May, 2022 / Volume 26, Issue 4
www.business-review.eu
UKRAINE CONFLICT PUTS A DAMPER ON HOPES OF ECONOMIC RECOVERY
14
EXPORTING COMPANIES FACING NEW BARRIERS IN 2022
18
STARTUPS LOOKING TO SHAPE LOCAL POST-PANDEMIC OFFICE MARKET
26
REBRANDING DONE RIGHT: A GUIDE
32
ORANGE’S NEW MISSION: TO CREATE A ONE-STOP SHOP EXPERIENCE
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EDITORIAL 3
• Editorial •
REAL ESTATE
Anda Sebesi
6 First quarter of 2022
• Editor-in-Chief •
sees decline in M&A dealmaking, but strong real estate activity
COVER STORY
Romania is a safe investment destination
R
ussia and Ukraine together represent a relatively small part
8 Orange’s new mission: to create a one-stop shop experience
MAIN STORY
of the world economy, but they account for a large share of global energy exports. The reliance of many European
countries on Russia’s oil and gas has prompted a political debate on
14 Ukraine conflict puts a
how to quickly and permanently lower this dependency.
damper on hopes of economic recovery
Due to its proximity to the conflict zone and its trade links with both Russia and Ukraine, the Central and Eastern Europe region has been the focus of a lot of concern since the conflict started— and Romania was facing a pressing need for adjustments in its macroeconomic imbalances even prior to that moment. The coun-
ENTREPRENEURSHIP
try has been under the EU’s excessive budget deficit procedure
24 Agista looking to boost
since early 2020, though it has been suspended in the meantime on
presence of Romanian entrepreneurs on stock exchange
account of the pandemic. With these issues in mind, we’re dedicating this month’s main story to the Ukraine conflict and its impact on Romania and the wider region. To maintain economic stability through this turbulent period, the local government and the business community must present a clear message that Romania is not only a safe place to invest, but also one that offers many opportunities in spite of the present challenges. Romania’s vulnerabilities could be turned into opportunities if the agriculture and energy sectors were treated as
26 Startups looking to shape local post-pandemic office market
CITY 35 Gopo Awards 2022:
not necessarily be among the first relocation options for Ukrainian
Act of courage reveals years of behind-thescenes abuse
businesses. However, with sustained, coherent support and a well-
36 Romanian Design
strategic. Right now, unlike Poland and Hungary, our country may
rounded strategy that is quickly designed and implemented by the authorities (including local ones), the country’s attractiveness and its chances to become a relevant investment destination may increase.
Week celebrates 10-year anniversary with special edition
38 Cultural calendar
EDITOR-IN-CHIEF: Anda Sebesi JOURNALISTS: Aurel Constantin, Mihai Cristea, Deniza Cristian, Romanita Oprea, Oana Vasiliu CONTRIBUTORS: Ovidiu Posirca, Claudiu Vrinceanu COPY EDITOR: Anca Alexe PHOTO EDITOR: Mihai Constantineanu PHOTOS: Dreamstime ART DIRECTOR: Raluca Dumitru PUBLISHER: Bloc-Notes Media Network ADDRESS: 82-98 Calea Grivitei, 1st floor, Hotspot Workhub, District 1, Bucharest, Romania SALES MANAGERS: Radu Fireteanu, Alexandra Rosca MARKETING & SALES MANAGER: Luiza Luca PRODUCTION: Dan Mitroi DISTRIBUTION: Eugen Musat EXECUTIVE DIRECTOR: George Moise GENERAL MANAGER: Catalin Alistari USA MANAGER: Oana Molodoi FOUNDING EDITOR: Bill Avery EMAILS: editorial@business-review.eu, sales@business-review.eu, events@business-review.eu SUBSCRIPTIONS on Manpres Distribution Business Review is a member of Fwei
Publicație auditată pe perioada Apr 2015 - Mar 2016
ISSN NO. 1453-729X
www.business-review.eu Business Review | May 2022
4 NEWS
WHO’S NEWS BR welcomes information for Who’s News. Submissions may be edited for length and clarity. Get in touch at mihai.cristea@business-review.eu
Kané Group gets RON 1.8 million investment from Autonom Ventures By Deniza Cristian manian Cuisine, M60 Specialty Coffee, Mamizza – Mother of Pizza, Mercato Kultur, and the Localnicii platform are just some of the projects that have been part of Kané Group’s first stage of development. Since its
Boualem Saidi is the new leader in charge of Bayer Romania, Bulgaria, and the Republic of Moldova, having taken over from his predecessor Sercin Giray. Boualem joined the Country Group in July 2020, leading the Crop Science Division for Bayer and coordinating business operations for the Country Group. He is an agronomist by training and has been with Bayer for 27 years, mostly in commercial and general management roles, at the country, regional, and global levels.
Marko Andric has been appointed Sales Director at Coca-Cola HBC Romania, the leader of the local beverage industry. In his new role, he becomes a member of the company’s Senior Management team, and will coordinate a sales team of approximately 700 people, who are responsible for the relationship with the company’s 100,000 customers. Prior to joining the Romanian team, from 2019 until the end of March 2022, Marko was the Sales Manager of Coca-Cola HBC Bulgaria.
inception, the group has specialised in creating hospitality ecosystems bringing together multiple local entrepreneurs. The business model developed by Kané Group involves the creation of original concepts in locations which are fitted out by space owners who thus become indirect co-investors.
Since its inception, the group has specialised in creating hospitality ecosystems
connection between the very talented people in hospital-
Autonom Ventures, founded
Romania). Founded by Razvan
ity and the space owners who
by Dan and Marius Stefan, has
Crisan and David Maguet in 2014
understand that a good restau-
granted a new round of invest-
and developed together with
rant or café are in fact strong
ment to Kané Group, joining
Ciprian Morar since 2016, the
anchors, which in the post-
existing investors Ciprian
Kané Group has created a series
pandemic period can represent
Morar (founder of Lateral Inc.),
of hospitality brands that have
important reasons for people
Andrei Pitis (founder of Simple
quickly grown to be appreciated
to go to the office or choose a
Capital), and Mihaela Mitroi
both locally and internationally.
place to live,” says Kané Group
(one of the top tax experts in
Concepts such as Kané – New Ro-
co-founder Razvan Crisan.
HiSky is the newest airline to enter the Romanian market By Deniza Cristian Moldovan airline HiSky has
Tel Aviv, Israel. Furthermore,
started to operate flights from
during the summer, the com-
its new hub, the Henri Coanda
pany will also operate several
Airport in Bucharest.
charter flights to exotic destina-
Passengers from Romania’s capital city will be able to travel
page 5
“Our approach is to create a
to Timisoara and Cluj-Napoca, as
tions, in partnership with major Romanian tour operators. With the opening of its
well as to one of the most highly
Bucharest hub, HiSky launches
sought-after tourist destinations,
a new concept around service
With the opening of its Bucharest hub, HiSky launches a new concept around service and price
www.business-review.eu Business Review | May 2022
NEWS 5
65% of business services firms want teams to work in the office 2-3 days a week By Aurel Constantin The Association of Business
Olivier Van Houtte is the new CEO of Cargus. With 20 years of experience in leadership positions in international companies in Europe and the US, Van Houtte has been involved in major restructuring, integration, and transformation projects. He takes over the role of CEO from Jarosław Śliwa, who led Cargus for three and a half years.
Service Leaders in Romania (ABSL) conducted a study in February-April on the postpandemic working methods adopted by companies in the industry, for the 2022-2023 period. 49 percent of companies surveyed stated that the biggest post-pandemic challenges were related to employee engagement and motivation, as well as finding ways to get them to return to the office. According to the ABSL study, the number of employ-
Ciprian Dan, the President of the ABSL
ees who only want to work from the office is below 15 per-
week (with 27 percent of compa-
period of readjustment, during
cent across about 90 percent
nies requiring it). The top three
which any employee can come
of companies in the industry.
categories of employees who
to the office when they want to
60 percent of participating
prefer working from home are
and without a mandatory num-
companies say that between
those who have young children
ber of days. In determining the
50 and 100 percent of their em-
or who are caring for other family
new working mode, companies
ployees prefer the hybrid mode
members, those who spend too
will take into account the type
of working. Of them, most are
much time in traffic or commut-
of activity being performed,
willing work from the office for
ing, as well as IT and software
experience, performance, team
two days per week (37 percent
development workers.
size, project type, and the
“About 60 percent of com-
preferences of employees and
for employees working in a hy-
panies in the industry plan to
customers,” says Ciprian Dan,
brid format) or three days per
return to the office through a
the President of the ABSL.
of companies will require this
Victor Cosconel Head of Industrial & Business Development at Colliers, is taking over the management of Office 360°, replacing Sebastian Dragomir, who had been responsible for developing new growth strategies for the department for the last 5 years. With more than 20 years of experience in sales, business development, and general management, Cosconel will coordinate Colliers’ development plans for industrial and office spaces.
and price. The company’s proposal for the Romanian market is called “SMART COST”—a travel concept that maintains low-cost pricing principles while taking into account passengers’ behaviours and needs in establishing the flight schedule and the range of available extra services. One of the company’s main development strategies is servicing business traffic by creating highly accessible air connections between the capital city and the country’s largest cities.
Stamatis Sapkas is the new Group Chief Financial Officer at Globalworth. Stamatis succeeds Andreas Papadopoulos, who will step down as CFO, following the announcement that he would leave the Company after eight years. Stamatis Sapkas has around 20 years of experience in real estate advisory and investment. He joined Globalworth in 2013.
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6 REAL ESTATE
First quarter of 2022 sees decline in M&A dealmaking, but strong real estate activity The Romanian mergers and acquisitions (M&A) market recorded 48 transactions in the first three months of 2022, a 17 percent increase compared to the first quarter of 2021. Despite the higher volume of dealmaking, the estimated value of local M&A activity was lower on a year-on-year basis, at USD 1.8 billion in Q1 2022 vs USD 2.1 billion in Q1 2021, according to EY Romania calculations. The level of activity reflects the global slowdown in M&A after a record year in 2021. By Aurel Constantin followed by Poland, Austria, Hungary, and Gibraltar (2 deals each). The most active sectors by inbound deal volume were technology and real estate (7 deals each), followed by diversified industrial products (5 deals), telecommunications, media & entertainment (3 deals), power & utilities, and healthcare (2 deals each).
REAL ESTATE MAINTAINS STRONG PACE The good news is that based on the activity levels of Q1, real estate investment volumes in Romania could finally exceed EUR 1 billion in 2022, according to the 2021 annual report released by Colliers. Just a few big-ticket office deals in quite advanced stages—which Colliers consultants predict with a fairly high Strategic investors continue to be the dominant players on Romania’s M&A market
T
degree of certainty will close in 2022¬—could generate deals totalling over EUR 600 million. In line with 2020, the Romanian invest-
he largest transaction of the first
for Strategies & Transactions at EY Roma-
ment market recorded transactions of almost
quarter was the acquisition of auto-
nia. Strategic investors continue to be the
EUR 900 million last year, which represents
maker Ford Romania by Ford Otosan
dominant players on Romania’s M&A market,
over 8 percent of the total EUR 11.7 billion in-
Netherlands for USD 785 million, followed by
accounting for 92 percent of closed transac-
vestment volume recorded by the six largest
the acquisition of wind farm Beta Wind by
tions. Foreign players increased their activity
countries in Eastern Europe.
Energias de Portugal, through its subsidiary
in the Romanian market, with 28 transactions
EDP Renovaveis, for USD 136 million. “The
representing a 56 percent increase compared
health challenges, it is extremely difficult to
Romanian M&A market showed continued
to Q1 2021, whereas domestic transactions
make predictions regarding global economic
resilience in the first three months of 2022.
registered a 10 percent decline (18 transac-
developments. The war in Ukraine and the
Despite the challenging geopolitical and
tions) when compared to the same period.
related sanctions, which came on top of
macroeconomic contexts, M&A activity
In terms of origins, the most active investors
the pandemic and ESG-related drivers and
remains significant and close to record-high
were from the Netherlands (5 deals), the
disruptions, are going to impact property
levels,” said Iulia Bratu, Associate Partner
United States, and Belgium (3 deals each),
markets in terms of supply, demand, and
In the current context of geopolitical and
www.business-review.eu Business Review | May 2022 2016
COVER REALSTORY ESTATE14 7
affordability. As a result, it is hard to say how
RETAIL RECOVERY
large surface leased by a single blue-chip ten-
the Romanian economy—and especially the
2021 brought improvements in the retail
ant. Other major office deals included the sale
real estate sector¬¬—might be affected in
segment as well, attracting deals of about
of River Development’s The Light to Austrian
the future. The inflationary backdrop and
EUR 170 million, a sharp increase from 2020,
group Uniqa for EUR 56 million, marking their
aggressive monetary policy tightening by the
though this is barely half the yearly volume
first major local purchase in over a decade, as
Federal Reserve could impact local activity as
seen between 2013 and 2018, when there
well as BCR’s former HQ heading to Immofi-
well, delaying some of the positive changes
were several large transactions involving
nanz for EUR 36 million.
many had expected.
commercial properties. Investors’ interest in
The industrial and logistics sector also had
Overall, 2021 was a decent year for the
retail products has been growing steadily over
several major deals from active developers,
Central and Eastern Europe (CEE) region in
the last half year, focusing on various product
as well as from two new entries on the local
terms of investment market activity, with
categories such as retail parks or shopping ar-
scene. CTP Invest, the biggest developer on
the overall volume (based on preliminary
cades, shopping centres in secondary/tertiary
the local industrial market, added nearly
numbers) up by about 6 percent compared
cities in need of repositioning or boxes leased
340,000 square metres of new warehouse
to 2020, at EUR 11.7 billion, but still some 20
to supermarkets or DIY stores.
spaces to their portfolio via four different
percent behind 2019 levels, Colliers writes in
In terms of investment sizes, the office
its latest “2021/2022 CEE Investment Scene”
sector again saw the largest transaction of
million in total. Around 80 percent of the
report.
