Qatar Today November 2011 by Oryx Group of Magazines

november 2011

contents 40

c ove r s tory

50. Social Media Sets News Branding Rules

This month, Qatar Today invites experts to speak about Branding in the Times of Social Media. They look at converging traditional proven practices with social media innovations, speak of the danger of mismanaging digital presence, and warn brands against duplicating a successful initiative without personalisation. Find out, if the marriage of brands and social media is a fad or a long-term proposition.

50 44

40. One step ahead

In an exclusive interview to Qatar Today, Waleed Al-Sayed, new COO of Qtel Qatar, talks about the plans and innovations that Qtel will roll out in the next year.

44. Qatar Shell: Making the most of gas

Pearl GTL is a fully integrated project of humungous scale that captures the full value-chain from offshore development through onshore gas processing to refining of finished products. Andy Brown, Executive Vice President, Qatar Shell and Managing Director of Pearl GTL sits down with Sindhu Nair to explain more about this huge project.

74. America knocks for young Qataris

National Council for US-Arab Relations (NCUSAR) are focused on educating young Americans using practical methods. They are now promoting an initiative here which will encourage young Qatari patriots to experience their culture through internships and debating forums. NCUSAR, Vice President of NCUSAR, Amy Greenlee talks to Rory Coen about their initiatives.

published by oryx advertising co.wll, All rights reserved. qatar today is published monthly by oac, po box no. 3272, doha, qatar. subscription rate for qr. 240 per year. address for all subscription correspondence to qatar today, oryx advertising co.wll, po box 3272, al hilal area, doha, state of qatar. for single copies call us on + 974 44672139 or mail to qtoday@omsqatar.com. material in this publication must not be stored or reproduced in any form without permission. request for permission should be directed to qtoday@omsqatar.com. reprint requests should be directed to the info@msqatar.com. qatar today is registered trademark of oryx advertising co.wll

November 2011 volume 37 issue 11 www.omsqatar.com

contents

november 2011

76 83

94 59

80. GPS HOLDS ORIENTATION PROGRAMME

Around 30 schools attended the Orientation event for the Green Programme for Schools (GPS) that was held at the Msheireb Enrichment Centre.

94. The Smart Laughs Are the Hardest

For Iranian-American comedian Maz Jobrani, anything from his father-in-law’s accent to the lack of usefulness by men in the pregnancy process, is fair game.

76. Are you Gamified Yet?

‘Gamification’ is the new buzz word and predictably the future. It’s coming soon to your gym, your job, your government and even your doctor. In fact it has already arrived in the world of financial services, and is used by marketers to engage customers online.

80 36. Prolonged Unemployment risk to Young Arab's Wellbeing

Opportunities exist to foster entrepreneurship among those out of work for six months or more says this Silatech report on young Arabs.

91. Get set for the Arab Games Doha 2011

Come December and 8,000 athletes and officials from surrounding Arab nations will be in Qatar to be part of one of the most anticipated sporting events to take place in the Arab region.

regulars News Bites.................................................14 O & G O v e r v i e w. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0 Bank Notes................................................22 W o r l d V i e w. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 4 braking News..............................................83 Market Watch.............................................88 D o h a D i a r y. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9 5

V o lu m e 3 7

i ss u e 1 1

Publisher & Editor-in-Chief Chief Executive Executive Vice President Vice President

n o v e mb e r 2 0 1 1

Yousuf Jassem Al Darwish Sandeep Sehgal Alpana Roy Ravi Raman

Managing Editor Vani Saraswathi Deputy Editor Sindhu Nair Editorial Coordinator cassey oliveira CORRESPONDENTS RORY COEN EZDHAR IBRAHIM FASHION &LIFESTYLE CORRESPONDENT ORNA Ballout Art Director Venkat Reddy Asst art Director – Production Sujith Heenatigala Assistant Art Director Hanan Abu Saiam Senior Graphic Designers Ayush Indrajith Sampath Gunathilaka Graphic Designers maheshwar reddy Photographer R obert F Altamirano Managers –Marketing Mohammed Sami Zulfikar Jiffry S enior Media Consultant Chaturka Karandana Media Consultant HASSAN REKKAB Marketing Research & Amjeth Ali Support Executive Accountant Sr. Distribution Executive Distribution Support

Published by Oryx Advertising Co WLL, P.O. Box 3272; Doha-Qatar Tel: (+974) 44672139, 44550983, 44671173, 44667584 Fax: (+974) 44550982 Email: qtoday@omsqatar.com website: www.omsqatar.com Printed at: Gulf Publishing and Printing Co WLL Copyright © 2010 Oryx Advertising Co WLL

Qatar Today invites readers’ feedback Share your views on the magazine or any issue connected to Qatar. One lucky reader will win an exquisite Mont Blanc writing instrument.

Pratap Chandran Bikram Shrestha Arjun Timilsina Bhimal Rai

Write to: The Editor, Qatar Today, PO Box 3272, Doha. Fax: (+974) 44550982, email: qtoday@omsqatar.com Qatar Today reserves the right to edit and publish the correspondence. Views and opinions expressed in the published letters may not necessarily be the publication’s views and opinions.

november 2011

from the desk

is one thing to talk about keeping A finger on the pulse, and another to actually listen to the beat.

We donâ&#x20AC;&#x2122;t have to look too far back, too far beyond where we are now to learn the lessons, take the latest Arab Spring victory (and casualty) in Libya, for example. When people, especially leaders, fail to read the signs they lose the right to lead. This past month, we also lost one of the greatest innovators of our time, Steve Jobs. ClichĂŠd as it might sound, he was a man who dared to think outside the box, continuously. Boxes that held CPUs and boxes that held mobile phones and boxes that held music players â&#x20AC;&#x201C; he forced us all out of it too. Failing to read the signs and being stuck in a box are dangers that many companies and brands are facing now. This month, Qatar Today looks at the evolution of brand management and how, from CEOs to marketers, a change in mindset is a necessity for survival. Social networking has turned just about everything on its head. The way we interact with our friends, maintain relationships, listen to music, gather knowledge, find jobs and the way we build brand loyalty. In this context, what do brands have to do differently to stay ahead of the game? We threw this question to experts in the field and received some very interesting commentaries. We also look at local brands that are carving out a niche for themselves in this arena. Speaking of local brands, Qtel is probably one with a rather quick recall. We speak to their recently appointed COO, Waleed Al-Sayed, who shares with us details of the latest technologies being adopted by his company. This month, we start a regular column by Silatech. In the first of a series, they talk about the risks of prolonged unemployment amongst Arab youth. October flagged off a season of great activity in Qatar with the first Latin-American Cultural Festival in Katara and the third edition of the Doha Tribeca Film Festival, about which you will find more inside. This issue will be our third on the Apple app store, so have you got it on your iPad yet?

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letters feedback qtoday@omsqatar.com

Compromise on Credit cards I can understand the regulations that are being forced upon the banking sector in Qatar, but one would think the banks and sponsors could facilitate an agreement whereby a certain limit was placed on a customer’s credit card, at the very least. Many people only need a credit card for convenience’s sake and would repay their credit every month, so to deprive these people of such a facility is very archaic. There needs to be a compromise of sorts on this issue. Joe Jameson

Are HNWIs really so profligate?

I wonder how many HNWIs would be interested in investing in projects without any real chance of a return on their investment? It’s a little idyllic to think that a rich individual would throw his money at your project because it’s good for his country and its values. I’m not sure these people got to be they are today with such wantonness. Surely a worthwhile charity would be a smarter alternative?

Dimsy Rai

Poll result is based on messages received till 20th of every month

qt poll – november

Rain on tap

Who would have thought we’d ever be able to control rainfall? With the billions of dollars being spent on the World Cup in 2022 and similar pet projects, one would think that bringing such technology to this country would be a no-brainer. How many of the government’s problems could be solved with consistent and predicable rainfall? Surely huge investment in technology like this would repay itself back exponentially over time, not to mention the millions of lives which could be saved in less well-off areas than Qatar. Laila Al-Habashi

Now I understand!

The piece on Boeing last month answered a lot of the wonderings which were frustrating me every time I visited Doha Airport, and now it all makes simple sense. I always wondered – with so many flights coming in and out of Europe and the US – where all the Europeans and Americans were. They weren’t anywhere; they were simply frog-hopping on to another location. It will be very interesting to see how the rivalry between these airlines plays out over the next few years. Peter O’Grady

Have social media been effective in promoting brands in the country? SMS answers to +974 33072524 A lucky winner will win a NOKIa C5-03

Is IT TIME TO UNPEG THE RIYAL FROM THE DOLLAR?

30% 70% Yes

The winning number of the last QT poll is 30127485

Qatar Today invites readers’ feedback Share your views on the magazine or any issue connected to Qatar. One lucky reader will win an exquisite Mont Blanc writing instrument.

Check out all articles of Qatar Today on www.issuu.com/oryxmags/qatartoday

Write to: The Editor, Qatar Today, PO Box 3272, Doha. Fax: (+974) 44550982, email: qtoday@omsqatar.com

Qatar Today reserves the right to edit and publish the correspondence. Views and opinions expressed in the published letters may not necessarily be the publication’s views and opinions.

branding and social media 50

NEWS BITES

Investment opportunities in Infrastructure: PM

he Prime Minister and Foreign Minister, HE Sheikh Hamad bin Jassim bin Jabor Al-Thani, has called upon the local, regional and global-level private entrepreneurs to avail themselves of the growing investment opportunities in the development of the region’s transport infrastructure, particularly in the development of the GCC railway network in the next few years. Inaugurating the three-day GCC Transport and Railway Conference being held in Qatar for the first time, the Prime Minister said the development of such a vital sector as railways in the GCC states would contribute considerably to the region’s further economic development as a whole, and it would have an enormous social and economic impact on virtually all other sectors in the region. While seeking the co-operation of private entrepreneurs in the region’s infrastructure development, the Prime Minister has asked them to work in tandem with the governments to produce the best results out of such tie-ups. “While successfully implementing such mega-projects as railways,

HE Sheikh Hamad bin Jassim bin Jabor Al-Thani, addressing the attendees at the GCC Transport and Rail Conference last month.

private ventures could rise to the expectations of the whole of the region’s populace,” he said. The Qatar Rail Network, set to be completed by the end of 2020, will be a “world benchmark” in rail technology, according to the CEO of Deutsche Bahn, Rudiger Grube, who also participated in the event. He explained that the project, worth over 35 billion euros in total, is facing a number

of challenges in its early phases, but expressed confidence that it will be completed on schedule despite the tight time constraints. “We are heavily involved in the Qatar Rail Project, which should be established by the end of 2020, and therefore we are under real pressure to be on quality, on time and on cost, and we are committed to this,” he said.

Dryland alliance to be formed

he Qatar National Food Security Programme (QNFSP) has called for the establishment of a “global dryland alliance” (GDLA) at the 66th session of the United Nations General Assembly held recently in New York. Fahad al-Attiya, Chairman, QNFSP, spoke at a high-level meeting entitled “Addressing desertification, land degradation and drought in the context of sustainable development and poverty eradication,” which

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was hosted by the United Nations Convention to Combat Desertification (UNCCD). He noted that Qatar is proposing that a group of dryland countries at various stages of development join together in forming an alliance. The alliance would be a collaborative undertaking by dryland countries most severely affected by challenges to food security and committed to investing in new responses. New research and innovation supported by the alliance would be targeted

to the specific conditions of the members; the knowledge and best practices thus developed could then be shared more broadly with dryland countries around the world. The alliance members would be dryland countries with common challenges, and it would be open to partnerships with all countries and multilateral institutions. Al-Attiya urged that the international community must confront the urgent problems of desertification, land degradation and drought with a collective effort.

news bites

SMES can float IPOs, be listed on QE

ecks are finally cleared for small and medium enterprises (SMEs) to float initial public offerings (IPOs) to raise funds from the public and institutions and seek listing on a parallel market on the Qatari bourse (Qatar Exchange). The regulator of the bourse, the Qatar Financial Markets Authority (QFMA), said in a statement that it has finalised the draft of rules to regulate IPO flotation and listing of SMEs on a dedicated market on the QE. The draft of the rules has been prepared following a thorough study conducted by the Authority to assess the needs of these companies and to identify the means and mechanisms that can be used to help them

grow and develop through listing on capital markets. The draft rules are being presented for consultation with stakeholders and are expected to come into force soon after approval. The draft IPO and listing rules complete the various regulatory initiatives that the Authority is currently undertaking to support the objectives of the capital market in the state and increase its role in driving the cogs of economic development in Qatar, the QFMA statement said. The project is in line with the decision issued by the Supreme Council for Economic and Investment Affairs, and is regarded as a major step forward in achieving the goals of Qatar National Vision 2030.

