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Nigeria PR Industry Witnessed 20% Drop in Profitability- According to Report

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The Nigerian PR Industry has been suffering from a slow decline in profitability, as competing practices continue to encroach on the public relations space.

 

This and other revealing data are contained in the third edition of Nigeria PR Report, issued today in Lagos, Nigeria’s commercial capital, and the city with the most concentration of PR consultancies in the country.

 

Published by BHM Research and Intelligence, the 2018 Nigeria PR Report, records a 20% drop in respondents’ assessment of profitability in PR and a 33% increase in the number of respondents who think profitability is dwindling, reaffirming the fact that PR is mostly the first casualty when companies initiate a cost-cutting exercise.

 

Dwindled PR spend caused by the 2016/17 economic recession in the country manifested in the profitability of PR businesses.

 

‘The state of affairs has been driven largely by currency volatility, macro-economic shocks and policy issues with big spenders like MTN and Etisalat (now 9Mobile) in the Telecom sector, the Unilevers and the P&G’s in the FMCG sector crawling back with consequent squeeze on the local PR industry”, says Bolaji Okusaga, one of the key respondents whose think piece is also featured in the report.

 

The report, which gathers and analyses data on trends, perceptions, challenges and prospects within the industry, is a joint product of the BHM Research team and Brentt Consulting, one of Nigeria’s most respected market research companies.

 

Since its inaugural publication in 2016, PR industry stakeholders – practitioners, clients, investors, regulators, media and students – have come to look forward to the annual release of the report due to the useful insights that the report offers.

 

As in previous editions, the 2018 Nigeria PR Report looks at current trends, backed up by both quantitative and qualitative analyses.

 

Also, this year’s report is a product of online surveys, focus group discussions and individual interviews covering key stakeholder groups like agency CEOs, PR consultants, media practitioners and clients being served by PR experts.

 

The facts are presented in a reader-friendly format, employing infographics in data presentation for better understanding.

 

Over 400 practitioners were surveyed, over a period of 4 months. At least 25 professionals participated in focus group discussions.

 

Expert opinion articles were collected from Nigeria, South Africa, Canada, the United Kingdom and the US.

 

The 2018 edition is divided into seven sections  covering various areas of interest – Research Findings,, Perspectives on Improving Nigeria’s PR Industry, Ethics and Professionalism in PR in Nigeria, Regulatory Bodies of Nigeria PR industry, Measurement in Public Relations, Perspectives from the Global PR Industry and a directory of Public Relations Agencies in Nigeria.

 

The first section of the report, Research Findings, is further divided into two parts of industry overview and state of Nigeria’s PR industry.

 

This section is a hugely quantitative presentation of industry facts and figures. It highlights a trend that more agencies in the country are recording some increase in their annual revenue.

 

The data shows that only 14% of agencies were billing below N5 million annually in 2017, compared to the 33% recorded in 2015.

 

The report noticed a 166% rise in the number of agencies who recorded annual revenues of N6 – N10 million between the 2015 and 2017 data.

 

There was also a 58% increase in the number of agencies who earned N150m and above, when comparing the 2015 and 2017 figures.

 

However, the report shows there were drops in the numbers of agencies whose annual revenue bands were N11m – N20m (9%), N21m – N50m (16%) and N100m – N150m (42%) between the years 2015 and 2017.

 

Overall, the report indicates that mid-sized agencies (billing-wise) did not have it as rosy as their micro- and mega counterparts.

 

It also highlights the fact that alcoholic beverages, with approximately 200% increase over its standing in 2016, upstaged the banking/finance, which dropped by 11 percent, telecoms (with a 38% drop) and manufacturing (even with a 15% increase) in the sectors serviced in 2017.

 

Over 80% of respondents checked digital/social media marketing as the most sought after/offered service in the Nigeria PR industry.

 

The reason may not be unconnected with the ease of measuring digital media results. Calculating reach, impressions and engagement on social media and online platforms is easy and the numbers are considered more accurate than those of traditional media.

 

“Digital and social media channels provide the platform for engagement and advocacy amongst a youthful, tech-fuelled population and with that comes the reputational challenges of a society that now has the power to communicate in real-time with its global ‘neighbours’.

 

“Now, more than ever before, PR professionals are under pressure to be more thoughtful, more creative and focused on delivering value for their clients.