2021, with the purchase of Atenor’s Hermes
sum came from two portfolios with various
as the result of a low offer on hand, which
Business Campus for around EUR 150 million
properties scattered throughout the country:
failed to underscore how deep the actual
by Hungarian fund Adventum. The second
Olympian Parks (owned by Greek developer
demand was. This means that 2021’s result
biggest office deal was the sale of Skanska’s
Helios Phoenix) and a part of the Zacaria
was rather the mere consequence of more
Campus 6.2 and 6.3 to Austrian fund S IMMO
portfolio. The third largest industrial deal
properties seeking a different owner, as buy-
for EUR 97 million, marking the latter’s first
in terms of size marked the first direct local
ers were likely to dig into their pockets. In
major purchase on the local market, after
purchase by Fortress REIT, NEPI Rockcastle’s
fact, a Colliers survey conducted late in 2021
having acted primarily as a developer previ-
biggest shareholder, which acquired Element
showed that industrial assets had become
ously. This deal also set a provisional low
Industrial’s ELI Park 1 near Bucharest for EUR
the most favoured asset class in Europe.
for prime office yields, i.e., 6.75 percent, but
30 million.
Meanwhile, offices remained the most active
based on advanced deals on the market, Col-
asset class, attracting deals worth around 44
liers consultants believe that yields continued
CEE region, office prime yields saw a steady
percent of the total, though very much below
to move south in the second part of the year.
descent in 2021 in Romania, falling from 7 to
purchases during 2021 for around EUR 170
Bucharest has been seeing some of the highest yields in the region for the industrial and logistics facilities (7.5 percent), compared to at most 4 percent in Prague, 4.1 percent in Warsaw or 5.7 percent in Budapest and Bratislava. In fact, Romania’s industrial assets in 2021 recorded their best results since 2015, attracting transactions totalling around EUR 260 million, which represented over 29 percent of the total volume. This figure is also more than two and a half times higher than the yearly average seen for deals involving I&L (Industrial and Logistics) assets between 2010 and 2020. “We continue to view the rather depressed volume of traded I&L assets in previous years
2020’s share of 89 percent. Otherwise, after
Another deal worth mentioning is the sale
Following trends similar to those in the
6.5 percent. A similar situation may be record-
having underperformed CEE peers in past
of Atenor’s Dacia One office project to the
ed for prime I&L yields, where Colliers con-
years, Romania saw its 2021 yields for prime
owners of Romanian DIY chain Dedeman for
sultants note that figures are likely headed
offices performing a bit better than some
EUR 50 million, a deal closed late in 2021 at
to around 7.5 percent towards the end of the
of its neighbours’, though I&L assets saw a
a yield well below the prime level for offices,
year. As for prime retail assets, they believe a
much steeper drop in the region,” says Robert
largely influenced by the longer-than average
prime retail shopping centre would currently
Miklo, Director of Investment Services at
lease, though it ticked all other boxes, being
trade at around 6.75 percent, a bit higher than
Colliers.
a new building in a very good location, with a
the trough seen before the pandemic.
8 COVER STORY
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COVER STORY 9
ORANGE’S NEW MISSION: TO CREATE A ONE-STOP SHOP EXPERIENCE The journey of Orange România & Orange Romania Communications that resulted in a unique M&A process on the local telecommunication market. 'An adventure,' as described by Liudmila Climoc, the CEO of Orange România, who took the time to walk us through the entire process of rebranding a service provider with focus on customer experience.
What steps did you take within the first six months after completing the transaction? Our journey with fixed services operator Orange Romania Communications started on September 30, 2021, and all the steps we have taken together have made this a complex M&A process and a unique one on the local telecommunications market. In our case, the competitor, from which Orange
By Aurel Constantin
Romania Communications (n.r. former Telekom Romania Communications) has detached, is still on the market. This brought important legal & compliance requirements that made this journey extremely challenging, but also rewarding, considering all the smart & innovative solutions we have found. We reached the 6-month milestone at the end of March 2022, after a period that brought us closer to our objective — becoming the preferred choice for convergent services in Romania. We started this journey with a focus on customers and teams. We wanted to be transparent and keep our clients informed, and that's why we launched the hellofix.ro website from day one, to provide answers to the most important questions related to the impact of the transaction among our customers.
www.business-review.eu Business Review | May 2022
10 COVER STORY
At the same time, we focused on bringing employees together, so companies. The transition of fixed services operator Orange Roma-
You carried out a very large rebranding process in a very short amount of time. What were the biggest challenges in this process?
nia Communications to the Orange brand was a major project that
On September 30, we knew that one of the most important mile-
involved transversally all the functions from the two companies.
stones we’d reach together would come after the first 6 months,
they could get to know each other while operating as two separate
Looking back, there were many other operations that required
when we’d have to complete the rebranding process. Rebranding
a considerable effort, such as transitioning all internal addresses to
doesn’t just mean changing the logo or the colours, but a series
the Orange domain, moving the Orange Romania Communications
of actions that are all linked to the customer journey and to how
registered office to the address of a local historic monument — The
customers interact with our company. In this context, all Orange
Telephone Palace —or renaming Telekom Romania Communications
Romania Communications assets had to be readjusted beyond their
to Orange Romania Communications.
look & feel in order to come as close as possible to the Orange DNA.
Our project team had to
The rebranding meant a
manage a long list of touch-
great involvement at an orga-
points and very busy agendas
nizational level, and now we
with hundreds of tasks, but I
see it as a remarkable achieve-
want to highlight three very
ment. Here are some key fig-
complex projects:
ures, to give you an idea: over
The first is the unification
500 web pages redesigned,
of contact channels allowing
three mobile applications
Orange Romania Communica-
completely reshaped, and 55
tions customers to have access
Orange Romania Communica-
to all main contact points as
tions stores rebranded.
Orange customers: call center,
Internally, we developed
shops, the orange.ro website,
dedicated training sessions for
and the social media pages all
our new Orange Romania Com-
under the Orange brand. It was
munications colleagues, be-
a major operational effort to
cause the Orange brand is part
provide a similar experience
of our commercial approach,
to Orange Romania Communi-
but it influences our culture as
cations and Orange România
well. A significant number of
customers, but we made it
employees attended the brand
happen. The second major
induction courses, revealing
process, which I will detail in
great interest in understand-
a moment, was the transfer
ing the values of the Orange
of Orange Romania Commu-
brand. It was an immense ef-
nications customers from the
fort for which I’m grateful.
Telekom Romania mobile network to the Orange România mobile network. We are talking about more than 800,000 customers with mobile services associated with fixed-mobile contracts, for whom we sought an innovative telecommunications solution. The third and ‘final touch’ was the launch of the first joint offer
How have you approached the technical adjustments to the service infrastructure so that customers wouldn’t experience interruptions or changes in their use? The acquisition of fixed services operator Orange Romania Commu-
from Orange and Orange Romania Communications, which brings
nications brought several technical challenges. All the steps men-
speeds of 1.8 Gpbs for the first time in Romania, along with con-
tioned above required us to rethink our network and IT solutions.
nectivity in the #1 mobile network, Orange, as well as TV services
One of the biggest challenges, which brought a remarkable innova-
with access to Orange Sport channels. In the coming months, we
tion in telecommunications into the limelight, was the transfer of
will focus on operational excellence and the further alignment of
connectivity for mobile customers from Telekom Romania Mobile
processes, so that Orange Romania Communications customers can
to the Orange mobile network.
receive superior support & network experience. After welcoming
Among the customers who are now part of the Orange group
Orange Romania Communications as a subsidiary of Orange Româ-
there is a number of clients whose mobile services are associated
nia, our investment in telecommunications networks will exceed
with fixed-mobile contracts with Orange Romania Communica-
200 million euros annually, consolidating the investment of up to 4
tions. On September 30, mobile services for these customers were
billion euros that Orange has made in its 25 years of presence on the
provided through an MVNO contract with Telekom Romania Mobile
local market.
—the MVNO being, in short, a ‘network rental’ contract. Follow-
www.business-review.eu Business Review | May 2022
COVER STORY 11
ing the acquisition, we wanted these customers to have access to
preferred choice for convergent services, and the acquisition of
the Orange mobile network. But how do you transfer such a large
the majority stake in Orange Romania Communications shares is a
number of customers from one mobile network to another, in the
major step in this direction.
middle of a pandemic, without changing their physical SIM cards so as to avoid a major inflow of customers in stores? The answer came from our technical teams, who created an automated flow that
How has the local market changed as a result of the takeovers of recent years?
allowed Orange Romania Communications SIMs to be registered in
Romania is one of the most competitive markets in the EU, and local
the Orange network without user intervention, maintaining the se-
customers benefit from the best value for money. The Romanian
curity standards in telecommunications and the services associated
market has reached its value potential for the most part, so opera-
with each SIM card.
tors are now moving towards convergence, innovation, digital services, and differentiated, high-quality content. 41 percent of Ro-
How did the Orange and Telekom teams react to the rebranding process?
manian households are already convergent, meaning they are using
Through this acquisition, we brought together complementary ser-
Orange is present in 1 out of 2 households in Romania. There are
a mobile service and a fixed service from the same provider, while
vices, telecommunications infra-
several advantages of this growing
structures, and, most importantly,
local convergence trend. Romania
teams. Some of the best telecom-
joins a select club of countries
munications experts are today un-
such as Spain or France, with 3 big
der the same roof, but they have
players providing fixed-mobile
different ways of working, cul-
convergent offers. In terms of net-
tures, and histories. Aligning all
work development, convergence
these requires thorough analysis,
can maximise synergies between
patience, and the identification of
networks, creating better infra-
the best and most effective ways
structure & paving the way to fu-
of working together. We have
ture networks with 5G, Open RAN
built our joint vision and strategic
etc. This increases the country’s
objectives with the contribution
attractiveness for foreign invest-
of both teams. We found brand
ment and economic development
induction webinars to be greatly
through digital transformation.
helpful; they were organized by colleagues from the Learning & Development team and attended by thousands of people. making the final arrangements in a new office building that will host
Orange Business Services is a key player on the data center services market in Romania. How has it evolved in recent years and what does the future of this division look like?
teams from both companies. It was a demanding, but also exciting
Demand for IT&C services increased considerably in 2021 com-
6-month period!
pared to the previous year, with Orange Business Services being a
Meanwhile, we’ve been preparing our new home. We are now
growth engine for Orange România. Togheter with Orange Romania
The global telecommunications industry is dominated by consolidation. Why is this happening and what is behind the trend?
Communications team and ecosystem of partnerships and solu-
The consolidation trend can be observed across several industries,
has become a key player on the local data center market, with 5 data
not just telecommunications, because customers want a one-stop
centers in Bucharest, Cluj-Napoca, and Brașov, hosting services,
shop experience, with more integrated services from a single
virtualization, and strong cyber security skills.
tions, Orange Business Services is today one of the most powerful suppliers and integrators of technology in Romania. In addition, it
operator. For example, Orange offers fixed-mobile-TV packages, IT&C solutions for companies and public administrations, as well
What are the plans for Orange this year?
as financial services. In every European country where the Orange
We will continue expanding the footprint of our convergent offer
Group operates, the last decade has brought a development of
by aligning and developing the strengths of our mobile and fixed
fixed-mobile convergence, determined by the need for simplifica-
networks. Our main objective is to create a one-stop shop experi-
tion and high-quality services. Convergence is the cornerstone
ence that provides full digital services and top-quality content.
of Orange Group’s strategy today, and our European leadership is
Having reached many of the planned milestones in the six months
confirmed by 11.5 million convergent customers. The steps we have
that followed the transaction, we are now even more focused on
made in Romania and the process that’s already well underway in
fostering good collaboration between our teams for the benefit of
Belgium to acquire Voo are strengthening the Group’s approach.
our customers. By operating at the highest standards, we know that
In Romania, Orange has a clear strategy of becoming customers’
we can offer our customers a great experience in the best network.
