Feature: ISP, PMC, EACA – WIIFM?

SALES PROMOTION in Europe is Big Business.

Estimated to employ at least one million people, SP generates revenues of over 30 billion Euros in 10 member states. It’s profitable, but the industry is not without its challenges. As far back as 1980 a need was recognized, amongst member countries, for greater knowledge of sales promotion legislation in different EU markets. Clearly there would be benefits in sharing expertise, and providing mutual help in resolving cross-border issues.

The industry’s founding organization, known as the European Federation of Sales Promotion (EFSP), began in 1980 and changed its name to the Promotional Marketing Council of Europe (PMC) in September 2003 when it became part of EACA (the European Association of Communication Agencies). So many initials!

EACA

EACA is a Brussels-based organization, founded in 1959 with a mission to ‘ represent the advertising, media and sales promotion agencies across Europe enabling international expertise to be shared and issues to be dealt with on a pan-European basis’.

As well as dealing with legal and industry initiatives, EACA supports and promotes academic education and training for our industry. Its four member councils are:

• International Agency Council;
• National Associations Council;
• Media Agencies Council;
• Promotional Marketing Council.

It is the latter council – the PMC - of which the ISP is a member.

PMC

The raison d’etre for the PMC is to assist the development of the sales promotion industry throughout Europe. In addition, its remit includes these further aims:

• to present a professional image for the industry;
• promote quality through the provision of an annual pan-European awards ceremony;
• facilitate cross-border promotional activity and increase understanding of the different market conditions and legislation which exists in the various countries.

Lobbying in Europe and Code of Ethics

With the move towards harmonisation of consumer laws across Europe, there is an increasing need to ensure that any changes to EU or country legislation allow the SP industry to continue to flourish and grow, free of unnecessary restraints. A large part of PMC resource is therefore spent on Lobbying within Europe to achieve these aims.

The primary objective is to create a fairer, simpler, more liberal Europe in which we can all compete on equal terms - ‘promotions without frontiers’. It is vital that politicians and legislation do not adversely affect the commercial freedom of the industry, or our ability to create jobs and wealth through a successful, professional and well-managed industry.

Far from a single Internal Market, different laws in different countries currently raise major obstacles for pan-European campaigns. The rapid growth of internet and border-free e-commerce is of particular relevance - not only in a European context, but also globally.

As part of PMC’s work to improve the quality of sales promotion in Europe, all member countries have agreed to adopt a common Code of Ethics. The code covers, amongst others: premium offers; reduced price; free offers; distribution of vouchers, coupons and samples; personality promotions; charity linked promotions; prize-draw promotions and competitions. The code is primarily designed to protect the public but applies to trade promotions, incentive schemes and promotional elements of sponsorship too.

EACA PMC European Awards

However perhaps the best known ‘function’ of the PMC is the EACA PMC European Awards. The awards aim to reward Europe’s best Promotional Marketing Campaigns which demonstrate:

• Creativity in communication and media use;
• Innovation;
• Relevancy to offer in view of market situation/circumstances;
• Outstanding results

This year the UK won one gold, five silvers and 2 bronzes.

WIIFM? (What’s In It For Me?)

It’s an interesting time for the PMC, which is currently reviewing how the organisation can best reflect the evolving shape of the industry and the needs of its members. One thing is for sure: the PMC has more relevance today than ever, and is witnessing an increased commitment from member countries to help raise the organisation’s profile, and to promote the advantages of belonging to the organization amongst its members.

Eagle-eyed monitoring of legislation will go on – accompanied by robust lobbying. Members will continue to learn from the expertise of fellow member countries, and the organization will continue to break down artificial frontiers. And, not least, the stature of the PMC Awards will continue to grow, in recognition of our sector’s €30bn-1million-job contribution to the burgeoning European economy.