Early-year statistics reveal a sharp polarisation in consumption, against a general drop in domestic intake. The same statistics point to a drop in investments and a saturation of household savings. All the while, exports have been sustaining the hint of economic growth, which at least has the quality of not being negative. If, indeed, advertising is the soul of commerce, all these developments must be found in the structure of advertising in the Romanian public space.
Indeed, what is apparently a metaphor becomes reality with a closer look at the advertising that reaches the ears of the average Romanian - this advertising is just as polarised and baffled by the declining purchase power. As to foreign trade, it seems to have a foreign soul. Most of the export growth is supported by "lohn," which means that products are sold under a foreign brand. Exports therefore involve labour force, whose only advertising is the fact that it is extremely cheap. The lowest salaries, according to the National Statistics Commission, are paid in the textile industry. It is interesting to note that at the other extreme of the salary range is the energy sector, which accounts for the least part of output growth.
Financial products, absent or exotic
Financial advertising seems virtually absent from the Romanian advertising space, as virtually absent are any sophisticated financial products. The mere emergence of a payment card is treated with praise, although so far sophisticated financial products have been shy about entering the Romanian market, for several simple enough reasons - low revenues among the populace, hence their low investment power, and uncertainties over economic growth, hence the limited credit offered to the populace. Meanwhile, people in neighbouring countries are gaining access to foreign capital market and are easily credited by foreign banks. With this in mind, it's not uncommon to see exotic institutions spring up, such as popular banks and pyramid schemes (called "Ponzi games" in English terminology), that have found room to manoeuvre through misleading advertising that cashes in on the people's lack of "economic common sense."
One of the clauses in the law on popular banks, now credit cooperatives, is the ban to use the word "bank" in their name and in advertising materials. One of the reasons why these vaguely defined institutions have enjoyed so much confidence among the naive deponents, who were used to trust CEC blindly, was the use of one magical word: "bank." But there had to be something more than that, or perhaps much less than that in the calculations of the people who entrusted their money to imprecise institutions - perhaps the belief that the state would never allow any wrongdoing and would cover any losses that might arise. Perhaps the people "figured" that with all the big scores happening around, they could get their own little score going. Still, neither Caritas nor FNI or SAFI had the magical word in their names, and Romanians lost much more money in those cases than with popular banks.
Another interesting fact in these last days when credit cooperatives can still appear under the name of banks, was an advertisement appealing to deponents' solidarity, the true force of this institution, indirectly suggesting that it has enough enemies and therefore needs to be defended. This reminds of December 1989, when the populace was called to defend the Radio, the Television and several other essential institutions. But it also reminds of May 2000, when everyone with any degree of involvement in banking, finance and politics felt compelled to defend the Romanian Commercial Bank. The campaign for Romania's biggest bank, endorsed by some of the society's top personalities, may have been right, but it also added to public misconception about the market economy. Trust is one of the essential ingredients of the financial system, of the economic system in general, but not emotional trust. Emotional attitudes sometimes tend catastrophically to wobble fast between one extreme and the other. A bank must not be loved, it must be controlled. Trust in a bank should not rely on feelings or a paternalistic demeanour but on knowing and understanding the ways of business. That is true, of course, in a market economy that deserves the word "market" in its name. Otherwise, the people's trust in this concept would dwindle, which is what opinion polls have found in the last years.
Consumer goods of two kinds
The overwhelming majority of advertising that bombards the Romanians is limited to personal hygiene products, mobile telephony and, during the hot season, refreshing drinks with varying alcohol content. At a much smaller extent, luxury products are also offered - cars, vacations abroad. There is no intermediate sector, as there is no intermediate segment of the populace, who would be interested in something more than first-necessity goods (detergent, toothpaste, whiteners) and useless products (chewing gum). References to food, normally found in supermarket and food chain ads, have almost vanished as advertisers are beginning to realise that the best advertisement, if not the only one, is the price of food. In the first three months of the year, the average Romanian citizen spent 30% less, in real terms. Since it can hardly be assumed that Romanians suddenly need less calories, it is safe to say they are choosing cheaper products and pay little attention to advertising, which thus loses its purpose.
The soap opera
Paradoxically, against this background of shrinking spending, what can be called the "soap opera ad" made its way onto the stage, derived from the classical "testimony" - wherein a model consumer (usually an aunt or grandmother) narrates in rich detail about the qualities of the product. The soap opera ad, which may owe its name to the target audience, the soap opera crowd (the ad is usually broadcast during an actual soap opera), goes beyond advertising, and offers to deliver the product at the mere cost of a telephone call. It's just another swindle after the "popular bank" because the tired and often tear-wetted eye fails to discern the telephone charge displayed on the screen. What's more, the whole deal about dressing up an entire family with sports shoes, or endowing them with miraculous amulets, bears no trace of any contractual basis. People who entrust their money by making the call can only hope that eventually, the package will be delivered to their home, the Shogun knives will slice through everything, and the amulet will solve all their problems, just as they waited for money from Caritas, SAFI and FNI.
Instead of an epilogue
Whether it's truly a market economy or an "emerging" one, advertising remains the soul of commerce. Perhaps even more - it reflects the entire economic life and beyond. Many social realities that have little to do with the economy are visible in the Romanian advertising landscape. And if economic life is so contorted, advertising should be no different - atypical and evolving, yet to find a shape of its own.
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