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12 COVER STORY
From GSM to 5G – a quarter-century journey that changed the way we use technology Orange România’s 20-year brand journey blends in perfectly with that of the development of our country’s telecommunications industry. In fact, the telecom operator’s story began 25 years ago, when Dialog entered the market. We take a look at how Orange România became a provider of complete digital services, with thousands of employees, and came to provide at least one telecom service to half of Romanian households.
T
By Aurel Constantin
he launch in 1997 of the
launch, over 25,000 Orange cus-
first GSM mobile services
tomers opted for 3G services. One
coincided with the launch
year later, the 3G+ network was
of the Dialog brand, operated by Mobil Rom. At the same time, the
launched in 10 Romanian cities. The smartphone era really
operator marked another first by
started when Steve Jobs made
bringing Romania’s very first pre-
history by presenting the iPhone to
paid service, ALO. Two years later,
the world, in January 2007. Orange
in 1999, Dialog introduced the
was the first operator to introduce
SMS feature and the Dialog Inedit
the iPhone on the local market,
subscription, which at the time
breaking the ice with the famous
was the most affordable monthly
3G iPhone in 2008, and constantly
payment option in the country.
introducing the newest models as
That year represented a turning point for the telecom market, when
they were launched. Just a decade later, the smartphone had almost
all providers realised that they had to constantly innovate and bring
entirely replaced what we now call “dumb phones,” and today we
more value to their users in the race to becoming the #1 network.
just can’t see ourselves without one.
Upgrading GSM (Global System for Mobile) meant deploying the
But the devices area was not the only segment in which Orange
GPRS (General Packet Radio Service) technology, the equivalent of
surprised its customers. It launched the Orange Young programme
2G. The new technology came to be available in Romania in 2001,
in 2007, with benefits and special offers for people aged between
just a year before Dialog and ALO became Orange. In 2002, the Or-
14 and 26, and one year later, Orange reached 10 million custom-
ange brand was officially launched in our country under the slogan
ers in Romania. Moving forward and acting on the desire to invest
“The future is bright, the future is Orange.”
in projects for community development and digital education, the
Innovation never stopped, especially in the area of mobile communications. In 2004, Orange launched the EDGE (Enhanced Data
company launched the Orange Foundation in 2012. In 2014, when Orange already had TV services in its portfolio, we
Rates for GSM Evolution) connectivity, another step towards 3G
saw the launch of 4G technology, which became available in over
connectivity and mobile data, which also coincided with a first for
1,000 localities in the country within a year. The fourth generation of
the Orange Group, as Romania was the first market where the Group
broadband cellular network technology meant improved mobile web
introduced this technology, and it proved extremely successful.
access, IP telephony, gaming services, high-definition mobile TV,
In their move towards a modern infrastructure in telecommuni-
video conferencing, and even 3D television. It was the technology
cations, an industry that was developing at a “fast and furious” pace,
that continues to improves the life of rural communities by bringing
mobile operators began creating additional services to attract new
them the advantages of broadband communications, a very impor-
customers or retaining existing ones. That was the background for
tant service, especially in challenging times like the COVID-19 pan-
the launch of the Orange Film programme in 2005, and since then,
demic. In 2019, only five years later, Orange launched 5G technology,
every Wednesday, Orange customers have been able to enjoy a spe-
and Romania was again the first country in the group to benefit from
cial offer at cinema partners across the country: two movie tickets
this service. 5G is steadily setting new connectivity standards not
for the price of one.
only for mobile users, but for B2B communications services as well.
The development of mobile data started in 2006, when 3G tech-
Today, Orange is the #1 network in Romania, and it is accelerating
nology became available in Romania. Orange was the first operator
its strategy for convergent services, aiming to be the top choice for
to offer access to 3G connectivity and in the first three days after the
integrated fixed-mobile services on the local market.
www.business-review.eu Business Review | May 2022
14 MAIN STORY
Ukraine conflict puts a damper on hopes of economic recovery Just as the global economy started to move steadily towards recovery from the covid-19 pandemic, there was another major systemic shock. Russia’s invasion of Ukraine marked a tectonic shift in geopolitical risk levels. Beyond triggering a horrific humanitarian crisis in Eastern Europe, the economic effects of the conflict and the associated sanctions will be felt across the world, slowing down growth while adding to the pre-existing inflationary pressures. By Anda Sebesi
www.business-review.eu Business Review | May 2022
E
MAIN STORY 15
ven though Russia and Ukraine together represent a rela-
terms of improving domestic economic outlook. “While the situa-
tively small part of the world economy, they account for a
tion remains difficult, Romania has several advantages. First and
large share of global energy exports. The reliance of many
foremost, we are a NATO member, which offers a security guaran-
European countries on Russia’s oil and gas has prompted a political
tee. Moreover, the evolution of the military situation since the start
debate on how to quickly and permanently
of the invasion has so far considerably reduced
lower this dependency. Both countries are also
initial concerns of the conflict potentially
global major exporters of metals, intermedi-
spreading to areas beyond Ukraine. Further-
ate manufacturing inputs, food staples, and
more, Romania’s EU membership provides an
agricultural commodities.
indication of stability to investors, as well as
Due to its proximity to the conflict zone and
offering all the benefits of the Single Market,”
its trade links with both Russia and Ukraine,
says Ramona Jurubita, Country Managing
the Central and Eastern Europe region has
Partner at KPMG in Romania.
been the focus of a lot of concern since the
She adds that the government and the
conflict started. Romania was facing a pressing
business community need to present a clear
need for adjustments in its macroeconomic
message that Romania is not only a safe place
imbalances even prior to that moment. The
to invest, but it also offers many opportunities
country has been under the EU’s excessive
in spite of the current challenges. At the same
budget deficit procedure since early 2020¬—al-
time, the authorities can further help growth
though the pandemic led to its suspension in the meantime. According to the Global Economic Outlook report published by KPMG in April 2022, efforts to bring down Romania’s relatively large
with investor-friendly policies, such as support for key sectors like health and education as well as making full use of the available EU funding, especially to develop the country’s infrastructure.”
structural budget deficit in the years to come could have a knockon effect on its economic growth. In addition, the constant deepening of the current account
VULNERABILITIES MAY BECOME OPPORTUNITIES
deficit—which stood at -7.1 percent of GDP
Romania’s vulnerabilities could be turned into
in 2021, the second largest in the EU—would
opportunities if the agriculture and energy
require a gradual and rather immediate correc-
sectors were treated as strategic, Timofti
tion, in order to avoid further increases in the
believes. She points out that, unlike Poland
country’s financing costs.
and Hungary, Romania may not necessarily
The same source says that higher im-
among the first relocation options for Ukrai-
ported inflation would likely keep pushing up
nian businesses. However, with sustained,
nominal interest rates, eroding consumers’
coherent support and a well-rounded strategy
purchasing power and hampering short-term
that is quickly designed and implemented by
economic growth prospects. However, with
authorities (including local ones), the country’s
the right policies in place, which should
attractiveness and its chances to become a rel-
be aimed at encouraging investments and stimulating long term
evant destination may increase. “Investment-related facilities rang-
growth, Romania could weather this crisis.
ing from fiscal and state aid schemes to the elimination of undue
While the has adopted EU several packages of economic and individual sanctions against Russia, the inflationary pressure intensified by the higher
bureaucratic barriers are really helpful mechanisms in the context of a relocation decision,” Timofti notes. According to Razvan Vlad, Partner in the
commodity prices and a deep recession of
NNDKP Corporate/M&A practice, despite the
certain economic sectors such as automotive,
conflict being close to its borders, Romania
transport, chemicals, political risk and uncer-
continues to follow the business guidelines
tainty could make companies more reluctant to
that were set prior to the beginning of the war,
invest during this period. “The large-scale emi-
and investments in key sectors of the economy
gration from Ukraine (figures discussed by the
(such as infrastructure, healthcare, etc.) have
specialists indicate over 5 million refugees to
continued as scheduled. “The legislative
date, with an additional 6.5 million displaced
framework tends to remain quite stable and,
inside Ukrainian borders) is another socio-eco-
with the exception of a couple of legislative
nomic factor with a significant impact,” says
acts aimed at addressing issues generated by
Alina Timofti, Partner and Co-Head of NNDKP
Russia’s aggression against Ukraine, investors
Tax Advisory Services. The complete absorption of funds available
may rely on a relatively safe business environment and on laws
via the EU’s Recovery and Resilience Fund would go a long way in
which are adapted to EU regulations and requirements,” he says.
www.business-review.eu Business Review | May 2022
16 MAIN STORY
CAN ROMANIA ABSORB THE UKRAINIAN WORKFORCE?
based on Ukrainian laws and regulations will find it more difficult
Romania is facing a severe labour shortage in multiple important
to do so,” says Perry Zizzi, President of the Romanian Diversity
sectors. This trend has been accelerated by the
Chamber of Commerce (RDCC) and Managing
pandemic, which fuelled the competition for
Partner at Dentons Bucharest office. When we talk about the integration of
talent even more, especially for roles where remote work fits like a glove. “In March alone,
refugees into the labour market, it is important
the number of job offers on BestJobs reached
to look at our economy and society as a whole,
the 40,000 threshold, with most of them being
but also at the EU response to this situation.
in Sales, IT, Finance & Accounting, Manage-
“Today we are facing one of the biggest global
ment, and Engineering. We are also seeing
displacement crises, so it is not about a single
an increase in candidate activity, but there is
industry being ready to absorb Ukrainian
still a major gap between supply and demand
workforce. It’s about a stable climate and a bet-
in this field,” says Andrei Frunza, the CEO of
ter future that involves all of us,” says Andreea
BestJobs.
Voinea, HR Director at BCR. She adds that compared to its European peers, Romania has
The most recent data shows that almost 80,000 Ukrainian refugees have chosen to stay in Romania, out of
little experience with large-scale immigration. In addition, the situ-
more than 600,000 who have travelled through our country, and
ation is quite similar in the region, as Eastern European countries
Romanian officials have announced that more than 1,770 Ukrainian
are embracing the millions of Ukrainians fleeing war as potential
citizens have been employed on the local market since the war
workforce, and it will be difficult to handle such a huge inflow and
broke out. Most of them were hired in industries like hospitality,
integrate them all.
manufacturing, construction, retail or auto
“At the same time, we must not forget that
services. “We definitely cannot call the mili-
the labour market is changing, and the past
tary conflict an opportunity, but integrating
two years have brought a massive shift in the
Ukrainians into the local workforce is a chal-
way work is perceived. We are now facing the
lenge that we simply need to solve,” Frunza
so-called ‘uberization of work,’ and this can be
argues. He adds that BestJobs data show that
a plus in terms of the integration of Ukrainian
Sales, IT, Finance/Accounting, Management,
employees,” Voinea adds.
and Engineering remain the areas with the
On the other side, the Romanian Labour
largest labour shortage. In most of these indus-
Ministry announced last month that Romania’s
tries, jobs can be performed remotely by those
workforce was lacking in numbers, especially
who have the right skills and mindset and
in sectors such as construction, tourism, and
speak an international language. “Blue-collar
hospitality. Earlier this year, the government
positions are a good fit for international work-
issued a decision allowing 100,000 people
ers, as it is an area where having the hard skills required to perform
from abroad to work in Romania, to cover the labour shortage re-
a job is what matters most,” he adds.
corded last year. In addition, in a relatively short time, the Roma-
Once refugees started coming to Romania, BestJobs thought
nian government revised the legal norms and introduced a series of
about ways to help Ukrainian citizens find
derogations from the immigration legislation
either short-term or long-term employment,
to allow Ukrainians easier access to the Ro-
offering companies the option to highlight
manian labour market. Romania’s Emergency
openings that are also suitable for Ukraini-
Ordinance no. 20/2022 set out new support
ans. “At this point, there are almost 1,000 job
measures for Ukrainian citizens, which include
opportunities marked as Ukrainian-friendly
the right to stay in Romania for work purposes
by companies that are willing to hire Ukrai-
without being required to obtain a long-term
nian citizens and provide additional support
visa for local employment and free access to
for their integration process. 80 percent are
the Romanian unemployment system, under
white-collar jobs for specialists with different
the same conditions applicable to Romanian
skillsets and at least intermediate knowledge
citizens.
of English.” But does Romania have the capacity to ab-
“In my opinion, we need close collaboration, and the Labour Ministry should con-
sorb Ukrainian workforce in the medium and long term? “It depends
tinue to exchange ideas with companies, HR professionals, and
on the sector. IT specialists might all be absorbed right away. Medi-
job-matching services to create a long-term plan and encourage the
cal professionals could also find it quite easy to find employment
adoption of Ukrainian workforce,” Voinea notes. Along the same
here. However, accountants, lawyers, and those whose training is
lines, Zizzi believes that given the fragility of the global economy
www.business-review.eu Business Review | May 2022
MAIN STORY 17
and the uncertainty caused by the conflict in Ukraine, it is difficult
ing industry needs talented people who can create solid products
to say whether Romania could absorb all the Ukrainians who seek
and design clear processes. It needs people with both hard and
to remain on its territory. “In our experience, one of the biggest
soft skills, who can perfect the customer experience and focus on
barriers to absorption (particularly that of blue collar workers) is
understanding, supporting, and advising clients at a higher level.
their lack of Romanian or English language skills. That is why it is so
According to Voinea of BCR, Ukrainians have been part of the in-
important to offer language training as a way to integrate, and this is
ternational workforce for a long time now. “They are a highly skilled
something that the RDCC is carrying out together with its partners,”
workforce, and we must take into account the fact that Ukraine has
he says, adding that most Ukrainian refuges have been hired by
been one of Europe’s most popular locations for outsourcing tech
Romanian organisations in fields like call centres, support activi-
development, generating more than 20,000 tech degrees per year
ties, IT, marketing or tourism agencies, beauty salons, hospitality
according to the IT Ukraine Association. Moreover, 70 percent of
(baristas, waiters)¬—so in both white collar and blue collar positions.