Highlight 15 freed Palestinian prisoners in Doha Fifteen Palestinian prisoners freed by Israel within the framework of the prisoner exchange deal between the Palestinian Islamic Resistance Movement “Hamas” and the Israeli government arrived in Doha on October 19 on board a private Qatari plane. They were greeted at Doha International Airport by Deputy Premier and Minister of State for Cabinet Affairs HE Ahmed bin Abdullah Al-Mahmoud, the Advisory Council Speaker H E Mohammed bin Mubarak Al-Kholeifi and Palestinian Ambassador to Qatar Munir Ghannam. The prisoners who arrived in Doha were among 40 prisoners whom Israel ordered to be deported outside the Palestinian territories. In all, some 477 prisoners were set free by Israel, of whom 27 were women. Many of the prisoners went to Gaza and the West Bank. Under the deal, a further 550 will be liberated in the coming months, wire agencies reported. Some 5,000 Palestinians are held captive by Israel.

Innovative technology from GE Healthcare at QSTP

E Healthcare, a unit of General Electric Company, announced the US Food and Drug Administration clearance of an innovative technology to aid the physician in breast cancer diagnosis. GE estimates that by 2020, more than one million women worldwide will be examined using SenoBright, and this technology will help lead to more productive diagnosis paths for nearly

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250,000 women. The new SenoBright1 Contrast Enhanced Spectral Mammography (CESM) product development was carried out in collaboration between GE Healthcare and Qatar Science and Technology Park (QSTP). The goal of the joint research programme was to develop new and innovative technologies for aiding in the diagnosis of breast cancer using the latest developments in digital mammography.

QCRI partners with Wikimedia

atar Computing Research Institute, a member of QF, has begun a partnership with Wikimedia Foundation to reinvigorate the Arabic content on Wikipedia, the world’s largest free encyclopaedia, increasing the quantity and quality of contributions. This collaboration follows the first ever Arabic Wikipedia Conference, a two-day event organised by Qatar Computing Research Institute (QCRI) which brought together Arabic language Wikipedians (editors and contributors) and computing experts from QCRI, Qatar-based universities and businesses, as well as dozens of leading Arabic language experts from around the Middle East to discuss and identify ways to stimulate the growth of Arabic content on Wikipedia. Dr Ahmed Elmagarmid, Executive Director of QCRI, opened the press conference announcing the landmark partnership and details behind the collaboration with Wikimedia Foundation. As of July 2011, the Arabic Wikipedia comprised 150,000 articles, created and managed by 552 active editors. By comparison, Portuguese, a language spoken by 290 million people has 693,000 articles and 1,694 active editors. In year one of the collaboration, the goal is to add 50,000 articles to Arabic Wikipedia – comprising of both translations of existing contributions and original articles and 1000 editors. By year three, the goal is to grow Arabic Wikipedia to 500,000 articles.

news bites

addiction Centre to open soon

Leaders Talk

arnegie Mellon University in Qatar kicked off its “Making the Connection” lecture series with a talk by Dr Nasser Marafih, CEO of Qtel Group. The programme brings to campus a diverse range of industry leaders to speak with students about their organisations and their careers, and to share their insights into business. The series is part of a broader Connections programme organised by Carnegie Mellon University’s Office of Professional Development that aims to build partnerships between the university and businesses. Through these partnerships, students develop a deeper knowledge of industries and gain practical experience through internships, while businesses benefit from the fresh ideas of potential future employees.

Dr Nasser Marafih, CEO of Qtel Group

sap tuned in FOR BUSINESS analytics

ill McDermott, Co-CEO and executive board member of SAP, delivered a keynote speech on IT-driven innovation at the SAP World Tour 2011. Hassan Al-Sayed, Assistant-Secretary General, Government Information Management Office, ictQatar, also spoke at the event. Entitled ‘Business in the Moment’, McDermott’s address shared insights on top IT trends – including mobility, cloud computing and analytics – that will drive long-term growth in the years to come, as well as the importance of analysing massive amounts of data in real time to enable companies to move faster and have more choices than ever before. The SAP World Tour 2011 road show is an integral part of McDermott’s visit to the region. The event is a nuanced, multilevel

Bill McDermott, Co-CEO of SAP, giving his keynote speech

initiative designed to enable dialogue with influencers and customers along with mebers of the ecosystem interested in

specialised temporary addiction clinic is set to open here in the next few months as part of Qatar’s public health care programmes, according to an expert. This was announced at the Fourth Annual Middle East Healthcare Expansion Summit. The two-day event offered an effective platform for sharing health care experiences and networking opportunities with the key decision-makers within the healthcare industry. “Work on an Addiction Centre is progressing and it will be operational in a few months from now. We have started recruiting bilingual experts for the project,” said Dr Sheikh Mohamed bin Hamad Al-Thani, Director of Department of Public Health, Supreme Council of Health (SCH). “Initially we will be opening a temporary facility in the Al Rayyan area, as the design of the permanent facility is near completion. The new facility will be bigger and can cater for some 200 addiction cases. At present, Qatar does not need that much capacity in an addiction centre, but this is designed taking future needs into consideration. The centre will have one of the highest level best practices in addiction,” he pledged. partnering with SAP. Through interactive formats, including industry- and productspecific breakout sessions, participants were able to learn how the SAP solution portfolio can deliver customer value, consistently executing on strategy and growing profitably and sustainably.

Three Qatari Companies in Global 500

atari companies continue to rise rapidly in the most valuable global company rankings, according to a QNB Capital analysis of the Financial Times (FT) Global 500. The FT compiles an annual and a quarterly list of the top 500 companies in the world by market capitalisation, wherein the larger the stock

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market valuation of a company, the higher its ranking. The most valuable MENA company on the Global 500 list is Saudi Basic Industries Corporation (SABIC), with a market capitalisation of $73.2 billion, followed by Al Rajhi Bank and QNB. Three Qatari companies (QNB, Indus-

tries Qatar and Ezdan) feature in the latest FT global 500 listing, as of September 30, 2011, out of a total of seven MENA companies. Only Ezdan featured in the Global 500 list a year ago. Three Saudi companies (SABIC, Al Rajhi Bank and Saudi Telecom) and one UAE company (Emirates Telecom) are the other MENA entries on the list.

PEARL GTL: MAKING THE MOST OF GAS

O & G overview

Rasgas to deliver gas to Kogas

asGas Company Ltd (RasGas) will deliver approximately 8.3 million tonnes of liquefied natural gas (LNG) to Korea Gas Corporation (KOGAS), nearly a quarter of the total anticipated demand in South Korea this year, according to E Dr Mohammed bin Saleh AlSada, Minister of Energy and Industry and Chairman of Qatar Petroleum and RasGas. “RasGas is the largest single supplier of LNG to South Korea, delivering over seven

Rasgas to supply

8.3 MILLION TONNES of LNG which is 1/4 of the total demand in South Korea this year

million tonnes of LNG per year on a longterm basis. In addition to our current long-term commitments, RasGas has delivered over one million tonnes per year of incremental spot cargoes for the past several years,” said Al-Sada, in his opening remarks during the first anniversary celebration of the RasGas Korea Liaison Office in Seoul recently. The minister reiterated that Qatar’s excellent relationship with Korea extends well beyond the sale and purchase of LNG

to include petrochemicals, construction, ship-building and other industries. “RasGas made its first sale of LNG to KOGAS, which is the largest single buyer of LNG in the world. We produce around 37 million tonnes of LNG per annum, one of the largest in the world. “We are very proud of RasGas’ achievements and its great relations with KOGAS, and look forward to further growing this relationship with the agreement for additional long-term supply,” Al-Sada said.

Tankers to run on gas?

atar is planning to overhaul 45 of its largest tankers from 2012 to 2015 to run on natural gas, after a decision to run them on petroleum fuel backfired when oil prices rose, Reuters has reported, citing industry sources.

Year-long consultations on the QR3.64 billion ($1 billion) upgrade, involving shipowners, shareholders and engine manufacturers, were prompted by an unexpected fall in natural gas prices versus oil in recent years, people present at the ongoing discussions said.

LPG production increases

inister of Energy and Industry HE Dr Mohammed bin Saleh Al-Sada has said that total LPG production in Qatar is expected to reach nearly 12 million tonnes by 2015. It is expected to reach 10 million tonnes this year after it touched 8 million tonnes last year. The minister was addressing the opening session of the 24th World LP Gas Forum. “LPG production in Qatar began in 1974 with the start-up of the first processing plant that produced LPG from associated gas from the onshore Dukhan oilfield. In the early 80’s, additional facilities were commissioned for LPG recovery from offshore fields, and LPG production from Qatar has been on the rise ever since,” he said. “In addition, the majority of LPG supplies in the Middle East are produced from natural gas, and the commissioning of several new supply projects in the region will substantially increase the amount of LPG that is available to international markets. Rising demand and production are driving forces for increased utilisation and expansion of existing LPG facilities, including terminals, as well as the construction of new ones,” the Minister added.

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Future demand for LPG in the residential and commercial sector is growing rapidly, particularly in emerging economies such as India and China, underpinned by strong population growth, improved living standards and sustained high economic growth. In addition, the petrochemical industry is increasing the need for LPG as feedstock, he elaborated.

ARE YOU GAMIFIED YET ? 76

bank notes

Banks post positive results QIB:

Qatar Islamic Bank (QIB) has announced net profits of QR1.11 billion in the first nine months of this year, up 22.5% over the same period in 2010. The core business of the bank has grown strongly, leading to an 18% increase in operating income, which reached QR2.04 billion in the third quarter of 2011 compared to QR1.73 billion in the corresponding period of last year. The bank’s total equity reached QR10.9 billion by the end of the third quarter of 2011, an increase of 25% against the same period of 2010. Quarter on Quarter (QoQ) net profit was QR407.2 million, up by 33.6% compared to QR304.9 million in the equivalent period last year. The jump in net profit was the result of growth in investment income, which amounted to QR500 million in the third quarter compared to QR57 million for the corresponding period last year.

QIIB: International Islamic (QIIB) has posted a net profit of QR504 million in the third quarter of this year, up 20% on the same period last year. The bank’s total assets stood at QR22.2 billion in Q3: a 22% jump compared with QR18.2 billion in 2010. QIIB Chief Executive Officer Abdulbasit A Al-Shaibei said the Q3 results ‘reflected the continued growth’ of the bank and reflects Qatar’s economic growth. The economy is the best performing in the region.

