The Managing Director of Lagos State Advertising and Signage Agency (LASAA), Mr George Noah, on Thursday said that outdoor advertising generates a turnover of N50.2 billion annually in the state.
Noah made this declaration at the opening of the 1st African Outdoor Advertising Conference and Exhibition in Lagos.
“Lagos takes about 60 per cent of the nation’s out-of-home advertising industry with 146 registered out-of-home advertising companies, being the commercial nerve centre of the nation.
“So far, it has also employed not less than 100,000 people in various advertising and signage companies and regulatory agencies.
“Outdoor media buying agencies generate about N8.6 billion, fabricators N1.5 billion, installers generate N382 billion, large format printers, N8.27 billion.
“Also, outdoor specialist agencies generate N21.9 billion, outdoor protection services, N370 million, adverts N1.25 billion, while other areas raked in N8 billion,’’ he said.
According to him, there are 100,000 signs and 800 outdoor structures in Lagos presently.
Noah said that the industry would have grown more, but was hindered by some challenges which include loss of market share to television, radio and social media marketing.
He also lamented the activities of non-professional advertising operators who paste about 20,000 posters daily across the state, stating that they were a major challenge.
Noah also said that the industry was faced with challenges such as harsh weather conditions, defacing of some billboards by street urchins, and concentration of outdoor adverts in some places.
He said that the advertising industry in Lagos was coming up with the first water-protected digital display signs in Africa as a result of demands and taste of clients.
The managing director said that the levy for back and frontlit adverts had been removed from the fees of advertising companies since the companies pay heavily for alternative electricity.
Also, Lagos State Governor, Mr Babatunde Fashola, said at the conference that outdoor advertising could constitute a large portion of the nation’s gross domestic product, if enhanced by more innovations.
He urged stakeholders in the industry to discuss ways to improve the confidence of their clients through in-depth research, to provide accurate data on the audience of their sites.
“We need knowledge and innovation in evolving trends to grow in this industry.
“Out-of-home advertising lacks empirical data and budgets, and as such, clients do not know how far their investments can reach.
“Outdoor advertising in Nigeria is the third largest in the world following South Africa and Egypt,” he said.
Fashola was represented by the state’s Commissioner for Environment, Mr Tunji Bello, at the occasion.