Adoi Malaysia 2000 December Issue

The individuals we are looking i Brand, Digital and Promotions m Yes, to DM or not DM? That is the question. A small player in Asia, DraftWorldwide has grown to be the largest Direct and Promotions agency in the US. And in doing so , they have now expanded their skills to mainstream advertising for clients like Compaq and American Express, as well as over r,ooo internet specialists doing front and back end web work.

In the last three years in Europe, they have grown from just five offices to over thirty. So the big question now is - is it Asia's turn? A couple of major recent hires have brought them into the spotlight in Singapore and Malaysia for the first time.

They say they are owned by Interpublic -yet they don't work with McCann or Lowe Lintas.

They say they have a new approach to clients - but have we heard all this before?

Or will they be, as their new boss in Malaysia, jerry Rajendram, says 'The first agency of the 21st century'.

We seek the truth. It's out there somewhere . .. ... .

DraftWorldwide has gone through quite an evolution in the past few months, especially in terms of people and direction. Tell us more ...

The evolution is not just over the past few months. When we became part of the Interpublic Group in 1997, the network strategically restructured itself over the last 3 years, in the Americas and Europe. That evolution • has now come to include all our offices in Asia Pacific.

The reason to restructure is due to DraftWorldwide's plans to be a new kind of Marketing Communication Agency based on a simple formula results. We started being a DM agency in 1978 and we are still the largest DM agency in USA and fastest growing in Europe. We have built a powerful skills base in this area. Now our offering is expanded to include the areas of Branding, Digital {Interactive Services), and Promotions . This will make us a fully integrated agency, specialising in providing a result orientated solution to clients communication problems.

Evolving our expertise is one part of the exercise. The other key area is people. We have and continue to build our talent base whose background and experience complements the area of

4 ADOIMARKETINGCOIIIIUNICATIONS

service we provide for our clients.

The one key criteria, apart from the experience, that we look for in our people is that they themselves are entrepreneurs therefore always challenging the norm and improving their own skills, enabling us, as a network, to grow in our field of expertise.

From being a star suit in an international agency to running Draft.

Some quarters suggest you betrayed the 'cause' by selling out to a DM shop. Do you see it that way?

Firstly, we are no longer a DM shop but a fully integrated agency and No, I have not betrayed any 'cause' . In fact, I see it as contributing, along with some of my fellow colleagues in the industry, to the belief that there is a need to be more integrated in our approach to solutions versus just in traditional advertising answers. In today's demand for business solutions, there should not be a division in the 'below-the-line' and 'above-the-line' concepts but in fact a unification in both these areas . We then become a more effective total solutions partner, in communications, for our clients.

This is the million-ringgit question.

Some say your agency does only Direct Marketing, but obviously DraftWorldwide is more than that.

You are a mainstream agency man with experience in Relationship Marketing. How does this fit work?

In our 22 year history worldwide and our 9 year history in Malaysia, we have concentrated in our core business of DM services, with the last 3 years in expanding our capabilities in Branding, Digital and Promotions. Yes, DraftWorldwide today, is more than DM - a little more than 30% of our revenues comes from this discipline.

Yes, I have been in the mainstream agency for the last ro years but my influence to gain experience in Relationship Marketing came about when in 1994, I got to see the blue prints for the set up of a network called JWT Dialog for the JWT Brand.

I believed then and do so now that it was the turning point for the traditional advertising industry - that traditional solutions will no longer play a commanding role in the future of our business . We needed to grow and quickly build beyond our existing areas of expertise.

The fit works perfectly as my experience in both the mainstream and Relationship Marketing will provide for a good mix in contributing for the restructure and growth of DraftWorldwide here in Malaysia and Asia Pacific. Furthermore, I believe in the need to change to a more integrated facility as do the DraftWorldwide network.

With your new perspective and purpose. What's your agenda for year one?

We've kept the secret for too long and its time to emerge with plans strategically put in place for our awakening. We believe in establishing our expanded services in full readiness before we emerge as the new DraftWorldwide. This is the key agenda for year one. We will continue to provide our core service in DM along with a structured phase-in to build in the other 3 areas within the next 12 months. Plans have already been approved and investments required have already been provided for, for a expansion growth for over the next r8 months, in terms of people and systems. We have started the process as of October this year with the move of the office to a new and more relevant area for business. This should be completed by this month with systems in place for a total upgrade to being fully integrated. With the new office ready, we will open up our capabilities to the industry, with selective targets for new business as well as improving our capabilities to existing clients.

Let me cut to the chase here Jerry.

Many people in the communications industry have always perceived DraftWorldwide Malaysia as a shy subsidiary of the old Union-Forty Five agency group. They did not even show up at local DM awards or Direct Marketing Association of Malaysia (DMAM) meetings. Now I hear about all this new energy¡ and fun. Is this for real?

Yes, we were a subsidiary of the old Union-Forty Five. We were then known as Union 2000. But as I said earlier, that has changed since we became a standalone and part of the Interpublic group. That past is history.

Today, there is a strong sense of independence in DraftWorldwide, with no attachment to any mainstream agency.

any of the disciplines of OM, ;t be entrepreneurs the1J1selves. ____ We are no longer a subsidiary but an international brand of our own, with a lean and restructured network of 53 offices worldwide. This alone is a strong indication for a new sense of purpose and energy and we want to have fun pursuing our new goals.

Your Regional Director Greg Paull tells me DraftWorldwide is going to shake the town. Will he put his money where his mouth is?

Greg Paull has put his money where his mouth is. He has, in a very short

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time, approved investments and directions for DraftWorldwide Malaysia and Singapore. This ~ .· ·II -~ includes the blue print to hire the right type of people to manage and lead DraftWorldwide in this part of the world. All this done in 2 months.

That's not easy to do. So before Greg Creative work and Phot08'"aphy for DKNY by Peter Amell shakes the town, he is doing the right thing by shaking into shape, DraftWorldwide regionally first. We now have expanded into Japan and Australia . and improved our service offering in India and Hong Kong as well.

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I know Greg has been instrumental in positioning DraftWorldwide in the region. Or responsible for correcting Draft's position as a total communications solutions provider. How is it working for him? You don't have to be nice•.....

Greg and myself had the same concerns prior to joining the DWW family. Both of us come from mainstream backgrounds and our key concern were whether DraftWorldwide were serious in moving 'from a DM outfit to a total communications solutions provider. We've both had the experience in main brand agencies where commitments to a subsidiary never really materialises due to priorities for the main agency. However, we found the sincerity in the DraftWorldwide family and saw their commitment towards the restructure for the US and Europe. In a nutshell, although we have not worked together for long, we have similar beliefs where DraftWorldwide is concerned and this provides for a perfect partnership.

Greg is a decisive boss and I like that in a leader. No bullshit and he gets you what you need to get the job done. In the 2 months I have worked with him, he has open doors for me to do my job more effectively than I have ever had.

OK, DraftWorldwide is no push-over - largest DM agency in the US, top :to US ad agency, fastest growing in Europe. Tell us about your work and global clients. Will these clients join your roster here in Malaysia?

We have built a wonderful network of global clients through our 4 offerings in DM, Branding, Digital and Promotions. Through our Promotion base we have Coca Cola, Nike, General Motors and so others to name a few. Through our Brand base we have DKNY, Tommy Hilfiger, Playboy, Chanel, Samsung just to name a few. Did you know that one of our global brand agencies created and developed the brand DKNY for ten years? Through our Digital base we do work for General Electric and ESPN and through our core business of Direct we have HSBC, Microsoft, Compaq, Mercedes Benz , and more ..

Will these clients join the roster in Malaysia? That is, eventually, the big picture plan - to provide the DraftWorldwide service to any of our global clients anywhere within our network base as and when our clients require them. But first, the clear direction is to now ensure the final leg of the DraftWorldwide restructure - to fully upgrade Asia Pacific and complete the full picture.

You must be looking for good people to join your team?

Firstly, let me tell you about the people that we have here. DraftWorldwide Malaysia is privileged to have the two strategic and creative teams, who, in my opinion are one of the most experienced DM teams in the industry.

They have, silently, provided great DM solutions to clients such as BP, Stanchart, Swiss Garden Resorts, DRB-HICOM, Mayhan Assurance, Sapura, Club Med and Telekom Malaysia over the last nine years.

We also have, in Alan Bohlsen, DraftWorldwide Malaysia's Creative Director, a 15 year veteran and the most experienced creative person in the DM business.

Yes. We are looking out for a lot of good people to join the new team. We have put in place an 18 month target plan to grow this agency to 35 people strong. We have secured the new office space for this and investing into the systems required. The key criteria is that the various individuals that we are looking to join us, in any of the 4 main disciplines of DM, Brand, Digital and Promotions, be it in creative or Account Management, be independently entrepreneurs themselves. The desire to change, develop and be innovative in our business

Currently, 10 key players in OM, Relationship Marketing, Integration share 20% of the RM 3billion mainstream cake. of commnications is a must.

This structure is not for the new people who want to join the advertising industry but more for the seniors who want to move the advertising industry.

Jerry, your track records suggests you have a good new business streak.

Is new business going to form the backbone of your growth strategy?

Firstly, I must give due recognition to a man who is instrumental in helping me build my instinct for new business and developing my skills in the business side of running an advertising agency. He is also responsible for my continuous faith in integrated services and the need for it. And it is because of the 4 wonderful years with this man that I owe this incredible jump up in my career in advertising and an opportunity to lead an agency like DraftWorldwide. He is Rishya Joseph and it's long overdue that he takes his place as one of the most inno- ¡ vative MDs in our industry.

Yes, new business is going to be the backbone of our growth strategy as we are emerging as an all new DraftWorldwide Malaysia. There is no growth if new business is not part of the strategy and DraftWorldwide Malaysia has, for too long, missed the opportunity to play in a bigger arena.

Today, its ready to do just that. But this is not, in anyway, an approach to sacrifice our core business in DM and the clients we've had for the last 9 years.

Our priority stills remains with our base and our first offering is to extend our new services to our existing clients.

What are the kind of accounts will you be best placed to handle?

It depends on the type of service the client requires. Client categories that will benefit from our total

solutions offering are those in the Financial, Insurance, Telecommunications and Petroleum industries mainly because of the nature of their business but also for the fact that total integrated solutions can be an expensive affair and these business have the means to venture into such a programme. But if you were to break down the services offered then we are really open to a lot of client categories. Having said that, our global model is to go into deep partnerships with clients, not to have a huge portfolio of clients and projects -we've worked with Mars and HBO for over 20 years.

There are so many new players in the DM, relationship marketing domain. Is this a good sign for you?

How big is the industry?

Yes, it's a good sign because it continues to challenge and raise the standards of our service offerings .

It shows that more and more companies in our ad fraternity are beginning to believe in the need for an alternative to traditional advertising solutions. Competition is healthy and the ones that continue to build and grow the service of integrated solutions will survive in the long run. At this present moment there a ro key players in the DM, Relationship Marketing, Integrated business sharing the bulk of the 20% of the RM 3 billion cake that belongs largely to mainstream agencies.

But I believe in time to come, within the next 5 years, that percentage is going to start changing, to around 40% -so%.

