A blog for the New Zealand creative advertising industry, now at www.campaignbrief.com/nz. Email news to: michael@campaignbrief.com

Friday, January 19, 2007

OAANZ - $210m AUCKLAND BILLBOARD INDUSTRY UNDER THREAT


Clauses within Auckland City’s contentious billboard bylaw proposals have the potential to shut down the entire Auckland industry valued at up to $210 million annually.
Outdoor Advertising Association of New Zealand Chairman Duncan Harris says as the industry has had time to analyse the proposals the depth of the potential impact of the new bylaws is becoming clearer.
“We were astounded at the Councillors adding clauses and changing the boundaries on various maps as we sat in a room supposedly commenting on final bylaw proposals,” says Mr Harris.
“But it’s only now as we’ve finally had the chance to absorb the full impact of the proposals that we are seeing the extent of the damage they can cause.”
Mr Harris said the initial focus of the bylaws was on around 200 billboards in the downtown CBD area. But further analysis of the proposals and the Council’s economic report shows the new bylaws contain clauses that will effectively give Council the power to get rid of any billboard in the greater Auckland City area within just six months. This casts doubt on previous assurances from Auckland City Council that “Billboards would still be allowed on buildings in other areas of the central city”.
“The bylaw as proposed puts at risk up to 575 billboards throughout Auckland, and our independent review of Council’s economic and social impact report translates that to an entire industry investment of up to $210 million that is now at risk. Add in around 200 jobs and up to $75 million off the capital value of buildings in the downtown area alone, and the impacts are quite devastating.
“Shutting down access to downtown or all of Auckland means the national billboard industry will be reduced to local or regional messages or safety campaigns. Few advertisers, whether commercial, charity, or Government Department operators are going to want to mount any kind of national campaign that doesn’t include Auckland.
“That seems a huge social and economic cost to have to pay just because a few councillors have suddenly decided they don’t like billboards. Those Councillors say they want to protect Auckland’s heritage but we can only find five downtown billboards on listed heritage sites and all those sites were granted consents by the Council.
“Again shutting down an industry to remove five sites seems an incredible overreaction,” said Mr Harris.
Mr Harris said another major concern was an over-ride of existing property rights of building owners and billboard site owners.
“The property rights of owners was quoted by councillors as a major reason for not interfering to prevent the recent demolition of Coolangatta, widely acknowledged as one of Auckland’s most beautiful heritage homes. The same property rights apply to building and site owners but it looks as if Council is prepared to run roughshod over those.
“Some of those larger sites are rented at $30,000 a month or more. For some building owners that income might support their entire maintenance programme or be the difference between profit or loss.
“The value of those properties hosting billboards in the CBD will drop by up to $75 million if the billboards have to be taken down. How do the owners recoup that kind of value?” he said.

10 Comments:

Anonymous Anonymous said...

Brilliant - put the money into tvc production.

12:54 PM NZDT

 
Anonymous Anonymous said...

The poster they use for this story is awesome

3:49 PM NZDT

 
Anonymous Anonymous said...

Seeing as probably about a third of NZ awards entries come off Aucklands inner city billboards I bet a few agencies are quite worried about this.

1:20 AM NZDT

 
Anonymous Anonymous said...

the "yesterday" idea is pretty done for a show before 3:49

like done shit loads. they use to say it on TV show ads in the uk a lot, done by the channels. BBC and ITV.

9:48 AM NZDT

 
Anonymous Anonymous said...

Typical alarmist overreaction from the billboard industry. As if Auckland's Round Table-friendly council would do anything to 'harm business'. Some sites will be cleared, most will stay. Next!

2:40 PM NZDT

 
Anonymous Anonymous said...

The billboards are probably being removed so everyone can get a better view of the V8 Supercars in 2054. Another great move by the forward thinking Auckland council.

7:21 AM NZDT

 
Anonymous Anonymous said...

2.40, at the moment they are talking about removing all billboards within the greater city area. So the only ones left will be in suburban areas.

1:07 PM NZDT

 
Anonymous Anonymous said...

Like 2.40, this council is an absolute disgrace.

5:45 PM NZDT

 
Anonymous Anonymous said...

there is a map of the areas effected here;

http://www.aucklandcity.govt.nz/council/documents/bylaw/pdf/part27bapp1.pdf


and for anyone wanting to be in full posession of the facts, there is a draft of the bylaw here;

http://www.aucklandcity.govt.nz/council/documents/bylaw/part27bnew.asp

11:02 AM NZDT

 
Anonymous Anonymous said...

Die billboards die!!!
Best decision ACC ever made.

5:51 PM NZDT

 

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