The advertising industry in Lebanon faces several challenges in 2012, including expanding the market from its current $415 million which is far below potential, increasing transparency around how advertising expenditures are evaluated and monitored, and organizing the outdoor advertising sector which is currently unregulated. The industry must also audit circulation figures for print media, expand its online and mobile offerings, develop new categories to replace those like tobacco advertising that will be banned, enhance the creative talent and level in Lebanon, and nurture the new generation of advertising professionals.

1. 10 challenges the advertising industry will have to face in 2012
1. Expand the market
It took 10 years for the industry to reach the same levels of advertising
expenditures witnessed in 1998 (125 millions $). After three years of steady
growth, we expect the market to drop again by at least 15% this year. This is a
sign that the advertising industry is very sensitive to the local and regional
political situation.
The adspend per capita has been stagnant for many years (31$). A standard
figure (for developing countries) is around 100$ per capita, rendering the 415
millions dollars market we should have. We are however, very far from this
figure.
2. More transparency
Some research companies are evaluating the adverting investments at 350
millions dollars. Monitoring companies evaluate the market at 1.23 billions at
rate card price. Numbers are inflated and very far from the reality.
Communicating these figures is sending a wrong signal to the market. The
industry should be more transparent and find accurate ways to evaluate the
advertising expenditures.
3. Return back the role of AAA
Around 35% of media bookings are done directly by advertisers. Media and
media reps should accept booking only from Syndicated Agencies and Media
investment companies.
4. Organize the outdoor scene
The outdoor scene is a jungle. The number of panels is very high and totally
unregulated in it display. This situation is disruptive for the whole market. Other
media are affected by the chaos and this is one of the reasons why the market is
not growing year on year. Outdoor rates fluctuate throughout the year
depending on the offer and demand. The normal cost of a unipole should reach
$5,000/month minimum and a 4 x3 panel between 150$ to 200$. The minister of
Interior is trying to regulate the sector. This is a good initiative if it’s fair to all
stakeholders and applied in an organized and planned manner. The number of
panels in Lebanon should be half oh what it is currently.
5. Audit the circulation in the press
Only two print publications are auditing their circulation in Lebanon. For a
country that was at the forefront of print media we are behind other countries,
especially when compared to Dubai. Print media should audit their circulation to

2. create more credibility and have a transparent and honest approach with
agencies and advertisers.
6. Expand the Online offering
Online adspend is growing exponentially but few local websites are benefiting
from this growth. The reason for this is that the offering is weak and technically
local sites do not offer a large palette of online advertising types.
7. Ride the Mobile advertising wave
With the introduction of 3G, the increasing mobile penetration, smartphones
and tablets on the upswing, mobile marketing is destined for rapid growth. The
market that is dominated by SMS advertising should offer other types of mobile
advertising (MMS, Mobile Web banners…)
8. Develop new categories
With the new law on tobacco voted in September 2011, one active category will
disappear from the advertising scene. We need to promote other categories;
one of them is the pharmaceutical product. This category represents a huge
potential.
9. Enhance the creative level
Lebanon was always the creative hub of the region; it lost its leading role starting
in the late 90s and into the new millennium. We need to regain this role and
coordinate with universities to offer the right curriculum for future creative
generations.
10. Nurture our talent pool
The industry should nurture the new generation and give them the tools and
means to grow and find work opportunities. We need to create the kind of
culture and environment to attract the best talent who want to join the industry
and build a career.