This area of growth is inevitable and we will see the emergence of more newly restructured agencies getting into this business and the dominance of just ro will grow to a larger fraternity.

Seems you're planning big time to

DraftWorldwide's new faces set to blow up the region. Emily Chan, Managing Partner of DraftWorldwide Singapore joined by Reagional Director Greg Paull (big pockets) and our very own Jerry. Quick, somebody call the bomb disposal expert.

6 ¡ADOIMARKETINGCOIIUNICATIONS

get a share of this RM 3 billion cake?

We want to be a key player in the growth of the industry. Our objective is not to grab as much share of the RM3 billion cake but in fact grow the size of the cake and command a reasonable position of the share. We are also looking to forge partnerships and alliances with our fellow players where it makes sense.

We can generate business with them where business could never have been generated before. We will have experts in very specialised environ-

ments and that itself can be a strong link for a partnership. But we also intend to break a few rules and shake up the market.

Is DraftWorldwide going to figure in next year's DMAM awards?

Yes we are looking to be featured in both the DMAM and Kancil Awards for next year as we are applying to be accredited in the 4A's, once the restructure in completed this month.

What do I want for Christmas?

For the best kept secret to be no longer just a best kept secret.

DraftWorldwide Malaysia wishes all a Merry Christmas, Selamat Hari Raya and "Hello! We're here" for the New Year!

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mization" program. The reporter didn't ask what it meant. That's a pity because he might have got a lot of points. But I'll hazard a guess. Perhaps it means; "we'll try and get the best people to do the best work we can. But, A chance to play with the pieces of oblique verbiage found on the intriguing game-board that is the world's advertising press. because it's not particularly unique or flash thing to say, I'll dress it up with I've always felt advertising has developed some genuinely a fancy turn of phrase". (Isn't that odd turns of phrase; mostly to hide behind. Here's how to what advertising's all about? Ed) . make all that stuff into a great game. Just grab an ad maga3.14159 points. There's another one on zine, find the relevant bits and make your best guess at the his role as worldwide CEO. "I think the hidden meaning. Best guess wins. Simple. Let me show you. grand autocracy is not a model which Media Magazine tells us that Ogilvy Singapore has been is going to work in today's environappointed the branding partner for insurance giant AlA. ment." That I think means, "one perWhat the heck is a branding partner? Hazard a guess. Folks son can't run the world but I won't let who share in the risk and responsibility for a brand's develthat stop me trying". 10,000 points. In opment on approximately equal terms? Don't think so. Is it a passing, in the same article, Ms Linda couple of people who are both prepared to take full responsiWolf, CEO of Leo Burnett said "We canbility for a brand's success with grace and its failure without not be Chicago-centric. We can learn a recrimination? Not so sure. How about two parties who are lot from some of our markets. We have totally concerned about, and truly committed to, the finansome people out there who are doing cial well being of the other? Mmmm? No, my guess is the real some pretty neat things." That's far meaning is, "If we call you our branding partner will you be too straightforward, I don't think Ms fooled or flattered into treating and paying us like one of Wolf is entering into the spirit of the those slick new consultancies not like an ordinary old ad game, although 'Chicago-centric' is agency?" 5 points. borderline silly. o points. Incidentally ADO! reports that a creative person from Hong Kong, I'm still having problems with Bcom3. here to judge the Malaysian Kancil Awards, commented that, Sounds like the next variation on Star "the standards were not so good probably because of censorTrek.. 0001 points. ship". So nice; so understanding of her. Especially as anyone So that's the game. I'm sure you've with a scrap of insight would realize that censorship affectgot the idea. Now off you go. But ing creativity is an oxymoron (an excuse but not a direct before I finish you should know that cause) . Otherwis'e how do you explain all those groovy films this game can be played with any coming out of China and Iran? Bless her. My guess is what she aspect of advertising. My personal probably meant was "Where I come from we're all awfully favourite is from too many call reports sophisticated (forgetting the Beijing shoe-shiners) and you and meetings to count, it's "the client have kindly provided me with a wonderfully polite excuse to will revert". Well I certainly know openly pity you, to be completely condescending and call you real no-hopers. And what that means; "there's a very good chance that after giving it some thought, that makes me feel really smashing and dreadfully superior" 10 points. showing his colleagues, a few secretaries and the cleaning lady the client will Americans are real good at this. Ad Age ran an excellent piece on the new totally reject the campaign". 5 million points. I win!

Bcom3 merger of D'Arcy and LB. Quoting John Farrell, the CEO of the D'Arcy component, as he highlighted (but did not explain) the agen cy's "creative brand optiPS Not suitable for children, the elderly or people of a nervous disposition.

Agame for the whole family

ARACHNID Scores Hattrick at Kancils For the third year running, Malaysian interactive agency Arachnid dominates the highest accolades of the Kancil's web category. Over the last three years, Arachnid has submitted a total of nine entries; seven of which have won awards including a Gold, a Silver, two Bronzes and three

Merits for clients such as Ford, ASTRO, HSBC, BBDO and Planet Films. Only two other interactive shops have won a Merit each in these last three years.

Concentrating on interactive ideas that build brands and consumer relationships, Arachnid has carved a unique path from competitors who

adopt a purely technical approach or who1 jump en masse on the e-commerce/ portaljdot-com bandwagon.

"Our solid advertising and communications background allows us to focus on the web as a platfor m for extending brand offerings in ways not possible with other media", explains Managing

Director Chin Weng Keong. "Our 'Digital Brand-Building Discipline' works in synergy with advertising, DM and the overall brand strategy to ultimately cr eate power for a brand, and value for its consumers."

Arachnid has also won other awards for their web site work at the DMAMs, MVAs, CARI.COM.MY awards and international industry awards such as NetDiver and WebMaster.

Check out www.arachnid.com.my.

Jollie PLingan &Friends Unfinished concerto... Unpublished Poetry II a poetry recital featuring Jullie's all-original poems with h er providing excerpts of classical favourites and evergreens at the piano, attracted musical and literary aficionados to the Artists Space of the Concorde Hotel, Shah Alam, in November.

Jullie's poetry readers included ad stars Cary Rueda of DYR, Ben Tan of McCann-Erickson, Paul John Lingan and Lisan Lim of ISCB and Suzanna Shamsuddin.

Special guest r eaders were H.E. the Mexican Ambassador Ricardo Villanueva who read Spanish poems and Former Ministry of National Unity & Social Development Dato Napsiah Omar.

8 ADOIMARKETINGCOMMUNICATIONS

Advertising friends after enjoying the program. Seated beside ]ullie is Ben Tan. Standing from left to right: William Hsu of CNN, Mazlan ]unid of !SCB, Paul john Lingan, Suzanna Shamsuddin, Guy Chaplin of TQ)'R and Au Tai Hon of TH Films.

at e se is newP

by Hwa & Szu, CDs of BBDO Malaysia

The Kancils have come and gone.

And we're back to the realities of advertising. Again.

The work at the Kancils was indeed very good. World-class even. Barbara Nokes and Chris O'Shea were suitably impressed. We saw some fine examples of stunning art direction, great copywriting (would you like to work with us?) and wonderfully executed, simple ideas. (But radio was dismal!) The student entries improved in quality as did the quality of the Young Creative winners. And the new trophy looked nice too.

But just like every other year, once the lights came down and the certificates whisked back to the office, out came the usual sniping about ... yes, scams. Nothing uniquely Malaysian.

After all, who isn't watching the debate between Hongkong and Singapore with interest? Or the huge controversy Down Under over those zoo ads?

Someone recently wrote that 'any moron can dream up something award-

winning for a scam'. Easier said than done. Writing this article is much easier than doing a good ad. Scam or otherwise.

Why moan about scams when we don't even try hard enough with our own 'real' clients?

How many times have we said, "Nah, they'll never buy it."

Guilty, guilty, guilty.

Here's the plan: Let's all produce "award-winning" ads for all our clients.

From FMCGs to retail clients to haircare to telcos. Work that sells and builds.

Let's all do this.

Up the standards of advertising in Malaysia. Your ability to conceive "awardwinning" ads will be

the true test of your worth as an ad man or woman. Easy peasy.

The Petronas spots deserved the

Will you put

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top prize. Sure go ahead and knock it to pieces. Go ahead and say that it wasn't that 'creative'. It's much easier to criticise a piece of work after it's done. And it's much easier to talk or write about ads than it is to do them.

But guys, it not only deserved to win because of it's simplicity. It also deserved to win because it was a great idea and a 'real' piece of work.

Something right then.

Good luck next year.

me as creative director when I eventually left the agency.

Since then I've been handed the title "creative director" quite a few times, and a salary to match, but never again the freedom to actually do the job. Hiring, firing and salaries was usually the stumbling block.

One very large multinational refused to let me dispense with a depressingly ineffectual group head for fear that the guy's girlfriend, an art director the MD much admired, would leave in protest. So I up and quit instead. Then the MD, to everybody's astonishment, gave his "genius" girl art director the job. She then distinguished herself by ditching the group-head boyfriend I'd wanted to fire, taking up with the agency's strategy planner, a married guy with four kids, and getting pregnant.

Fat lot of satisfaction this fiasco was to me, though. Nor did I get much joy from "creative director" gigs in Malaysia and India. My employers in KL weren't about to delegate hiring, firing, salaries and bonuses to some long-haired gweilo git, however much he talked about the need to match responsibility with authority.

As for my Indian experience, it was a ludicrous exercise in paranoia, pettifogging and politics that had nothing whatever to do with creative direction or even, for that matter, advertising. But it cured me forever of big, dumb agencies and my desire to ever again work as a creative director for one of them. And I hope I've given them enough grief in return to be sure the feeling's entirely mutual.

Creative defector

by Dean Johns

Every time I do some work in an agency these days, as I did recently in Jakarta, I thank providence that I'm cured of the need to be a creative director. What a relief it is to be some nameless, blameless "consultant" instead of a mover and a shaker. What bliss to be paid for performing and walking away instead of having to hang around as figurehead and fall-guy.

Which, let's face it, is what so many so-called "creative directors" actually are.

I certainly was in all but my first shot at the job. Back in 1983 the Sydney office of one of the U.S. based giants hired me, more in desperation than hope, I fancy, to do something about its creative product.

"You have a creative salary budget of a million dollars", they told me. "Fire any or all of the existing no-hopers and hire some decent talent, or pay yourself the whole lot and and do all the work. Whatever. Just as long as you win us some awards."

In short, they gave me a creative department and left me to run with it. And I did. And I made a lot of mistakes. One mistake I didn't make, however, was to fire any of the "no-hopers". In fact I made a few of them group heads. In 1984 the group headed by the biggest "no-hoper" of all won a Cannes Gold Lion and Australia's F.A.C.T.S. Commercial of the Year. And the same "no-hoper" succeeded

Dean Johns is a partner in Sydney-based regional creative/motivational consultancy CreAsia and strategic/creative hotshop StrADegy. Website www.stradegy.com.au

Two Faces Of The Same Coin

by ]ullie P. Lingan

When I asked a dear friend from Client Service for his suggestion of a favourite roast topic that everyone in our industry can relate to, he jokingly asked me to write about the ongoing love-hate relationship between our two divisions. I instinctively laughed and later it dawned on me that much as I hate to admit it, this is one client service person who always has a point.

