Top Story

e4m_logo.png

Home >> International >> Article

AAAI chalking out strategies to rein defaulting advertisers

30-July-2001
Font Size   16
AAAI chalking out strategies to rein defaulting advertisers

The Advertising Agencies Association of India (AAAI) is chalking out strategies to deal with the problem of non payment of dues to channels, newspapers and advertising agencies by the advertisers. AAAI plans to install a foolproof system whereby the agencies and media industry are fore warned about the defaulting advertisers.

AAAI plans to institute a system, whereby a client will first have to obtain a No Objection Certificate (NoC) from its earlier advertising agency before approaching another one for its communication business.

AAAI is also planning to take up the issue with the RBI, to allow banks to fund supplier credit. It is also examining the legal aspect. It expects the agencies to make contracts with the advertisers more watertight as delay in payments is the single biggest issue faced by advertising industry today.

The media industry on its part is not taking this lightly. The Indian Newspaper Society (INS) has tightened up its monitoring system. It keeps a watchful eye on the defaulters and is quick to issue embargo notices in problem cases.

Huge outstanding by advertising firm has forced TV channels to take action. A working committee jointly set up by the IBF and AAAI has issued notices on payment deadline to at least 40 ad agencies.

By and by, its going to be a tough time for the defaulting advertisers as they no longer can ignore the fact of being blacklisted by the entire media and advertising agencies.

Tags

Vijay Mansukhani, speaks to exchange4media about the resurgence of Onida, the scope of growth of consumer electronics market in India and the reasons why Indian consumer electronics brands don’t compete on a global scale

Projjol Banerjea opens up about hiring Anne Macdonald and GroupM's Rob Norman, and the brand's new identity

Meera Iyer tells exchange4media that in FY 2016/17, bigbasket clocked a revenue of Rs 1,400 crore. The online supermarket currently stands at 70,000 orders a day, with operations in 25 cities.

CMO, Kashyap Vadapalli on the start-up’s marketing play, why it has decided to stay away from IPL and response to its furniture rental apps

Ushering the launch with a campaign titled ‘The New Way to Get Rich’ showcasing how technology gets millennials closer to their financial dreams

Ogilvy and Love Matters conceptualised a campaign that aimed to change the conversation and imagery that is associated with the LGBTQ community and lesbians in particular