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Investors to be cautious

he Global View investment outlook for the fourth quarter of 2011 published by Bank Sarasin sees the global economy on the brink of recession. The European debt crisis and fears of a recession in the USA will keep investors’ risk aversion at a high level in the coming months. Either economic policymakers introduce bold measures now, or recession can no longer be averted. The European Central Bank (ECB) as well as the US Federal Reserve (Fed) will be forced to counter the

cooling economy with even more relaxed monetary policies. A third round of quantitative easing (QE3) by the Fed looks very probable and the ECB will have to continue its purchases of Spanish and Italian government bonds. Due to the high macro risks, investors are generally advised to exercise caution. Defensive stocks from the consumer staples and healthcare sectors still have potential, as does gold. Due to the current slowdown in growth, investors would do well to wait patiently for a trend reversal, says Bank Sarasin's Global View.

MENA centre for asset management

he 5th Annual MENA Investment Management Forum discussed fund management in Qatar and the region. The Forum, sponsored by QFCA, was officially opened by HE Yousef Hussain Kamal, the Minister of Economy and Finance, who said that Qatar has developed its natural resources well and was now engaged in developing its human resources. Qatar’s vision of becoming a knowledge-based economy was in line with HH the Emir’s Qatar National Vision 2030, he said, and the QFC was part of the government’s policy of diversification. Asset management was an example of that diversification and the development of a knowledge-based economy, he added. During discussions at the conference three main trends emerged: the increasing importance in the world economy of emerging markets and their attractiveness to investors; the rise of MENA as a pool of wealth and centre for asset management; and the growing interest in, and sophistication of, Shari’a investments. Overall, the Gulf region’s huge and growing pool of wealth was a great opportunity for fund managers in the region. There was general agreement that the region's investors were becoming more sophisticated and interested in a larger range of wealth management products and services, although opinions varied on how fast investors’ preferences would change. Some delegates called for unifying the rules governing asset management in the region to boost the industry.

BA N K N OTES

Inflation – how does it affect my money? Throughout the developed world, inflation remains worryingly high. Across Europe, prices are rising despite economic data suggesting the region is entering a phase of slowing growth. Rampant inflation is also affecting emerging market economies.

Inflation

is a concern for us all. At a microeconomic level, if prices are rising and wages are not, the ‘real’ value of our money holdings falls and goods become relatively more expensive. Given that inflation is so fundamental to our spending, a natural question to ask is what causes it. In essence, inflation is stoked in two ways. The first results from rising aggregate demand due to higher household consumption and/or government spending. This type of inflation is considered constructive and is associated with favourable conditions that stimulate investment and, ultimately, economic expansion. Economists often refer to this as “demandpull” inflation. Conversely, inflation may result from a negative shock, perhaps a significant rise in oil prices or a natural disaster. Such ‘costpush’ inflation is not benign, however, with potentially negative economic ramifications. Recent inflation has, perhaps, more to do with the latter than the former. Although they have fallen sharply of late after the announcement of Operation Twist in the US, oil prices have been relatively high, particularly amid uncertainty earlier in the year across the Middle East and North Africa, an area that accounts for approximately one-third of the world’s oil output. Countries with a high demand for oil have been affected. China’s appetite for oil has been one of the factors in its soaring inflation. Persistently rising price levels may compel monetary authorities to raise interest rates to quell inflationary pressures,

as has happened in China. However, should inflation co-exist with lacklustre economic growth, as in Europe, any tightening of monetary policy could stifle a recovery. As such, with the health of whole economies at stake, central banks walk a tightrope when dealing with inflationary issues. For investors, the situation is thankfully less demanding. Instead, the major consideration is how inflation affects the choice of assets held. In terms of equities, certain sectors will be more sensitive to inflation and are likely to perform better than others amid rising prices. When inflation decelerates, the opposite is true. Inflation-sensitive sectors are usually earnings-driven and include basic industries, steel and chemicals. Mines and energy, which do well when commodities prices are rising, are also inflation-sensitive. In contrast, some sectors are deflation-sensitive, notably preferreds and utilities. Bonds are, on the whole, also part of the deflation-sensitive universe. The distinction between inflation- and deflation-sensitive assets means that investors are likely to take into account the business cycle and the associated inflationary situation when making their allocation decisions. Clearly, the shadow of inflation is long and spreads across many aspects of our lives. For investors, one way to counter its effect is to invest in a broad portfolio that includes a degree of inflation hedging. Inflation-linked bonds and other inflation-sensitive asset classes and sectors should help insulate investment returns from the eroding effects of inflation. For governments, however, the solution is not so simple; we will simply have to wait and see whether recent policies help tackle today’s inflationary problems successfully

feedback qtoday@omsqatar.com

By Javed Hassan Akhtar Senior Sales Manager Wealth Management, HSBC

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BA N K N OTES

Is there light at the end of the tunnel?

A perspective on GCC Equity Markets Although the issues faced by global economies and investors in the third quarter were not new they were nevertheless sufficient to create a stock market crash reminiscent of the darkest days of 2008.

The

22.5% decline in global emerging markets came close to matching the worst quarter of the 2008 crash. By these low standards, one can look at the performance of the Gulf markets with a degree of satisfaction. The 5.8% decline in the Bloomberg GCC 200 Index was disappointing in absolute terms, but its performance relative to other risky assets was impressive, especially as it was accompanied by an 11% decline in the oil price. The resilience of Qatar was particularly notable, rising by (an albeit modest) 0.4%. On further analysis, however, perhaps it is not so surprising. After all, the GCC is the only region in the world whose economy is not only expected to grow more quickly this year than last but where forecasts have risen not fallen during the course of the year. By way of contrast, the IMF has lowered its forecast for the US by 2.5%.

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The financial debacle in the US which took the country to the brink of default highlighted the long-term rebuilding exercise needed to tackle the government debt problem. The same applies to Europe, where no country is able to use fiscal policy to kickstart its economy and monetary options are also sadly limited. Years of sub-par growth for the developed world look inevitable. Thatâ&#x20AC;&#x2122;s what makes the GCC story so compelling: low debt, large budget surpluses and a commitment at the highest level to diversify economies away from an over-reliance on oil and gas will ensure years of strong economic growth. Qatar, for example, recently announced a hike in public sector salaries, pensions and allowances ranging from 60% for public employees to between 50% and 120% for military personnel. Measures such as these are being introduced throughout the GCC, boosting corporate profitability. As a result, valuations have

BANK NOTES

Source : Bloomberg GCC 200 Index

become attractive – in absolute terms, by historical standards market indices, few global investors have felt the need to commit themselves to the region; they may invest, but the money is and relative to earnings growth. Although the GCC equity market has outperformed recently it withdrawn at the first sign of trouble. Inclusion in the major indices would is still not reflecting the region’s potendraw long-term money to the region. tial. Trading volumes are low as internaIn this respect, we look forward to MStional investors stay on the sidelines and CI’s decision in November to accept (or local investors prefer to wait for some not) the UAE and Qatar into the MSCI positive momentum before investing. Emerging Markets Index. As it stands The absence of international investoday, we are hopeful that both will be tors is important. Although the equity accepted, though low foreign ownership market has been broadly flat over the QATAR is one of the limits represent hurdles that must be past two years (-7%), we have seen seven overcome. sharp moves (up and down) averaging most interesting economies Success for Qatar would be especially 16% (or 73% annualised!). Each period in the world and as such its positive; it is one of the most interestof rising markets was associated with stock market could expect to ing economies in the world and as such international investors buying (average its stock market could expect to receive $766 million) while every time markets receive significant inflows. significant inflows. fell international investors were selling For the UAE, its admission would (average $390 million). serve to highlight the strengths of the An exception to this was in Qatar, whole region, encouraging investors where international investors were net to increase exposure regardless of the sellers of Qatari shares in July, August overall lack of representation. and September yet the market was flat, The more international investors are suggesting strong support from local exposed to the secular growth story in the GCC the more they investors. will learn to appreciate its qualities. Their return will drive equity markets higher and encourage local investors to particiMSCI Emerging Markets Index Given the poor long-term performance of the GCC equity pate. The prospect of a virtuous circle in 2012 gives us cause for markets and its lack of representation in the main emerging optimism

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By Paul Cooper Managing Director, Sarasin-Alpen & Partners, Dubai

november 2011

Qatar Today 29

QTEL: ONE STEP AHEAD 40

realty check

Firms honoured

t the Construction Week Qatar Awards 2011, held recently at Four Seasons Hotel, AlJaber Engineering’s Managing Director, Osama Hadid was recognised as the Construction Executive of the Year while United Development Company (UDC) was named Developer of the Year and its flagship project The Pearl-Qatar (TPQ), the Residential Project of Year. Held annually under the auspices of the region’s foremost construction publication, Construction Week, the awards recognise and reward individual excellence, corporate prowess and project success. This year’s awards were the inaugural Qatar edition and had a total of 17 awards handed out across a range of individual, company and project categories. Speaking of the award, Hadid

commented, “It’s obviously a great honour to receive such a prestigious award at the Construction Week Awards. Great things are being achieved at AlJaber Engineering and it’s remarkable that this has been recognised.” Meanwhile, TPQ’s Technical Director, Jerry Jackson said the awards were recognition of UDC’s and its project’s commitment to excellence and to creating world class residential and leisure developments. “This has been a great year for us, as the project is developing at great speed and it has established itself as a premium destination for residential living as well as leisure activities. This project has been realised as a result of the vision of HH the Emir Sheikh Hamad bin Khalifa Al-Thani,” he said. UDC is among Qatar’s leading public shareholding companies listed on the Qatar Stock Exchange.

Doha Festival City construction begins

awabat Al-Shamal Real Estate Company has announced the commencement of construction for a retail and entertainment destination, Doha Festival City. Al-Futtaim Group, Qatar Islamic Bank and other investors have formed a joint venture for this iconic project, located on Al Shamal Road, that will connect Doha with Bahrain via the “Friendship Cause-

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way”. With its strategic positioning, the super-regional complex is ideally equipped to meet the retail and entertainment needs of not only Qatar but also neighbouring GCC countries. IKEA, part of the Al-Futtaim Group, will be developed under the first phase of construction, and the 32,000 sqmT store is due for completion in Q4 2012. The remaining elements of Doha Festival City are due for delivery in Q4 2014.

highlight Msheireb Downtown DOHA showcases at EXPO REAL exhibition Msheireb Properties showcased its flagship Msheireb Downtown Doha project for the second time at the Expo Real exhibition held in Munich, impressing thousands of visitors with its architectural vision for the future and its commitment to heritage and sustainability. Expo Real is Europe’s premier real estate exhibition, with architects, developers and real estate professionals from around the world attending in large numbers. Msheireb Properties’ stand, inspired by the company’s Msheireb Enrichment Centre, showcased artefacts, images, interactive displays and traditional elements outlining Qatar’s past and present as well as plans for the future. The stand also featured a traditional Qatari majlis, as well as the largest scale model of the project on display at the exhibition. “We were delighted to share the project with the world, encouraging the industry to make an intellectual shift in this direction to develop a modern district sensitive to the environment, culture and heritage of the region. We are very encouraged with the feedback and interest shown by visitors in our project,” said Eng. Issa M AlMohannadi, CEO of Msheireb Properties. “Our aim is to set the benchmark for sustainable, transformational and culturally sensitive development, and Expo Real was the perfect platform to prove, once again, how committed Qatar is to building a better future for all.” The QR20 billion (($5.5 BILLION) project will transform the city centre into the vibrant, cohesive and culturally alive neighbourhood it once was and will feature commercial and residential properties, retail, cultural and entertainment areas.

GET SET FOR ARAB GAMES 2011

arab snippets

Economic cost of Arab Spring Region lost more than $55 billion

eopolicity, the political risk consultancy, has said that Arab countries that were hit by revolutions or the “Arab Spring”, mainly Libya, Syria, Egypt, Tunisia, Bahrain and Yemen, lost more than $55 billion. The firm, in its statistical analysis of International Monetary Fund (IMF) data, added that these countries lost $20.6 billion of their gross domestic product (GDP) and public finances, while another $35.5 billion were cut since revenues dropped and costs grew. It also said that Libya was the most affected country amongst these nations, where economic activity across the country stopped at an estimated $7.7 billion of GDP, recording more than 28%. It is worth noting that due to higher oil prices and an increase in output, major oil producers, including the UAE, Saudi Arabia and Kuwait, managed to avoid major unrest and their GDP grew notably.