Ukrainian workers have secondary or higher education degrees,” she says.
BANKING INDUSTRY READY TO HIRE UKRAINIANS
She points to the bank’s local project, Jobs for Ukraine, a recruit-
Over the past few years, digital transformation has received con-
ment platform developed by Jobful and InnovX-BCR to support
siderable attention in the banking sector, and the job structure in
Ukrainian citizens who are looking for a job in Romania. Voinea also
this industry is constantly evolving. But what remains unchanged is
adds that BCR has improved its operations, adjusting business flows
people’s contribution. Delivering a top-notch employee experience
to respond effectively to the needs of refugees, with the help of four
is a priority, and banks are aware of the required balance between
Ukrainian employees that it recently hired, offering them critical
technology and human engagement across all channels. The bank-
roles in some of its branches and its Contact Centre.
OPINION: Ramona Chiriac,
Head of the European Commission's Representation in Romania The perspective of Russian supplies to Europe being halted does not alter the EU’s energy transition agenda; on the contrary, it further underlines the importance of switching to renewable fuels that are not subject to the kind of geopolitical blackmail we are currently witnessing, nor vulnerable to the volatility of the gas market. The war has proven that the European Union has been too dependent on Russia for its energy needs. Our security lies in renewables and diversification of supply through LNG, biogas, and green hydrogen. Renewables give us the freedom to choose an energy source that is clean, cheap, reliable, and ours; an energy source that will create new jobs in Europe and fuel the green economy of the future. The REPowerEU plan presented by the Commission on March 8 sets out how the EU could replace Russian energy supplies with alternatives and speed up the rollout of renewables. To those who are fearful or doubtful, I say: we have options! For example, 20 million tonnes of hydrogen can replace 50 bcm of Russian gas. We estimate that by the end of this year, almost 25 percent of Europe's current electricity production could come from solar energy. And also by end of
this year, two thirds of the gas imported from Russia could be replaced. It is undoubtedly a very difficult exercise, but it can be done if there is enough political will to simply move faster towards what we had already decided to do. To cater for the coming winter, the Commission also aims for gas storage facilities in the EU to be filled to 90 percent capacity by October. In addition, the Commission is ready to support the joint procurement of gas and it has proposed several ways to help the most vulnerable customers and businesses. It has also issued additional guidance to Member States, confirming that it might consider regulating prices for end consumers in exceptional circumstances, and setting out ways in which Member States can redistribute revenue from high-energy sector profits and emissions trading to consumers.
www.business-review.eu Business Review | May 2022
18 BUSINESS
Exporting companies facing new barriers in 2022 The absence of business development teams, the scarcity of promotional strategies, and the effects of the war in Ukraine represent the latest challenges for Romanian companies looking to take their products and services across the country’s borders. The war in Ukraine is already putting pressure on Romanian companies’ ability to develop globally
G
By Claudiu Vrinceanu
etting access to a business develop-
the new Chief Revenue Officer at Romanian
looking to become CCIR¬ members—provided
ment team in a target market repre-
tech firm Bunnyshell, tells Business Review.
for in a parliamentary legislative initiative.
sents one of the most critical barriers
The ideal solution is to hire someone in
The Chamber of Commerce hopes that this
for Romanian firms when choosing to export,
the US who has experience working with
project will lead to better representation and
due to the rising HR costs.
Europeans, or even better, has country-
promotion of Romanian businesses abroad.
specific experience, recognising the fact that
Still, most of the local business environment
(whether tech or non-tech) have two ideal
each country has a distinct culture, Shani
is critical of the scheme.
options: recruiting a Head of Internationalisa-
Shoham notes. That person would be able to
tion (or Head of Exports) or a Chief Revenue
speak “American” with US-based prospects
putting pressure on Romanian companies’
Officer for each target market. The Head of
and partners while being aware of the culture
ability to develop globally. Economic pro-
Internationalisation should be a person who
internally.
tectionism will intensify, supply chains will
When going abroad, Romanian companies
is naturally curious, open-minded, adapt-
In terms of cost, the average Chief Rev-
Additionally, the war in Ukraine is already
be affected, and, for some entrepreneurs,
able when interacting with different business
enue Officer in the US makes USD 261,000,
specific markets in Ukraine and Russia have
cultures and personalities, and flexible. The
according to PayScale. The average bonus for
disappeared. For example, Indonesia, the
Chief Revenue Officer should manage all the
a Chief Revenue Officer is USD 81,000, rep-
world's largest producer of palm oil, has an-
go-to-market activities and customer-facing
resenting 31 percent of their salary, with 86
nounced that it intends to ban the export of
teams that are meant to drive revenue for the
percent of people in these roles reporting that
this product, the most widely used vegetable
company.
they receive such compensation each year.
oil, to the extent that could further raise
One challenge for local firms lies in the
global food inflation.
fact that Europeans are not the best at selling,
PROMOTION: A NEVER-ENDING ISSUE
especially to the US market. “Folks in the
Romanian entrepreneurs say that promot-
sia and Ukraine would have contributed to
Under normal circumstances, sales in Rus-
US learn how to sell at a young age, through
ing Romanian companies and their interests
the total business generated by a number of
things like lemonade stands and girl scout
abroad is very important and that the local
Romanian companies this year. An example is
cookies. To be successful in selling to the US
ecosystem currently lacks internationalisa-
manufacturer Ivatherm, which had estimated
market, you need to be short, concise, and
tion initiatives. Strategic partnerships with
that almost 10 percent of its would come from
assertive. Europeans are more laid back,
other companies are also crucial. Romania's
Ukraine and Russia. In this geopolitical con-
wordy, and patient. You can always hire those
Chamber of Commerce and Industry (CCIR)
text, due to the war and all the sanctions and
people, assuming you recognise the gap. Still,
has several bilateral agreements with foreign
restrictions the west has imposed on Russia,
if you're from Europe, most of your networks
countries. It is currently lobbying to intro-
such Romanian companies have had to turn
are likely to be in Europe too,” Shani Shoham,
duce a mandatory contribution for companies
their attention to other countries.
www.business-review.eu Business Review | May 2022 2016
INVESTMENTS COVER STORY 19 14
International good practices for national investment promotion agencies With the growing importance of foreign direct investments (FDI) in generating economic development and increasing exports, many countries have founded investment promotion agencies (IPAs) very useful in drawing, supporting, and facilitating investment. Romania is also attempting to re-establish an investment promotion agency of its own, as indicated by recent discussions at the government level. By Claudiu Vrinceanu to implement concrete actions, such as marketing materials, industry events, and developing relations with the international press to promote Romania as an attractive destination and understanding of the need for foreign investments. A third critical pillar is the existence of an investment generation division that provides information assistance by meeting with potential investors and dialoguing on the country's competitive advantages. The next step is to provide information on investment
R
Romanian entrepreneurs want the establishment of performance indicators (KPIs) for commercial attachés
opportunities and business partners, contact information for regional and local authorities, and information on investment procedures,
omania’s future investment promo-
tion among key stakeholders. The third area
company registration and legislation. The
tion agency should be the first entity
of focus would be improving investor-focused
agency should also generate contacts with
to interact with investors and serve
services based on the comprehensive inves-
potential clients and provide information for
as an intermediary between foreign investors
tor services framework (CISF) to cover every
potential investors through simple activities,
and the government. Ideally, the body must
stage of the investment lifecycle (attraction,
such as liaisons with foreign embassies and
play an essential role in site selection, incen-
entry and establishment, retention and ex-
business associations.
tives, data collection, bureaucratic certifica-
pansion, and linkages and spillovers).
An IPA’s fourth activity pillar could carried out outside the national territory, and here
tion, and company establishment procedures.
COORDINATION, PROMOTION, INFORMATION, AND OVERSEAS OFFICES
the opportunity would be to move economic
tion, the institutional framework for FDI, and investor services are the main pillars
Coordination should be a key pillar for the
Entrepreneurship. In this case, relations with
of an investment agency, according to the
promotion agency, with the aim of identifying
diplomatic and consular missions must be
World Association of Investment Promotion
barriers to investment by consulting investors
collaborative, not subordinate. For example,
Agencies (WAIPA). Given that the Romanian
to support efforts to reduce bureaucracy as
Romanian entrepreneurs want the establish-
agency will also include export strategy and
well as analyse investor views in determining
ment of performance indicators (KPIs) for
programmes, its main objectives will include
the most important obstacles. The agency will
commercial attachés. A simple method could
developing projects to stimulate the interna-
then present recommendations for specific
be creating an electronic platform that would
tionalisation of companies (outbound), and
policies and programmes to local and central
facilitate the evaluation of all the attachés.
not just inbound ventures. Firstly, corporate
governments.
Both companies that have completed the
Corporate planning and sector prioritisa-
planning refers to strategies for sector priori-
A second important pillar could be repre-
promotion offices within the Ministry of
internationalisation process as well as those
tisation for investment promotion. Secondly,
sented by a department that promotes easy
who have abandoned the process could par-
the institutional framework for FDI and ex-
access to the Romanian market for foreign
ticipate. This method would ensure a trans-
port strengthens the IPA's institutional frame-
investors and promotes Romanian firms’
parent and ongoing evaluation process. At the
work by improving governance, resources,
interests in foreign markets. This promotion
same time, it would allow “democratization”
tools, capacities, and institutional coordina-
division should also have financial resources
to make a bureaucratic system accountable.
www.business-review.eu Business Review | May 2022
20 AGRITECH
Key players in Romanian AgriTech and lessons from other countries The agribusiness sector in Romania has a long way to go before it reaches its full potential, which raises an opportunity for the local ecosystem to develop its AgriTech segment to overcome certain challenges and increase its supply of goods and services for global markets. 2022 is the year of the AgriTech boom at the global level, but in Romania the number of tech startups is still low in this field. The local ecosystem needs international partnerships to facilitate the transfer of new technologies
By Claudiu Vrinceanu
KEY INSIGHTS
designed to help early-stage AgriTech com-
INVESTORS
Romania could adopt some international
panies drive innovation in CEE's agriculture
Between 2018 and the end of 2021, 857
best practices to develop its AgriTech sector
sector. The programme uses mentoring
financing rounds in AgriTech and AgriFood
and boost the performance of its agricultural
sessions to diagnose the startups' gaps and
were completed in Europe, totalling USD 4.5
industry. The government could support
opportunities and then deploy appropriate
billion.
investors by launching programmes to
support mechanisms in training, business
finance and stimulate investment in Agri-
planning, and introduction to farming. The
the end of 2021 seemed to witness a return.
Tech, a Deloitte report notes. Romania aims
overall goal of this programme is to develop
Locally, investments in AgriTech amount
to become competitive in the regional and
the capacity of market-ready AgriTech start-
to only a few hundred thousand euros per
global agribusiness sector and an essential
ups and entrepreneurs in Central and Eastern
startup, and such financing is not very wide-
player in the AgriTech field. There are many
Europe. AgTech is an incubation programme
spread.
examples of initiatives to facilitate the transi-
that encourages and helps innovation in
tion to "global first" thinking and innovation
agriculture, and it also works with early-stage
Holde Agri Invest, a Romanian company that
that brings excellent added value, including
AgriTech startups across the country. The
exploits agricultural land, which has invested
government awards for AgriTech innovations
incubation phase occurred over a period of
in AgroCity and Enten Systems.
or hosting a dedicated annual conference to
three months and provided support to five of
attract global players to Romania. Moreover,
the ten startups that had participated in the
the local ecosystem needs international
previous stage.
partnerships to facilitate the transfer of new
After a stagnation of investments in 2020,
The most active investor is a strategic one,
WHAT CAN WE LEARN FROM OTHER COUNTRIES Romania’s AgriTech and FoodTech ecosystem
technologies from global markets and the de-
TECH STARTUPS
is in an early stage, both in terms of the num-
velopment of programmes to draw the next
Ten of the most active and experienced
ber of startups and of the existing support
generation of entrepreneurs into AgriTech.
Romanian AgriTech startups and scaleups
system, with a few local niche programmes,
are AgroCity, Enten Systems, Agricloud,
dedicated investment funds, and a growing
PLAYERS
Agrobazar, StartAgro, Fermier Bun, CBN
interest in innovation.
