GMR Magazine

SECTOR ANALYSIS GMR EXCLUSIVE: RESEARCH IN TELCOS REVEALS ETHNIC BIAS APRIL 2008

A MediaquestCorp Publication

NEWS PLUS Dubai Metro: RTA in ad tender U-turn Research: Saudi’s Shabab speaks out Creative: So, what’s with all the arches…?

Saudi Arabia’s

Eve-olution

Bahrain 2.00 dinars | Egypt 18.00 pounds | Jordan 3.500 dinars | Kuwait 1.800 dinars Oman 2.00 riyals | Qatar 20.00 riyalS | Saudi Arabia 20.00 riyals | UAE 20.00 dirhams

INTERVIEW Coming on stream wtih Agthia’s Ilias Assimakopoulos www.GMR-Online.com

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APRIL 2008

NEWS

6

Agencies axe in Aujan review. O2 Marketing expands PR and goes Interactive. Maktoob TV readies for launch. Pepsi’s new campaign. Indian summer for Concept Outdoor. Emirates Neon hints at media expansion.

Mediaedge:cia debuts TV division. BSA in Gulf-wide fake clampdown.

Olympian effort from regional celebrities and much more news from around the GCC.

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WORLD NEWS

16

Wal Mart opens climatic specific energy-saving outlet. Organic growth at Nestlé. Malaysia’s autos driven by price. Sukuki Alto hits million mark in India plus other news affecting marketers from around the world.

PRODUCTS PLUS

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58

The traditional agency hierarchy model must be completely overhauled if marketing is to cope with digitisation says report.

COVER STORY

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Sarah Abdullah swings between tradition and trends in assessing the social change that is shaping the future of marketing to women in Saudi Arabia.

SPECIAL REPORT INTERNAL MARKETING

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Effective internal marketing can pay dividends externally reports Mark Atkinson.

BRAND ANALYSIS

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Why brand building is crucial to fledgling SMEs.

28 SECTOR ANALYSIS: TELECOMS

THE ENTREPRENEURS

COMMENT

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A moveable feast: Al-Braik Investments’ fruitful new venture.

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INNOVATION

RTA stalls at Dubai Metro tender.

Shallow symbolism in creative alienates Muslims warns agency chief.

Study finds Saudi Shabab more non conformist than in Kuwait or UAE. Nivea reformulates brand proposition. Why novelty value alone is not enough for effective WoM. Region’s digital advertising to outpace global growth.

TRADING PLACES

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Neil Walker Wells is somewhat underwhelmed by this month’s selection.

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Latest launches rolling out across the GCC.

NEWS PLUS

CREATIVE VIEW

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Germany has much to offer GCC companies and vice versa.

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GMR Exclusive Research from Carlson M a r ke t i n g Re l a t i o n s h i p B u i l d e r reveals strong regional propensity for telco loyalty programmes. Media coverage favours Etisalat in UAE. Arabic and Islamic applications and mobile TV are fuelling sales plus latest PARC ad spend.

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If you haven’t started social networking then you – and your client - are out of the loop says Greg Wixted while Ramsi Hashash explains why numbers really count in a well run organisation.

April 2008 Gulf Marketing Review 3

85 SECTOR ANALYSIS: TELECOMS PUBLISHED BY:

PUBLISHER/EDITOR: Yasser Hawary MANAGING EDITOR: Siobhan Adams siobhan@mediaquestcorp.com SENIOR REPORTER: Precious Jasper de Leon precious@mediaquestcorp.com

Europe 92, rue Jouffroy d’Abbans – 75017 – Paris – France Tel: +(33) 1 47 66 46 00 Fax: +(33) 1 43 80 73 62 GCC Dubai Media City Al Thuraya Tower 2, Office 1901 Tel: +(971) 4 391 0760 Fax: +(971) 4 390 8737

4 Gulf Marketing Review April 2008

HEAD OF DESIGN: Aziz Kamel DESIGNER: Sheela Jeevan CONTRIBUTOR: Sarah Abdullah, Saudi Arabia MANAGING DIRECTOR: Julien Hawary

ADVERTISING: MEDIALEADER GCC: Bassel Komaty bassel@medialeader.biz Lama El Dib lamad@medialeader.biz

AUDITED BY:

Saudi Arabia: Tarek Abu Hamzy tarekah@medialeader.biz Europe: 92, rue Jouffroy d’Abbans 75017 Paris – France Tel: +(33) 01 47 66 46 00 Fax: +(33) 01 43 80 73 62 Lebanon: Beirut – Lebanon Tel: + (961) 1 202 369 Fax: + (961) 1 202 369

Reproduction in whole or part of any matter appearing in GMR is prohibited by law without the prior written approval of the publishers. Opinions expressed in GMR do not necessarily represent the views of the publishers and editorial staff of the magazine. The publishers do not hold out any guarantee as to its accuracy, neither do they indemnify any loss arising through use of the information.