FDI dips by over 16% The Inter-Arab Investment Guarantee Corporation (IAIGC) said that foreign direct investment (FDI) into the Arab region in 2011 could fall 16.7% to $55 billion from the $66.2 billion recorded last year. The IAIGC added that the decline

year ago, whereas it could plunge to $500 million from around $3.8 billion in Libya, and it might go down to $100 million in Bahrain from $156 million. FDI flow into the Arab region started to drop following the global financial crisis in 2008. UAE

Trade with Arab countries drops by 32%

would result from the political upheaval that swept the region along with global economic conditions, mainly Europe’s debt crisis and the slowdown in US economic growth. It also said that FDI in Arab countries that were hit by political turmoil would fall the most. In Egypt it could drop to around $500 million from $6.38 billion a

The UAE’s trade with other Arab nations dropped by 32% to $ 353 million in the first quarter of this year from 2010 Q4, according to the Ministry of Foreign Trade. The ministry added that the country’s total exports to the Arab region accounted for 8% of total export-volume, while re-exports accounted for 13%. Trade with Libya fell $253.7 million, Tunisia by $33 million, Yemen by $27.7 million, Egypt by $22.5 million and Syria by $5 million. It is worth noting that UAE trade with emerging markets expanded which compensated for the retreat in trade with Arab markets. The country’s trade grew to over 202 markets with the main focus being on Asia, where exports represented 47% of UAE’s total trade, imports 58% and reexports accounted for 48%.

SAUDI ARABIA

PRIVATE COMPANIES MUST EMPLOY LOCALS

he Saudi Ministry of Labour has said that as part of the government’s nationalisation plan, small private firms in the Kingdom should employ at least one Saudi if they have fewer than nine employees.

32 Qatar Today

NOVEMBER 2 0 1 1

The ministry added that companies which didn’t abide by the new law wouldn’t be able to hire foreign workers. It also said that as a result of the nationalisation programme, which was launched in 2011, more than 400,000 jobs would be created for Saudi nationals

every year, adding that companies conforming to the new rule would be rewarded, whereas those failing to respond would be punished and deprived of new visas and licences. The new law will not affect the existing workforce in any company.

ARA B S N IPPET S

a r a b sn i p p e t s

a file shot of the deceased Libyan LEADER

Muammar Gaddafi

afp

SAUDI CROWN PRINCE dead

Iranian Foreign Minister Ali-Akbar Salehi (CR) attends the funeral of the late Saudi Crown Prince Sultan bin Abdel Aziz(pictured right) at Imam Turki bin Abdullah mosque, on October 25, 2011 in Riyadh. World leaders poured into Riyadh to offer condolences on the death of Saudi Crown Prince, who passed away in the United States where he had been since mid-June for medical treatment.

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ibya's new authorities announced an investigation into the death of Muammer Gaddafi soon after his death. This followed international pressure to explain how he was killed, when film footage had shown him alive at the time he was captured. There has been suspicion that he was shot by his captors, but the new authorities say he died during a gun battle with Gaddafi loyalists. The acting Libyan leader, Mustafa Abdul Jalil, said Gaddafi's opponents would prefer to have seen him stand trial and then suffer in prison. Gaddafi supporters, he continued, had the most to gain from his speedy death. “Those who wanted him killed were those who were loyal to him or had played a role under him. His death was in their benefit.” An NTC official told Reuters: “He will be buried in a simple burial with sheikhs attending. It will be an unknown location in the open desert”, adding that the decomposition of the body had reached the point where the "corpse cannot last any longer.” The killing of Gaddafi in his hometown of Sirte ended eight months of warfare, finally ending the anxious two-month hiatus since the rebel forces overran the nation’s capital, Tripoli.

afp

Gaddafi's death under investigation

world view AFP PHOTO/ANDREA BELLEMARE

Greed Check

AFP PHOTO / LOUISA GOULIAMAKI

CANADA, Toronto : Protesters march down Yonge Street during the third day of the "Occupy" movement on October 17, 2011 in Toronto, Ontario. Groups joined a worldwide movement of street demonstrations against corporate greed and biting cutbacks in a rolling action targeting 950 cities in 82 countries. Inspired by “Occupy Wall Street” in the US and Spain’s “Indignants”, people took to the streets to voice an unprecedented global outcry on the world economy.

Anti-Austerity GREECE, Athens : Anti-riot police clash with demonstrators during a protest rally marking the 24-hour general strike on October 5, 2011. More than 30,000 public sector workers demonstrated in Greece in a strike against deeper austerity cuts that shut down courts, schools and transport, including air traffic.

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world view Myanmar, hope at last? AFP PHOTO / Kevin CASEY

MYANMAR, YANGON: A disabled female Myanmar prisoner is helped by security officers out of the Insein central prison in Yangon on October 12, 2011. Myanmar started to free dozens of prisoners on October 12 including political detainees, among THEM a comedian who is one of its most famous dissidents, in a further sign of change in the authoritarian state after decades of repression. The release of roughly 2,000 political detainees including pro-democracy campaigners, journalists, monks and lawyers has long been a key demand of Western powers that have imposed sanctions on the country also known as Burma.

Free, finally

AFP PHOTO/ RAFA RIVAS

AFP PHOTO/Soe Than WIN

UNITED STATES, Seattle : us student Amanda Knox (l) is comforted by her sister, Deanna, during a news conference shortly after her arrival at SeattleTacoma International Airport October 4, 2011. Knox arrived home a day after she was acquitted of murder and sexual assault charges and freed from jail in Italy after a four-year ordeal.

Basque in focus SPAIN, San Sebastian : Representative of ETA victims association covite, Consuelo Ordonez (R) gives a book on the history of terrorism in the Basque Country to a member of the pro-dialogue Basque group Lokarri during a conference to promote a resolution in the Basque Country, called by Lokarri, on October 17, 2011, in the northern Spanish Basque city of San Sebastian. International negotiators including former Irish premier Bertie Ahern called on armed Basque group ETA to declare a definitive end to violence.

november 2011

Qatar Today 37

view point

Prolonged Unemployment risk to Young Arabs’ Wellbeing Opportunities exist to foster entrepreneurship among those out of work for six months or more . One-third of young Arabs in the Middle East and North Africa region are underemployed, and one-quarter of young people say now is a good time to find a job. This lack of full-time employment negatively affects young Arabs’ wellbeing. And when facing prolonged unemployment, young Arabs say they would consider solutions such as starting their own businesses, taking jobs beneath their skill levels, and even leaving their cities or countries.

the MENA region, a rapidly growing labour force is giving rise to high levels of unemployment. The region’s economy has been unable to provide work for the growing number of potential employees, resulting in about one-quarter of the workforce being underemployed – either unemployed or wanting to move from part-time to full-time work. Underemployment is even higher, at 34%, among young Arabs aged 15 to 29. The region must add 80 million new jobs by 2020 to absorb these new entrants into the labour market, according to a 2007 World Bank report titled Economic Developments & Prospects: Job Creation in an Era of High Growth. Young Arabs are not confident of the region’s ability to produce job opportunities. One-quarter of young Arabs say now is a good

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time to find a job in the city or area where they live. But levels of optimism range widely among young people in the 21 countries Gallup studies in the MENA region. According to recent data used to create the Silatech Index: Voices of Young Arabs April 2011 report, young Arabs in Gulf States such as Kuwait (66%), Qatar (63%), and Bahrain (59%) are most likely to say now is a good time to find a job in their respective countries. Conversely, young people in politically unstable or conflict-stricken Arab states such as Egypt (16%), the Palestinian Territories (14%), Iraq (14%), and Yemen (12%) are the least optimistic about finding a job in the current environment. At stake, aside from potential workers with few or no job opportunities, is the wellbeing of a generation of young Arabs. Extant research indicates that unemployment has a negative effect on young Arabs’ life satisfaction and wellbeing. Those who work

vie w point

25%

YOUNG ARAB NATIONALS: PERCENTAGE THRIVING BY EMPLOYMENT

YOUNG ARAB NATIONALS: ALTERNATE CHOICES FOR EARNING LIVELIHOOD

Percentage Thriving

Percentage yes

19%

Relocate to another country

47%

Relocate to another city

48% 55%

Perform home-‐based work

14% 9%

57%

Take a job beneath skills/training

61%

Re-‐train in a different career

0% Employed full time

Employed part time, want to work full time

Unemployed

66%

Start own business 0%

full-time for an employer are twice as likely as the unemployed to rate their lives well enough to be considered “thriving”. The current employment situation in the MENA region denies many young Arabs the benefits of full-time employment. It is not surprising, then, that prolonged unemployment in the region causes young people to consider alternatives when it comes to earning a livelihood. Gallup asked respondents in the MENA region whether they would be willing to take each of six different actions if unemployed and looking for work for six months or more. Two-thirds of young Arabs (66%) say they would start their own business if faced with prolonged unemployment. Slightly more than one-half (55%) say they would be willing to take up home-based work. Similar percentages of young Arabs say they would be willing to re-train in a different career (61%) or take a job beneath their academic credentials, skills or training (57%). Young Arabs in low-income* countries are the most likely to say they would engage in many of these alternative actions. Specifically, they are more likely than those in medium-income countries to say they would take a job beneath their skills if unemployed for six months or longer. And those in low-income countries are more likely than their high-income counterparts to say they would re-train for a different career under these circumstances. Young Arabs in low-income countries are also more likely than their peers in medium- and high-income countries to say they would perform home-based work. Additionally, young Arabs in medium-income countries, like their counterparts in low-income

18%

35%

53%

70%

countries, are more likely than those in high-income countries to say they would start their own business if facing prolonged unemployment. The risk of brain drain is serious if policymakers and business leaders cannot develop new career opportunities and improve skill-building and training programmes for the region’s young people, especially in lower-income countries. When asked if they would relocate to another country if unemployed for six months or longer, a slight majority of young Arabs from low-income countries say yes, making them more likely to do so than others from medium- and high-income countries. And even if they stay in their current country, young people in low-income countries are more likely than those in medium-income countries to say they would relocate to another city. Young Arabs express differences in what prolonged unemployment would mean for them based on their education levels. Those with a primary education or less are more likely than those with more education to say they would take a job beneath their skills and perform home-based work. Young Arabs who have completed four years of education beyond high school or who have received a four-year college degree are more likely than those with a primary education or less to say they would relocate to another city within their home country if unemployed six months or longer. These data, in concert with the lower likelihood of unemployed young Arabs to say they are “thriving”, suggest prolonged unemployment could have a negative effect on the wellbeing of young people across the MENA region

Survey Methods Results are based on face-to-face interviews with roughly 16,000 young Arab nationals, aged 15 to 29, conducted in the spring and fall of 2010. Surveys were conducted in 21 Arab League member states: Algeria, Bahrain, Comoros, Djibouti, Egypt, Iraq Jordan, Kuwait, Lebanon, Libya, Mauritania, Morocco, Palestinian Territories, Qatar, Saudi Arabia, Somaliland Region, Sudan, Syria, Tunisia, United Arab Emirates (UAE) and Yemen. The countries in the high-income category are Saudi Arabia, Qatar, UAE, Bahrain and Kuwait. The middle-income countries consist of Algeria, Egypt, Jordan, Libya, Lebanon, Morocco, Syria, Iraq and Tunisia. The low-income countries are Comoros, Djibouti, Mauritania, Yemen, Sudan, the Palestinian Territories and the Somaliland region. Gallup grouped countries into categories according to the International Monetary Fund’s (IMF) 2010 estimates of GDP per capita (in U.S. dollars). Countries fall into one of three income categories: high income (GDP per capita of at least $23,000), middle income (GDP per capita ranges from $2,600 to less than $23,000), and low income (GDP per capita of less than $2,600). The purpose of this analysis is to explore the impact of prolonged unemployment on young people in the Middle East and North Africa (MENA) region. This article examines how prolonged unemployment affects the wellbeing of the region’s young people and what alternatives they have for earning a livelihood.