Nextcelerator and AgTech are two pro-
AgroTech, Vetfast, Kolta, and Verdefood. One
grammes that have managed to open up the
of the most visible startups in this field is
laboration and the creation of a closer link
field of initiatives that support the develop-
AgroCity, a farm management platform that
between tech startups, agricultural associa-
ment of the local AgriTech ecosystem. Their
integrates modern technologies to help farm-
tions, and companies with solid experience
aim is to foster the potential of such startups
ers streamline operations. The platform digi-
in the field, as stated in an EIT Food report.
to generate sustainable revenue and connect
talizes and brings together all the processes
This would further support startups in under-
them with growth capital investment part-
of an agricultural farm (from plots, rental,
standing their customers' needs, testing their
ners to pursue their development plans.
and monitoring to planning and carrying out
products, and growing.
Nextcelerator is a new digital accelerator
production operations).
Accelerating the ecosystem requires col-
www.business-review.eu Business Review | May 2022
22 INTERVIEW
From SAGA Festival to Sound of Bucharest: New concepts in the Romanian events industry Ramona Bratu, Marketing Director at ALDA Romania, the company behind the SAGA Festival, sat down with Business Review to talk about the upcoming second edition of the festival and offer an overview of ALDA’s other projects in Romania and all the backstage efforts involved in organising these events. By Mihai Cristea With the second edition of the SAGA Festival set for June 3-5, what are your thoughts about the experience of the first edition, its results, challenges, and the lessons you learned from it?
and enjoy the SAGA experience. There will be
is the best place to promote Bucharest, as
10 stages and over 150 local and international
it is an iconic place with a huge potential to
artists. From a musical perspective, this
attract visitors from abroad, now and in the
year brings something new, namely a great
future.
The first edition of SAGA was a long waiting
platforms—renowned clubs such as Expirat,
game, due to the pandemic context. When we
Control, and many others. They will be pres-
finally got the approval to organise the event,
ent at the festival for their own audience and
everything happened super quickly and we
for all SAGA participants, coming from over
had to prepare all the festival communication
30 countries.
collaboration with Bucharest-born music
with the new date and location in just around 3 weeks. There were lots of challenges, but
Earlier this spring, ALDA organised WE ARE ONE, the biggest charity event in Romania, in support of Ukrainian refugees. How did you approach the marketing campaign and overall strategy behind this event? If you lack courage, you won’t be able to move or change anything, neither in life nor
amazing reactions from both the people who
After the second edition of SAGA, you will also organise the Sound of Bucharest event, Armin Van Buuren's biggest solo show in Europe, which will take place in Bucharest on September 24. What can you tell our readers about this project?
attended and those who saw everything in
Sound of Bucharest is an event that will take
and wait, I spoke to my marketing team and
the media and online, on social media, and
place every year, starting with September
the ALDA management team about what we
wanted to be part of the movement this year.
2022, and it will showcase a phenomenal
could do to get involved in the way we knew
One of the greatest lessons I’ve learned is that
production, in line with the consistent qual-
best, by getting people together.
you can’t build anything great without trust.
ity of events created by ALDA throughout
fortunately they were accompanied by great outcomes: SAGA had great results in terms of awareness for a brand new festival. Over 40,000 happy festivalgoers per day and
in business. I am grateful for all that we have achieved, both in terms of funds raised as well as in terms of image. Things were stagnating for many reasons, then the war came on top of it all, and since I just don't like to sit
The reason was very important: raising
the years. It also brings together the world’s
money for the war-torn Ukrainian people.
The second edition is quickly approaching, so what can you tell us about the preparations, the concept, artists, venue, and any other aspects?
greatest DJs, such as Armin Van Buuren,
An important factor that helped the market-
who will come to Bucharest this year for
ing campaign was something that initially
an impressive solo show. This event will be
looked like a threat: time. Time pressed us to
broadcast live in over 100 countries, and we
move even faster and create a movement in
We are expecting over 50,000 people to come
strongly believe that the Palace of Parliament
Romania.
www.business-review.eu Business Review | May 2022
24 ENTREPRENEURSHIP
Agista looking to boost presence of Romanian entrepreneurs on stock exchange With planned investments in 20 Romanian companies until 2023, Agista Investments is a newly launched closed growth fund that wants to see more entrepreneurial companies going public. Nicolae Kovacs, the CEO of Agista, spoke to BR about the stock exchange’s significant potential to attract some of the EUR 35 billion being kept by Romanians in bank deposits and provided insights into the planned launch of the new accelerator. By Ovidiu Posirca
More specifically, we are looking to acquire minority stakes, seeking to be an anchor investor and active partner to support growth by deploying capital, but also to provide know-how, reputation, and group synergies. We typically invest over a mid-long term of three to five years, and we take a board seat for strategic guidance. Agista aims to invest at any of the following stages: Pre-IPO, Private Placement, IPO, and listed equities.
What factors do you analyse when planning to invest in an emerging company? What type of fund is Agista and what is your portfolio strategy built on?
service, a proper growing market, and the
As a general modus operandi, we invest in
internal scaling capability to ensure that the
high-growth companies that seek capital to
Agista Investments is a closed growth invest-
capital we deploy will create the expected
ramp up expansion, either via M&A transac-
ment fund that aims to invest in high-growth
added value and boost the company’s value
tions or by boosting their production capabil-
private and public equities that operate in all
in the long term. The end goal is to get the
ities¬—most often both. The optimal size for
of Romania’s strategic sectors. We feel that
private companies in which we invest listed
these companies’ annual turnover is between
there is a financial intermediation short-
and, down the line, to have a high-growth
EUR 3 and 15 million. We seek to understand
age on the Romanian market, and we’re
stock portfolio listed on the Bucharest Stock
their product and market potential, but even
looking to invest in companies that have
Exchange (BVB), on both the main and AeRO
more importantly, we are looking to invest
three major qualities: a proven product or
markets.
in people and their vision and capability to
www.business-review.eu Business Review | May 2022
ENTREPRENEURSHIP 25
deliver the agreed upon results. Our ticket
of uncertainty that have been floating around
corporate governance, acquire management
size per investment varies depending on the
for the last few months, whether we’re talk-
skills, and access the Impetum Group com-
company size and potential, ranging between
ing about inflation, the war in Ukraine or
munity where they can identify synergies
EUR 0.5 and 2.5 million. Our strategy is to ac-
other sector-specific issues. This is the reason
and try different management tools for a
celerate their growth plans either by acquir-
why we have seen fewer listings or private
fast and solid growth. After graduating the
ing a competitor or by expanding production
placements this year.
programme, the businesses will also qualify for a capital investment from Agista.
capabilities or product lines. We believe that the Romanian market is this process is generating robust players that
Is the domestic capital market becoming a competitive financing instrument for SMEs?
could champion the stock market in the long
If we look at the total local market capitalisa-
Which industries are in a good position to harness the capital market’s development potential?
term. We will list most of these companies on
tion versus GDP, we can see that it’s currently
We believe that the IT industry has great
the AeRO market to begin with, then move to
at 13 percent, which is very low compared to
potential to stand out thanks to the talented
the main market within two to three years.
29 percent in Poland, 35 percent in Austria,
pool of IT graduates and professionals, but
and over 55 percent in Germany, not to men-
also in the context of Romania’s digitalization
undergoing consolidation right now, and
What is Agista’s investment target? Do you plan to list the fund in the coming period?
tion the US, where it
The plan is to assess over 150 companies in
in 2020. We believe
2022, and we have already met with more
that this ratio points
than 60 this year. We expect to have invested
to an opportunity
in 20 companies by the end of 2023. This will
for SMEs to grow
include both listed and unlisted firms, but
through the capital
most of them will be private (pre-IPO).
market, where
accounted for 194.9 percent of its GDP
We intend attract more capital at the end
they can access the
of 2023 and we will seek to list Agista on the
capital they need to
BVB main market in 2024.
finance development. Combined with the fact that over EUR 33.5
needs. Apart from IT, we will also be seeking to invest in healthcare, waste management,
Will Agista remain local or do you plan to expand regionally in the coming years?
billion were sitting in banks as the popula-
energy, and agriculture, but this list is not
tion’s deposits at the end of February this
finite.
Our strategy is to invest in local SMEs that
year, mostly earning negative real interest
want to expand regionally, therefore to create
due to inflation, we think that more robust
robust regional players. We think that com-
listed companies can and will help attract
panies that don't manage to consolidate in
some of that money to the stock market in
the medium term will ultimately be acquired.
the future.
From our interactions with local entrepreneurs, we have determined that they want to
How can entrepreneurial companies remain competitive given the current economic picture which is marked by high inflation and growing interest rates? Depending on the industry, businesses will absorb some of the increased cost to avoid
but also for the know-how and synergies we
Are you planning to join the startup ecosystem either through acceleration programmes or direct investments?
can provide.
We intend to support the entire business
become more efficient, whether that means
ecosystem based on their specific needs and
to invest more in digitalization, cut spending
How open are Romanian entrepreneurs to listing their companies on the Bucharest Stock Exchange (BVB)?
we believe that small companies deserve a
or seek alternative suppliers. Some entre-
fighting chance. Therefore, Agista and its
preneurs will have a hard time over the next
partners will start an acceleration programme
few years, and this will ultimately lead to
We think that entrepreneurs are beginning
dedicated to small businesses with a turnover
consolidation on the market.
to open up to the idea of listing because they
below EUR 3 million, to help create strong
have understood the benefits of the stock
players in the future.
partner up with us not only for the capital,
market, and this is especially true of those
Agista’s accelerator programme will be
losing customers. To remain competitive in the current circumstances, they must
As a country, I think the current circumstances have unwantedly delivered a great chance to invest in production capabili-
operating in highly competitive HR markets,
launched later this year and it will provide
ties that could make us less dependent on
such as IT.
small companies not only with capital, but
imports and turn us into exporters. Today,
Many entrepreneurs are wary of listing
also with vital know-how about growth,
we are actively importing inflation, either via
this year because they believe that valuations
resources to overcome HR and financial
energy or finished products, and this trend
are currently discounted due to the elements
structure challenges, and ways to build better
needs to shift for long term prosperity.
www.business-review.eu Business Review | May 2022
26 ENTREPRENEURSHIP
Startups looking to shape local post-pandemic office market Offices in Romania have generated nearly half a billion euros in deals in each of the past few years, but startups are betting on a more flexible workplace and technology that puts landlords in control of their building data. By Ovidiu Posirca lease, and sell properties. Buildings can be fully managed using digital apps, enhancing the efficient consumption of resources. Nooka Space, a startup developing microoffices that can be leased for short periods using an app, believes that hybrid work arrangements will shape the future of the traditional officer sector. Sergiu Babasan, country manager at Nooka Space Romania, suggested that the local coworking spaces market is still underdeveloped. “There is high potential for growth in this segment, especially as hybrid working becomes the norm and companies look for the right solutions to meet the needs of today's employees. Moreover, the crowding of urban areas and the growing need for employee The adoption of flexible work has taken off in recent years
P
flexibility are conditions that create the right environment for the development and success of coworking services,” Babasan told BR. The startup aims to reach total investments
ropTech, the field that encompasses all
ever that digitalization and Environment,
innovation in real estate and construc-
Social and Governance (ESG) goals are key
of EUR 2 million by the end of this year and
tion, aims to improve efficiency and
to a successful, sustainable future,” Bogdan
to add more compact office spaces near resi-
facilitate all activities related to the property
Nicoara, CEO & Cofounder at Bright Spaces,
dential projects. In fact, housing developers
sector. Startups looking to tackle complex
told BR. The Romanian startup has digitalized
could add micro-offices in the mix of facilities
issues in real estate had already raised more
more than 464,515 sqm of commercial spaces
offered to residents in a bid to adapt to emerg-
than USD 12 billion between 2020 and 2021,
since its creation in 2019 and recently opened
ing work arrangements in a post-pandemic
according to the 2021 PropTech Annual
its first international office in London.
economy.