All dollar prices ($) are US dollars, unless otherwise specified.

All marketing data is subject to confirmation.

Printed in the UAE by International Printing Press

NEWS

New concepts for India’s OOH media

Photo credit: Midday Publications India

25% growth forecast for ‘cluttered’ $300 million outdoor sector

Blocked vision: Lack of regulation is a major contributor to clutter says Concept

UAE/India Dubai-based multi-media firm Concept Group has opened an office in Mumbai.

Concept Outdoor and Concept Media – publishers of Millionaire and Retail ME magazines – will spearhead the group’s development in t h e c o u n t r y, C E O A l d r i n Fernandes told GMR.

“We are starting with publ i s h i n g a n d o u t d o o r. T h e Indian market is expanding, particularly its retail and luxury goods sectors, so it’s well suited to our magazines.”

Millionaire will retain its title but will publish a separate edition tailored for the Indian market while a new publication, In Retail will

launch. Both are scheduled to debut this month.

Concept Outdoor meanwhile hopes to capitalise on the country’s vast but highly fragmented and low value OOH sector which is unofficially estimated at only $300 million.

“It’s very fragmented, nonregulated and run by a lot of small players and no regional networks. International players cannot advertise nationwide,” continued Fernandes.

Despite its low value and lack of cohesion short to medium growth is forecast at 25 per cent year on year, adds Fernandes.

“We are going to focus on innovation,” he added. “We are planning to introduce l a rg e r - t h a n - l i f e o u t d o o r.

Digital is the future.”

L a t e l a s t ye a r C o n c e p t Media was named publisher of Emirates Business Pages, the first official directory for Emirates Post.

Aujan lacks initiative in agency review GCC Aujan Industries Co – suppliers of Rani, Vimto and Barbican - has shed two of its long standing agencies.

Media Insight has been awarded its media account f o l l ow i n g a p i t c h w h i c h included three-year incumbent Initiative Media as well as Zenithmedia.

Aujan also “consolidated” all of its ATL with Face to Face dispensing with its other creative agency, JWT but stressed to GMR that pitch was not for creative work but for consolidation.

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Shorter line-up: Aujan’s agency review

Both agencies had worked w i t h Au j a n f o r “ s eve ra l years.” The moves follow a switch in PR agencies in January from THG’s Asda’a to Memac Ogilvy PR.

Memac Ogilvy holds 50 per cent in both Mindshare and Media Insight. The former held Aujan’s account until 2004 when it moved to Initiative. Commenting on the wins Memac Ogilvy chairman Edmond Moutran, told GMR: “While we are pleased that two of our network’s agencies are currently servicing a prestigious account like Aujan, the Media Insight win and Ogilvy PR win were completely separate and do not fall under any collective agreements or decisions.”

Multi channel: Yves Michel-Gabay

TV unit debut for MBU G C C I n w h a t i t s ays i s a regional first Mediaedge:cia (MEC) has launched a specialist TV division.

The new department will handle TV planning operations for all MEC clients in t h e re g i o n , a n d w i l l s p e cialise in advertising buying and optimisation, TV research (including both ‘ s o f t ’ p ro g ra m m i n g a n d ‘hard’ quantitative analysis), and post-buying analysis and corrections.

T V d i re c t o r, B h a s ka r Khaund will head up the unit. “The new division provides all our clients with a new centre of expertise, and it is a very valuable tool to optimise each dollar spent, to remain competitive in the market,” he said.

The division will also support offices in the MENA region in terms of sharing knowledge and expertise.

“Our TV media strategists will work closely with our media buyers, utilising their s p e c i a l i z e d ex p e r t i s e t o advise which media are more relevant and effective. They will also help re-negotiate better efficiencies with media owners in the future,” s a i d Yve s - M i c h e l G a b ay, international business and d eve l o p m e n t d i re c t o r, Mediaedge:cia Middle East.