Visit

www. SILATECH.com TWITTER.COM/SILATECH TWEETS

by Sangeeta Badal and Bryant Ott This Silatech Index analysis is conducted by Gallup scientists and researchers pursuant to the Silatech-Gallup partnership. In addition to systematically measuring the perceptions of young people across the region on the challenges related to employment and entrepreneurship, Gallup analysts lead the effort in disseminating the findings of the Silatech Index to regional and global leaders and institutions engaged in addressing the challenges surrounding young people and employment in the region

november 2011

Qatar Today 39

view point

A Balanced Diet food demand is on the rise in the country, and with rising demand come escalating prices.

the late 1970s, Prince Mohammed Al-Faisal of Saudi Arabia had a novel plan to solve his arid country’s water woes: icebergs. The prince, then head of the Kingdom’s desalination programme, was convinced that his country should start commissioning boats to tug polar icebergs (some as large as Belgium) to the Kingdom’s shores. With this water, the government would be able to boost the country’s agricultural industry. Although these iceberg plans never materialised, the Kingdom proceeded to find water elsewhere – in its aquifers. The water was enough to develop large-scale agriculture and in particular wheat production. By the 1990s, the country was actually a net exporter of wheat. Desert agriculture is not cheap, however. Farms require increasingly large amounts of non-renewable water resources. Saudi officials now recognise that the environmental and economic costs are simply too high for sustainable large-scale agriculture, and in 2008 they announced they would phase out the programme. “The reason is water resources,” an official wishing to remain anonymous told Reuters. Qatar, like its neighbour, has neither plentiful water reserves nor many areas suitable for crop cultivation. The World Bank estimates that about 1% of the country’s land is arable. As a result, the country relies on imports for the vast majority of its food needs. Qatar’s population has more than doubled in the past ten years, according to the Qatar Statistics Authority. With an increasing number of mouths to feed, food demand is on the rise. Between 2011 and 2015, Qatar’s overall food consumption is set to grow at a rate of 6.3%, according to a report published by Alpen Capital. With scarcely any domestic production, the State has little control over the price of food, which has steadily risen over the past decade. August 2011 prices, for example, were 26% higher than those of August 2010, according to the UN Food and Agriculture Organisation (FAO). FAO, although “cautiously optimistic” that prices will come down from 2010-11 levels, predicts higher prices in the long term: “The Outlook maintains its view in recent editions that agricultural commodity prices in real terms are likely to remain on a higher plateau during the next decade compared to the previous decade,” it said in the OECD-FAO Agricultural Outlook 2011-2020. Higher food prices are only the beginning of the challenge.

QNFSP estimates 75% of the food costs in Qatar are the result of non-food components, including packaging, marketing and transportation. Import prices are especially sensitive to these and other external factors. Last spring in Australia, one of the State’s largest meat suppliers, a combination of flooding and a strong Australian dollar raised prices and restricted supply. Although Qatar was able to find alternative sources, Doha hopes to invest in domestic food production to reduce its exposure to external factors. Still, the security of home-grown food can come at a high economic and environmental price, as the Saudi wheat programme demonstrated. Another option might be developing a broader pool of trade partners by leveraging its existing industries. Qatar, for example, has the potential to develop strong trade relationships with food-producers who could benefit from the State’s growing fertiliser production. The Qatar Fertiliser Company (QAFCO), established by the government and foreign stakeholders in 1969, produces urea and ammonia, both crucial elements of fertiliser. Two new plants, QAFCO-5 and QAFCO-6, are set to be completed in late 2011, according to the company’s website. Upon completion the plants are set to make QAFCO the world’s largest single-site producer of ammonia and urea. These fertiliser production increases come in the context of rising global demand. At the second annual GPCA Fertiliser Convention in Dubai last September, Brazil, Russia, China, India and a group of African nations called for increased fertiliser production to ensure food supplies keep up with population growth. Qatar’s growing fertiliser capacity, then, could open opportunities for future trade relationships with major food producers, whose demand for fertilisers is set to rise. Qatar could help raise crop yields elsewhere, which would in turn allow the State to share in those higher yields. The key here seems to be balance. In the short term, a broad base of suppliers and effective use of the State’s economic resources could do much to ensure that the country has a steady supply of food in the short term. Meanwhile, support for research on desert farming could increase domestic crop production in the long term. Although there may not be a single solution to Qatar’s food security challenge, a mix of locally sourced food, foreign land holdings and trade agreements could offer the State a number of tools in its quest to feed its population

feedback qtoday@omsqatar.com

By Oliver Cornock The author is the Regional Editor of Oxford Business Group

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listening post

One step ahead Promising next generation Internet speeds and download capacity, Qtel is taking on the competition by stepping up its technology offering, like the upgrade to next generation Fibre network, which is already available in some parts of Doha.

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By Sindh u N a ir he company has invested QR650 million in this next-generation fibre network that will connect homes and small businesses, providing high speeds and download capacity. Meanwhile, the price war continues between the two telecom players, though the rates are still not the best in the region. In an exclusive interview with Qatar Today, Waleed Al-Sayed, the new COO of Qtel Qatar, talks about the plans and innovations that Qtel will roll out in the next year. Mobile penetration rates have reached saturation levels in Qatar. What then will be the next step for Qtel? Has the customer base increased in the past year? There is still significant scope for growth in Qatar, particularly in the broadband sector. The Qatari economy continues to expand, and we are seeing a strong rise in demand for residential broadband and commercial business services in particular. Our customer base continues to expand and â&#x20AC;&#x201C; most importantly â&#x20AC;&#x201C; revenue momentum continues to surge, driven by the take-up of broadband and an increase in voice traffic, as more people arrive in Qatar to participate in the nationâ&#x20AC;&#x2122;s spectacular economic development. How has competition in the sector affected Qtel? Would a third operator bring fresh challenges, or is the market not big enough?

listening post

With Qtel Mobile Money, everyone will be able to receive their salaries directly to their mWallet account, and send money home via their mobile safely, quickly and whenever they need to.

Competition has been extremely positive for customers in Qatar. Qtel has initiated a number of customer-centric processes to ensure better service, more choice and great value for all our customers. These include measures like our Customer Charter, which guarantees levels of service for our customers and supports their consumer rights. We have also pushed to introduce new services and products for our customers, to ensure that everyone benefits from the latest and the best technology. The decision on a third operator rests with the regulator. We continue to work to ensure that we are in the right position however the market develops. What are your flagship products at the moment? We continue to try to deliver as broad a product portfolio as possible, to ensure that we are offering the widest choice for all our customers here. For mobile voice, Hala and Shahry remain the most popular options in Qatar for prepaid and postpaid respectively. Mozaic TV is one of the most popular entertainment options offering premium television and broadband Internet. We also provide the network backbone for the business sector, offering a wide range of enterprise and business solutions to the largest industries and for small and medium businesses. We also have a number of new products which we are excited by. We have just launched Qtel Mobile Money, which is a remittance and payment service which enables customers to send money home. We are also in the process of launching Qtel Fibre, which supports super-fast Internet and high definition television. What are Qtel’s revenue figures and current market share? We are extremely comfortable with our current revenue and market share. The Qtel Group has enjoyed a tremendously

successful year, both within its core markets of Qatar and Kuwait and in growth markets such as Algeria, Iraq and Indonesia. As of June 2011, our consolidated customer base stood at 77.5 million, up from 66.7 million for the same period in 2010. Among our key achievements, we have seen strong revenue momentum in Qatar, driven by increased voice usage and a significant rise in broadband subscribers. We continue to maintain and strengthen our position in this market, and have seen a rise in our consolidated customer numbers above 2.4 million in 2010. We fully support the growth and competition in our home market, and believe it has encouraged us to reach new heights in terms of services and product innovation. Qatar National Broadband Network represents Qatar’s digital highway to the future. How is Qtel working with the Government regarding the roll out of the Fibre-to-the-home (FTTH) technology? Qtel is working directly with the Qatar National Broadband Network (Q.NBN) to support the extension of fibre technology, particularly in Greenfield areas. We will not spare any of our extensive experience and resources in making the Q.NBN a success for the benefit of the whole community. We hope this will pave the way for realising HH the Emir’s vision for building a knowledgebased society. Qtel has also invested significantly in building the infrastructure of the knowledge-based economy. We have invested QR650 million in the next-generation Qtel Fibre network, which will connect homes and small businesses throughout Doha to the next generation of Internet speeds and download capacity. What are the innovations in mobile telephony that Qtel will invest in in the coming years?

Over the past year we have really taken the lead in diversifying the range of prepaid (Hala) and postpaid (Shahry) services available to our customers, as well as increasing the range of mobile Internet services. We see significant scope for growth in the field of value-added services in particular, with a rising population increasingly using their mobile phones as their key source of entertainment and information. This has been enhanced with the launch of mobile entertainment (Backstage), mobile money (Mobile Wallet) and mhealth services over the past year. We see significant room for growth in particular for mobile money, since there is a large population of workers in Qatar who currently don’t have bank accounts. With Qtel Mobile Money, these people will be able to receive their salaries directly to their mWallet account and send money home via their mobile safely, quickly and whenever they need to. Tell us more about FTTH technology. At what stage are you currently? What changes will the customer perceive after the technology comes into operation? We are investing in the future of Qatar by replacing the existing copper network throughout Qatar with a new fibre-optic network so we can deliver our fastest broadband ever that will bring ultra-fast Internet access and an amazing home TV experience. The service is now ready to be available in areas of Doha, and we are continuing to roll out through the country. There is now an online map that enables customers to see when Qtel Fibre will be available in their neighbourhood, which is available in real time on our website. With access speeds of up to 100 Mbps and high definition TV (HDTV), customers will be able to do so much more online and see TV programmes and movies in perfect clarity. There will be a host of new services, such

november 2011

Qatar Today 43

listening post as movies and games on demand, as well as picture-perfect video-conferencing. Qtel’s performance in the first quarter showed its net profit fall by 36.5%. Comments? Actually, net profit attributable to Qtel shareholders increased by 15.7% in that period when normalised for a one-off favourable decision on the royalty regime in Qatar in 2010 worth QR554 million. Q1 2011 net profit attributable to Qtel Shareholders stood at QR0.8 billion (Q1 2010: 1.2 billion) – a very healthy figure which enables us to continue to invest in the market to continue to improve our technology. STC recently launched the first LTE 4G network in the MENA region, making it the first in the region to adopt 4G technology. When will Qtel follow? Qtel announced the launch of a major new Long Term Evolution (LTE) programme in October, which will deliver the fastest and largest 4G network in Qatar, to support the national plan to boost the knowledge-based economy. The project will deploy nearly 900 base stations across the country, delivering the best penetration for 4G coverage in the GCC region. Implementation will begin immediately, adding to the strength and speed of Qtel’s broadband network. The programme will provide ongoing improvements to mobile broadband Internet services for customers in 4G coverage areas, and offer potential download speeds of as much as 150 Mbps on mobile phones and devices. Following a comprehensive study of LTE technology, we are now positioned to build the largest 4G network in Qatar, offering the fastest speeds and most comprehensive coverage. Matching the incredible speeds offered to homes and businesses by the deployment of Qtel Fibre, this project will offer high-speed and high-quality Internet for mobile devices. Qatar ranks quite low in the ICT price basket compared to the rest of the Middle East countries. Do you plan to lower the mobile and internet rates soon? Qatar already offers extremely competitive pricing in terms of mobile, broadband and Internet. For example, one of the most comprehensive studies of broadband communications ever conducted in the region, by Arthur D Little, concluded that average residential broadband prices in Qatar are

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More Innovations Qtel Fibre will supercharge the Mozaic experience, introducing new movie on demand services as well as high definition television. “For mobile broadband, we have introduced an incredible range of new rates, and the 4G programme will provide incremental and significant improvements in speeds and capacity for our customers. Again we have some very exciting plans that will be introduced in the months ahead.”