PropTech innovation can be broken into
The concept of the metaverse is also
the digitalization of the property ecosystem,
three main opportunity channels that cover
turning into a driving force in the way we
introducing new ways to design offices, sell
information, transactions, and building man-
approach work, according to Nicoara. In his
homes or boost energy efficiency in commer-
agement.
view, we will soon be able to mix remote and
Barometer. The pandemic has accelerated
cial buildings. “Even if the corporate innovation adoption
Technology allows everything to be digitally recorded and retrieved online, from pub-
office work in a more immersive way than ever before.
process tends to be long-lasting, I am happy
lic records to office lease data, including real
“Imagine being in Bucharest and taking
to say that developers are increasingly open
time heating system temperatures for every
part in a meeting in your company’s office in
to using innovative solutions proposed by
building. Furthermore, people have gotten
London, but not through what has already
startups. Two years after the pandemic start-
accustomed to using secure online platforms
become a traditional tool¬—Zoom—but
ed, real estate companies have it clearer than
to get mortgages, explore office floors for
through a virtual reality tool that transports
www.business-review.eu Business Review | May 2022 2016
ENTREPRENEURSHIP COVER STORY 14 27
year in 2021, when it accounted for around 20 percent of global PropTech investment. It included EUR 3.8 billion worth of venture capital investment across more than 200 deals, which was up 350 percent compared to 2020, according to data from PitchBook. This means that the property startup market in Europe is growing faster than the one in North America, according to Miguel Nigorra, partner and co-head of the Europe team at Fifth Wall, a real estate-focused VC firm. “The European market is still in the very early stages of digitalization and tech adopBogdan Nicoara, Bright Spaces
Ciprian Pasca, PropTech Romania
tion, and the amount of deployed capital is likely to double in the coming two years. There will be multiple opportunities for
you to that office. And you will actually be able to whisper something to the colleague
of demand from tech companies. Companies in the IT&C sector had a share
investors who are focused on Europe, especially those looking to establish long-term
sitting next to you without everyone hearing
of 32 percent in Bucharest’s office leasing
relationships with startups,” Nigorra wrote in
what you are saying,” the Bright Space CEO
market in Q1 2022 and generated 93.6 percent
a piece published on propertyweek.com.
explains.
of new leasing transactions in regional cities
In the meantime, Bright Space’s team has been working both remotely and from the office. Nicoara says he is
European funds hold a leading share on
such as Cluj-Napoca, Iasi, Timisoara, and
funding in early rounds. Investors on the
Sibiu, according to data from Fortim T.A.,
continent led 77 percent of seed fundings
a member of the BNP
building a flat organisation
in Europe’s PropTech market, 68 percent of early-stage fundings,
Paribas Real
driven by responsibility
and 49 percent of late-stage
Estate
and goals, not by stan-
fundings, according to
Alli-
dard schedules.
Crunchbase.
Ciprian Pasca,
Romanian firm Bright
co-founder and
Spaces is also growing
president of Prop-
on the European market
Tech Romania, says
and planning to expand
that the high share of
its digital property show-
remote working during
office, residential, retail &
Firms in
entrepreneurs and property players to use all the tech available
casing platform across the
ance.
the pandemic pushed
the sector, which record over 10,000 annual
logistics segments. “This year, we’ll focus on Romania
in the quest to offer the user the best possible
hires, want the best offices with high-end
and on growing our UK portfolio, while also
experience.
amenities and sustainable certifications in
keeping an eye on markets such as Hungary,
order to attract the best talent.
Poland, Germany, and France,” Nicoara said.
“Fortunately, the trust, impact and popularity of startups is growing in Romania and
Despite the transition to remote or hybrid
Elsewhere, PropTech Romania is looking to
more partnerships are seeing the light of day,
work in some industries, Bucharest’s office
launch this Autumn Proptech Fusion Accel-
but the process is still far from running at full
stock could reach 3.5 million sqm next year
erator, the first corporate & startup open in-
speed - compared, say with UK, Germany or
from 3.27 million sqm at the end of Q1 2022.
novation program targeting the CEE markets.
France, not to mention the USA,” Pasca told
But the new supply could still prove insuf-
BR.
ficient for large companies looking to expand
people have tasted the benefits of remote
and relocate to new buildings, say repre-
work and no longer want to go back to
sentatives of real estate consultancy CBRE
the static, always in one place, work. We
Romania.
discovered that working can be fun, that we
TECH COMPANIES DRIVING OFFICE DEMAND IN BUCHAREST
“I believe this area will evolve, because
can have the flexibility to travel more, spend
While healthcare and pharma companies
more time with our friends and families and
out 2021, when the health crisis was at its
PROPTECH FINDS COMPETITIVE GROUND IN EUROPE
peak, this year has seen a strong resurgence
The European PropTech market had a record
cluded Pasca.
were leasing offices at a rapid pace through-
be more in control of our schedule,” con-
www.business-review.eu Business Review | May 2022
28 TECH
Gaming industry engulfing the world with new and exciting developments The global gaming industry was worth USD 10.5 billion in 2005. Just 15 years later, in 2015, its value had gone up to USD 155 billion, and it was no longer dominated by portable hardware and consoles; it had evolved to a multi-platform powerhouse. By 2025, analysts predict that the industry will be worth more than USD 260 billion. By Aurel Constantin
Streaming services and mobile gaming will become very important revenue sources
V
ideo games today are hosted on a va-
of such projects is almost guaranteed by the
a cloud gaming service that allows users to
riety of screens, with mobile gaming
fact that players are keen to watch films about
play streaming games at a very high quality.
growing every year. The industry is in
the games they love to play.
The platform is available through the Google
fact immense, larger than the film and music
There is no surprise that non-traditional
browser on any device. The goal of these companies is to allow
industries combined. And even if it doesn’t
gaming companies like Meta, Apple or Google
get as much attention as the other two, there
are looking for ways to get into the industry.
players to stream games without needing a
are more than two billion gamers across the
They are also looking for ways to make video
console or a computer. Eventually, purchas-
world—a quarter of the global population.
game streaming as easy as listening to songs
ing physical video games will become a rare
This is the reason why games are now be-
on Spotify or watching movies on Netflix.
occurrence. Subscription streaming is the way
ing turned into movies. Examples like The
In 2016, Meta started the development of a
gaming companies like Ubisoft and Electronic
Witcher or Warcraft (inspired by the World of
gaming development platform together with
Arts are making most of their revenues. It
Warcraft game) have proven that the success
Unity Technologies. Google launched Stadia,
is a model that allows game companies to
www.business-review.eu Business Review | May 2022
TECH 29
have revenues throughout the year, which
green light by regulators or whether compa-
Gaming by Sensor Tower report, the industry
wouldn’t happen in the era of physical games,
nies will be forced to make certain changes,
had revenues of USD 21.2 billion in the first
which would mostly be bought during holiday
such as selling certain divisions to third party
quarter of the year, below the USD 22.6 billion
seasons.
organisations.
in Q1 2021. This was the first-ever year-on-
MICROSOFT AND ACTIVISION BLIZZARD
VIRTUAL REALITY
after it had reached record revenues in the
Tech giant Microsoft is one of the biggest
Other companies, like Mark Zuckerberg’s
first quarter of 2021.
players in the gaming industry. Its Xbox
Meta, are pushing for technological changes
console is still fighting Sony’s PlayStation for
in the gaming world. Virtual reality is here
2022 brought a 2.8 percent drop in revenues.
the lead on the global market. Revenues from
now, and many are trying to find better ways
And the problem is that the decline may
its gaming division reached USD 15.4 billion
to use it. Meta purchased Oculus VR in 2014
continue in the coming period, at least until
in 2021, almost 10 percent of the company’s
for USD 2 billion and it is now trying to use it
gaming companies find new products that
total revenues of USD 168 billion. But gaming
for the Metaverse and for video gaming. The
gamers can be convinced to buy.
revenue went up by 33 percent compared to
Oculus Quest 2 is Meta’s latest offering of the
2020, while the overall revenue was up by just
product.
year decline for the mobile gaming industry,
18 percent. Most of the division’s revenues are coming
As the world moves to new experiences and the time spent on phones is increasing,
But even when compared to Q4 2021, Q1
It is interesting to see what paying gamers are using in terms of operating systems. Apple’s App Store is bringing around 61.3 percent of all income, while Google Play is
from sales of the Xbox console, which
responsible for the rest. During Q1 2022,
means that revenues and profits decline
mobile users spent USD 13 billion on
in quarters when new editions of Xbox
games on the App Store and USD 8.2 bil-
are not released. Microsoft is a very im-
lion on Google Play. Google Play experienced a larger drop
portant player on the gaming hardware
in revenues in the first quarter of this
market, but it relies on companies like Activision Blizzard for the actual games
year. In Q1 2021, its mobile gaming rev-
being played on its consoles.
enues reached USD 9.4 billion, while the App Store’s went up to USD 13.2 billion.
In January 2022, Microsoft announced that it would buy Activision Blizzard for
And while Google Play revenues dropped
USD 68.7 billion, a 45 percent premium
13 percent, the App Store’s fell by only
on the gaming company’s price after the
1.5 percent, highlighting the difference
announcement was made. It was a smart
between their users’ incomes. iOS, the
move for the tech giant: this way, it is
Apple operating system, is being used by
acquiring a content provider who is re-
25 percent of all smartphone users (1.25
sponsible for some of the biggest games
billion people). Meanwhile, Android, the
in the industry, such as Call of Duty,
operating system behind Google Play, is
World of Warcraft, and Diablo. Activision,
being used by 75 percent of users (around
a California-based company, is also a
3.75 billion people). Still, the gaming industry is making more money from iOS
leader in mobile gaming after the acquisition of King Digital Entertainment, the maker
streaming services and mobile gaming will
users. Google Play’s share in overall mobile
of Candy Crush, one of the biggest revenue
become very important revenue sources. And
gaming revenues was 41.6 percent in Q1 2021.
drivers in the mobile ecosystem.
gaming companies are looking for any way
During the past quarter, it had shrunk to 38.7
to boost their revenues right now. A good ex-
percent.
The acquisition provides a shortcut for Mi-
But the gaming industry is looking good
crosoft to improve its content credentials and
ample is the demand for vintage games that
access valuable intellectual property. Some of
has convinced companies like Nintendo to
overall, with more people playing games and
the content will probably become “exclusive”
re-release old games like the Nintendo Classic
creating demand for immersive entertain-
to the Xbox console. The move could bolster
Mini and Nintendo Switch.
ment. Users are also looking for easier ways to play games, without being tied to a computer
subscriptions for Game Pass, Microsoft’s gaming subscription service that allows players
MOBILE GAMING
or console. Mobile devices have allowed com-
to play games across platforms. Yet investors
The mobile gaming industry was positively
panies to attract more people by creating easy
are not too happy, since the acquisition may
impacted by the covid-19 pandemic, so it saw
and fun games like Candy Crush or simple
get a regulatory blowback stemming from the
high revenues in 2020 and 2021. As the world
puzzles like Sudoku. And even if some of
fact that both companies are leaders in their
started to return to normal, the industry
these games are free to play, gamers must still
respective industries. It remains to be seen
saw a 6.2 percent drop in revenues in the
watch some ads during gameplay, so they’re
whether the transaction will be given the
first quarter of 2022. According to the Mobile
paying for it one way or another.
www.business-review.eu Business Review | May 2022
30 DIGITAL MARKETING
How influence has reshaped B2B marketing and employee advocacy Strategic social media is essential for driving B2B sales, according to Forbes, with 83 percent of executives that choose a vendor on their company’s behalf saying that they used social media in their decision-making, and 92 percent of that segment saying that social media had influenced a purchasing decision. In such situations, the quality of the content is what makes all the difference. By Romanita Oprea channels such as Instagram—which suggests that interesting things will be happening in this field in the coming years.” In turn, Octavian Ciprian Gheorghe, creative director & head of social media at gmp PR, believes that in B2B, an influencer who is relevant and potent in terms of delivery can really have an impact. The reputational transfer can be a big plus; he has seen influencers performing very well either as speakers, content creators or consultants, depending on the context. It’s a smart asset to have. As per employer branding and internal communication, he and his teams have seen some creators and celebrities getting some good and honest results. “We’ve promoted internal apps and various messages through them, we’ve collaborated with food influencers, artists, stand-up comedians, and the list goes on in terms of options for creating relevant content. We promote long-term collaborations
A
Ena Karabelas, Chapter 4 Romania
and keep a close eye on influencers’ activity. So, every time we meet up with them, we
ccording to Ena Karabelas, former
been the norm for B2C brands, it also holds
know the chemistry is there. We really believe
executive director at Chapter 4 Ro-
true for B2B now. And considering the fact
in understanding them and their worldview
mania, the advent of social media has
that a buyer’s journey is longer and more
and we try to get past preconceptions and
changed the types of content we consume,
complex in a B2B environment, building trust
see them for who they really are, as well as
as well as when and how we consume it. At
through believable, knowledgeable influenc-
respect their content. A state of presence in
the same time, it has also democratised ac-
ers becomes extremely relevant for bottom
every collaboration and honest communica-
cess to information and has allowed literally
line success,” Karabelas argued. Therefore,
tion are key,” said the gmp PR representative.
anyone to become a publisher or influencer.
she notes, “the challenge, on the local market
This means that, over the past few years, the
at least, is that the number of B2B influencers
FOSTERING LONG-TERM RELATIONSHIPS
effectiveness of traditional information and
is still very limited, and so there are equally
When it comes to building relationships
advertising channels has decreased. At the
limited opportunities for projects with viable
with influencers, Ena Karabelas thinks that
same time, consumers’ trust in their peers has
ROI. The glimmer of hope on the horizon,
while one-time campaigns can be effective
increased, and people are more likely to make
however, is that this situation is changing
in boosting brand awareness and product
decisions or commitments based on what
and that we are seeing more active voices
sales, if the aim is to build trust and advocacy,
they see happening inside their networks,
emerging, on traditional B2B platforms like
longer-term, always-on partnerships are the
across social media. “While this has largely
LinkedIn, but also on more B2C-oriented
way to go. And building such a relationship
www.business-review.eu Business Review | May 2022 2016
DIGITALCOVER MARKETING STORY 14 31
requires time and dedication, just like it does
influencer for your brand: reach (how much
relevance of the idea to the campaign and
with any other type of stakeholder. Whether
overlap there is between your audience and
the affinity to the audience, said the gmp PR
you are working in an agency or on the client
their followers and how well-known they
representative. “We need the client to build
side, you need to keep relationships alive and
are across the industry and whether they are
relationships with influencers and focus on
constantly stay in touch with the influencers
engaging with their following and vice versa);
long-term relationships in order to get better
who are relevant for your area of expertise.