 

“What makes a PR person different from the regular ‘tweet’ is their ability to bring to bear the traditional principles of PR in a technologically sophisticated communications terrain,” specialist in Strategic PR, Media and Reputation Management, Moliehi Molekoa, reiterates in the report’s foreword.

 

On PR Spend, the report indicates that most micro-, mini and mid-sized companies avoided PR agencies in 2017, leaving the space for mostly the large companies.

 

The data shows that companies whose PR Spend were in the bands of N0 – N5m, N6m – N10m, in 2015 did not engage PR agencies for the year 2017.

 

Those companies whose bands are N11m – N20m and N51m -N100m recorded a 25% increase in the PR Spend in 2017.

 

The disposition of communication managers in corporate organisations towards PR is the reason PR is the most hit of all companies’ supplies items in times of cost rationalisation.

 

This disposition even manifests more in these managers’ perception of the PR landscape as highlighted in the report.

 

There is almost a general consensus that the landscape is declining, with the group of respondents who are of the view that the landscape is improving dropping by 26%; those who said it is deteriorating increasing by 33%, while those who said it remains the same had also increased by 10%.

 

According to 70% of respondents, the skills required for success in PR are business, content and storytelling while 62% are of the opinion that creative thinking is important and 55% propose that media relations is equally important.

 

The report offers perspectives on improving the Nigeria’s PR industry, authored by some of the industry’s bests.

 

Bolaji Okusaga, a PR and communications strategist  in his paper titled, Precise Projections On The Nigerian PR Industry In 2018, highlighted the performance of PR in 2017 and posited that “2018 promises to be brighter and better, given the obvious recovery of the economy and a projected increase in government and political spending being a year before the general elections.”

 

Nkiru Olumide-Ojo, an integrated marketing communications professional, in her article, PR: What Clients Want, highlighted some of the attributes that clients expect from their agencies.

 

These attributes include increased stakeholders reach, creativity and innovativeness, pedigree and good track record, professionalism, clear understanding of clients’ business, quick turnaround time, among others.

 

In her words, “there’s a lot that goes into being a successful PR consultancy or consultant.

 

“And while everyone takes a unique path, there’s one prerequisite that stands in the way of becoming successful: You have to possess a weighty understanding of who you are and what you bring to the table.

 

“In order to help others, you need to be acutely aware of your strengths, weaknesses, past experiences, and future aspirations and limitations.”

 

Ikem Okuhu, an editor of a brand publication reviewed the relationship between the PR agencies and their media partners.

 

In his article, Media and PR: Reviewing the relationship between two sides of same coin, Okuhu called on PR practitioners and the media men to dialogue and renegotiate how news stories should be treated, as most of the items PR practitioners pass off as earned media should actually be paid media.

 

Femi Falodun, a Marketing and Digital Communications Consultant, in his article, How ‘Influencers’ Are Killing Agencies and Why Clients Enable Them, advises brand managers, who run to social media influencers instead of PR agencies to promote their brands, to ensure that these influencers “really deliver value in terms of sales growth, marketing ROI, consumer behavioural change, brand recall and TOMA — the real outcomes that matter, and not just vanity metrics of Likes and Impressions.”

 

In his treatise, Moruff Adenekan, Marketing Communications and Reputation Management professional, also focuses on influencer marketing, expressing regret that some clients are beclouded by the sheer number of social media following of paid influencers, instead of first ascertaining whether these followers actually believe in them.

 

Although the report is billed to focus on Nigeria’s PR industry, there is the conscious fact that our local PR industry is not an island on its own but is also a part of the global PR industry.

 

This prompted the dedication of a section of the report to important perspectives on the global PR industry, which offers insightful articles by renowned practitioners on the trends of PR on the world stage.

 

Like the previous editions, the Nigeria PR Report 2018 is truly a collector’s item for all PR stakeholders, both in Nigeria and outside our shores.

 

It fills in for the omission of our local landscape in the Global PR Report, whose major focus is the top 250 agencies around the world, which unfortunately no agency in Nigeria currently belongs.

 

It is very informative, thrilling and presented with the reader in mind.