Customer Care Qtel has its fair share of customer complaints with even a first-of-its-kind civil society campaign launched against it. The campaign gathered momentum over the social media forums like facebook and twitter (#qtelfail). But Qtel, interestingly, handled the issue in real time, with its communication head responding to the complaints immediately. The telco even claims to have resolved many issues through that exercise. Al-Sayed says: “Qtel is engaged in year-round customer-listening exercises to ensure that customers’ needs in Qatar are kept at the front of its strategy for development. We are also addressing more questions and concerns through social media, with special sections on our Facebook page and a permanent presence on Twitter to discuss issues with our customers. Direct responses through social media reduce the number of callers to the call centre and improve the speed of responses. We’ve tracked the response time in 2011, and there are definite improvements. “In the past few months we have invested additional resources in our call centre; launched a new, customer service-focused portal with a host of support applications; and opened new Qtel Service Centres across the country. We have launched a dedicated toll-free Business Helpline (800 8000) to help consumers and businesses get help faster. “It is important to emphasise that these specific improvements are set against a backdrop of group-wide enhancements. Qtel has expanded the nation’s largest SelfService Machine (SSM) network to 220 SSMs across Qatar, further supported by the launch of a new store as an innovative distribution channel.

the lowest of the six GCC nations. Pricing and increased availability are among factors that have enabled Qatar to rise five places to 25th position of the most networked-ready nations in the world, according to the Global Information Technology Report 2010-2011. We have announced six permanent price reductions so far in 2011, in addition to a series of promotional price reductions. Most recently, we announced major permanent price reductions for Hala and Shahry BlackBerry users, so that we now offer the most competitive prices in the region. There have also been reductions on international calls, local rates and mobile Internet.

We will continue to monitor the pricing of local calls and look for ways to provide more value. The launch of Shahry Value Packs, for example, created a significant reduction in local call rates for post paid Shahry customers by providing bundles of local minutes with every pack. Hala has also seen numerous improvements, with the move away from high “peak” pricing. Value is important to our customers, and important to Qtel, and we continue to look for ways to offer better value throughout Qatar

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listening post

Qatar Shell:

Making the most of gas Pearl GTL is a fully integrated project of humOngous scale that captures the full value-chain from offshore development through onshore gas processing to refining of finished products.

By Sin d h u Na ir

atar is already the largest exporter of one of the cleanest forms of energy, liquefied natural gas (LNG), so what does having the world's largest Gas to Liquid (GTL) plant mean to the country? It is about monetising and making the most of the abundant supply of gas that the country is blessed with. An interesting fact is that GTL offers the full upside of accessing the oil market and is also a very strategic diversification process for the country. But everything depends on the size of the resource as well as the capability to build, manage and operate the huge facilities needed. Qatar has the resource and Shell has the technology and has proved its competence to manage a project of that size in partnership with QP.

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Andy Brown Executive Vice President Qatar Shell and Managing Director of Pearl GTL

listening post

Technology at its best, PUT TO USE in Pearl GTL

In an exclusive interview with Qatar Today, Andy Brown, Executive Vice President, Qatar Shell and Managing Director of Pearl GTL, says: “Pearl GTL demonstrates that GTL technology can be applied in a world-scale project to form the foundation for a safe, reliable and economically attractive business. This is particularly important given that the world’s oil reserves are dwindling, while its reserves of gas provide for hundreds of years of continued production.” According to the Minister of Energy and Industry, Dr Mohammed bin Saleh Al-Sada, “the Pearl GTL project will play an important role in enhancing our diversification of North Field gas utilisation and will support the optimisation of Qatar’s competitive position in world markets by supplying high quality GTL products.” For Brown this is even more significant, since he was involved in this massive project right from the beginning. “Personally, my involvement started in 2002. I led the initial negotiations for Shell to enter the country. In 2002, Shell had no presence in Qatar. Today we are the largest foreign investor in the country. It has indeed been a fruitful journey. “Pearl GTL is one of the main projects for Shell here and it is very important. We have invested around $18-19 billion

(QR65.52-69.16 billion) in the project. It is the largest project ever launched in Qatar, and certainly the largest investment by Shell in a single project in its global portfolio.

Highlight The workers installed enough pipe and structural steel to build 2.5 Eiffel towers every month and poured enough concrete to build two Burj Khalifas. The project constructed the largest oxygen plant ever built in one place (28,800 tons per day) and laid 13,000 kilometres of cables. Pearl’s control room comprises almost 1,000 control cabinets hosting 200 computer servers, programmed with 12 million lines of software code. The system is linked to every part of the plant by about 5,850 kilometres of control cables, which laid end-to-end would stretch from Doha to London.

“Pearl GTL will represent 8% of Shell’s global upstream production, once we are at full capacity by mid-2012. It is also a

large generator of revenues and shows our capability to deliver the latest technology and deliver on one of the largest projects in the world.” There were speculations of the project cost escalating in 2008-2009, but Brown is quick to clarify: “The budget of the project was set. The project is still within the budget set by the board of Shell in 2006. The cost-performance has been excellent. In 2008-2009 there was a global escalation of prices, both in materials and labour. Despite that we have been able to keep within the set budgets.” Technology breakthroughs Pearl GTL is immense, not just because of the size of investments but because of the technology used. “We use proprietary Shell and other cutting-edge technologies that we have brought in especially for the project. Shell has technology for the whole process of converting gas to liquid fuels and other products. It also has technology for the three GTL processes: conversion of natural gas to syngas through the Shell Gasification Process; conversion of syngas to long-chained waxy hydrocarbon molecules through Heavy Paraffin Synthesis; and conversion of long-chained waxy hydrocarbons into finished GTL products through Heavy Paraffin Conversion. Other

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listening post

THE PEARL GTL PLANT AT RAS LAFFAN

Pearl GTL and co-products GTL kerosene will be blended with Kerosene from the Ras Laffan Condensate Refinery to produce a quality aviation fuel. In October 2009, a Qatar Airways Airbus A340 made the first commercial passenger flight using “GTL Jet Fuel” (a 50/50 blend of GTL kerosene and conventional jet fuel) between London and Doha. Shell, Qatar Airways, Qatar Petroleum, WOQOD, Airbus, Rolls-Royce and the Qatar Science and Technology Park (QSTP) continue to research the benefits of synthetic aviation fuel in aviation engines. GTL kerosene has higher density than conventional oil-based kerosene. Qatar Airways has also committed to fly using environmentally friendly jet fuel within a few years. GTL Gasoil is a high-performance clean-burning diesel fuel which is clear and odourless and burns with low emissions. Pearl GTL will produce approximately 50,000 barrels of GTL gasoil per day, enough to fill over 160,000 cars every day. The majority will be used as a high-quality blend component with conventional oil-based diesel and supplied through the existing diesel distribution system. GTL base oils are the main component to make high-quality lubricants. The Pearl GTL project will be one of the world’s largest sources of lubricant base oil with the capacity to produce about 30,000 barrels per day, enough to fill 225 million cars per year. Shell is the global market share leader for finished lubricants and will use GTL base oils from Pearl GTL to formulate Group III finished lubricants that yields improved energy efficiency, longer equipment life and reduced maintenance costs. Shell have established storage hubs for their GTL base oils in Houston, US; Hamburg, Europe and in Hong kong in China. “This allows us to keep these large quantities in these hubs and then use it to blend in our plants to be used in those countries,” says Brown. GTL normal paraffin is used as feedstock for detergents, and long-term supply contracts for half of the production have been signed for supply to Indonesia and the US. GTL naphtha is a premium feedstock for petrochemicals; being very paraffinic it offers 10% higher yields of desired products (e.g. ethylene, propylene and butadiene) than conventional Naphtha.

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projects have technologies for one of the processes, but Shell has the technology for all the different stages of production. “The proprietary Shell Middle Distillate Synthesis (SMDS) process is at the heart of the two-train Pearl GTL plant. It is underpinned by more then 3,500 patents and, above all, is proven on a commercial scale for more than 10 years of operational experience at Shell’s first GTL plant in Bintulu, Malaysia, with a capacity of 14,700 barrels a day. “From the start of phase one, we have proof that the technology works. We have high-quality on-spec products; we have started shipping gasoil that is diesel fuel, naphtha which is petro chemical feed-stock and also base oils used for lubricants.” Pearl GTL has also stretched the boundaries in other areas, says Brown. “We have built both the world’s largest oxygen plant and industrial water processing system (with zero liquid discharge). Veolia and Linde are examples of the companies who are helping us develop the technologies here. “Shell’s technology is the result of years of experiments. “In the early 1970s we started research in a lab in Amsterdam, and in 1983 we built a pilot plant in Amsterdam. In 1993, we started up the first commercial plant in Bintulu, Malaysia. Pearl GTL is based on this technology.” Challenges and milestones The main characteristic of Pearl GTL is its enormous scale and complexity with the onshore project equivalent to some of the largest integrated oil refineries/petrochemical complexes in the world. The technology was cutting-edge – and the investment huge – but the main challenge was not that, it was managing resources, says Brown, both people and material resources. “To manage the labour in a safe and responsible way was the biggest challenge. In terms of my focus, one area which I gave a great deal of attention to was safety. It was for this reason that we built the Pearl Village, a camp for 40,000 workers. It is a community where we have a mayor, excellent recreational facilities, places of worship, basically a home away from home for all the workers at Pearl GTL.” “By demonstrating our care for the safety and welfare of the workers, the quality and productivity of the work improved. “We broke safety records in the industry. At one point in time the onshore project

listening post

World’s largest: Pearl GTL represents the world’s first realisation of GTL technology applied on a world-scale basis and also a number of ‘world’s largests’: GTL plant Capacity to produce premium quality lubricant base oils Producer of GTL-based normal paraffin Hydrocracking capacity in one location Oxygen production in one location system for full recovery and re-use of industrial process water Fieldbus instrumentation and control system Steam generation capacity of any hydrocarbon processing plant in the petroleum industry

crossed 77 million hours without a lost-time accident on a project. It is a record for Shell and is also a record for the State of Qatar.” To give a physical sense of scale, the project imported two million freight tonnes of material and equipment during construction, using a dedicated off-loading facility in Ras Laffan Port. “We built our own dedicated loading facility at Ras Laffan as we did not want to ship all that through Doha Port and congest the roads as we brought it all to our site. All our materials were delivered on time.” Each milestone that the project has clocked seems fresh in Brown’s mind. He says: “The project was launched in July 2006. In February 2007 we had the official stone-laying with HH the Heir Apparent Sheikh Tamim bin Hamad bin Khalifa AlThani and HRH Prince Charles. The project was designed in 13 different design offices in 10 different countries around the world. Late 2006 we started construction. In 2009, we got to the peak manpower of 52,000 workers. In November of that year, the then Minister of Energy, HE Abdullah bin Hamad Al-Attiyah, came and formally launched the start of commisioning of our activities. That culminated in March 2011, when we opened the off-shore wells and gas started flowing into the plants. The start-up went very well and by July 2011 we had our first cargo of finished product. The time between the first gas wells and the first product was shorter than we anticipated. “It takes some 2,000 steps to prepare all