resonance (how much weight their opinion
prices and an authentic form of collaboration
“It’s great to share news of your company and
carries, whether people actually care about
each time. The pandemic brought a major ac-
keep them informed, answer any questions or
what they say, and whether they tend to
celeration to influencer marketing, as people
curiosities they might have, and just keep the
lead and shape industry conversations); and
increased their social media screen time and
conversation going even when there aren’t
relevance (how relevant the influencer’s areas
found that influencers were there to greet
any projects on the horizon (or no budgets
of expertise and interest are to the topics you
them with some comforting content. Even
available). Consumer and business influencer
want to discuss with your audience).
though the industry was already on the rise,
marketing have several similarities, but
For Ena Karabelas, there is only one
the pandemic determined clients to take new
there’s also one major distinction to note. B2C
answer, and it starts with the same letter:
steps towards digital and influencer market-
influencer marketing is primarily transac-
research. According to her, just like in B2C
ing campaigns. The budgets went up, the
tional, whereas B2B influencer marketing is
influencer marketing, the best way to identify
demand went up, and the ways in which we
primarily relationship-based. B2B influencers
the right partner for a project is to have in-
select the influencers has changed. We are
are more concerned with being viewed as
depth knowledge of the person’s interests,
now paying more and more attention to the
reputable, trustworthy, and knowledgeable
what their content looks like, who is part
budgets being invested,” Octavian Ciprian
an influencer with expertise in your niche
of their community. “The key ingredient to
Gheorghe added. B2B and technology content
market can talk with authority and make a
achieving extraordinary outreach is always
marketing enthusiast Ena Karabelas has a
more significant impact on their audience—
research. This ensures not just the right fit
slightly different view, as she says companies
your customers. And that’s precisely what
between the two parties joining forces, but it
are also experiencing reduced marketing bud-
you want; that’s the influencer you want to
also helps a brand stand out. Influencers put
gets, a phenomenon which is likely to con-
reach before your competitors do. “The kind
a lot of value on an interesting brief, so the
tinue. In addition to these market develop-
of influencer you should want for your brand
brand must do its homework before reaching
ments, marketing teams are under increased
is one whose opinion matters to their follow-
out. For marketers, this means that the out-
pressure to consistently deliver business
ing. They are experts in their field, and their
reach effort will be difficult and that there will
value and meaningful outcomes. As a result,
statements carry meaning, which is excellent
be no shortcuts. But hard work always pays
marketers must accomplish more with less.
for your brand. You should be confident that
off,” she added. Transparency is vital as the
“These turbulent times present a compel-
whoever you choose is reaching the exact
number of influencers continues to rise, Al-
ling opportunity to reimagine influencers in
people who are most likely to engage with
exander Frolov wrote for MarketingProfs. To
the B2B marketing mix and think creatively,
your brand and make a purchase. Influencer
identify the right match for your brand, you
strategically, and holistically. Companies can
marketing will work for B2B companies, but
must verify the authenticity and effectiveness
foster high-impact, scalable, and long-term
it all depends on credibility and relevance,
of any influencers you may be considering.
collaborations that benefit the enterprise,
not follower count (sometimes that data can
“Fortunately, technology allows for advanced
the influencer, and the customer by doing
be bought and presented artificially). While it
influencer discovery, audience insight, and
so. Influencer marketing is the top marketing
does play a role in your influencer selection,
quality checks. Before getting started, clearly
trend for this year, according to HubSpot's
a large following means nothing if only a few
map out your brand's values, personality,
2022 Marketing Industry Trends Report. In
are engaged,” Zenmedia specialists wrote.
audience, and campaign goals. The optimal
fact, 61 percent of consumers believe what
by a rising following than with earning a certain amount of money for a certain number of Instagram posts,” the B2B and technology content marketing enthusiast explained.
CHOOSING THE RIGHT INFLUENCERS How can specialists ensure that they choose the right influencers? According to Zenmedia,
Furthermore, just as you want experts
influencer should be able to educate your tar-
influencers say about a brand more than what
who know what they’re doing, you also want
get audience about your company and market
the brand says about itself. Influencer market-
to make sure your chosen partners are the
opportunity, while lending credibility as well
ing can help many B2B companies increase
best fit for you. There are three extremely
as building trust and brand awareness.” At
brand awareness, foster consumer trust, and
important aspects in choosing the right
the same time, it’s a clear mix between the
improve brand loyalty,” she concluded.
www.business-review.eu Business Review | May 2022
32 REBRANDING
Rebranding done right: a guide TEILOR, Gi Group, Solartium, Euler Hermes, Ciel Romania, Brick Romania, Decor Floor, DABO, Direct Marketing Group, Ograda Cu Legume, SPOR, Sanofi, Mindshare¬—these are just some of the companies that have announced a rebranding process, a new branding architecture or a new visual identity in Romania this year. BR is taking a closer look at what such a complex process involves, and particularly at the roles that strategy, creativity, and innovation play along the way. By Romanita Oprea merging strategy and innovation. And though there are always multiple solutions for a specific issue, a smart strategy will always make the difference by keeping the creative flow on the right path,” Dragu argued. Her teammate, VMLY&R creative director Alex Petrescu, added while keeping all that in mind, there is no rule of thumb for deciding when to rebrand. Yet, most of the time, it happens when it’s just a little bit too late. “Rebranding should be linked to being one step ahead of the game. Because doing it only to catch up with your competitors will more or less leave you stuck in the same place—or, even worse, make you invisible. Rebranding must be about added value and about the future. Brand facelifts can rarely be consid-
L
Alina Tudose, consultant
Alex Petrescu, VMLY&R
ered to be rebranding actions.” It’s like the logic of a race. From start to finish, you need
et’s start at the beginning. What is
added. When should rebranding happen, and
to tick all the boxes. And sometimes, you’ll
rebranding? According to brand and
when shouldn’t it? According to Bianca Dragu,
find yourself in need of something that hasn't
marketing consultant Alina Tudose,
senior art director at VMLY&R, a rebranding
been done before. “Without innovation, the
it may refer to changing or updating a brand
act is a long-term form of communication. It
car would be the same as it was in the early
strategy based on new market factors, new
is a public statement of future intentions such
days. Getting back to rebranding, strategy
product development or new business mod-
as “I’m expanding the business with innova-
means knowing how your brand interacts
els. It can also be related to changes in verbal
tive new services” or “I will be more focused
with the world, at least now and in the near
identity through a change of name, headline
on sustainability from now on.” When a core
future. Innovation is making sure those
or brand rhetoric, in visual identity, with an
business change happens, a rebranding is
interactions won't disappoint,” the creative
updated logo design or a completely new
needed to reflect that change so that the
director explained.
logo, or in communication styles, which can
audience can acknowledge & understand it.
involve adopting a new tone of voice, discov-
“When a business needs to reconnect with its
chief strategy officer at McCann Worldgroup
ering a new brand platform or using a new
audience, partners, and investors, it should
Romania and wine marketing doer at Cramele
communication concept. In short, rebranding
take rebranding into consideration. When the
Cotnari, believes that what’s most important
can take many shapes. It can represent a sum
image of a brand is no longer aligned with its
is to clarify the relationship between the con-
of strategy + name + logo + communication
values and not keeping up with the times,
cepts of rebranding and repositioning, as he
(this being the bravest and rarest approach
there should be a rebranding. Long story
has seen many marcomm people using them
of all, covering both internal and external
short: if a brand is relevant for its audience,
as synonyms in recent years. Rebranding has
communications) or a more limited mix of
for the business model, and for the time,
become quite popular, especially for brands
the above-mentioned elements, to which an
there is no need for rebranding. One can-
that want to shed a previously negative image
employer branding component may also be
not deliver a successful rebranding without
or those that are facing increased competitive
A strategist by training, Stefan Chiritescu,
www.business-review.eu Business Review | May 2022
34 REBRANDING
pressure. “Rebranding is simply changing the
what is going to catch people’s attention,
being relevant for the times,” said Bianca
brand’s identity. It typically includes chang-
in order for the companies and brands they
Dragu. Since rebranding and repositioning
ing most or all of its identity elements such
represent or work with to be among the first
are strategy-led processes in his view, Stefan
as name, logo, colours, font and tagline. The
to adopt new trends. “There are short-term
Chiritescu would avoid thinking about brands
identity change may also be accompanied by a
trends that are usually more important in
in the context of short-term trends. Brands
brand repositioning. Repositioning focuses on
communication than in rebranding due to the
are the most important assets of a businesses,
changing what customers associate with the
short interval of relevance and impact. Still,
therefore they need a long-term approach.
brand and sometimes with competing brands. This usually entails a change in the brand’s promise and personality,” Chiritescu said. And sometimes, the identity itself gets updated or refreshed to reinforce the change in the brand’s positioning. However, most brand repositioning projects do not result in completely changed identities. “That is, the brand name usually stays the same, and so do the other identity elements other than the tagline and perhaps a slight identity system update. So, to go back to the original question, the answer is: it depends on the brand’s objectives. The key difference lies in the complexity of the change that a particular business context requires.?”added Chiritescu. According to Chiritescu, in many cases,
“You cannot change your brand promise and
innovation is just a fancy marketing & PR
visual identity once a year without diluting its
concept, as real consumers expect brands to
relevance and memorability,” he noted.
deliver tangible value, not innovation. That
In his turn, Alex Petrescu thinks that
value could be translated in ease of use, a
trends can be seen as relevant from certain
tangible experience that enriches their life,
angles, but not from others—and that’s be-
a democratised offer for a luxury product or
cause rebranding means making your brand
service, and so on. “I would say that innova-
stand out, yet still making it feel organic,
tion should be a tool, not a goal for a brand.
natural. When this is done well, it often trans-
That’s why it should be part of the strategic
lates to setting a trend. Otherwise, you’ve just
thinking on brand management.”
copy-pasted something from the past. “The
In turn, Alina Tudose believes that strategy
most relevant trends in rebranding are mainly
equals innovation: you need to be innovative
about mimicking what somebody liked some-
to be different and relevant for your target
where else with fine strokes. Taking two steps
group. “But innovation can go even further:
back, we sometimes see tectonic shifts in re-
you must be innovative when you need to
branding—or we may call them mega trends.
create a new and ownable brand name or to
But that doesn't happen too often. Like the
be different in approaching visual territory.
minimalist design trend in the late 50s, which
Most importantly, a rebranding process also
changed the entire branding landscape.”
opens the door to innovation in a company’s
According to Alina Tudose, the trend with
products or services. It unlocks a new type of
the biggest impact in Romania is digitaliza-
opportunity, by changing what you think is
tion. “To be digitally savvy, brands need an
possible and making innovation easier to fit
updated strategy, short, playful names that
into your business. This is the most rewarding
end in .ro or .com and simplified, bold logos
thing for a brand consultant: to see branding
we’re living in perhaps the most innovation-
and visual territories. What I think will also
innovation transforming a business.”
driven time yet, and witnessing huge technol-
soon turn into a trend is employer branding
ogy-based life changes. And digital is here to
(again!): organisations must revitalise their
AHEAD OF THE TRENDS
reinvent all aspects of our life. If we consider
employer branding strategies to account for
Specialists are always keeping an eye on the
this to be a long-term ‘trend’ then yes, it is
hybrid work, working from home or freelanc-
future, hoping that they will be able to predict
important in rebranding when it comes to
ing (in creative fields).”
www.business-review.eu Business Review | May 2022
FILM 35
Gopo Awards 2022: Act of courage reveals years of behind-the-scenes abuse Ninety-six Romanian films, released either in cinemas, at national and international festivals or on VoD platforms in 2021, were in the race for nominations at this edition of the Gopo Awards, the event that celebrates the achievements of local cinema, which selected its award winners at the beginning of May. By Oana Vasiliu Photo: Miluta Flueras
Mariana Mihut and Victor Rebengiuc
“
Full house at Gopo Awards
Bad Luck Banging or Loony Porn,”
Barbarian” directed by Ruxandra Ghitescu,
ments in their history: a confession regarding
written and directed by Radu Jude
while Alexandru Potocean was nominated
sexual harassment made on stage by actress
and produced by Ada Solomon, was
for Best Supporting Actor for his role in
Viorica Voda. “I did years of therapy due to
named Best Film following a voting process
“Poppy Field” (directed by Eugen Jebeleanu),
the sexual harassment inside the system, not
attended by 650 professionals from the local
also awarded at this edition for Best Debut.
outside of it,” she said at the Gopo Awards
film world. Its protagonist, Katia Pascariu,
“Wild Romania,” the film directed by
ceremony held on May 3.
won the Award for Best Leading Actress.