Because ever since I can remember, Client Service and Creative, no matter which part of the world they come from, have always been at odds with one another, dog and cat, night and day, jazz and concierto, east and west .

Though we painstakingly adhere to peaceful coexistence, count one to eleven and stretch our patience whenever there is a need to, the differences are so great, all that is easier dreamt of than realized. In this corner, dressed impeccably in executive shirts that defy crease and dirt, fittingly proper for corporate meetings and funerals: the Suits. In the opposite corner, dressed eccentrically according to the mood of the day and whatever plans for th e night, fittingly proper for a Hollywood extravaganza or a Theme Party: the Divas, or so some of them would like to think. A colourful tapestry of juxtapositions and contradictions, dramatizing twists and turns more interesting than the highest rated soap opera. The continuing saga . between Client Service and Creative has always intrigued the industry, why, I was even requested to talk about it as one of my topics in a Worldwide

10 ADOIMARKETINGCOIIMUNICAnONS

Partners Creative Seminar that I conducted in Vail, Colorado two years ago.

So I dug up my files and my friend and I shared a few laughs between arguments and moments of uncomfortable silences.

This portion of my speech was entitled "Water and Oil = Picasso", subtitled "Teamwork between Client Service and Creative." I can still hear the amused cheers and wolf whistles of my fellow creative directors from all over the world as I read out the title.

God, could they empathize.

I started by analyzing the basic differences between the two divisions. Of course, I had a disclaimer before my presentation: somehow, I think the differences are more pronounced in larger multinational networks, as opposed to the smaller agencies where relationships are so parochial, it's more of brother and sister, rather than dog and cat. I had a chart which showed nothing new but merely a review of what we sometimes take for granted and forget, resulting in fireworks that spark off an air of animosity rather than festivity. Left brain (rational ) - right brain (intuitive); guarded - spontaneous; sociable or more tolerant of society in general clannish; pragmatic - emotional; practical - idealistic; down-to-earth imaginative; budget-conscious - spendthrift; safe player - risk taker; conventional - non-conformist; objective biased. At this point, each one had his own version, and differences flew like cannonballs, we could have gone on

and on had coffee break not intervened.

With the idiosyncrasies defined and acknowledged, we proceeded to the next obvious topic: given a world of difference, how do we promote harmony and understanding between both, optimistically clinging to whatever truth there may be behind the mathematical equation "opposites attract, like poles repel." Of course, everyone knew the answer - earning each other's respect. I subtitled this portion "asking for the moon."

The good thing about people in advertising is they all believe that nothing is impossible. Getting the moon is not as complicated as looking for the holy grail. Earning each other's respect is simple. The suits simply have to make sure they have bullet-proof briefs, at least most of the time. To the highly capable, this is a piece of chocolate mousse. (But the rest who may not know any better for whatever reason, take the easy way out, regurgitating client's brief, which they honestly think is the way to go).

The more qualified ones always try to dissect client's brief, put it under a microscope, inject insights that provide fresh perspectives to an otherwise dull, mundane dissertation , challenging conventions and mindsets in the process, paving the way for creatives to fly. In return, we Creatives earn their respect by giving them the kind of work they'll be able to present with conviction and passion, the kind they'll fight for to death' s door, rather

than apologetically presenting it by laying it unobtrusively on the conference table, hoping for clients to notice that yes, there is an ad on the table, is it ok?

In this season of unconditional love, when the silver sheen of the real new millennium sparkles in our souls, let us pause for a moment and say a prayer of celebration and thanksgiving for the differences between us and our esteemed colleagues in Client Service. Vive la difference. Can you imagine how life would be like if they were exactly like us? Probably we'd end up hating ourselves more. Life would be so dull and boring, even nauseating. Besides, they're great to be with more so when we're not working. And hey, let's face it. Though we may never admit to them how much we appreciate and need them, consider how incomplete life would be like without them to nudge us back to earth when we're getting carried away; pick up a fight with; carry our portfolio bags; set up our presentations so clients are in a more receptive mood when it's time for creative to take over the floor; cajole us after a bloody meeting; and even pamper us when we're down, sometimes when we hardly even deserve it.

So as we go on to the holidays and yet another year of teamwork ahead, let's toast to our friends in Client Service. After all, what would life be without them. And hey, aren't love and hate two faces of the same coin ?

Telekom Malaysia up for pitch Recently, eight agencies including incumbents Spencer Azizul Advertising and FCB pitched in for the ad business of Malaysia's largest telco, Telekom Malaysia. In the race were CD Advertising, Batey, Carat, Sirajuddin, Dentsu Mandate and D'Arcy. McCann-Erickson pulled out at the eleventh hour. Word has it the account is worth more than RM20 million. A decision on the winning agency is expected sometime this month, but your guess is as good as anyone's.

Branding Association of Malaysia launched In a move to promote Malaysian brands worldwide, The Branding Association of Malaysia was formed with Jeffrey Leong as its first President. A growing asso­ ciation which operates on a non-profit basis, its offices are located at Unit 1-23,1st Floor, FAS Business Avenue, No 1, Jalan Perbandaran, Kelana Jaya, Petaling Jaya.

Their contact details are 03-7880 7010 (tel) and 03-7880 7009 (fax).

NY Festivals judging

Recently, ADOI magazine hosted the judgings of the New York Festivals film entries at Axis Films. On the judging panel were from top, Paul Loosley (Axis Films), Victor Ng (Publicis), Leslie Jeyam (egency.com), Sa'ad Hussein (Sil Ad), Szu (BBDO), Suzanne Schokman (Heritage Line), Steven Ang (Axis) and Grenville Francis (EURO). If you can match the names to the pictures, you'll get a compli­ mentary one-year subscription to this magazine!

Get productive.

Our one-stop on line shop won't just let you transact media via the Internet. We will provide you with different ways to buy and sell all media

RU things in excess,

across all markets, so you will be able to access more opportunities, real time. In fact, we will take the existing process and make it more efficient, effective, creative, and simple. So get productive real soon!

• Transactions • News & Views • Research • Directory

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BBD takes home Unified DaimlerChrysler Account CHICAGO DaimlerChrysler has consolidated its estimated US$2.4 billion dollar global account at Omnicom's BBDO, which will form a new unit exclusively for the automaker. The consolidation knocks True North communications out of the auto category and erases 10 percent of the Chicago-based holding company's

revenue, in addition to hastening its likely acquisition by a larger competitor.

BBDO will form a new unit called PentaMark Worldwide to handle the busi­ ness. A transition clause gives the agencies six months to make the shift, but DaimlerChrysler said it hopes to have it done faster.

Vast potential for radio as an advertising medium Advertising expenditure in Malaysia has shown a vast increase this year, Radio Era dominated the survey with a cumulative audience of 4.3 million with total ad spend since January reaching nearly RM2.5 billion, some 28% growth ahead of Radio My with 1.9 million listeners. on the same period last year Ad sales on radio jumped over 26% on the previous The figures suggest radio has huge potential as an advertising medium in year yet still only commanded slightly more than a 3% share.

Malaysia, with audience levels among adults aged 15+ in West Coast at 90% comGiven radio still has such a small share of total advertising expendi­ for any newspaper," said ture, the latest growth figures suggest Audience level among the participating channels are as follows: Bengtsson. advertisers do recognise the vast ACNielsen has conducted opportunity that exists to tap into Participating Average Cumulative radio diary surveys on behalf of Average Time Spent this medium for promotions of prod­ Channels Audience Audience radio operators in Malaysia for Listening (hrs a day) ucts and services. Of all the media, Era the past 10 years. This year, 472,000 4,364,000 2.59 more people in Malaysia listen to My ACNielsen conducted two Radio 2.11 175,000 1,989,000 radio than read newspapers or watch Redi98.8 96,000 Diary Listenership surveys, with 1,278,000 1.81 TV," said Lennart Bengtsson, manag­ Hitz 58,000 the first sweep in May-June and 1,024,000 1.36 ing director, ACNielsen Malaysia and Light the second in early October.

586,000 37,000 1.52 Singapore.

RFM The second survey sweep, just 0.88 35,000 956,000 According to findings released Mix completed was sponsored by radio 1.21 33,000 657,000 today at ACNielsen's Radio operators Airtime Management Listenership Survey presentation, Source: ACNielsen Radio Diary Listenership Survey Sweep 2, 2000 and Programming and Radio over 90% of people aged 12 years and (This excludes non -participating channels which would have an impact on the ranking) Rediffusion. above in West Coast Peninsular The methodology used for Malaysia listen to radio. For this sur­ vey period, while reach is higher, there is a slight decrease in average audience vidual quarter hour diaries completed by a representative 2,550 people aged 12 and time spent listening to the radio. years and above in West Coast of Peninsular Malaysia and Pahang.

Ogilvylnteractive and NetX Join Forces Ogilvylnteractive, a subsidiary of Ogilvy £r Mather, and NetX, an Australian-based Interactive agency, have announced the formation of a joint-venture media consultancy to ser­ vice clients in the Asia region, outside of Australia. The new operation, to be called NetX Ogilvylnteractive, will open its first operation in Singapore and greater China in December and has plans for expansion into other Asian markets over the next few months.

The JV will combine the OgilvyInter active's regional network and blue chip client list with NetX's innovative approach to interactive media to provide clients with new media services in the region. These will include planning of Interactive media campaigns, post-buy analytics of campaign effectiveness, and a variety of consultancy services for clients wishing to conduct affiliate pro­

grammes, interactive media sponsor­ ships, and content deals. The JV will provide services for both the fixed line and wireless Internet. The operation will act as an integrated part of Ogilvylnteractive's end-to-end interac­ tive service.

However, the JV will leverage NetX's extensive experience and tech­ nical know-how in the interactive media business. Mr. Craig Wilson, CEO of NetX, will also act as the CEO of the JV unit.

NetX is a leading award-winning Interactive media player in the Australian market - one of the most sophisticated Interactive markets in the region. NetX has experience across a wide variety of blue-chip client and product categories helping clients determine cutting-edge Interactive media solutions.

Ogilvylnteractive is the world's

largest interactive agency by market coverage, with offices in 44 countries spread across five continents.

Ogilvylnteractive is also Asia's largest interactive network with agencies in 13 cities in 12 countries.

It works with some of the world's best-known and most-respected compa­ nies such as American Express, Unilever, IBM, Kimberly-Clark, and Nestle.

"This JV is a signal to the market that Interactive media has truly come of age in the region," commented Miles Young, Chairman of Ogilvy & Mather Asia Pacific. "Clients are looking for increasingly sophisticated and creative ways to take advantage of the Internet in the region. And NetX's excellent track-record in Interactive media will certainly help our JV provide that for clients."

Craig Wilson, CEO of NetX

Ogilvylnteractive, commented, "We feel that Ogilvy is the optimal partner for this type of new media consultancy in the region. In addition to the cov­ erage and strength of their organiza­ tion in Asia, Ogilvy has demonstrated a real forward-looking understanding of the new media landscape, which will be increasingly important for clients.

We envision our JV helping clients break new ground in the way they do business and build their brands." This was echoed by Ogilvylnteractive Asia CEO, Kent Wertime, who said that, "The Internet is changing so rapidly, it requires constant innovation from agencies.