$UBAI %MIRATES 4OWERS "URJ !L !RAB -ALL OF THE %MIRATES (YATT 2EGENCY 'ROSVENOR (OUSE "URJUMAN #ROWNE 0LAZA !L "USTAN 2OTANA 'RAND (YATT *UMEIRAH "EACH (OTEL &ESTIVAL #ITY !BU $HABI 3HEIKH +HALIFA 3TREET %MIRATES 0ALACE (OTEL -ARINA -ALL WWW LANVIN COM

NEWS

Emirates Neon rebranding Middle East and Africa Neil Petch, formerly group sales director IPT has joined ENG – formerly the Emirates Neon Group – as managing direct o r, E N G M e d i a . Fu r t h e r details regarding the projects he will lead were not disclosed at time of writing.

E N G M e d i a , h oweve r, includes Coast 103.2FM and 100 Publishing which GMR understands were recently part-acquired by the Group.

The recent rebranding of the Group sees the separate divisions come under the new ENG umbrella including: ENG Outdoor (previously Emirates Outdoor), ENG Digital (previously ABC Digital), ENG Consultancy, ENG Industries (previously ABC Industries), ENG Print ( p rev i o u s l y A B C D i g i t a l Print), ENG Signage The change heralds the official launch of ENG into Egypt and Kenya planned for this month.

HOME ON THE RANGE

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Samsung primes for Olympic Games Oman to be the only Middle East country on torch relay

Torch songs: Oman’s Salah Zadjali

Middle East Samsung Electronics has named the celebrity torchbearers for the Beijing 2008 Olympic Torch Relay. The tech giant is a Presenting Partner of the much-anticipated Games.

The Olympic flame is roaming the globe under the banner, “Light the Passion,

Share the Dream.” The torch will pass through 21 countries in five continents and will reach Oman on April 14.

A selection of artists, athletes and media figures were selected for the prestigious list. Omani singer Salah Zadjali, Syrian actress Sulaf Fawakherji, Qatari football

player Saad Al Shemmari and Saudi media figure Batal Al Qaws were selected to be Samsung’s torchbearers and will participate in Oman’s Torch Relay.

“Muscat will witness a historical event this year. It is the only Middle Eastern capital selected among several international cities around the world to be part of the Beijing 2008 Olympic Torch Re l a y, ” s a i d R a n j a n Mazmudar, vice president of Samsung Gulf Electronics.

In related news, Lebanese p o p s i n g e r E l i s s a i s n ow Samsung’s 2008 music category brand ambassador. The announcement coincided with the launch of the company’s latest music phone m o d e l . T h e I m p u l z i i 4 50 packages will include three singles from the songstress, namely Ayami Bik, Bastanak and Moush Kiteer Aaleik for a period of one year.

Eurostar has entered the consumer arena with the launch of its own-branded consumer electronics and home appliances.

Specialists in global satellite receiving systems, the company has an ongoing strategy to diversify into new areas of business.

The ranges will be available across the GCC and Africa and includes plasma and LCD TVs, DVD players and home theatre systems. The home appliances range will offer fully automatic and semi-automatic washing machines, frost-free and directcool refrigerators, split and window air conditioners, microwave ovens and vacuum cleaners.

NEWS

BSA cracks down on pan-GCC piracy Stiffer penalties against illegal software traders considered

Footfall: Crocs RX launches in Q2

©Gallo/Getty images

Crocs steps up market presence

Forging ahead: BSA intensifies counterfeit crackdown efforts

G C C B u s i n e s s S o f t wa re Alliance (BSA) enlists companies within the public and private sectors in a fresh round of Gulf-wide awareness campaign.

BSA is an international association established by the software industry to promote a safe and legal digital world.

I n Ku wa i t , B SA h a s re c e n t l y c o n c l u d e d t h e Kuwait Judicial Round Table in collaboration with the Kuwaiti Lawyers Association.

The forum is a part of a s e r i e s o f i n i t i a t i ve s t h a t encourages authorities in the re g i o n t o p ro t e c t t h e i r economies from the effects of software piracy.

