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New headache for AdBoard as ASAP takes immediate leave of absence

MANILA, JUNE 7, 2013 – The Advertising Suppliers Association of the Philippines (ASAP) has taken an indefinite leave of absence from the AdBoard, effective immediately – the third such departure in less than a year’s time.

ASAP’s exit raises new questions about AdBoard’s continued viability with the former eight-member industry body reduced to four member organizations. Its exit will add to the difficulty of sustaining AdBoard’s flagship projects – the Ad Congress and Araw Awards, originally due to be held later this year.

In a statement, ASAP pinned its decision on the earlier pullouts. It explained that it had for the past year worked to support AdBoard and its representatives in reforming the organization, structure, membership and objectives. But it could no longer justify its continued participation in an AdBoard without its main clients and source of business, namely the brand owners (the Philippine Association of National Advertisers [PANA]) and their agents (the Association of Accredited Advertising Agencies [4As]).

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ASAP said it was necessary to distance itself from current polarities and move forward by virtue of its own strengths and principles in order to align its members with its main partners and to take steps towards becoming a more proactive institution.

ASAP added, “Though on leave, [we] will be open to partnerships with the different AdBoard member organizations in meaningful and relevant ways – keeping in mind that, in the end, we are still a part of the same marketing communications and advertising industry.”

The longstanding issue revolves around policy disagreements on how to manage commercial overloading among broadcast stations and the concomitant absence of a streamlined ad approval process, which had resulted in the departure of broadcast media organization, the Kapisanan ng mga Brodkaster sa Pilipinas (KBP), from the AdBoard in July 2005, as well as the establishment of the Ad Standards Council (ASC) upon the KBP’s exit. 

As reported in November 2012 by adobo Magazine, PANA had followed the lead of the KBP, announcing its own indefinite leave of absence from the AdBoard on November 22, 2012. Margot Torres, then-President of PANA and incumbent PRO of the AdBoard, said in an interview with adobo Magazine that the move was done purely out of the intention of establishing a new vision for the association, its role in the industry and its industry association partnerships.

The 4As followed suit and filed their own leave of absence on February 6, 2013. Their letter submitted on said date stated, “We are taking this position in the hope that concrete actions towards true transformation and change will be undertaken for the good of the entire industry.”

These developments have heightened discussion concerning the continued relevance of the AdBoard. An observer quoted by adobo Magazine in the January-February article on AdBoard leadership changes noted that the most important chunk of media was represented by the KBP, which accounts for 70 percent of total expenditures – and asked how, in this light, PANA’s departure might impact the AdBoard further.

The exit of these major players has also raised questions concerning the fate of activities that previously involved AdBoard’s former fulltime members such as the hosting of the AdCongress. An announcement by 4As chair Matec Villanueva a few weeks back that the 4As would stage the first ever Ad Summit Pilipinas in May 2014, which would become the new home of the Kidlat Awards, will likely signal the end of the AdCongress, particularly after a number of AdBoard members believe it pointless to host an AdCongress this year without the 4As’ support.

 

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