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By Osasome, C.O

Only 12.3 per cent of advertising agencies in Nigeria are currently compliant with data protection requirements, exposing a significant regulatory and privacy gap as the country’s advertising industry rapidly shifts towards digital, data-driven marketing and artificial intelligence.

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The disclosure was made by the National Commissioner/Chief Executive Officer of the Nigeria Data Protection Commission (NDPC), Dr Vincent Olatunji, during an Advertising Regulatory Council of Nigeria (ARCON) webinar focused on data protection and its application to the Nigerian advertising industry.

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The revelation comes at a time when advertisers increasingly depend on personal data, digital platforms, artificial intelligence and audience analytics to target consumers, personalise campaigns and measure advertising outcomes.

According to Olatunji, the transformation of advertising into a highly data-dependent industry creates both enormous opportunities and heightened responsibilities for agencies handling personal information.

Digital Advertising Is Raising the Stakes for Privacy

Delivering the keynote address at the webinar, titled “Understanding Data Protection and Its Regulatory Framework: Applicability to the Nigerian Advertising Industry,” Olatunji said data has moved to the centre of modern advertising decisions.

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The industry, he noted, has evolved from its traditional dependence on television, radio, print and outdoor media into an increasingly digital ecosystem where data determines how businesses understand, reach and engage audiences.

The growing deployment of artificial intelligence and other data-driven technologies is accelerating that transformation.

But while these technologies can improve targeting and campaign effectiveness, they also increase the volume and sensitivity of personal information being collected and processed by advertisers and agencies.

Olatunji therefore stressed that personal data entrusted to advertising practitioners must be handled responsibly, transparently and securely.

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“Compliance with the Nigeria Data Protection Act, 2023 is not simply a regulatory requirement; it is essential to building trust with data subjects and sustaining a responsible digital economy,” he said.

NDPA Compliance Remains a Major Industry Gap

The NDPC’s 12.3 per cent compliance figure highlights what the commission sees as a significant weakness in privacy governance across Nigeria’s advertising ecosystem.

Olatunji urged agencies to take their obligations under the Nigeria Data Protection Act (NDPA) 2023 more seriously and establish appropriate safeguards for personal information in their custody.

He also outlined key data protection principles and obligations applicable to advertisers, while drawing attention to the potential consequences of non-compliance.

Central to these obligations is the need for organisations to process personal data lawfully and transparently while respecting the rights of individuals whose information they collect and use.

For an industry increasingly built around targeted advertising, consumer profiling, digital campaigns and audience analytics, compliance is becoming an increasingly important component of business operations rather than a back-office regulatory exercise.

AI and Targeted Advertising Create New Privacy Risks

The rapid adoption of AI is adding another layer of complexity to data protection within the advertising industry.

Advertisers are increasingly using data-driven technologies to identify audiences, analyse consumer behaviour, generate content and optimise campaigns.

While such tools can improve efficiency and precision, they also raise questions around consent, transparency, accountability and the responsible use of personal information.

Olatunji said the industry must ensure that technological innovation does not come at the expense of privacy.

“As AI and data-driven technologies continue to reshape advertising, trust, privacy and accountability must remain at the centre of innovation.”

He added that the future of advertising should not only be more intelligent and data-driven but also responsible, transparent and privacy-conscious.

Consumers Must Be Able to Exercise Their Data Rights

The NDPC also stressed the importance of ensuring that individuals can effectively exercise their rights over their personal data.

For advertising agencies, this means understanding not only how information can be collected and processed but also the responsibilities that arise once personal data enters their systems.

The commission highlighted the need for agencies to establish appropriate privacy governance structures and safeguards capable of protecting information throughout its lifecycle.

This is particularly important as digital advertising increasingly involves multiple technology platforms, third-party service providers and data-processing relationships.

NDPC Calls for Stronger Partnership With ARCON

Beyond urging individual agencies to improve compliance, Olatunji called for stronger institutional collaboration between the NDPC and ARCON.

He said sustained engagement between the two regulatory bodies could help deepen privacy awareness, accountability and responsible data-processing practices throughout the advertising industry.

The call places greater emphasis on regulatory cooperation at a time when advertising is increasingly intersecting with technology, AI, digital platforms and personal-data processing.

The webinar, which brought together ARCON officials, advertising practitioners and industry experts, provided an opportunity to examine the regulatory implications of this convergence.

From Compliance Burden to Competitive Advantage

The NDPC’s intervention also points to a broader shift in how data protection should be viewed by Nigeria’s advertising industry.

With only a small proportion of agencies currently meeting data protection requirements, compliance represents both a regulatory challenge and an opportunity for organisations willing to build stronger privacy capabilities.

For agencies, transparent data practices could become an important differentiator as consumers become more conscious of how their personal information is collected and used.

For regulators, meanwhile, the challenge will be to translate awareness and enforcement into sustained industry-wide compliance.

As Nigeria’s digital economy expands and AI becomes increasingly embedded in marketing, the advertising industry’s ability to balance personalisation with privacy could ultimately determine how much trust consumers place in the digital advertising ecosystem.

The message from the NDPC is therefore clear: the future of data-driven advertising cannot be built on technology alone. It must be built on consent, accountability, security and trust.

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