Decreasing Kuwait’s piracy by 10 percentage points could potentially add nearly $350 m i l l i o n t o t h e e c o n o my, including $219 million worth of local industry revenues

10 Gulf Marketing Review April 2008

a n d $ 1 m i l l i o n i n t a xe s, according to researcher IDC. Key proposals at the Round Ta b l e i n c l u d e d p l a n s t o impose stiffer penalties and c o n d u c t m o re a g g re s s i ve e n f o rc e m e n t i n i t i a t i ve s against illegal resellers across the country.

Other recommendations included regular roundtables with regional judiciary and media; additional awareness and education campaigns throughout the region; and a possible review of software prices.

It also included more focus on novel approaches to IPR awareness, such as a World I P D ay t h ro u g h o u t t h e Middle East.

I n t h e p r i va t e s e c t o r, Microsoft has been a staunch BSA partner. The software giant has recently initiated a n u m b e r o f ra i d s a g a i n s t

resellers caught selling counterfeit Microsoft software in Oman and Qatar with the help of the countries’ respective ministries.

A c o n v i c t e d re s e l l e r i n Oman, caught with pirated MS Office 2007 and Windows XP software, was ordered to pay $5196 and sentenced to six months imprisonment.

In Qatar, products were seized from two companies.

Items included a PC with original Windows OS, a USB HDD used for installing p i ra t e d s o f t wa re a n d a P C l o a d e d w i t h p i ra t e d Windows OS. Qatar posted a two per cent drop in piracy in 2006. The country’s IT infrastructure was recognised as the best in the Middle East based on the Wo r l d B a n k K n ow l e d g e Economy Index, according to Madar Research.

Middle East Crocs RX will rollout across the Middle East in the second quarter of this ye a r. T h e p re s c r i p t i o n footwear will be distributed through medical suppliers like pharmacies and podiatrist clinics. The launch is part of a global brand development project.

The anti-microbial collection addresses feet problems such as poor circulation, post-operation and even diabetes—a major issue in the Gulf. As for its lifestyle ranges, Crocs is moving into niche products, introducing more styles for different consumer segments, including s h o e s f o r t h e wo r k p l a c e, women, children and the sports-oriented, said the firm.

FINE has launched a new brand baby diapers, Finee. It competes with the upper B market segment and is positioned as a premium brand. The company is set to open a factory in Iran this June.

Interactive and PR units add to 02 Rebrand to follow service offering expansion

New openings: O2 launches new divisions heralding corporate rebrand

Middle East O2 Marketing Communications (O2 MC) has launched two new divisions: Q2 Interactive (O2i) a n d O 2 P u b l i c Re l a t i o n s (O2PR).

The expansion of O2MC’s network is in line with its l o n g - t e r m s t ra t e g y t o g o global says the company.

PHD, IPN and Impact BBDO (all Ominicom companies) are, at time of going to press, understood to have been appointed to handle Abu Dhabi Media Group’s new daily newspaper, The National for media planning, PR and creative respectively. The paper is due to launch this month.

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O2 Interactive was established to meet and exceed clients’ expectations and demands in the digital age.

The team will manage and measures every aspect of clients’ demands and brand experience with web solutions, online marketing and digital media produc-

t i o n s o l u t i o n s, ” s ays t h e company. O2 PR meanwhile will provide an “extensive variety of services” and is communications partner for the forthcoming Marketing 08 conference in Dubai.

In further news O2 MC is soon to be rebranded as O2 Marketing Network.

O 2 M C , O 2 Ad ve r t i s i n g and the newly established O2i and O2PR will operate locally and regionally through its Dubai, Bahrain a n d Sy r i a b ra n c h e s, a n d the soon to open Abu Dhabi branch. Commenting on the initiative, Mohammed Johmani, MD of O2MC said: “O2i and O2PR now enable us to provide an array of professional services to all our existing clients within the O2MC network and, of course, to all future partners.”

Selina Klein Wort, formerly of Muscat-based Momentum PR, has joined as O2PR’s PR media relations manager.

IN

NEWS

BRIEF

STOP PRESS Publicis Media Groupe has landed the global media account for Emirates Airlines, previously with the Omnicom Group.

MBC Persia launches Farsi movie channel in May. UK brand agency Rufus Leonard has opened in Dubai as regional hub for Kuwait, Qatar,KSA and Bahrain.

Business monthly, Executive Magazine is the first Lebanese publication to be audited by BPA while Hello Middle East reports a total average qualified circulation of 12402 says BPA Worldwide.

