
He pointed out the importance of the brand due to the way it reassures consumers: this is an emotional value, entirely rational but not quantifiable. Advertising is the means of communication to the consumer of the added value. He also argued that consumers will judge on the basis of legal, decent, honest and truthful ads: it is a high standard but one which should be adhered to.
Another threat is the proposed ban on advertising to children, even though they are consumers and research shows that kids are very discerning.
His speech ended on a positive note for affirmative action: advertisers must explain the economic benefits of advertising, and must explain why, in a free market, those economic benefits are a reflection of the way advertisers exercise the rights they enjoy as citizens of that market. Even though last year the Government published its White Paper on competitiveness which failed to recognise the role of marketing and advertising in promoting competitiveness, now at last inroads are being made: ISBA has had two meetings with the Minister of the DTI and there is now an increased awareness within Government of what it is advertisers can offer.
Further details of the ISBA conference soon