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Ugo Onwuaso is an ICT enthusiast. He believes technology should be used for general good. He holds a Master of Public Administration (MPA) degree from the Lagos state University. Dear Reader, Your support matters. But we believe that technology makes life more exciting and helps improve the lives of people around Nigeria and indeed the world. That is why, we have devoted our energy to independent reportage of technology and finance and how they affect lives. Our incisive and analytical view of how technology news affects the daily life help individuals and organizations make up their minds. Quality journalism costs money. Today, we're asking that you support us to do more. Kindly support our effort to deliver technology and finance journalism to everyone in the world. Donate as little as N1,000. Bank transfers can be made to: UBA Plc 1017156876 Communication Week Media Ltd

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NDPC Hides MultiChoice Privacy Violation Details Despite FOI Request- FIJ

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Nigeria Data Protection Commission (NDPC) has refused to release details of the data and privacy rights violation for which it fined MultiChoice Nigeria, despite receiving a Freedom of Information (FOI) request from FIJ.

NDPC Hides MultiChoice Privacy Violation Details Despite FOI Request- FIJ

FIJ otherwise Foundation for Investigative Journalism, is an independent, not-for-profit organisation that combats injustice, holds power to account and speaks for the voiceless.

In its announcement on July 6, the NDPC said it had fined MultiChoice Nigeria N766,242,500 for breaching the data and privacy rights of subscribers and even those who are not necessarily subscribers.

FIJ emailed the data protection commission an FOI request on July 9.

The commission acknowledged the receipt of the email that same day and added: “It has been forwarded to the relevant department and we would respond soon.”

Fifteen days later, FIJ got no other response from the NDPC.

In Nigeria, FOI requests have a seven-day timeframe, and it starts counting as soon as a public institution receives a request for public information.

FIJ understands that holidays, which include a Sunday and a public holiday, are to be excluded in the computation of the timeframe.

The receiving institution is mandated, within those seven days, to either provide the requested information or explain in detail why it is unable to do so based on the provisions of the FOI Act.

Established under the Nigeria Data Protection Act 2023, the NDPC’s tasks include safeguarding data privacy, enforcing regulations and promoting responsible data handling in the country.

When the Commission announced the N766.2 million fine against MultiChoice Nigeria, it said the company had violated the privacy rights of subscribers and allowed the illegal cross-border transfer of personal data of Nigerians.

MultiChoice Nigeria operates through various subsidiaries, such as DStv and GOtv. The NDPC said it launched an investigation into the company in the second quarter of 2024.

“NDPC found, among others, that Multichoice violated the data privacy rights of subscribers and their friends who are not necessarily subscribers,” the statement issued by NDPC read in part.

“The Commission also found that Multichoice carries out illegal cross-border transfer of personal data relating to data subjects in Nigeria. The depth of data processing by Multichoice is patently intrusive, unfair, unnecessary and disproportionate.”

FIJ’s FOI request aimed to understand the extent of the data and privacy breaches committed by MultiChoice Nigeria, the remedial measures directed by the NDPC and the specific channels through which the company collected the personal data of Nigerians.

Two weeks after the request was submitted, the NDPC has refused to respond.

Section 7, sub-section 4, of the Freedom of Information Act (2011) states, “Where the government or public institution fails to give access to information or record applied for under this Act or part thereof within the time limit set out in this Act, the institution shall, for the purposes of this Act, be deemed to have refused to give access.”

According to the Act, where a case of wrongful denial of access is established, the defaulting officer or institution commits an offence and is liable on conviction to pay a N500,000 fine.

At the time of this report, there was no publicly documented case of the NDPC granting an FOI request to share more details after an investigation.

In 2023, FIJ detailed how the Nigerian government often violated the FOI Act. Journalists at top newspapers in the country noted that government agencies had a habit of disregarding FOI requests, despite being legally obligated to respond.


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Spotify RADAR Africa Turns the Volume Up on FOLA and Thakzin

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Spotify is turning the spotlight toward the next wave of African music innovators with its latest RADAR Africa picks: Nigerian Afrobeats talent FOLA and South African Afro House DJ and producer Thakzin. As part of Spotify’s ongoing commitment to discovering and amplifying emerging voices across Sub-Saharan Africa (SSA), RADAR continues to champion boundary-pushing artists shaping the sound of tomorrow.

FOLA, born Folarin Odunlami, first caught attention with his freestyles on social media, quickly making a name for himself with his blend of Afrobeat rhythms and soulful storytelling. His breakout EP What A Feeling, featuring the Bella Shmurda-assisted hit “Who Does That,” laid the foundation for a fast-rising career that now includes collaborations with BNXN, Magixx, and BhadBoi OML. “Looking at where I’m coming from, I see every opportunity as a blessing. So, it’s a blessing to have been selected, just like others before me,” says FOLA. “I want my fans to know that in the midst of all the noise, I made something they could truly connect with, feel and share with those who mean something to them. I want everyone who listens to at the very least, recognise that they’re witnessing the early days of something truly special.”