Jeeran.com has opened in Dubai to service the region’s increasing demand for online advertising in social media. The UGC site claims more than one million users.

2heads has opened in Hong Kong,Dubai and Cannes.

MEHTA NAMED REGIONAL UNILEVER CHIEF Sanjiv Mehta is named the new chairman for Unilever NAME succeeding Jan Zijderveld who, after four years in the region, moves to Singapore as Unilever Group VP S.E Asia and Australasia. Zijderveld was also chairman of the ABG. Elections will be held to appoint his successor.

Mehta joins from chairing Unilever Philippines and prior to that Unilever Bangladesh. He has been with Unilever for the past 15 years spending six of those in the Middle East.

Unilever NAME reports a turnover of more than a $1 billion and is the region’s single largest advertiser.

AMG Chairman Abdul Latif Al Sayegh has told GMR that the company will launch three TV channels by year end: Arabic, English and dual language.

In February, GMR we reported that DICF Poppins had an annual marketing budget of $100 million and had increased prices by an average 400 cents.

This should of course have read $1 million and 40 cents respectively. We apologise for any confusion .

NEWS

Al Qasba rebranded UAE Entertainment and retail destination Qanat Al Qasba has been rebranded to Al Qasba in Sharjah, as part of a larger strategy to bring the brand to regional and global recognition.

Developed by Brand Union, the identity is coupled with the tagline, Be part of it.

F&B outlets in Al Qasba recorded a 99 per cent jump in sales from 2006. More facilities will also be added to Al Qasba, including a gym, health club and business centre.

Maktoob TV scheduled for May launch UGC will dominate programming on Arab internet TV

Switching on: Jelle De Mey will head up Maktoob TV sales

Daring for more: Pepsi

Pepsi shakes up teen segment GCC PepsiCo International has launched a GCC-wide marketing campaign to launch the redesigned Pepsi image. The identity is hoped to further build a relationship with teenagers.

Labels on bottles, cans and cups now hold different themes like Digital Download, Emoticons, SMS and Global Festival.

The new image will be promoted through TVCs broadcast on panArab stations, POS and outdoor.

In addition, the Diet Pepsi look has been redone to incorporate female-oriented hobbies and interests.

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GCC Maktoob Group is planning to launch Maktoob TV next month.

Describing the channel as the only FTA ‘open source’ interactive satellite TV platform created by, for and with viewing audiences throughout the region, it is aimed solely at Arab youth.

The channel will host endUGC - specifically video clips and photos - against a backdrop of pan-regional

lifestyle programming.

“While Maktoob TV is a fully functional stand alone media platform and infrastructure, the channel harnesses the awesome power o f t h e re g i o n ’s f l a g s h i p Arabic portal Maktoob.com a n d p rov i d e s t h e l a rg e s t Arabic community in the world a new venue for publishing content & interacti n g , ” A h m e d N a s s e f , V P, Maktoob Group and GM ,

Maktoob.com told GMR. Jelle De Mey has joined Maktoob.com as TV sales manager, GCC and Levant having previously worked in Belgium as ad manager of the country’s second largest commercial TV network, RMTV and after a brief tenure with Intermedia Gulf, as sales manager Emirates Inflight TV, ESPN and E! N o a f E re i q a t h a s a l s o joined Maktoob.com as marketing and business development manager having gained experience in London-based companies which included Shopping.com, ebay and Advertising.com.

In separate news, Nassef refused to be drawn on speculation that Yahoo was eyeing Maktoob for possible purchase.

“There are no specific talks with any investor at this stage, and we are very focused on building our business.

However, it’s only natural that global players would be interested in this part of the world, and we expect this interest to increase in the coming few years,” he told GMR.

MARKETING MOVES Ramzy AbouEzzeddine Formerly: regional planning director for Leo Burnett MENA Now: chief marketing officer for Tameer Holding

Jeff Mannering Formerly: head of Aftersales for Audi Middle East Now: managing director for Audi Middle East

Talaat El Lahham Formerly: chairman and CEO of Cell C in South Africa Now: CEO for Hits Africa

Jeremy Garbett Formerly: managing director of Jack Morton Worldwide Now: managing director of Action Impact

Hans Bakker Formerly: commercial director for Hong Kong Airport Authority Now: commercial director for Abu Dhabi Airports Company

Kamel Ajami Formerly: general manager of Angsana Hotel & Suites Dubai Now: area general manager for Dubai, Fujairah and Kuwait

WORLD NEWS

Organic growth pushes Nestlé’s in 2008 Nutrition,health and wellness focus pays dividends

Pole position: Alto pulls ahead

Alto crashes million barrier

Bright outlook: The sun shines on Nestlé financial outlook

Switzerland Nestlé expects organic growth for the full year 2008 to approach the previous year’s level and be above the long-term trend target of 5 - 6 per cent according to its website.