Dan Dinu which explores the complexity
Viorica Voda’s powerful speech came on
Most of the trophies went to “Malmk-
of nature in our country, was nominated
the occasion of the 20th anniversary of the
rog,” who got the Best Direction Award for
for Best Documentary and won two more
release of the film “Filantropica” directed
filmmaker Cristi Puiu, Best Picture for Tudor
Gopo trophies in the categories Best Original
by Nae Caranfil, in which she played the
Vladimir Panduru, Best Makeup and Best
Music (Alexei Turcan) and Best Sound (Dan
role of Diana Dobrovicescu, a young blonde
Hairstyle for Dana Roseanu, Elena Tudor,
Stefan Rucareanu, Ioan Filip, and Matei
with whom the main character Ovidiu Gorea
and Manuela Tudor, Best Costumes for Oana
Vasilache).
(played by Mircea Diaconu) falls in love.
Paunescu, and Best sets for Cristina Paula
In the short film categories, the awards
The actress spoke about sexism in the film
were handed out to “Love Stories on the
and theatre industry, which has affected her
Move” (Carina Gabriela Dasoveanu), nomi-
from the beginning of her career. She encour-
went to Bogdan Farcas, the protagonist of
nated for Best Fiction Short Film, and “Same
aged the younger generations to not remain
“Unidentified” (directed by Bogdan George
Dream” (Vlad Petri), awarded the Gopo
silent in such situations. The only person on
Apetri), a film that also got a Gopo trophy for
Trophy in the Best Documentary Short Film
the stage who applauded Voda’s speech was
Best Screenplay.
category.
actress Katia Pascariu, who thanked Viorica
Ana Barbu. The award for Best Actor in a Leading Role
Ioana Flora received the Award for Best Supporting Actress for her role in “Otto The
The “local Oscars” were also marked by one of the most sincere and powerful mo-
Voda for having the courage to talk about her experiences.
www.business-review.eu Business Review | May 2022
www.business-review.eu
36 DESIGN Business Review | May 2016
COVER STORY 14
Romanian Design Week celebrates 10-year anniversary with special edition Romanian Design Week, the most important multidisciplinary festival in Romania, celebrates 10 years of existence, during which it has changed the face of local creative industries. Since the first RDW edition, The Institute has produced exhibitions totalling an area of over 15,000 square metres, having showcased over 1,400 design projects and an average of 150 designers and architecture or design studios every year. Still on up until May 22
By Oana Vasiliu
I
n the very beginning of the project, The
by solidarity, and what we are preparing this
objects from every major category: fashion,
Institute restored eight spaces in Bucha-
year will also serve as commentary on this
accessories, furniture or art.
rest and added them back into the urban
essential aspect for the times in which we are
RDW 2022 will also transform the outdoor
circuit: Stirbei Palace, Bucharest Chamber
living,” said Andrei Bortun, the CEO of The
space at Combinatul Fondului Plastic into
of Commerce Palace, Gabroveni Inn, Amzei
Institute.
a micro-city of arts and design, which will
Square, Cobalcescu Garages, Telephones Pal-
This year’s edition of Romanian Design
offer visitors a daily programme of activities,
ace, Oscar Maugsch Palace, and Combinatul
Week will be based on the #FORWARD
interactive installations, music, and events,
Fondului Plastic have all hosted large design
concept, and the key destination in the pro-
as well as a dedicated food & drinks area, at
and architecture exhibitions that were open
gramme will be Combinatul Fondului Plastic.
the 29 Baiculesti Street location.
to the public during editions of Romanian
The theme of this year's edition was born
The programme of the 10-year anniver-
from the desire to investigate, test, and
sary edition of RDW will reflect the results
Over 400 related events have contributed
design scenarios for a future of creative com-
of the strategic partnerships established by
to the transformation of Bucharest year after
munities, innovation, inclusion, and sustain-
The Institute with the European Commission
year and have guided over 150,000 RDW visi-
ability through collaboration, to have more
Representation in Romania, the Romanian
tors on routes worthy of an European design
harmonious cities and communities.
Cultural Institute, the Order of Architects
Design Week.
festival.
These essential elements of this year's
in Bucharest, the Union of Plastic Artists,
theme will be brought to the public through
Combinatul Fondului Plastic, and the Baza
capital of Romanian design this year, and
a series of exhibitions and events that will be
Association. We open the city, NOD maker-
we want to further encourage the consump-
co-produced with some of the most relevant
space, Czech Center, the Hungarian Cultural
tion of products and services generated by
local creative-cultural organisations, laying
Institute, the French Institute or ARCEN will
creative disciplines. We are optimistic and
the foundation for a new beginning based on
all be present at the festival, alongside events
continue to believe in the potential, develop-
experiences, processes, and collaborations.
and projects signed by more than 50 other
“We’ll continue to make Bucharest the
ment, and capacity of Romanian design to
The 2022 festival will also mark the open-
creative-cultural organisations in Romania.
address topics that are relevant to the present
ing of the largest Romanian design concept
The event will take place between May
context such as sustainability, inclusion or
store in the country, which will spread over
13 and May 22, and tickets can be purchased
cooperation. We need the future to be marked
500 square metres and will contain design
online through the Eventbook network.
www.business-review.eu Business Review | May 2022
CREATIVE ARTS 37
New performing arts cultural centre to open in Cluj-Napoca in private urban reconversion project For the first time in Romania, a mixed-use urban reconversion project will include a cultural centre that will be open to the entire community, created in partnership with the Cluj Cultural Centre, which will host concerts, theatre and contemporary dance shows, workshops, and festivals. With a planned investment of more than half a billion euros, this will be Romania’s largest urban reconversion project so far. By Oana Vasiliu the COVID-19 pandemic” conducted for the Cluj Cultural Centre by the Interdisciplinary Centre for Data Science at the Babes-Bolyai University of Cluj-Napoca. The second industrial heritage building set to undergo reconversion is the administrative facility, which will comprise both co-working facilities and pilot-venues designed to support and boost local creative talents and initiatives. “We wish to preserve the local identity for the Carbochim platform urban reconversion project, as we believe it carries social importance, while also giving the two reconverted industrial buildings a new meaning that Old becomes new
T
resonates with the public. Cluj is a deeply cultural and creative city, a component we will showcase in our new development by means
he concept venue for performing arts
by the Cluj Cultural Centre, with the partici-
of this partnership with the local cultural
will be a part of the project developed
pation of some of its member organisations
community. We are glad that the commu-
by IULIUS Company on the Carbo-
operating in the field of performing arts, and
nity confirms our vision, as cultural uses are
chim platform in Cluj-Napoca. One of the two
it will always be accessible for the community
among Cluj locals’ main expectations of the
industrial heritage buildings on the project
of artists in Cluj, who will be able to contrib-
new development, alongside green spaces,
site, namely then facility with arcades dating
ute to the development of its programme.
which will be another hallmark feature of our
back to the 1950s, will thus be preserved and
“As early as 2013, when local community spe-
projects,” said Iulian Dascalu, the owner of
introduced in the public circuit by taking on
cialists drafted the city’s Cultural Strategy, the
IULIUS Company.
cultural uses.
need to create a contemporary art centre was
IULIUS Company’s urban regeneration
defined as the sector’s main priority. We are
project for the Carbochim platform in Cluj-
the urban reconversion project developed by
glad that we are now able to kickstart the first
Napoca sets out to transform an industrial
IULIUS Company on the Carbochim platform
component of this project, which is dedicated
area into a living space, integrating it as a part
will also include a live performance audito-
to performing arts. Doing this in partnership
of the city. The factory will be relocated and
rium, the first of its kind to be integrated in
with the private sector is a first for Romania
upgraded, without any interruptions to its ac-
a real-estate project, an amphitheatre and
and we are all excited to be able to work side
tivity. The new project will feature the largest
venues for outdoor events, the latest movie
by side, bringing together resources and
retail area in Romania (115,000 square metres)
theatre concepts, as well as a diverse mix of
expertise from the worlds of culture and
with more than 400 stores, a cultural centre
leisure options and dozens of restaurants and
business into the same project,” said Stefan
for performing arts, the conservation of two
coffee shops featuring international themes.
Teisanu, manager of the Cluj Cultural Centre.
industrial heritage buildings and their reintro-
In addition to the performing arts centre,
The Carbochim facility will be transformed
The need to have more spaces dedicated
duction into the public circuit, the develop-
into a cultural centre set to accommodate per-
to art and culture was identified as one of the
ment of a model of integrated approach to
forming arts events: concerts, theatre, con-
most pressing priorities of the local cultural
green spaces by connecting the newly created
temporary dance, workshops, and festivals.
sector in the study titled “Work in culture:
urban garden spanning on 4-plus hectares
The newly created spaces will be managed
current models and changes generated by
with the adjacent parks, and many others.
www.business-review.eu Business Review | May 2022
38 CITY
Cultural calendar
By Oana Vasiliu
by Matthew Abbott, Australia, for National Geographic/Panos Pictures; Long Term Project Award: Amazonian Dystopia by Lalo de Almeida, Brazil, for Folha Deadmau5, Fedde Le Grand,
de São Paulo/Panos Pictures;
R3HAB, Shouse, Alan Fitzpatrick
Multimedia Project Award: Blood
b2b Luigi Madonna, Artbat, Coe-
is a Seed by Isadora Romero,
us, James Hype, Joseph Capriati,
Ecuador.
Oxia, and Reinier Zonneveld are among the DJs who will bring
One World Romania May 13-22, several locations
Art Safari Until August 7, Dacia Palace
tive rock and electronic music.
explosive shows to Bucharest at
Their latest record is “Looking
the beginning of this summer.
For Stars,” released in 2018.
With every edition, SAGA brings
Hooverphonic’s tracks have been
the coolest and freshest DJs on
featured on the soundtracks of
its stages and offers participants
many films and shows such as
lots of surprises both in terms of
CSI, La Femme Nikita, I Know
the production of the show and
What You Did Last Summer, Per-
its line-up. Romania’s first fes-
For this edition, the event will
manent Midnight, The Interview,
tival of 2022 will bring a unique
present exhibitions showcas-
The One World Festival returns
Stealing Beauty or Third Watch.
concept, an eclectic mix of artists
ing the work of Theodor Aman,
in 2022 with over 60 interna-
Ticket prices start from RON 109.
and EDM genres, and sounds that
Pablo Picasso, Salvador Dali,
are sure to guarantee that festival
Reuven Rubin, Irina Dragomir,
goers will have great fun and
and Barbara Klemm. The cen-
want to dance till morning.
tral pavilion¬—Picasso, Dali &
tional long, medium, and short films, most of which are national premieres. This year, the screen-
Iron Maiden concert May 26, Romexpo
Falla – Le Tricorne—will present
ings will take place in two stages: physically, between May 13-22,
World Press Photo 2022 Until June 4, Universitatii Square
in Bucharest, at Cinema Elvire Popesco, ARCUB, Cinemateca
the work of Pablo Picasso and Salvador Dalí created for Manuel de Falla’s ballet, Le Tricorne. Art Safari’s contemporary pavilion
Eforie, and other indoor or
will feature the Irina Dragomir.
outdoor locations in the city, then online, between May 23-31.
Legendary British band Iron
Red, yellow, and blue exhibition,
The main theme highlights the
Maiden will return to Romania to
while the guest pavilion will
interaction between man and the
promote its new album “Sen-
showcase the Who was Reuven
environment, whether natural or
jutsu,” which was released on
Rubin? exhibition, dedicated
built, and holistically addresses
September 3, 2021. German band
The World Press Photo Competi-
to the work of Romanian-born
the notion of “ecology,” from the
Lord Of The Lost will play in the
tion recognises quality photo-
Israeli artist Reuven Rubin (1893-
perspective of both the individu-
opening. The 2022 show will
journalism and rewards images
1974). The anniversary pavilion
al and the environment in which
also feature hits from the band’s
and stories from around the
will present the photography
we live.
entire career. Iron Maiden last
world. This year, out of 64,823
exhibition Barbara Klemm. Light
appeared on stage in Romania in
entries submitted by 4,066 pho-
and Dark. curated by Matthias
Hooverphonic concert May 24, Arenele Romane
2016, so it will be the first time
tographers from 130 countries,
Flügge, which features works by
when Romanian fans will be able
241 regional and 4 global winners
one of Germany’s most distin-
Hooverphonic comes from
to witness the famous Legacy
were selected: Photography
guished photographers. The
Belgium, and in over 20 years of
show and hear new songs live for
Award of the Year: Kamloops
exhibition dedicated to Theodor
activity the band has released 10
the first time.
Residential School by Amber
Aman, curated by Elena Olariu,
Bracken, Canada, for The New
aims to highlight the personal-
York Times; Article of the Year
ity of the artist who founded the
Award: Saving Forests with Fire
local School of Fine Arts.
albums and hits such as “Mad About You,” “Eden” or “2 Wicky,” combining trip hop with alterna-
SAGA Festival June 3-5, National Arena