Our JV will not only capitalize on the Interactive media opportunities today, but it will also push the enve­ lope in emerging new technologies, such as wireless access of the Internet."

Did you know that creative directors, copywriters, art directors read this magazine in between meals.

12 ADOIMARKETINGCOMMUNICATIONS

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TTum one person in+o a c^owd.

Appeal to a b^oadeK1 spectrum wi+k +ke (Skinese Connection.

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NANYANG C. SIANG PAU & CHINA PRESS

Is our world losing its lunacy?

by Kurt Crocker, Creative Director - Drayton Bird, Crocker & Mano Sdn Bhd Some would argue that you'd have to be nuts to be in advertising. And that you'd have to be absolutely raving to have anything to do with Direct Marketing.

Believe me, crazy helps.

Some of the earliest words uttered about Direct Marketing came from David Ogilvy. He said, "I'm passionate about Direct. It was my first love and secret weapon."

What a nut case. He mailed homing pigeons to big company CEO's to sell airplanes. But Direct Marketing helped propel his agency to heady heights.

And this wonderfully delirious man held the creative reins while it hap­ pened.

Jerry Delia Femina, though never a Direct Marketer, had a bit of the old legume in him as well. He wrote a book about advertising wars a long time ago.

It was called From Those Wonderful Folks Who Gave You Pearl Harbour.

Delia Femina is proud to tell of an incident that happen in his New York agency. He happened to stroll into a room and surprised two of his staff members who were having sex on the photocopy machine.

Their coitus interrupted, the two lovebirds feared the worst. Instead, Jerry just smiled and said, "I does my

heart good to see two of my employees so at ease and comfortable here, they dare to enjoy a moment like this in my agency." (Or words to that effect.)

Crazy, huh? But Jerry Delia Femina produced some very historically cre­ ative advertising back in the 70's and 8o's.

Yasmin and Ali, the two powerful and (I would imagine) decadently rich creative gurus at award-winning LB, are an odd pairing that has borne bril­ liant results. He, a quiet, reflective, friendly but introspective fella. She, an out-going, singer-musician, rapier wit. Diametrically opposed personali­ ties who have created some of Malaysia's best work. Simply insane.

And then there's Bill Jayme (pro­ nounced "Jamie") and Heikki (rhymes with "flaky") Ratalahti. Another crazy pair. But a pair who have been called "the copywriter and art director who changed direct mail forever" ... and "the creative team of the century".

These guys, now retired and living together in a spectacular home over­ looking the vineyards of Sonoma Valley, dared to ignore the rules. Jayme tossed out the sale-pitch approach to letters and instead wrote captivating narratives. And the envelope teasers!

Here's a sampling:

In giant type on an envelope for McGraw-Hill's Business Week, just one word: DAMN! This was W r followed up in the letter. The copy began: "Do '' you find a perfect stock you are tempted to buy ... and you put it off for a day or two ... and it goes up ... and find yourself saying, 'DAMN!' Well, now's the time to stop saying damn ..."

The famous outer envelope teaser for Psychology Today: "Do you close the bathroom door even when you're the only one home?"

An envelope teaser for Earthwatch, one of the longest ever:

either the individual or the team was delightfully off-centre. And in each case, this lunatic edge is the direct result of a deeply rooted love for the work ... a characteristic that seems increasingly rare here in Malaysia.

Intense passion for what we do is the only way to produce intensely bril­ liant work. Evidence of such passion is hard enough to notice in the world of advertising. In Direct Marketing, well, there are so few of us around, it's hard to get the numbers for a reliable sam­ ple. But there's certainly not a lot of true-love for the craft.

If there were a lot of love emanat­ ing from DM creative teams here, the work wouldn't be so bloody boring. In a rare interview with Target Marketing magazine (October 2000 issue), Bill Jayme put it this way:

Got some free time?

A week? A month? A summer?

Come volunteer for a conservation project in the wilds.

An environmental study in the tropics.

An archeological dig abroad.

Or, if you're busy now, cheer us on from the sidelines.

"I'll tell you what really irks me.

Few copywriters today seem to care. How many times have I heard a colleague say to me, 'I'd love to have another drink with you, but I have to knock out a package tonight.' My god, Heikki and I spent two weeks getting it right. I cared about every single word. Heikki knew every single line and every typeface."

Clients were standing in line, eager to pay Jayme and Ratalahti between US$20,000 and US$40,000 for a single direct mail package.

So what's the point? In each exam­ ple of creative genius I've mentioned,

And this from the crazy man with a dazzling home on 5 acres of land in the heart of Sonoma Valley. Get the point?

Building Brand Personality through song

by Lara Hussein

The recent KFC Voice of Tomorrow' musicmercial is testimony of an inte­ grated environment that leverages the brand through a beautifully composed song with strong TVC imageries. This new genre created for this particular environment is the first to spearhead a new concept that is a hybrid between a music video and a TVC. The musicmer­ cial concept stands as a genre by itself because it relies on a composition that has intrinsic values of the brand and its brand vision. In this campaign, "Voice of Tomorrow' was especially composed with lyrics in three lan­ guages communicating KFC's corporate vision to understand, protect and nur­ ture the children of today because they are the 'Voice of Tomorrow'. This core message was portrayed through a cre­ atively soothing yet powerful visual imagery using children from various

orphanages and schools.

The result: A three-and-a-halfminute musicmercial that is emotion­ ally enlightening touching the heart of every parent and child. The differ­ entiation comes in the delivery of the message, which is emphatically done through the lyrics, kids, the music and the visual.

From a strategic perspective, the personality of KFC comes across as car­ ing and empathetic to our children; clearly a leader that has taken a stance to forge greater understanding for the young kids of today. Their dreams and desire to be heard. The branding of KFC only comes as a sign off at the end, which also clearly demonstrates the brands confidence and stature in being able to simply seal its core message by an end logo. Branding done this way inevitably leaves the consumer curious

right till the end, which in my opinion enhances the commercial's memorabil­ ity and retention. A lesson we always preach to the still non-converted brand managers - must we shove branding down the consumers throat and under­ estimate their ability to recognise something that is non-rational or sym­ bolic? Or the fact that it doesn't have a logo or product pack visible through­ out.

It is important to note several key learnings derived from this 'Voice of Tomorrow' campaign. Firstly, use of a musicmercial to build your corporate personality or brand identity. Using a beautiful composition with lyrics that reflect your message and stunning imageries. Secondly, the need to be at times symbolic and emotional inspiring consumers with something different as opposed to being so rational

We borrow it

16 ADOIMARKETINGCOMMUNICATIONS

and unforgivingly boring! Lastly, must we always be predictable in the way we express the branding logo? What is wrong with subtlety, as long as intrin­ sic values are inherent and communicated through other ways be in the lyrics, copy or visual?

Musicmercial is a genre that will catch on because it is intrusive, memo­ rable and catchy. At the end of the day, why wouldn't you want to use a threeand-a-half- minute song to talk about your brand? Budget permitting, I would create, a musicmercial that is two-minute long to drive brand personality in a positive and emotion­ al way. After all, doesn't music speak louder than words... .umm... ?

Arid no one promotes bi :es. Before they yawn. Acan do whatever you lik<

Saatchi's are back in town The watering spots of downtown KL soon realised that Saatchi £r Saatchi was back in town when the KL office hosted the twice a year S E Asia Conference at the Sheraton Imperial Hotel between 25-27 October.

CEO's and Creative Directors from each of Saatchi's offices across the region gathered to discuss a wide range of topics and issues. Topping the bill was Saatchi's Worldwide COO - Peter Cullinane - who flew in from New York, along with the driving force behind Saatchi New Zealand's success, creative guru Kim Thorp.

Pat Brett, COO SE Asia/Africa and ex-CEO of Saatchi Malaysia, was typi­ cally enthusiastic "This is our 4th con­ ference under my stewardship, and without a doubt the best yet. The great thing about any Saatchi conference is the camaraderie our senior manage-

ment has. It's great to see each of our offices across the region living and breathing the Saatchi spirit, and importantly this is translating into breakthrough work and a healthy list of new assignments."

AD 01 caught up with the recently arrived CEO for Malaysia, Matt Seddon (ex-Saatchi Vietnam) who along with leading creative Edmund Choe has been handed the task of rebuilding the local office following the regional economic crisis.

"We've purposefully kept a low pro­ file in Malaysia for the last couple of years" he said, "but that's about to change." Major new assignments from UMW Toyota and CPW breakfast cere­ als in the last 12 months have provided the backbone for Saatchi to reinvest in the market. "We are building a great team and culture in the Malaysian

New Saatchi £> Saatchi Singapore ECD-Sion Scott-Wilson.

Left to right, Matthew Seddon of CEO Malaysia, Peter Cullinane of COO Worldwide, Kim Thorp ECD of New Zealand and Pat Brett of COO SEAsia/ Africa.

Left to right, Matthew Seddon of CEO Malaysia, SG-GM Bangalore and Mai Hvong - Chief Rep. Vietnam.

Saatchi & Saatchi SEAsia CEO's and Creative Directors.

75 Years of the BBC- A Very Brief History The BBC was founded in 1922.

It started with just one service, broad­ cast to a handful of "listeners in". Now 95% of British households tune in for at least two hours every week.

Radio manufacturers needed pro­ grams to sell sets, and turned to the British Government for support. On October 18, 1922 six radio manufactur­ ers formed the British Broadcasting Company - a limited company which was financed by a Post Office license fee of 10 shillings (sop), payable by anyone who owned a set.

This was the start of a unique method of funding, which remains in place today, and means that the BBC is truly independent and has a direct relationship and obligation to its audi­ ence.

By the time of its first broadcast from Marconi House in The strand, London, November 14, 1922, just a handful of enthusiastic people were able to tune in, yet two million licens­ es had been sold.

And where technology leads, cre­ ativity soon follows. The BBC's found­ ing father and first Director General, John Reith, looked westwards to America's unregulated commercial radio and east to the fledgling Soviet Union's rigidly controlled state system for inspiration. But he opted for some­ thing very different - what we now know as public service broadcasting.

His vision was for a truly indepen­ dent broadcaster, providing distinct and diverse quality programming. His guiding principle, which the BBC still adheres to today, was to "educate,

18 ADOIMARKETINGCOMMUNIGATIONS

inform and entertain."

The BBC soon became synonymous with British life. Within five years it was awarded a Royal Charter, enabling it to operate free from political inter­ ference and commercial pressures, and was renamed the British Broadcasting Corporation.

Its early audience clustered around simple "crystal" sets - often hand built from kits. Back in the 1920's, many though "listening-in" was a passing fad, while others such as newspapers and theatres felt threat­ ened. Even HRH King George V was sceptical. His first broadcast was in 1924, but by his first Christmas Message in 1932, he was a convert - believing "mass communications" brought him nearer to his people.

John Logie Baird was experiment­ ing with television as early as 1925. But the BBC television service only started experimentally, using EMI technology, in 1936. Based in Alexandra Palace, the service was erratic and prone to break­ down and closed down three years later at the outbreak of World War II. The close was sudden and unexpected in the middle of a 'Mickey Mouse' car­ toon, but seven years later viewers could pick up where they left off when BBC TV resumed with the same cartoon followed by coverage of the Victory Parade.