During 2007 and in the current year, commodity markets have been hit by sharp u pwa rd m ove m e n t s a n d increased volatility.

This reflects strong global demand for food, accelerating usage of food raw materials for biofuels and the decisive presence in the market of non-traditional speculative players.

Consequently, the group was forced to advance price increases for finished goods in order to partially absorb t h e h i g h e r i n p u t c o s t s.

Combined with the pricing effects at the end of last year, this accounts for a strong element of pricing in organic g row t h f o r t h e f i rs t t wo

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months of the year according to the company.

At the same time, Nestlé accelerated its real internal growth momentum and had a successful early Easter season as well as an additional s a l e s d ay i n Fe b r u a r y.

Together, these factors have re s u l t e d i n a n o rg a n i c growth rate for the first two months, and will be reflected in the Q1 sales published later this month.

The other factors influencing sales - foreign exchange as well as acquisitions and divestitures - are evolving as expected. Currencies, mainly due to the strength of the Swiss franc to the dollar, but also to the Euro and other currencies, will weigh on consolidated sales, whereas acquisitions net of divestitures, mainly due to Novartis Medical Nutrition and Gerber, will boost sales.

Peter Brabeck-Letmathe,

chairman and CEO of Nestlé, said: “The group’s organic growth is off to a very strong start in 2008. This displays the benefits of Nestlé’s strategic reorientation to nutrition, health and wellness, reflected in the strong underlying momentum in our business, but also our strategy to re s p o n d i m m e d i a t e l y t o exceptional cost evolutions in the commodity markets.

“We expect our raw material cost pressures to abate somewhat in the course of the year, and foresee price increases to lower in the second half of 2008, resulting in a full year organic growth rate close to the level reached in 2007, clearly above our long-term target. As for full year 2008 results, we maintain our commitment to the N e s t l é m o d e l , d e l i ve r i n g once again an improvement in the EBIT margin in constant currencies.”

India Maruti Suzuki India has reported one million total accumulated production volume of the Alto. The last 500,000 came during a record t wo ye a rs w h e n t h e A l t o became India’s largest volume-selling car making it the third model in Maruti Suzuki stable to cross the million mark. The Maruti 800 and the Omni have also the million units mark. Besides its s u c c e s s i n I n d i a , m o re than152000 Altos made at Maruti Suzuki were delivered internationally.

CARAT US 48 per cent of TV viewers want to watch the Beijing Olympics.

19 per cent are more interested in watching compared to the 2004 Olympics while 40 per cent said are interested in watching the 2008 US presidential election, a 60 per cent greater interest than the previous election.

WORLD NEWS

Tejari clicks with Italian market Italy Tejari, the 0nline B2B marketplace for emerging markets, has linked up with the Milan Chamber of Commerce to boost trade for Milanese and Lombardian companies with the UAE and the region.

In 2007 trade between Italy and the UAE topped to AED 10 billion.

As part of the agreement Tejari will build a dedicated online trading community portal for the companies affiliated to the Chamber of Commerce through which they will be able to trade online with the largest buyer network in the Middle East.

Omar Hijazi, CEO Tejari said: “Expanding our services to Italy is extremely significant as it validates the g row i n g s t re n g t h a n d momentum of Tejari and it u n d e r l i n e s t h e g row i n g strategic value of emerging markets for G7 countries.”

SAVING ENERGY

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Pushy advisors slow auto sales Price is a key driver in decision to purchase says Malaysian study

Traffic holdups: Malaysia’s auto sector

Malaysia Nearly 65 per cent of potential car buyers in Malaysia said a professional sales advisor would positively influence their decision to buy while 25 per cent would be discouraged if served by a pushy or aggressive sales advisor, according to a Synovate survey.

More than half – 67 per cent - of respondents welcomed good service indicating that Malaysian car dealerships will need to become more professional and improve overall customer service.