the systems for production in Phase One, so breathing life into one of the most integrated complexes whilst simultaneously continuing the commissioning work for Phase Two is an Olympic achievement. But this was achieved with the flawless start-up of Phase One in the first half of 2011,” says Brown. Products and outlook GTL technology provides an alternative route of natural gas monetisation, offering full upside to higher oil prices, but some of the GTL products are also attractive feedstock to other businesses in the petroleum industry. GTL products represent a pioneering innovation to increase the supply of high-demand liquid hydrocarbons. When fully operational, Pearl GTL will produce 140,000 barrels a day of high-quality GTL products and 120,000 barrels of oil equivalent a day of natural gas liquids. Brown shows a sample of the diesel GTL gasoil, which looks and smells like water, it’s a clear, clean and odourless liquid. “It has a very high cetane number and hence burns regularly. It has virtually no aromatics, therefore doesn’t smell. As a cleaner burning fuel it results in reduced local emissions and keeps the engine clean for a longer period. We will sell GTL fuel to a number of places but the majority to the European market.” Core Pearl GTL products have good margin prospects and a strong long-term

market outlook, he says. “They will cement Qatar’s position as a source of high-quality liquid products. Looking ahead to the future there is a robust market outlook for Pearl products. By 2020, the estimate is that the global demand for naphtha, jet kerosene and especially gasoil will grow by some 30%, specifically in the Asia-Pacific region. As the global market share leader in finished lubricants, Shell will leverage its downstream trading and marketing capabilities to distribute the large quantities of baseoils we produce.” And will the country opt to sell GTL fuel in the country? “It may do,” says Brown, “but it should first figure out the logistics to distribute the fuel.” GTL projects are being explored in the US and would be pursued since gas prices are quite low there. “Qatar has an enormous reserve of gas and we are privileged to have access to this gas. This project wouldn’t have been possible without the support and the vision of HH the Emir Sheikh Hamad bin Khalifa Al-Thani. The way decisions are made without delay, the way business is done transparently without any form of corruption in the country, and the clear vision in the energy sector, allow us to continue with our projects without many hitches.”

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Brevity or Bluster?

Brevity or Bluster? Social Media Sets News Branding Rules

Who's talking? 52 Perception is reality; So let's deal with it. By riad makdessi

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keeping up with social media syntax By RONALD HEPBURN

coverstory

Brevity or Bluster?

There are naysayers and soothsayers, but what neither can deny or negate is that when it comes to Social Media the experts are the users. Which means you and I decide – or at least have a say in – how brands interact with us. By holding steadfast to traditional advertising and public relations methods as the primary tools of branding, companies are only setting themselves up for a fall. This month, Qatar Today invites experts to speak about Branding in the Times of Social Media, and how the reason we draw inspiration from Marquez is because, like his work, social media defies a single description and is at the same time both simple and fantastic in its basic form. The EXPERTS look at converging traditional proven practices with social media innovations, speak of the danger of mismanaging digital presence, and warns brands against duplicating a successful initiative without personalisation. Find out if the marriage of brands and social media is a fad – or a long-term proposition.

59 OWNING YOUR BRAND OFF- & ON-LINE By Charlotte Stubbs

PICTURE PERFECt : THE NEED FOR CATCHY PORTABLE LOGOS By BARRY FLAHERTY

Brands “no longer have the power they once had” BY andrew keen

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Brevity or Bluster?

Perception is reality So let's deal with it. People often ask “What's the big deal about Social Media?” Here's how I'd like to start answering that question. By riad makdessi

Today

social networking has transformed touch points into being every opportunity and location where the consumer can be listened to. Some people fear that social networking has put too much power in the hands of the consumer. But here's my take on it: instead of being driven by fear, why not be motivated by the opportunity? Here's where the superiority of social networks outperform a focus group: the negative reactions won't stop those with positive experiences from continuing to talk about them. If there is one word of caution I'd like to offer a brand it is this: don't go out on social networks if you are not willing to get naked.

"Perception is reality."

Whether you are a CEO, brand manager, marketer, product developer or simply an interested observer - you've got the good, the bad and the ugly all wrapped up in one sentence, right there. You can have a good brand that is perceived as bad or a bad brand that is perceived as good. This is a fact that all of us involved in advertising, marketing, manufacturing and a myriad of other fields have to deal with. This simple fact is also what has pushed many brands, large and small, well known and lesser known, to re-engineer internal processes. Think about how things used to work. You are a business owner. You go out there and create a product. Then you find the most creative way and hire skilled people to tell the world about it. (We used to call that advertising.) People buy what you have made. When you want more people to buy what you have made, you entice them with better deals – "buy two, get one free" type

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of deals. (We called these promotions.) When promotions grow in effective, then perhaps you make improvements to what you made. (Market research followed by product development were our preferred terms for this stage.) Then you tell people again, utilising every touch point and positioning your product in the best ways you know, all in the hope that your consumers will buy more of the same. (That's the part we used to call marketing).

Start Listening

Today, that process has been turned on its head, because everything starts by listening. If you are a brand or a product, first you listen. Then you couple listening with intuition to figure out what people need. You create your product to meet that need. Then, you share your product with people. And once again you listen. If they enjoy it, if it meets a need in their life, they will start talking about it. They will start influencing others on your behalf. People you didn't spend a riyal on to advertise “at” have suddenly become your brand evangelists. Bottom-line? Your sales go up. These conversations about your brand or product take place within the limitless space now known as social media networks.

That is why social media IS a big deal.

Television and other forms of mainstream media can no longer influence as effectively as word of mouth can. Nothing beats the combination of word of mouth and relationships. That is exactly what social networking spaces provide: a highly interactive, dynamic space where relationships are built and maintained and word of mouth spreads like wildfire.

coverstory

Brevity or Bluster?

Master stroke

Today, many other brands engage the support of individuals. /the blog of Philip Bloom, a Director of Photography and Film Maker, is an examplehttp://philipbloom.net/

canon roped in vincent laforet to do a live review of their camera on his blog

Before we go any further, when the phrase “social media” is used, people immediately narrow their focus down to Facebook and Twitter, and companies start talking about “doing” social media. I prefer the term “social networking” because there are many channels people use these days to connect, which has broadened the scope beyond these two media alone. I look at social networking simply as a tool – a tool that is useful to connect with people, a tool that can facilitate listening. And listening is good for any relationship, isn't it? As a matter of fact listening creates relationships, it maintains relationships and it certainly saves relationships. Whether good listening happens between people or between people and brands, listening creates understanding, and isn't that what we all want? In a world that is saturated with marketing messages people know it is hard to establish a reliable line of communication. So they naturally rely on their circle. They choose to believe a friend's word, which reaches them over a social network, way more than they believe the (sometimes highly expensive) messages brands place about themselves in mainstream media. As human beings we are all wired to believe people we have some form of a relationship with or people we respect. Today, people want their friends, or even strangers who are seen as experts, to tell them how good a brand is, instead of the brand doing all the talking. This is a fundamental way in which advertising has changed. Social networks are places where “influencing” happens. On social networks someone is always influencing someone else, and this is taking place minute by minute. Whatever is out there about your brand gets read, be it gossip or the truth, be it falsehood or fact. These days, sharing what one hears is just a mouse-click away. So messages spread faster than they have ever done before. Look at what Canon did with their Canon EOS 5D MKII video-enabled camera, and how they engaged the expertise and opinion of Vincent Laforet. This highly respected photographer was handed over an EOS 5D to use, to test, to shoot with and asked to post his independent opinion on his blog. Canon gave Laforet the freedom to express his opinion on their product, including whatever negative comments he had. Laforet shot a film using the camera and posted it on his

blog. The legendary photographer had scores of followers who picked up on his experiences and were willing to take his word and try the DSLR. The rest is history. You can read Laforet’s blog entry here: http://blog.vincentlaforet.com/2008/09/20/ something-very-interesting-is-coming-both-to-this-blogand-to-our-industry/ Today, many other brands engage the support of individuals. Philip Bloom, a photography director and film maker, is a case in point. If anyone is in doubt about the influence and power that lies in the hands of social networking individuals with a large fan base or following, take a look at Philip Bloom’s blog at http://philipbloom.net/ The social networking tools on his blog speak for themselves. Any person, from anywhere in the world, can take a look at Bloom’s blog at any time and instantly know how many people are reading him, listening to him and taking his word on whatever he is posting about! Talk about how one brand ambassador can deliver international reach! Blogs like Bloom’s have opened up a whole new market for accessories and products made for amateurs that didn’t even exist a few years ago. Social networkers like Laforet and Bloom are influential, powerful leaders in the community. They will talk about you in their blog spaces, far away from you and your market, but the impact of that post will show up in your profit and loss account – real close to home. People wonder whether social networking has changed advertising and if this change is positive or negative. I see the change as being positive – for the people. I look at it this way: what has changed is how we do business. Does the change that has taken place make traditional media and creative, good, advertising obsolete? Not at all. Traditional media still remain a valuable tool. What has changed is how we need to use it. Today, we are seeing a revolution in how brands behave. Advertising used to only be all about ‘telling’ people things; about yourself, about your brand. Now however, you can’t simply go out there and start “telling” people things, (you can if you want, but no one will hear you!) without being willing to listen, to hear the hard truths they might say about you, to argue a

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Brevity or Bluster? point, entertain a complaint, share a compliment, admit a fault and be willing to change. It is funny in a way, because now it is as if every brand has to run an election campaign. If a marketer wants to be successful he must learn to think like a campaign manager who will do everything within their power to elect their product and popularise their brand. Think about a politician: their value lies in their track record. It is all about what they have done or what they are promising to do. Let's say, with the help of a clever campaign manager who fools the public, the politician gets elected – once. But look around – in today's world, re-election isn't something even seasoned, crooked politicians who have played the system for decades can count on, is it? The game has changed. Power has changed hands.

In times gone by, brand perception was measured by figures relating to sales and marketing initiatives, and brand perception was monitored once every six months or so. Today, social networking has necessitated the monitoring of brand perception on a weekly or even a daily basis. No longer are people are making decisions about your brand only while they are watching television or only while driving by a billboard. They are constantly listening to what others are saying about you, making up their mind about you, because all that information is there at their fingertips, round the clock, in preferred languages, all day, all night and all year round. Did I say the game has changed? The change that has occurred makes it difficult to rely on a single channel to communicate a message or get in touch with the people who consume your brand. Earlier, marketers used to think about “touch points”. And by this they meant every opportunity/location where the consumer could be “spoken” to. Today social networking has transformed touch-points into being every opportunity and location where the consumer can be listened to.

Fear vs Opportunity

Today Social Networking has transformed touch points into being every opportunity and location where the consumer can be listened to.

offline network

tunisia's election play

The power of using Social interactions isn't limited to online activity alone. A non-governmental organisation called “Engagement Citoyen” from Tunisia recently showed the world a brilliant example of this. The country was going into its first post-Ben Ali election and it was critical to have a high level of participation at the polls. Only 4.4 million Tunisians out of seven million eligible voters registered for the poll. In a last-ditch attempt to boost voting, “Engagement Citoyen” hung a giant poster of Tunisia's deposed president over a building in Tunis, creating a stark reminder of the former era when Zine El Abidine Ben Ali's portraits covered city walls. The poster confused passers-by, who reacted in shock and disbelief till some dared to tear it down. Behind the poster there was another one. The message was simple: "Wake up, dictatorship may return! Cast your ballots on October 23rd!" The Ben Ali poster stunt has drawn a lot of attention, especially in social media. The video was viewed 50,000 times on YouTube within just twenty-four hours. That's an example of what a great idea, displayed on one single poster, coupled with the powerful tool of social networking can do. Don’t fail to notice how, in this case, what was used was a billboard – a tool of traditional media. But when used in conjunction with social networking, the number of people who were exposed to its message grew exponentially!