On the southern tip of the continent, Thakzin’s journey began in Ivory Park, Johannesburg, where early jazz and kwaito influences, plus a deep respect for traditional percussion, shaped his signature sound. With co-signs from Black Coffee and international tastemakers like Laurent Garnier, his genre-defying approach to Afro House, heard in his 2023 anthem “The Magnificent Dance,” is setting global dance floors alight. Following the release of Magnificent Dance, his version of Horns In The Sun by DJ Kent became a viral hit across South Africa and gained global traction, potentially surpassing the success of Magnificent Dance itself. Thakzin’s sound is rooted in African spirituality and healing, inspired by the rhythmic power of traditional drums. Shaped by a musical upbringing and guided by his father, a keyboardist, he blends rich harmonies with percussive elements to create an immersive Afro-house experience. His music evokes emotion, movement, and ancestral energy, anchored in freedom and African expression. In recognition of his role in shaping 3-step, Thakzin was the first cover artist of Spotify’s 3 STEP playlist.

Spotify RADAR isn’t just a platform, it’s a launchpad. It reflects Spotify’s commitment to empowering local artists across SSA and delivering the best listening experience in the region. From Lagos to Johannesburg, RADAR celebrates the diversity of talent on the continent, offering artists equal access to global audiences.

“At Spotify, we believe in the power of African storytelling through music. FOLA and Thakzin are both incredibly unique artists who represent the spirit of RADAR—fresh voices with global potential,” says Phiona Okumu, Spotify’s Head of Music, Sub-Saharan Africa. “By amplifying their journeys, we hope to inspire more creators across the continent to believe in their vision and reach for bigger stages.”

With FOLA and Thakzin stepping into the spotlight, one thing is clear: Africa’s future sound is already here, and Spotify is where you find it first.


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Paradigm Initiative Applauds Malawi’s Judiciary for Outlawing Criminal Defamation

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Paradigm Initiative (PIN) commends the decision by the High Court of Malawi, sitting as the Constitutional Court (ConCourt), which finds that section 200 of the Penal Code of Malawi, criminalising defamation, is unconstitutional. This follows a unanimous ruling by Justices Chifundo Kachale, Fiona Mwale, and Mzondi Mvula.

The decision by the three-judge bench concludes a case brought by Joshua Chisa Mbele against the Director of Public Prosecutions and the Attorney General, where the latter leveled charges against Mbele for alleged defamatory statements made regarding a public official in Malawi. In his defence, Mbele challenged the constitutionality of section 200 of the Penal Code of Malawi, which criminalised defamation, arguing that this provision infringed the right to freedom of expression as provided for under section 35 of the country’s Constitution, as well as running counter to Malawi’s obligations under regional and international human rights law.

In its commendable ruling, the ConCourt upheld the right to freedom of expression enshrined in the Malawian Constitution and described the punishment of imprisonment, as outlined in Section 200 of the Malawi Penal Code, as having a “chilling effect on public discourse and democratic participation.” In a ruling delivered on July 16th, 2025, the court said it did not find Section 200 of the Malawi Penal Code reasonable or necessary in light of the civil remedies available to deal with defamation.

PIN celebrates this win, having expressed concerns in the past over Malawi’s repressive laws through the Londa report on the state of digital rights and inclusion in Malawi and a joint advocacy statement calling for the repeal of laws infringing on freedom of expression.

PIN hopes that this decision will stir the legislature in Malawi to repeal laws that have a bearing on freedom of expression such as the Electronic Transactions and Cybersecurity Act 2016, which is increasingly being deployed as a weapon to criminalise freedom of expression and media freedom in Malawi with broad provisions such as section 87 that criminalises publication of offensive communications and an overly broad section 91 of the Act (prohibiting cyber spamming) which has been used to target individuals for insulting the President.

Acknowledging the judiciary’s vital role in promoting fundamental rights and freedoms and ensuring that repressive laws are outlawed, PIN applauds the progressive decision. The Malawi judiciary has demonstrated this leadership with a landmark case that can lead to further legislative reforms in Malawi and inspire other African judiciaries to adopt a human rights-based approach to adjudicating over such cases.


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