Almost a quarter - 20 per cent - said they intend to buy a new vehicle within the next

17 months while six per cent were interested in used cars.

When choosing a particular vehicle, 83 per cent said they normally have a specific model in mind.

Asked what would prompt a new car purchase, 59 per cent said they would only do so if they could afford it while 46 per cent said a price reduction would influence them.

More than half - 51 per cent - said a ‘good deal’ campaign and lower down payment would encourage them to consider a new car while 45 per cent would favour a discount.

Synovate interviewed 1010 p o t e n t i a l c a r b u ye rs i n Malaysia aged 29-60 years across all income levels.

In related news, Synovate has acquired Peter Seagroatt & Associates (PS&A), a UK retail data analyst. PS&A will be integrated into Synovate Aztec, the company’s international retail information unit.

USA Wal-Mart Stores have introduced its energy efficient US store, the HE.5 prototype, which uses 45 per cent less energy than its baseline Supercenter.

The HE.5 begins a new series of prototypes designed for specific climates. This facility is western US climate specific. Given the climate-specific nature of the HE.5 store, the prototype will only be built in regions where its innovations provide the greatest benefit. Wal-Mart’s efficiency series of HE.1, HE.2 and HE.5 stores will help it reach its goal to design and open a viable store prototype that is 25-30 per cent more energy efficient by 2009.

WORLD NEWS

The origin of sweeties Origin chocolate more palatable to consumers says research

Keep on truckin’: Agility rolls out

Agility expands Euro network

Full of flavour: Origin, organic and fair trade match modern chocolate tastes

Global More than a third of regular chocolate-eaters want more choice in the kinds of products available, according to research agency IPSOS, indicating a growing interest in chocolate from beans of different origins.

Chocolate and cocoa manufacturer Barry Callebaut commissioned the consumer s u r vey e a r l i e r t h i s ye a r.

C o n s u m e rs i n B e l g i u m , Sw i t z e r l a n d , U K , U SA , France and Germany participated in the survey.

The study showed Germans to be particularly experimental. About 25 per cent said they regularly try different types and flavours of chocolate, compared to 12 per cent overall.

F&B manufacturers must look at the potential for mixing ingredient combinations, as well as investing into new flavours. Besides the demand

20 Gulf Marketing Review April 2008

f o r m o re f l avo u rs, t h e re s e a rc h a l s o s h owe d a n increase in preference for chocolate made with beans harvested in only one country. These chocolates are called ‘origin chocolate.’

This category of chocolates has a distinctive taste that is u n i q u e t o t h e b e a n s p ro duced from a particular area where it was harvested.

About 42 per cent of respondents in all the countries have discovered origin chocolate. This figure is up from 16 per cent that registered in a similar survey was conducted in 2006.

The survey found that the m o s t av i d f a n s o f o r i g i n chocolates are the Americans at 53 per cent and the Swiss 52 per cent. The latter are the most regular consumers of origin chocolate with 23 per cent enjoying it at least once a month.

While there is preference for premium products, the study showed that there are limits to how much a consumer is willing to spend on these treats.

Germans are the most priceconscious at 35 per cent, followed by Americans with 31 per cent and the French with 27 per cent.

Americans were also more perceptive to promotions, with 31 per cent saying they wo u l d b u y a p ro d u c t o n t h e s p o t f o l l ow i n g a n i n store tasting.

Besides the potential to provide new options, demand for origins chocolates are seen as indication of a trend towards more ethical consumption.

A chocolate brand’s ethical triumvirate being origin, organic and fair trade chocolate. All three are gathered under the umbrella of the premium product trend.

Spain Global logistics company Agility has acquired all transportation and warehousing activities of Combalia Transportes Internacionales in Barcelona and Madrid, Spain.

This move promotes Agility’s growth strategy in Southern Europe and provides further scale to its current Spanish operations.

Combalia’s existing customers will be able to access the broad portfolio of Agility’s services including global freight management, project logistics and events handling.

“The acquisition will reinforce Agility’s growing footprint in the developing and s t ra t e g i c m a r ke t s i n t h e B a rc e l o n a a n d M a d r i d re g i o n , ” s a i d Fra n c e s c Casamitjana, Agility’s managing director - Area South.

BBC the public service broadcaster has won back rights to F1 from 2009 in a 5-year deal to replace commercial station ITV, which held UK rights since 1996.