Television really took off when the BBC covered HRH Queen Elizabeth II's Coronation in 1953. Once again people clustered together, this time around television sets and sales boomed. A decade later, the BBC opened Television

Centre in London and pioneered colour television on BBC Two. The BBC has always had a regional focus, depending on non-metropolitan areas for program ideas and talent.

Broadcasters came from Birmingham and Manchester on its second day of transmission and it swiftly established BBC centres across Britain - enhancing its influence and impact. This was reinforced when it launched a chain of BBC Local Radio stations in 1967.

Always conscious of its audience overseas - with correspondents across the globe - the BBC's original aim was to reach out to the British Empire. It experimented with broadcasts and relays to America in 1923 and 1924 and launched the Empire Service, (a fore­ runner of the World Service), in 1932.

Its first foreign language service, in Arabic, launched seven years later.

But it is the range and influence of BBC radio and television programs at home which is most remarkable. It has had a profound effect on the social and cultural fabric of the UK, captivating audiences and opening the doors to a wealth of information and entertain­ ment. It has pioneered a huge variety of broadcasting formats, established media stars and influenced genera­ tions of viewers and listeners.

The BBC has continued to play a leading role in innovating technology including: FM stereo, Radio data System (RDS) and digital radio (DAB), for radio, and NICAM stereo, CEEFAX cable and satellite - for television. It already has Europe's largest and most successful website. BBC Online and is

office focussed around our key global clients. It's been great for us hosting this conference, and I am convinced that the quality of our ideas and work will very quickly establish Saatchi as a lead player in the local market." exploring how technologies will "con­ verge" in the near future.

The BBC also pioneered a whole new way of interfacing with its audi­ ence when it launched its listings guide, the Radio Times way back in 1923. Its international and commercial arm is called BBC Worldwide and it earns revenue for the BBC's free-to-air programming.

In addition to its agreement with discovery Communications, Inc., it recently entered into a partnership with Flextech PLC. To provide, UKTV four domestic cable and satellite sub­ scription services. It is also responsi­ ble for the distribution of two interna­ tional cable and satellite channels BBC World (broadcast to 50 million homes) and BBC Prime (5 million sub­ scribers in Europe), and has an exten­ sive magazine, video, book, audio cassette and character merchandise business.

And its public service broadcasting remit has grown too. Today there are two national television stations, BBC ONE and BC TWO, five national radio stations, Radio's 1, 2, 3, 4 and 5 Live and 39 Local Radio stations. World Service broadcasts in 44 languages to 140 million listeners, while the BBC's two new services, UK News 24, and BBC Online are already household names.

Plans are in place for digital technolo­ gy - widescreen format, additional programs, information services, plus new channels - which will all be announced later in 1998.

So, 75 years down the line the BBC remains the first place people tune to for coverage of important events. It is also a by-word for quality program­ ming, impartial information and inno­ vative technology.

Economy

Economist

pnrhpc You don't need to read Forbes to put it on a schedule. You just need to know who does.

12% of Forbes readers travel First Class on long-haul flights. 96% of Economist readers don't. (Source: Europe 2000)

Bert:Hey, Ernie, I've found absolute freedom.

Ernie: Gee, Bert, what's it taste like?

(by http:\\ng)

There's a place where freedom is God. And its disciples are people who scream blasphemy at the mention of the words "moral conscience".

It's called Cyberspace. Here, every­ thing goes. Steak knives, fashion, toys, holidays, kangaroo bars, and it would seem, general goodness, too. Why? Because cyberpunters will have you know that there are no laws on the www.

That liberalism in its purest form should be the only commandment the community lives by. A risky philosophy to practise, considering this new media straddles between two super­ structures - one of self-expression and the other, self-destruction. The theory of liberalism is based on the right of the individual to free expression and free trade. (This means you could sell marijuana online if you wanted to.) In accommodating this view, liberalism places insurmountable faith in the morality of human beings. (This means the preachers don't actually expect you to sell marijuana online, or anywhere for that matter.) If we actu­ ally finish reading the dictionary defi­ nition of liberalism, we would perhaps see that it advocates moderate socio­ economic reform. Applied to civil rights, this means the right to do some­ thing doesn't necessarily mean doing that something is right: our freedoms are bestowed only insofar as they do not impinge on those of others.

The sad reality is, we are seldom able to separate demons from angels when it comes to words and actions.

Anyone who has logged onto the triple w will find a fascinating range of sites created with blatant disregard for that "silent" proviso.

There's a suicide site for those who'd like to know their options beyond the io-storey dive and arsenic; there's Everything You Wanted to Know About Bombs and Guns for those who feel like topping the Columbine bodycount. And if you were a net-sawy ad person in the minisculian Malaysian ad industry, you'll discover a website dedicated to members of the anti-scam synagogue.

Or the Brotherhood of Character Assassination, to be precise. While the site in question offers an interesting breadth of topics - from industry news to job placements - it also devotes a lot of memory space to the de rigeur theme of non-kosher creative work.

Talk about ad nauseum - there's even a Scambuster section where the fake of the month is downloaded for all to rip apart.

It's a tragicomedy. If you dare ven­ ture into the verbal assault section, make sure your tongue's sharpened and your talent for vilification, honed.

Because liberalism is as abused as it can get in there. And - while I am inadvertently advertising the site (probably much to the delight of its

masterminds) - this I have to say: God bless you if you're able to log out with your pride in your job still intact.

The best argument against hun­ dred percent self-government on the web is this: cyberspace is like the microversion of Mother Earth. And it would be hell and havoc without some basic form of behavioural guideline.

Imagine our planet free from con­ straints. Imagine guns sold like alarm systems. Children, like McDonald's kiddy meals toys. Drugs, like candy.

And imagine war-inciting comments traded like greetings. Don't forget, too, that what makes cyberspace that bit more hairy is its anonymity.

Technology makes it possible. And that "it" is permission to do greater damage (if that's the choice) than what would otherwise be possible.

Purists argue on freedom of speech. "Censorship is the death of artistic expression!", they proclaim.

But there's nothing artistic about smearing a person's integrity by way of slander, or about the savagery of his rice bowl. (Although I'd rate the quali­ ty of name-calling on the site impres­ sive.)

On the other hand, the argument for zero interference is that honesty strips down a kind of hubris that beneficence reinforces. And while the truth hurts, it does the soul a lot of good. As if by equating a person's brain with that of a plankton were the best

form of peer encouragement.

Constructive criticism builds char­ acter. Vitreolic spit blunderbusses it.

[Here's where the twist comes in.] If the inventors of this site were inspired by the theory of liberalism, they shouldn't be blamed. Rather, they should be congratulated. Paving avenues for healthy debates over thorny issues, for checks against the venalities of self-nominated elitists, is after all a noble intention.

Now if only we would discern between real issues and what are in effect rabble-rousing trivialities.

For example, devise reforms that challenge old conventions of creativi­ ty. Dissolve archaic rules set by research houses and station owners.

And deflate the salary bubble by man­ aging the supply and demand of cre­ ative talent.

If only we would see the benefit of a more socialist model, and instigate change for the good of ALL. Of course, this would mean having to abide by a few laws (no less then 10, I'm sure). Or more elaborately, "the laws of being a professional in a pro­ fession that, as it is, suffers from a lessthan-heavenly image".

Am I taking it all this too serious­ ly? Have I got a potato up my ass? Does all this negativism in our advertising industry leave a bitter taste in my mouth? Someone should. No, more like a boulder. Absolutely.

Has The Internet Changed Your Life?

Findings from OMD's internet survey showed that Net users are generally more media savvy than the general popula­ tion. The majority would read newspapers, magazines and watch television on a regular basis.

Although the access to internet has reduced the time spent on mainstream media like TV and newspapers for some users, the compromise is greatest on cinema going and increasing. 43% of the internet users claimed to visit the cinema less

often after they have started using the internet. On the other hand, radio is least affected. Only 13% said that they were listening less to radio.

Slightly over a quar­ ter of Net users were watching less TV and reading less newspa­ pers and magazines.

The survey brand­ ed as OMD Web Direction aims to pro­ vide an indepth understanding of web

usage. The study in Malaysia is second in the series, after the launch in Singapore in 1999. The survey covered 204 Net users who were pre-recruited and invited to complete the question­ naire online. OMD plans to update the survey on a regular basis, to capture internet trends and to provide their clients with more up to date insights for media planning.

On e-commerce, about 1 in every 5 users have bought something off the Net. However, two thirds are still not comfortable releasing their credit card information for purchase.

These findings are only a sample of

the insights provided by Web Direction. The survey covers a variety of other issues including awareness of dotcoms, ad clicking, sources of infor­ mation about websites, likes and dis­ likes of internet use, etc.

Jim Goh, Managing Director, OMD Malaysia says, "With increasing client interest in this medium, the findings are timely for us to provide informed decisions to online planning. Web Direction also answers questions on ecommerce and e-banking, is it a myth or reality. What is the take-up rate so far? What are the concerns on transac­ tions over the Net, etc."

You can also read this magazine on http://adoi.jooze.com 20 AD0IMARKETINGC0MMUNICATI0NS

Have you been infected by the Internet lately?

by Leslie Jeyam, CEO - egency.com

The Internet can be infectious as you very well know. The web today (in Malaysia) has changed from being nice to use, to something one must use to get ahead. Consider the fact that it is grow­ ing at a phenomenal rate of 2 percent a month - that's about 20,000 new people

coming online every month. At the last count by Jaring, Malaysia has clicked up 1.2 million ISP subscribers, totalling over 5.5 million surfers. Now crossrefer that figure to the 1.4 million Yahoo email account holders and the 1.5 million hotmail accounts... and what do you have.... lots of opportuni­ ties. The internet audience is generally smarter people in their teens, 20's and 30's who are at a computer at least 6 hours a day, surfing some of the time but checking email almost consistently throughout the day.

Is this audience desirable? Are they reachable? Will they respond to mar­ keting gimmicks? Do we speak to them or shout at them (like we often do in traditional media)?

It was way back in the spring of 1997 when Steve Jurvetson of venture capital firm Draper Fisher Jurvetson

who said "Attention is finite. Rising above the noise of a thousand voices requires creativity. Shouting is not very creative", which led to him coining up the then-new buzz phase 'Viral Marketing'. A communication tool very much like what traditionalists call 'word of mouth except it spreads faster than a wild bush fire(if the message is right). A good example is ICQ where the idea was spread by its initial users who went on to attract a global audience.

Today there are more that 12 million surfers using ICQ on a daily basis. I guess that's why AOL paid US$300 mil­ lion for the company. The reason for its success is because it is still a very good idea (and product).

Today, many marketers are trying to mimics viral marketing to 'sell' prod­ ucts. The reason is probably due to the evidence of a recent study by public

relations firm Burson-Marsteller and market research firm Roper Starch Worldwide which conclud­ ed that about 8 percent of Internet users has the clout to influence the opinions of another 66 percent (as opposed to the believe that in the offline world, one person is generally thought to have an impact on the attitudes and behaviour of 2 people) makes viral communication an extreme­ ly attractive proposition.

