Adland needs its own stimulus package says Howcroft
The Australian advertising industry deserves a government stimulus package of its own, claims GPY&R Melbourne boss Russel Howcroft.
The Gruen Transfer panellist tells the current edition of AdNews: “We need some advertiser-friendly policies to assist with demand generation.” He adds: “It makes sense to assist advertisers with generating demand by stimulating media expenditure.”
Citing the tax rebate given by the government to the film industry, he concedes: “Yes, there’s self-interest in me saying that, but it is based on ensuring we’ve got a thriving media marketplace, and generating demand via advertising.”
Its a hopelessly naive rational for a advertising stimulus package. The Screen Australia rebates and funds encourage local production investment in works of potentially artistic and cultural value. Without major studios, the Australian film industry would practically disappear without the funding available in various forms since the early 80’s.
Whatever artistic or cultural value a campaign might have, advertising is obviously primarily commercial. Its simple commerce, an agency is paid to produce advertising, much like any business service.
The Ad Contrarian warns against industry hysteria warping perceptions. Advertising landscapes may change, but the principles remain the same. Mr Howcroft thinking he needs government handouts to “generate demand” is symptomatic of a dire lack of confidence to generate demand through good old fashioned ideas and smart strategies.
Oh dear…
Ad industry is like car industry in this respect
Acknowledging marketing spends are down in some sectors, the bigger issue is that marketers are deserting the Howcroft style ad-centric paradigm for better marketing options.
Sad effort by a “big name”…