WORLD NEWS

Qatar firm invests $1.57 bilion in CAR First free zone in Central Africa planned to boost FDI

Into Africa: Cite Lumiere will be the only tax exempt island in Central Africa

Africa Qatar IAS International, a Qatar-based investment company, has unveiled plans for more than $1.57 billion worth of projects in the C e n t ra l A f r i c a n Re p u b l i c (CAR). One of its prominent ventures, will be the Cite Lumiere, the Central African

region’s first Special Economic zone.

“This development represents a turnaround point for the CAR region,” said Issam Abu Issa, IAS chairman. “It is our objective to create one of the first free zones in Central Africa, which we are confi-

dent will help CAR to become a future super hub and will be a catalyst for extensive economic growth and development.”

IAS has already invested in CAR in different sectors.

These include gold and diamond, oil and gas exploration, timber, and water plants. The latest project, Cite Lumiere, will be the only tax exempt island in the Central African region. It will be situated on the Oubangui River.

“Increasing direct foreign investment into Africa has brought us promising economic growth and a new era of sustainable development.

T h i s i s n ow a n e c o n o m i c turning point for the Central African region,” said Francois Bozize, president of the Central African Republic.

Disney reinforces European operations EMEA USA Corp Disney has a n n o u n c e d s eve ra l n ew appointments to its European business following the integration of its channel and programme sales teams.

From this month, the sales teams from Disney Channel, sports broadcaster ESPN and programming sales operation Disney-ABC International Te l ev i s i o n w i l l f o r m o n e g ro u p . T h i s w i l l n ow b e divided into three sub-teams: channel distribution, programme distribution and new media.

Jim Brehm, senior vicepresident of sales, EMEA, l e ave s a t t h e e n d o f t h i s m o n t h t o re l o c a t e t o L o s Angeles after two years with

22 Gulf Marketing Review April 2008

All in the family: Disney consolidates

Disney-ABC International Television. His role will be restructured into two new positions, covering the North and South of Europe.

M e a nw h i l e, C a t h e r i n e

Powe l l , w h o i s c u r re n t l y Disney-ABC International Television’s vice-president of sales for UK/Ireland, Nordic, and Middle Eastern regions, is to take up the role of senior vice-president, programme distribution, EMEA (North).

Francesca Tauriello has been appointed senior vicepresident, programme distribution, EMEA (South), to lead programme sales activity in markets such as Italy, Spain, Central and Eastern Europe, and Turkey.

Maria Kyriacou, currently v i c e - p re s i d e n t , p o r t f o l i o development, EMEA, has been appointed senior vicepresident of new-media distribution, EMEA and Canada.

Animal attraction: M&S and BUAV

M&S cleans up with BUAV logo UK Marks & Spencer (M&S) will now place ‘Cruelty Free’ logos on most of its household cleaning and beauty products.

The UK retailer has signed up for the British Union for the Abolition of Vivisection’s (BUAV) Leaping Bunny logo.

The logo will appear on t h e re t a i l e r ’s h o u s e h o l d p ro d u c t s, h av i n g b e e n phased in on beauty products in the past few months.

The logo indicates that 1200 selected products, and their ingredients, have not been tested on animals, either

by M&S or its suppliers.

BUAV has been calling on other premium retailers and supermarkets to follow suit.

The primary objective is to eventually rid retail of all animal-tested products.

An M&S commissioned research has found that more than 80 per cent of consumers are concerned about animal testing. Almost 30 per cent, however, are unaware that household products are tested on animals. M&Shas 760 stores in more than 30 countries around the world.

PRODUCT PLUS

Brand: miCoach Company: Samsung, Adidas Rollout: GCC Marketing spend: N/A Campaign: TVC, print, atl

Brand: Hommage II Company: Samsonite Rollout: GCC Marketing spend: N/A Campaign: TBA

Brand: X800 Company: BenQ Rollout: GCC by mid-April Marketing spend: N/A Campaign: Product reviews, brochures, flyers, purple warriors, promotions

Brand: Brush Activ Company: Rowenta Rollout: GCC Marketing spend: N/A Campaign: Print, POS, instore demos, internet

Brand: Mirror Black Finish Big French Refrigerator Company: Hitachi Rollout: GCC by June/July Marketing spend: $1 million Campaign: Press, mainly dailies and magazines

24 Gulf Marketing Review April 2008