We recently tried it in the Singapore market via a book giveaway exercise for Bertelmann's owned asia.bol.com. The idea was to use ban­ ner ads and print messages to drive book lovers to a holding page where they could register and 'tell a friend' about the 5000 FREE books on offer for an hour (from 7pm to 8 pm, September 6). The response was good and the client collected a substantial database of 'book lovers' who consented to accepting online DM's indefinitely.

Another good method, which is now just gaining acceptance, is online direct marketing, and it can be used to spur viral marketing. What I like about online DM is the fact that you can mon­ itor 'open rates' on top of 'respond rates'. So is the the Internet infectious?

Ask yourself when was the last time you sent (forwarded) an interesting email to a friend?

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The client is the client...

by Indira Nair - Professional Development Leader for Asia Pacific, Ogilvy Public Relations Worldwide.

Recently, I had the opportunity to be a faculty member at a training programme held in the US. The pro­ gramme was attended by middle managers from Ogilvy Public Relations units in the US, Europe and Asia Pacific. Everytime I attend a pro­ gramme which involves people from all over the world, I am shocked (yet again) into realising: It's a small, small world, after all.

Clients are the same all over the

world. And consultancy teams too are the same, across continents. We face the same problems. We often address the problems in the same way. Wonder why? Could it be that we are all human beings? While cultures may differ, human nature is the same, globally?

Marketplaces may differ, but building relationships will be similar?

The client isn't always right but the client is the client. So how do we want to position ourselves with our clients?

At a briefing session, prior to a pitch, the Client says: We have invited 10 consultancies to pitch for our busi­ ness, they have all been given the same brief, we need you to present in two days, and we need a full presentation, including a timeline, and detailed budgets.

Consultancy's response: We need to ask you more questions. Why 10 firms?

What will be your criteria for selec­ tion? Two days are insufficient to pull together a full presentation, we need more time.

The real message: We want to shop around, we want the best ideas, it's our prerogative, we call the shots, here's our timeframe. We are king, you are

the servant.

Consultancy accepts the invita­ tion, presents, wins the business.

How do you think we'll move forward on this relationship? The client will snap his fingers, and the consultancy will initially resist but will eventually deliver. Not always is the best work produced. The client will complain about quality. The consultancy puts in more hours. The cycle never ends.

And I totally agree... I have been extremely simplistic and negative in the manner in which this scenario has been presented. I believe you know what I mean.

At the Client Service College, a senior manager from a client present­ ed her thoughts on working with con­ sultancies. She talked about having in place a set of guiding principles by which her entire team has to abide as they work with consultancies. She felt that the only way to get the best value out of her consultancy would be to ensure that her team managed the relationship in a systemised, but personalised manner. Both parties were responsible for results and rela­ tionship building. This would then allow her to measure the two teams, hers and the consultancy team, objec­ tively in terms of results. Every year the agency has to repitch for her busi­ ness as she felt this kept them on their toes. While the bulk of her business

went to one consultancy, with certain projects, she used other parties as she felt that their specialist knowledge in a particular area was better. Quarterly reviews were held with the consultan­ cy to review the past and agree on the future. The orientation programme for every new staff member on the client team involved a detailed discussion on the guiding principles. These were just some of the salient points she high­ lighted.

It was also interesting to hear the consultancy's feedback where this client was concerned. They felt her standards were really high, and that they had to work hard, all the time, to meet expectations. But while the client team was tough, they were also reason­ able. The client team spoke in onevoice, they were clear about objectives and results. The client team constantly challenged the consultancy team where budgets were concerned, wanti­ ng more for less. Overall, they were a tough client, but the consultancy enjoyed working on the account.

Internally, it was an account that client service professionals clamoured to work on. The consultancy had man­ aged this account for more than eight years.

Now, if only we could have more client-consultancy relationships such as this. Satisfying for both parties and a true partnership.

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The Out-of-Home experience

By Ashling O'Connor

Roger Parry has an influence over the British psyche that Chris Evans, a neighbour in Soho's Golden Square, could only dream of. Millions of people every day are touched indirectly by the work of Parry, chief executive of Clear Channel International, and his team at the international division of the world's biggest radio, outdoor advertis­ ing and live entertainment company.

From corporate-branded taxis and buses embraced by giant-sized Gap models, to bus shelters advertising West End musicals The Lion King and Fosse, Clear Channel's presence is almost ubiquitous. Yet it is hidden from the consumer behind the brand of its clients.

The billboards business has not been widely perceived as a sexy indus­ try - an appeal traditionally reserved for the racier medium of television.

But outdoor, or out-of-home, advertis­ ing has proved itself to be one of the fastest-growing media of the past decade - only surpassed by radio - and as TV becomes increasingly fragment­ ed and more expensive, Clear Channel is getting media buyers' full attention.

The company was set up nearly 30 years ago as a radio business in San Antonio, Texas, when the Mays family acquired KJ97FM. It now has a market capitalisation of about $377bn (£26bn).

A merger completed in August with struggling Texan rival AMFM and the subsequent acquisition of radio busi­

nesses in Fargo, North Dakota, means the company now owns 1,120 US sta­ tions - or half of the national audience - and has interests in 240 overseas.

Clear Channel in the US pioneered the radio industry's diversification into billboard advertising, a model found to be ideal for reinforcing the effectiveness of broadcast campaigns.

It has been replicated on a smaller scale in this country by companies such as SMG and Scottish Radio Holdings.

It is in the outdoor media - a low fixed cost and high profit margin busi­ ness - where the company thinks it is on to a winner. By picking up AMFM, which had failed to make a success of the radio/outdoor combine, Clear Channel increased its number of out­ door displays to more than 750,000.

Contrary to the opinion of industry analysts, says Parry, consolidation in the fast-growing European outdoor sec­ tor is nearly complete, except for smaller markets such as Italy and Poland. Parry, winding up for presen­ tations this week to explain Clear Channel's strategy in Europe, believes it has all the elements in place to make the business a "three-way hit". "The key corporate priority was building the outdoor business because we wanted to get the whole business together before anyone cottoned on to it."

Parry and his team in Europe have been working hard to loosen the grip

London International Advertising Awards 2000 Winner (Best of Category) for Art Direction in Print and Finalist for Beverage-alcoholic in Print category.

Product: Chu Tian Beer. Agency: Grey China

28 AD0IMARKETIN6C0MMUNICATI0NS

of France's JCDecaux, the dominant outdoor operator in Europe, as posters become more dynamic, technically slick and creative. "People understand just what a powerful medium it is. It's a very effective way of getting bums on seats. It's truly universal," he says, flicking through a report he has writ­ ten on the economics of outdoor adver­ tising. "I never watch ITV so they could spend £ioom on me and I would never see it."

Following the $3-3bn acquisition of SFX Entertainment this year, Clear Channel is also the world's biggest owner of live entertainment venues.

Chris Evans, the outspoken radio DJ and TV presenter, may lead a show­ biz lifestyle, but it is Parry, looking more like a professor in his wireframed spectacles, than a Soho media professional, who is just as likely to be seen lunching with Gary Lineker, David Beckham, Michael Owen or Greg Norman. As part of the SFX deal, Clear Channel acquired a number of sports management agencies - including the one representing retired basketball star Michael Jordan - as well as Donnington Park, the home of motorcross racing, The Playhouse in Edinburgh, the Apollo Theatres and live music venues in Ireland, Scandinavia and the Netherlands.

Last year, SFX attracted more than 60m people to 25,000 events around the world, including 7,000 rock con­ certs and 13,000 theatrical shows such as The Lion King, Riverdance and Fosse. Add SFX's reach to Clear Channel's global network of 1,360 radio stations, 19 TV stations, 570,000 billboards and street furniture dis­ plays and 180,000 displays on public transport and taxis, and it is not hard to understand the attraction for big advertisers such as Coca-Cola. "We can put a can of Coke in each of those 60m people's hands," shouts Parry over the din of Clear Channel's MTV-style cor­ porate video.

Early next year, this cross-promo­ tional potential will be neatly demon­ strated in the UK with a Jazz FM-sponsored concert at the Apollo in Hammersmith or Manchester, adver­ tised on Clear Channel billboards. It is no wonder veteran event promoters such as Harvey Goldsmith, who organ­ ised Live Aid and the Rolling Stones tour before going bust on last year's solar eclipse festival, say they simply cannot compete.

Clear Channel, whose marketing slogan boasts that it sells more than 50,000 companies a year, first caused a stir on the British media scene in 1999

when it emerged as a potential bidder for Evans's Ginger Media Group. Parry might have been walking round the offices of Evans's company, situated just a few yards away from his own, if he had not been outbid for Virgin Radio and Ginger Television by Scottish Media Group in January. Clear Channel looked hard at Ginger - in partnership with Guardian Media Group as a vehicle for satisfying media ownership rules that a foreign compa­ ny cannot control a UK radio group but in the end could not justify the price of £225m.

Parry, for whom radio is the least exciting of Clear Channel's opportuni­ ties, does not appear desperately dis­ appointed. "It makes more sense for us to buy an outdoor business in Spain than a radio company in the UK," he says. "The stock market went through a period of extreme over-excitement when it came to the value of radio sta­ tions. Virgin had, and has, the best media sales force in London. It was almost impossible to see how you could sell it better." Parry is happy "sitting out the recent dance" in the radio sector and for the moment, there is no rush to do a radio deal. Clear Channel is content to dip its toe in the water via a minority stake in Jazz FM, a station showing strong audience growth.

"The only thing that stops Viacom [the US entertainment group] or us taking majority stakes in radio sta­ tions is the valuations. It's not the ownership restrictions. There are ways around that if you can make the economics work."

Furthermore, Parry's rationale is that the regulatory barriers will cease to be a problem as digital radio grows, because the digital spectrum is not subject to the ownership restrictions on analogue stations.

"When the penetration of digital radio becomes substantial [in four to five years], you will suddenly discover that WLON [a Clear Channel International digital radio station] is quite famous. Because we will make it famous." Clear Channel, although ambitious, rejects the notion that it is predatory, saying it would never attempt a hostile takeover.

Nevertheless, SMG executives may feel better knowing their US-owned neighbour is moving from next door but one to the other side of Golden Square, where they can keep a closer eye on it.

Extracted from the Financial Times Creative Business supplement

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PHASE ONE DIGfTAL CAMERA BACK

Going Organic with online advertising and marketing Tom Kiernan VP and Chief Officer, Marketing Solutions for Organis.com was in town recently to discuss about interactive advertising and its inroads and implications on mainstream advertising. He has been one of the key players in the early development of internet advertising and even to this day is a prominent speaker on all things online. We talked to him in an exclusive one-to-one interview espe­ cially for our readers Banner ads have become the whip­ ping boy of sceptic web advertisers.

But some quarters feel banners work. What's your take?

Organic was a major contributor in developing the first ad banner for­ mats in the early i99o's. At Organic, while we we have evolved our strate­ gies and tactics way beyond this initial ad format, banners are still an extremely effective vehicle. However, the effectiveness depends on a num­ ber of parameters such as marketing objectives, how well the ads are are planned and executed, and how they are measured. Organic's experience with a wide range of clients has shown that through consistent optimization of banner performance, high returns on investment can be achieved using banners alone. Banners will continue to be part of a client's overall online marketing mix for the long-term. Of course, banners will evolve and we will make them in new shapes, sizes, and placements. However, use of ban­ ners will decline as a percentage of the total online marketing mix and be sup­ plemented by more impactful ad for­ mats.

