The Chartered Institute of Marketing, Ghana (CIMG) has estimated that businesses in the country will lose about 60% of their projected revenue for 2020 as a result of the Covid-19 pandemic.
This, the Institute also revealed, will have an adverse impact on advertising as companies will be forced to cut down on their budget allocation for advertisement.
The President of CIMG National Dr Daniel Kasser Tee, made the disclosure at 29th annual general meeting of the Advertising Association of Ghana (AAG).
In his address at the event, Dr Kasser Tee highlighted some challenges the advertising sector has faced over time.
He noted that although the history of the advertising industry and AAG are not very much different from other related professions and industries, the sector has been somewhat ravaged and heavily challenged by circumstances.
He said emerging [advertising] trends, such as the use of the internet and technology had grossly impacted the sector, especially the local industry.
“This has in the process pushed most [advertising] agencies to the brink in the last two decades, or so,” he said.
He further noted that Covid-19 has even made matters worse as it has presented more challenges to the sector.
However, speaking at the meeting, Dr Kasser Tee suggested that the industries in the sector must adopt new strategies in order to stay relevant.
“The best way to overcome the obstacles that arise is not to adopt one particular strategy but to use different strategy combinations all in tandem.
“You must use the technology that is available and leverage consumer and market research to stay ahead of the changes and remain relevant with your audience,” he said.