ARCON says ADVAN using media campaign to obstruct industry reforms

The Advertising Regulatory Council of Nigeria (ARCON) has issued a forceful rebuttal to the Advertisers Association of Nigeria (ADVAN), accusing the group of orchestrating a campaign of misinformation and manipulation aimed at derailing ongoing reforms in the country’s advertising sector.

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In a statement dated 23 February and signed by its Director-General, Olalekan Fadolapo, ARCON described ADVAN’s recent open letter to President Bola Tinubu as a calculated attempt to halt reforms tied to the Federal Government’s Nigeria First Policy and new payment directives within the industry.

The regulator rejected what it called “every major claim” in the letter, including allegations that ARCON’s policies have led to declining media spend, investor exits, and overregulation of the sector.

ARCON noted that ADVAN has simultaneously instituted multiple lawsuits at the Federal High Court challenging its regulatory powers, while also prosecuting the same issues in the media.

“If a case is sub judice, why take it to the media?” the statement queried.

The Council argued that ADVAN’s actions reflect a broader pattern of attempting to obstruct reform through public pressure rather than regulatory engagement.

One of the central claims in ADVAN’s letter was that its members account for over 90 per cent of Nigeria’s advertising industry spend, which it estimated at more than ₦800 billion annually. The association cited this figure in seeking presidential intervention.

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ARCON described the claim as “an outright fabrication.”

“ADVAN members do not contribute 90% of the Nigerian advertising industry spend nor do they conduct business worth ₦800 billion as claimed. ADVAN members contribute less than 10% of the advertising industry spend and its membership has declined in recent times due to poor leadership,” ARCON stated.

In an unusually direct swipe, ARCON referenced ADVAN President Osamede Uwubanmwen, asserting that his employer “cannot boast of ₦1 million in annual advertising spend.”

The regulator challenged ADVAN to publish its active membership list and verifiable advertising spend data.

ADVAN also alleged that ARCON’s reforms have triggered a decline in advertising investment and caused companies to exit Nigeria.

ARCON demanded evidence of this claim, saying: “ADVAN is challenged to provide verified data on the alleged decline in advertising spend as well as publish the names of organisations that have exited Nigeria because of the industry reforms,” the statement said.

According to ARCON, industry data does not support ADVAN’s position. The Council disclosed that it collaborated with the Heads of Advertising Sectoral Group to commission PricewaterhouseCoopers to conduct an independent review of advertising industry spend and its contribution to Nigeria’s GDP.

The PwC report, ARCON stated, showed growth rather than contraction and was publicly presented to stakeholders.

The regulator challenged ADVAN to either counter the findings with verifiable data or commission and publish its own independent report.

Another flashpoint in the dispute is a Presidential Enabling Business Environment Council (PEBEC) performance report that rated ARCON at three percent.

ARCON rejected the rating, describing it as biased and part of a coordinated effort to undermine its authority.

“ARCON does not and cannot score 3% in performance as stated by PEBEC and publicised by ADVAN,” the Council said, adding that its official performance records are lodged with the Federal Ministry of Information and National Orientation.

The regulator further alleged that ADVAN has attempted to leverage its relationship with PEBEC to discredit ARCON’s oversight functions.

ARCON reserved particular criticism for the Board of Trustees of ADVAN, led by Aare Fatai Odeshile, for co-signing the open letter.

The Council described it as “rather unfortunate” that a body it termed a council of elders would endorse what it called misleading claims without first engaging the regulator or its supervisory ministry.

“The publication, which is misleading and deceptive, reflects poorly on the entire leadership of ADVAN,” the statement said.

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At the heart of the dispute are industry reforms that ARCON says are designed to protect Nigerian creatives, ensure prompt payment to media owners and agencies, resolve longstanding debt issues, and align the sector with the administration’s Nigeria First Policy and Renewed Hope Agenda.

The Council maintained that more than 10 other associations and stakeholder groups operate within the advertising ecosystem and none has adopted what it described as ADVAN’s combative posture.

“The era of lawless advertising with impunity is over,” the statement concluded. “ARCON will resist all attempts and blackmail by ADVAN or any other group(s) to halt the ongoing advertising industry reforms. ARCON will remain focused and resolute in promoting the Nigerian First Policy.”