I sense a general lethargy by new advertisers to dive into online mar­ keting. Fleeting customer loyalty; lack of permanency and dot.com unpredictability. What's missing?

The overriding factors driving the growth of online marketing for the last several years are more valid today than ever before. More people are spending more time online. Yes, many dot corns have gone under, but this does not mean that people are throw­ ing their computers out the window and spending less time on the Internet. People are going online at a faster rate than babies are being born.

The world is not getting any less tech­ nical or less interactive. Clients will always look for more efficient ways of acquiring, converting, and retaining customers. All of these factors will pre­ dictably drive an accelerated, positive growth curve for the online advertis­ ing industry over the next ten years.

That being said, a couple of things are missing right now. Some marketers

30 ADOIMARKETiNGCOMMUNICATIONS

are listening too closely to the fluctu­ ating hype in the press instead of look­ ing at examples of effective case stud­ ies and looking at measurable results.

What is also missing is that they are looking at one misfired online adver­ tising effort as reason to dismiss the medium. The smart marketers realize that there is unrealized value here, and that when used and measured properly this medium can be the most effective component of their overall marketing mix. The smart marketers explore alternative online marketing strategies and use research and perfor­ mance data to gain valuable customer feedback. The ones that do this are realizing the powerful impact this medium can have on building brands and driving business and are doubling, tripling or quadrupling their online media budgets.

What are the alternative strategies in driving traffic to a particular Web site and methods of generating a set of tools to measure the success of online marketing strategies?

There are too many alternative strategies to name, and the exciting thing is that we haven't even scratched the surface for conceiving these new strategies. The common online meth­ ods to drive traffic are banner ads, but­ tons, text links, search engine opti­ mization, sponsorships, and email, although some might still consider these methods alternative. Other com­ mon methods include promoting a URL on your packaging, your distribu­ tion systems, and in-store if you have a bricks-and-mortar location which are all smart, low cost ways of getting traf­ fic. Many have used big-budget, mass advertising to drive traffic which has met with limited success. While many clients view driving traffic as a goal, unless you are an online business sup­ ported by impressions served, traffic to your Web site is not a valuable busi­ ness goal on its own without conver­ sion and retention strategies. For many clients, we don't even need to drive traffic to the Web site at all. We can bring the experience from the brand and the transaction capabilities from the Web site and deliver it to the customer. This often requires the cre­ ation of new ad formats which enable you to deliver a brand experience, not just a brand promise. We believe this is a much more customer-centric approach.

One example of an alternative strategy is to develop a promotion and a micro site online which handles ful­ fillment and then use viral marketing and "guerilla marketing" tactics to drive traffic to a digital promotion.

Using digital prizes or downloads and

sponsoring content is another "alter­ native strategy".

I have heard many saythey are waiting for the technology to develop and the bandwidth to increase until we will finally be able to utilize the medium for more effective strategies.

It is this kind of thinking that will slow the industry down. We are only limited by our own imagination, not by technology.

What are the capabilities of online marketing and possibilities of longterm success?

Many of us entered into this medi­ um on the heels of the first interactive television trials and at a time when the world of marketing was reportedly about to be turned upside down by the principles of i to i marketing. We still support this vision, and in some ways this has become a reality but in others it has not. Primarily, the market is using online marketing to deliver more targeted marketing communica­ tions. The exciting capability of the medium is that it is interactive and capable of a two- way dialogue. The future of online marketing depends not just on getting more targeted in our communications of a brand promise, but to deliver a more valu­ able, relevant and functional experi­ ence for the customer.

One of the other primary capabili­ ties of the medium which has been grossly underutilized is the ability to measure the impact. Too many are focused on click-throughs instead of real business performance measures such as customer acquisition costs, brand recall and persuasion, gross margin, product velocity etc. These are some of the metrics that have been driving business for years and it seems that most of the world has tossed these out in exchange for "clicks" when it gets to online marketing.

Tell us about Organic and what is your edge?

Our edge is that we are always sharpening cur "edge" to meet the evolving needs of our clients. At the end of the day, we judge ourselves by our ability to positively impact our clients business in a measurable way.

This focus on measurement, and our clients businesses is what gives us an edge. Our integrated model also gives us a great advantage. There are com­ panies out there that are great at con­ sulting and planning. There are others that are great at implementation of digital strategies. What gives Organic the edge is that we can create strate­ gies that are informed by our ability to implement, and we use the perfor­ mance data to guide our optimization

Tom Kiernan Vice President, Chief Officer Marketing Solutions

strategies. The ability to manage all aspects of the customer relationship from acquisition to conversion to retention is a powerful capability. As far as we know, nobody out there has this model all under one roof. It requires deep expertise in marketing all the way through integrating a brand experience and customer data from a call centre.

We hear a lot about CRM and rela­ tionship marketing these days. How will new media propel development in this area?

Organic is in the business or build­ ing profitable, long-term, customer relationships for our clients. New media will be the fuel that starts the initial dialogue with customers and initiates the customer relationship. In the digital world, this initial dialogue allows us to capture implicit customer behaviour and explicit information provided by customers to personalize customer interactions.

When people think of new media, they usually are thinking Internet advertising on your PC and Web sites.

We think of it as digital media.

Anything with a screen on it can be connected to a network, and be a chance to initiate a dialogue with cus­ tomers. It can be the web, a wireless device like a phone or a palm pilot, or it can be your television set or another household appliance. All of these will be channels used to develop and main­ tain a dialogue with the customer.

Most of what is being said in the CRM space has to do with large scale implementation of software and sys­ tems integration. These are merely tools companies can use to help them manage their customer relationships.

While these tools are often necessary, we advise our clients to begin by focus­ ing first on what is most important to their customers. We may only need to begin by closing some of the smaller loops in the CRM chain, rather than start a multi-year, expensive holistic CRM initiative.

connecting you to your world

E-Mail was supposed to kill direct mail stone dead.

So why are U.S. Dotcom firms turning to it now?

by Drayton Bird

The other week U.S. Advertising Age reported that those rather faded glam­ our kids, the dotcoms, are turning in a big way to direct mail.

After at least $2 billion on adver­ tising, under 5% have built any brand awareness.

But why do they think direct mail can help? Let me ask you a few ques­ tions.

Which will do more for your brand: a better product - or better ads?

Better service - or better ads? Solving customers' problems faster - or better ads?

How about reaching the right peo­ ple with dull ads versus the wrong peo­ ple with brilliant ads? Or how about reaching people with messages they forget almost instantly versus mes­ sages they recall for months?

What really matters in marketing Your answers to the first three questions are obvious. What you do is more important than what you say.

One contaminated or musty pack, one rude sales assistant, one overpriced service can wreak damage no ad can undo.

But what about your other answers? Obviously you're better off reaching the right people with dull messages than the wrong people with brilliant ones. As David Ogilvy, put it: "You can't save souls in an empty church".

And memorable media may often work better for you than ones that are swiftly forgotten. Direct mail is a

prime example. But several factors have prevented marketers from realis­ ing its full benefits.

First, there is that murky cellar below the line to which marketers con­ sign so many promotional activities.

There is no line in customers' minds; it's just a convenient catch-all for any­ thing other than advertising.

The invisible line - a menace The phrase is a menace. It has pro­ voked a fatal division of marketing focus so great that it was formally ban­ ished two years ago from Advertising Age - the world's premier marketing publication.

Nobody would have to work so hard on integration communications today if they had not been disintegrat­ ed, as it were, in the '6o's and 70's.

Every message affects how people see your brand, from the logo to the instore displays to (maybe most impor­ tant) staff training and motivation.

But if one is labelled "junk", that can't help.

Do all restaurants serve junk food?

Are all magazines like The National Enquirer? Do the words "TV show" only mean Jerry Springer? Should you judge everything by its lowest denominator?

I don't think so.

There are other factors, too. Any message coming to your address with your name on it is hard to ignore especially if it makes mistakes like misspelling that name changing your sex or altering that address. Such mis­ takes will never entirely vanish, any

more than vapid, selfindulgent TV spots will.

And mail is not as public as TV. Creative people find it dull. Most are keener on fame than selling. And fame, by definition, is public. How can an envelope make you famous?

Media actually complement each other Other media have long feared and reviled direct mail as a threat to their revenue. Yet the evidence suggests that the media don't compete; they work together.

I have on my files some ads that produced over 37 million responses fulfilled through the mail, obviously, in the late '7°'s- And for nearly 20 years I have, with various colleagues, been reviewing how direct mail can benefit a brand.

In the early '8o's putting a shot from a TV commercial in a mail shot for TWA increased awareness of the ad from 27% to 47% among recipients. 74% recalled the mailing after 4 months.

And intention to fly TWA was up from 11% to 27%.

Compare that with recall of the average ad. The only figures I saw at that time were from the US. After 24 hours about 2% of all advertising mes­ sages were recalled.

Later, similar results occurred in many countries - for Dove bar, Huggies diapers, Crown paints, Chivas Regal and Impulse fragrance. One mailing

produced two sacks of appreciative let­ ters from customers.

Mail volumes have risen spectacu­ larly since then, so you would expect impact to lessen. Yet when five years ago we sent a Christmas card to cus­ tomers for one FMCG client, thank you letters rolled in.

18 months ago we created a mailing for a bank to their oldest customers.

92% remembered it after two months.

They were unusually responsive to sub­ sequent offers. This is what building a relationship means; though it's really just good direct marketing.

Top marketers are waking up Brand building starts with making customers notice and recall your mes­ sages, and ends with making them buy more than those not exposed to those messages. Direct mail is such an intru­ sive medium - only the telephone is more so - that it does this very well. It has the added advantage that it can reach your most profitable customers, and you can measure the results of your efforts.

Of course, if it's badly done - if it is junk - it will damage your brand.

Preventing this depends on the com­ mitment of senior marketers. A client of ours was named Marketing Director of the Year by one journal. He has a lot on his plate. Despite this, he found time not long ago to read a book on how to write good direct mail.

The impressed me for two reasons.

First, I wrote the book, and he sent me a pleasant note about it. But, far more important than my vanity, it showed that top marketers are at last begin­ ning to see what direct mail can do for their brands.

Halleluiah!

Internet Impacts Ad Agency Business

The rhe Internet and interactive activity will continue to play a big role in transforming ad agencies into multi-disciplinary communications consultants in 2001.

A survey among the members of the ICOM (International Communi­ cations Agency Network, Inc.) inde­ pendent agency network found that more than half of the respondents cited Internet and interactivity as the areas that will have the biggest impact on their businesses in the coming year.

With $3 billion in billings and 74 agen­ cies in 44 countries, ICOM agencies are a microcosm of the global ad agency

industry. Select Team, Kuala Lumpur, is the ICOM member in Malaysia. Ad Grand Advertising is the member in Singapore.

Fully 19 of the more than 30 agen­ cies responding to the survey said the Internet revolution would continue to be key. For some, the focus will be on gearing up; for others, it will be a mat­ ter of putting the Internet more into perspective as part of a broad media spectrum.

"In France, interactive will be the fastest growing medium," said Patrick Walhain, president, Dassas Group, Paris, and ICOM European area region­

al director. al director.

Anthony Smee, president, Smee's Advertising Ltd., London, said clients are beginning to understand the Internet's good opportunities and also its wasteful parts. "This gives much better clarity on the client's Web strategy as it links into the rest of the busi­ ness and as advertising communica­ tion companies work out strategies for those clients. More effective Web design and e-commerce is going to come out of it," he predicts. "For Europe, the fact that America has been the learning curve/standard setter has helped, and the gap between the U.S.

.1. and Europe has become much closer on the Internet."

Other areas that the agencies see as having major impact are continuing integration of services, difficulty of recruitment of qualified personnel and economic slowdowns or political turmoil in certain countries. ICOM was founded 50 years ago as the National Federation of Advertising Agencies and became the International Federation of Advertising Agencies, Inc., in 1980. In 1998, it was renamed to reflect its expanded range of capabili­ ties. ICOM network's agency in Singapore is Ad Grand.

Media buyers, media planners, media managers, media directors read lots every day. _Jhe good news is that they also read this magazine every month of the year.

38 ADOIMARKETINGCOMMUNICATIONS

Get them talking Peter Johnston relies on effective communication for the success of projects at Ogilvy & Mather.

He explains how he trains his IT staff to secure buy-in from users and management. By Iain Ferguson When Peter Johnston leapt into the glossy world of advertising and brand development nine months ago, he knew that for a company which focus­ es on helping its clients get their mes­ sages across, communication skills would be a critical part of the job.

The chatty 35-year-old American came to the position of Ogilvy £r Mather's regional IT director, AsiaPacific, with an eclectic background, including one job with a company called Professional Access where he was involved in the recruitment of pro­ grammers from India to work on pro­ jects elsewhere in Asia. His most recent job was with Disney in Hong Kong, where he spent five years work­ ing on applications, infrastructure, and project management for the enter­ tainment titan.

"It's a big leap for me," Johnston says. "I would say it's been an amazing change from my role at Disney". He says his skill-set and history "added up perfectly to what Ogilvy £r Mather were about".

Ex-boss's teachings It wasn't until Johnston arrived at the Hong Kong operation of Disney in 1995 for what would prove to be a fouryear stint - entailing roles as head of marketing information systems and senior manager of technology infra­ structure - that he polished up the communication skills necessary to per­ form his current regional management role well.

This, he says, was due to two fac­ tors: firstly, at Disney, he sat right next to his immediate boss, a former senior employee of Pricewaterhouse-Coopers.

This ex-boss played a crucial role, Johnston says, in transforming him into a manager who understands what is an appropriate relationship between IT and the business.

"One of the key things he taught me was that the decisions of the IT strategy need to be made by the busi­ ness, not by IT. The ownership and sponsorship of application develop­ ment need to be in the business, not in IT. IT-driven projects tend to fail".

Non-discipline training The second factor, Johnston says, was the high-quality external training provided by Disney. The managers from each discipline are sent to what

40 ADOIMARKETINGCOMMUNICATIONS

he describes as "non-discipline" train­ ing in areas such as leadership man­ agement and development. While "[the training sessions] do not sink in the day after, over the next year, I bor­ rowed a lot from it".

His more rounded skills-set was almost immediately called into play upon his arrival at Ogilvy £r Mather in January this year, following the depar­ ture of the incumbent for the agency's Beijing office.

"My predecessor was very good, but I'd also say we're very different," he says.

"There are certain skills and cer­ tain ways of communicating that dif­ fer between people. I would say her skills were focused on application development. She has more applica­ tion development and database archi­ tectural knowledge than I have.

However, my focus has been more on

Communication strategies • In meetings with business line man­ agement, be a regular guy not the IT guy-

• Communicate simply and according to users' business requirements.

• Make succinct presentations: four bullet-points per slide, 5 slides per concept.

• Drop acronyms.

• Check presentation with the least ITliterate manager to clear up any issues prior to delivering the presen­ tation.

• Adopt trial and error technique to train IT staff to communicate effec­ tively. the full success of projects. I don't sim­ ply rely on database design, but I focus a lot more on [areas such as] manage­ ment engagement," he says.

Johnston's view is that even the usability of a poor system can be recov­ ered if stakeholders such as users and management are fully engaged, because "people will find cutarounds to bad systems" and point out the neces­ sary improvements. In contrast, a good system will fail if it's poorly launched and marketed, as stakeholders have no buy-in.

Miseommunication with users Johnston says most of the commu­ nications issues he faced when he came on board were "a timing thing".

"I think when I arrived, the timing was a bit off. There were a few very good systems in place for inattentive users. The ultimate recipients of the solution had not been taken fully through introduction, training, backed up with delivery".

Business managers, he adds, had not been properly engaged in the solu­ tions delivery either.

The systems languishing without full buy-in included an intranet, inter­ nal standard databases and a backoffice finance and resource manage­ ment system. Other issues included delivery of some efficiencies related to the databases and a "much more solid workplan" for some of the ongoing sys­ tem development.

He hastens to add that "this was no fault of anybody's - it was just a few slight misses". Diplomatically, he puts a significant portion of this down to the resource-draining "distraction" of the millennium crisis.

Johnston says he is now "clearing the stumbling blocks of engagement with systems". This is particularly important given the necessity of the enterprise to embrace the potential of an e-business platform that includes the delivery of a new virtual private network.

Johnston's role includes managing that e-business deployment, a large proportion of which was initiated before he came on board.

Along with the normal raft of chal­ lenges posed to any IT manager involved in e-business deployment, Johnston is dealing with an extremely educated and demanding user commu­ nity.

"The general technical savvy of the employees within the company will raise the bar in e-commerce generally," Johnston says. "The most senior man­ agement in the Asia Pacific had com­ municated some very good e-business strategies. They had set the bar.

Information technology is in the throes of trying to clear that bar".

Being a regular guy Securing buy-in from users and business managers for the e-business project is now being addressed through an intensive public relations effort, meaning Johnston is frequently travel­ ling across Asia to meet with his coun­ try managers and business line man­

agement.

"I have a young daughter and don't like to travel, but unfortunately I need to get out there and meet [the country managers]," he says. "You've got to make sure you're at the critical meet­ ings".

In face-to-face meetings with busi­ ness line management, Johnston has a simple strategy. It is, effectively, to be a regular guy.

"It's quite like bonding. In a lot of cases, information technology tries to display far-out stuff to its people. If you talk about football, they drop their guard and say 'he's not an IT guy"'.

Johnston cites as an example of the effectiveness of his technique a recent meeting with O&M's Taiwanese manag­ er. After a meeting lasting well over an hour, he walked out with the head of the Taiwanese IT operation, who turned to him and said "she never stays that long in meetings with infor­ mation technology".

Communicating to meet users' needs A related technique is to ensure the communication from IT is pitched at a level suited to the needs of the user community - as clear, as aligned to the business requirements and as simple as possible.

Johnston recalls wrestling with this issue once when responding to regional general managers to a ques­ tion as to why some countries received a lower standard of service via the Ogilvy £r Mather wide area network than others. Unfortunately, the net­ work diagram resembled a "total spiderweb," forcing Johnston to radically downgrade its place in the PowerPointvia-e-mail response to their questions.

"I made it as small a part of the pre­ sentation as possible," he remembers ruefully.

Getting IT staff to better communicate Johnston not only uses football to break down the barriers with other business units, he uses its coaching methods as a template for his manage­ ment style.

"I am not easy on my staff, but I'm not mean to them," he says.

He is presently adopting a some­ what interventionist stance with his staff to make sure the levels of com­ munication meet his requirements.

For example, he's demanding that presentations be succinct, with no more than four bullet-points per slide and no more than five slides to illus­ trate concepts. In at least one case, he's had to demand that one 25-slide con­ cept explanation be slashed to onefifth the size and all paragraph-long explanations be removed.

Johnston is equally as reticent about acronyms. "I really struggle to put myself in the shoes of people lis­ tening to them...how would they be able to digest it".

Sanity check One of Johnston's favourite presentation preparation techniques is what he terms the "sanity-check". Before delivering a presentation or circulating a document, he'll bounce aspects of it off an individual who characterises the audience he's going to face. For example, before sending the network presentation out, he "sanity-checked" it with "the least IT-literate" regional manager to clear up any issues.

For a while, Johnston's wife, the regional vice-president of marketing for Disney company Buena Vista International, participated frequently in these sanity-checks. But she's now "too IT-literate" to serve as an effective check.

Ensuring his staff adopt the principles and specifics of the new communication strategies involves "a process of trial and error," Johnston says. "You loosen the leash [and] let them go and communicate. [But] you follow them up very quickly to make sure they didn't miss anything".

He is now less worried about the communication aspect of project management than ensuring that IT's "dominoes are in order when we are ready" to deliver new projects.

Corporate ethos Johnston says the management of the company, including chief executive Shelly Lazarus, and Miles Young, chairman and CEO of the Asia Pacific operation, are extremely anxious to see IT serve as a competitive tool.

"Our company needs to be on the bleeding edge." he says.

Johnston is more than prepared to rate Ogilvy f:r Mather against more traditional consultancies such as PricewaterhouseCoopers and Andersen Consulting. "Ogilvy f:r Mather employees are young people - they know the markets and are not distant from consumerism," he says. "If I were older and I was from a background of solid, methodical [work]," he says, PricewaterhouseCoopers or Andersen Consulting style work would be his bag.

However, that sort of mentality is "too slow for this company'". When client-server was thriving, Andersen Consulting was still recommending mainframes to its clients, he notes.

In his present role, Johnston inevitably works hard but does not drive himself to put in the berserk sorts of hours that can characterise such businesses, particularly in the intensely competitive Hong Kong market.

Johnstone makes sure he averages 1o-12 hours per day over the five-day week, as well as one half-day during the weekend. "If I worked more than 1o-12 hours a day, I'd go nuts," he says, although he hastens to add this is not the case during budget planning,

where, without an IT budgeting staffer, the burden falls on his shoulders.

Improving communication channels What has also kept him busy lately is the deployment of a standard 'dashboard' for employees. Rollout of the dashboard, including e-mail, a calendar, standard forms , network information and a list of who's who within the organisation, is three-quarters of the way through.

A fillip to Johnston is the fact the US is borrowing the concept for deployment within offices there. However, he does not claim authorship of the idea.

The local chairman and chief executive gave him the project and he developed, designed and started deploying it. Interestingly, the chairman and chief executive remains the sponsor of the project.

However, one initiative he is claiming authorship of is driving the availability of both financial and nonfinancial information to line management, which is being done through executive information suite tools.

Until that initiative, finance "held all the marbles" in terms of information which meant that financial issues were often not seen as enjoying any degree of ownership from the business, nor could some issues be responded to fast enough.

From time to time, Johnston also collaborates with Ogilvy f:r Mather's external Web development consultants. "I work with them, I lunch with them - they get excited to show me their Websites," he says with a smile.

Has he thought of joining their ranks?

"My skills lie in internal IT management," he replies. "I am much more of a people person than a Web developer".

For relevant links: misweb.com/website/asia/ 2000.nsj;october/O&M

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