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Some people fear that social networking has put too much power in the hands of the consumer. But here's my take on it: instead of being driven by fear, why not be motivated by the opportunity? Think about social networking as a kind of psychologist's couch. You are the counsellor. Notepad in hand, willing and waiting, listening patiently and professionally. And there's your consumer, lying down in the privacy of his or her own space, relaxed, open, willing to talk, willing to share insights with you that they would never, ever, have come out with before. They fear no judgement from you, because they are talking within the privacy of their space. Through this interaction, what you, the “listening psychologist” will get is authentic, experience-based insights that can develop your product line and drive your next big innovation. These insights will give you a tremendous advantage, positioning you to react intuitively, coming up with brilliant solutions. This “intuition” is part of the secret behind brands like Apple and Google. As brands, they have perfected the art of listening. When, as a CEO, you take your brand and go out there on social networks, use your best resources, pick the best listeners on your team, the “psychologists” as it were, those who can listen closely and interpret what others are saying about you, separating the “wheat from the chaff”, so to speak. Your social networking team must have intelligent, intuitive people who can read the subtext and bring the truth about how your brand is perceived back to you. In social networking settings consumers will talk to you about your brand and they will tell you what they like, what they dislike, what they value and what annoys them, and this knowledge is priceless to you! These are the types of insights marketers used to chase after when they relied on “focus groups” to shed light on

coverstory

Brevity or Bluster?

Some people fear that Social Networking has put too much power in the hands of the consumer. But here’s my take on it. Instead of being driven by fear, why not be motivated by the opportunity?

people's perceptions of a brand. Just like every other medium, there will be those who misuse and trivialise social networks. People who will use them to rant and rave and push their own agendas. But here's where the superiority of social networks outperform a focus group: the negative reactions won't stop those with positive experiences from continuing to talk about them. If your brand or product is truly good, among the naysayers you WILL find those who speak for you with authenticity and conviction; and their voices will be picked up, support will grow. Those are the people you want on your side. Those are the ambassadors you want to “recruit” to stand up for your brand. Similar to other spheres in life, there are many people who have tried and will continue to try, to manipulate social networks. As marketers, here's what we need to remember: you can influence perception, but you can't control it. This is something companies who want to get into social networking must know. Social networks by themselves might not tell the whole truth about your brand. Because everything depends on who is doing the posting on social networks. Maybe as a brand you have chosen to be totally absent from social networks. In such a situation, be aware that you are totally at the mercy of other people who might be talking about you. And their views might not tell the whole story. That's what I mean when I say that social networks might not tell the “truth” but they will certainly give you the opportunity to listen and read the subtext. If there is one word of caution I'd like to offer a brand, it is this: don't go out on social networks if you are not willing to get naked. I am speaking figuratively of course, but that's the bare truth. Exposing your brand to social networking is like opening your home to guests. Advertisements in today's world are simply like invitation cards you send out. It doesn't define the experience of your guest. When they accept the invite and come in to your home, they will notice things. They will either talk to you face to face about what they think of your home or they will talk behind your back. Either way they WILL talk. They will tell others about how beautiful or messy your home is, of how welcoming or cold you were to them. So before you go opening your doors, clean up the house. Staying away from social networks because you fear them, will only isolate you, because people will talk about you whether you like it or not. The difference is that by being present onsocial networks you will hear what they think - and that will give you the opportunity to fix things up and to get things right.

Crisis Management?

What happens if a brand enters the field of social networking and then makes a mistake? How do we deal with the negative publicity that might arise? This type of fear keeps many CEOs and managers away from touching social networks. To them, I'd like to say: nothing in this universe is perfect. As a matter of fact it is my personal belief that absolute perfection can be quite ugly! Here's my point: life isn't about being perfect, it is about being authentic. Social networking itself isn't a perfect way of communicating either. However, social networking does provide us an opportunity. And within that opportunity, even if certain imperfections about our brand or product or the medium itself come up, we have little to fear. We are allowed to make mistakes, so long as people believe we are authentic and we are truly trying to fix things the best way we can. Engaging the public to interact with your brand is no longer a luxury or an option – it is a necessity. Social networking might be a new word that is part of a new world. But I’d like to look back and reframe a valued piece of wisdom from the past. I remember my parents teaching us this. They would say: “Don’t be the person to talk about how good you are. Let others do that.” Today, social networking has almost forcibly, and irreversibly, returned brands and marketers to this time-honoured truth.

For better or for worse, perception IS reality.

Whether you are a brand, a product or a person – you are who you are. Social networking won't change who you are; it can only influence how you are perceived. So let's go out there and deal with it!

Riad makdessi is Co-Founder and Group Creative Director of ADabisc, one of Qatar’s integrated Communication Groups, working in FIVE disciplines: Commercial communication, Digital, Branding, PR, Film and Photography, Production www.adabisc.com.

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Brevity or Bluster?

keeping up with social media syntax THE Arab Spring â&#x20AC;&#x201C; the power of social media and THE lessons you should learn for your brand. By RONALD HEPBURN

Social

media is the technology that most closely mimics, online, the way people communicate in groups, in person. It is a vehicle for bringing like-minded people together to share their news, ideas, gossip, stories, recommendations, criticism and much more besides. It frees society to talk across borders, across cultures and across continents and is unfettered by corporate or government interference. Social media is democratising everything; it is putting power in the hands of the masses, including control of your brand. It makes you answerable for your actions and values, and influences the way you behave and how present your brand. If your business is looking for a demonstration of how it works, try looking at its effect on the former governments of Egypt, Libya and Tunisia. Command and control is out; social media is in It may seem odd to compare the fall of country regimes to the everyday communications of modern commercial brand marketing, but the comparison is apt. In commercial marketing terms, much of the world is moving from a command and control propagandiststyle marketing movement, where people are told what they watch and read and therefore have little choice, to a more democratic, populist, people-led communications infrastructure that neither governments nor corporations can control. So in building a revolution of thought in places like Egypt, Libya and Tunisia, the spark can be small, but if it hits a tinderbox the flames of that spark, fanned by borderless satellite television, mobile media, BlackBerry Messenger and social media such as Facebook and Twitter, are soon

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The first thing that businesses must do is realise that the command and control culture is past its sell-by date. You have lost ultimate control of the message, the channel and therefore the brand to the people. uncontrollable by the centralised communications structures of yesteryear. If we look at the former regimes of North Africa in terms of a brand, we see that the outcome was almost inevitable and of its time. These regimes controlled messaging about their actions through traditional media, state-owned TV and newspapers. In short, they could say one thing and do another. This worked fine when there were no alternative ways of the people getting information, so that the state could manage the message inside its borders through censorship and propaganda. But when the people have choice, when they can see AlJazeera, Al Arabiya, CNN and the BBC on their TVs, PCs and smart phones; when they can access news via the Internet from any corner of the globe, instantly; when they can share this in-

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News moves

When people can access news on their PCs and smart phones andshare this information with each other through social media channels, then a true picture of what is happening in their country, they can compare it to what happens elsewhere, and they can choose to act.

formation with each other through social media channels; then the people get a true picture of what is happening in their country, they can compare it to what happens elsewhere, and they can choose to act – which they did and continue to do, in their hundreds of thousands. How can businesses harness this same social power to support their commercial brands? The first thing that businesses must do is realise that the command and control culture is past its sell-by date. You have lost ultimate control of the message, the channel and therefore the brand to the people. The days of the chief executive, the business leader, the country president expecting his words and thoughts to be printed verbatim may not be over (yet), but the chances that his words alone will have any real effect on the perceptions of the corporate brand are much reduced. The people are savvy. They know the difference between propaganda and reporting, they have seen how they have been lied to and manipulated over the years, by advertising and a complicit media, and now they seek a real engagement with the brand. They may not know it yet, but soon they will realise that ownership of the brand is theirs. At this point it is important to stop and think about what a brand is and what it is not. It used to be mistaken for a logo design, understandably, as a brand is a familiar mark of ownership. But for most marketers today a brand is about reputation. It is the sum total of the views of all the people that know about the brand. This is why it is the people that own the brand, not the corporation. Where do people get their ideas about your brand from? More often than not the most trusted source of information about a brand is friends and family (see chart below). Where do friends and family get their information from? Nowadays, if it’s not from personal experience or gossip over coffee or dinner, it’ll be via social

How do we engage with social media? Engagement is about getting involved – listening and reacting. It’s rarely about telling. There is a cycle to social media of action, engagement and reaction.

Initial interaction you open a dialogue about your proposition with your audience

Audience engagement the audience responds and starts to talk to itself about you

Corporate engagement you join in the discussion, listening and learning what excites people about your proposition

Corporate reaction you make changes to your proposition which reflect the desires of your audience

Audience reaction the audience responds and talks

Repeat stages 2 to 5 until you are giving the audience what it wants.

Note that in most social media forums your overt presence as a corporate is not welcome and may be detrimental to the brand, so great care needs to be taken to engage via trusted third parties if you want your message heard.

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Brevity or Bluster? media. It’s clear from this chart that trusted third-party endorsement is the key to trust in a brand, occupying three of the first four places. As you can see from the Nielson chart, companies have a clear opportunity to use their websites to disseminate information as well. However, the fact that the audience chooses to engage in social media as part of its daily life gives it a multiplier in terms of effect – your website might be trusted, but the people might not choose to visit your site. So to harvest the trust in your website you clearly need to generate traffic to it. Behaviour is important to brand Behaviour is vital to how your brand is perceived. If you maintain in your advertising and press releases that you are a consumer-led organisation working in the best interests of your customers to bring down prices and provide the highest level of service then that is what you will be judged on. When the customers realise that in reality you are a monolithic leviathan corporation focused on paying large bonuses to your leaders and enormous dividends to your shareholders, while providing a shoddy, overpriced service to customers who are trapped by a lack of local choice into buying your service, then expect your brand to suffer. And expect the social media airwaves to sing with criticism of your brand, your products, your staff and your service. If this model sounds familiar, that is because it is common to all monopoly domestic utility suppliers – telecommunications, water, gas and electricity, for instance. When the monopoly is broken, the old habits of the monopoly supplier are often difficult to shift. Not so for the new competitor, who has a ready and willing customer base keen to shift their loyalty as fast as they can.

It is perhaps self-evident now that some regimes that could have been overturned have avoided that fate by listening to their people and making efforts to change their behaviour - they’ll have to do more.

Is your behaviour measureable? Look at websites such as TripAdvisor, Amazon or eBay. They employ what is called a trust and reputation system – in short, you can rate your personal experience of any part of the services or products available to view on the site – whether it’s a hotel, a book or a freezer – and share it with other potential users. This system not only helps prospective purchasers get a feel for the quality before they buy and without touching it, it also promotes good behaviour from the sellers of services or products. Don’t be complacent about this just because you aren’t customerfacing – Etoile confidently predicts the rise of a series of new websites that allow users to rate corporations on their human resources, procurement and payment systems. Who would want to apply for a job with a company with a poor employment practices rating; who’d want to do business with a company that routinely withholds or delays payment for services rendered, or one that invites pitches but doesn’t make appointments?

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News moves Sites such as TripAdvisor and Ebay employ a trust and reputation system.

Can the brand protect itself? Yes, indeed it can. Firstly, by listening to what the people want and making changes to its behaviour accordingly. That is the change that social media is forcing upon poor brands, but that is embraced with alacrity and enthusiasm by great brands. Secondly, a good brand can also make provision for the inevitable assaults on its reputation, warranted or not, that all organisations have to weather from time to time. By actively canvassing the people who your audience trusts during the good times, you can harvest their goodwill when you most need it. The support of the third-party endorser, whether a blogger or a journalist, a fan, a critic or a consumer champion, is the insurance that all brands need to weather the storm. So what has the Arab Spring taught us about the importance of social media to a brand? It is perhaps self-evident now that some regimes that could have been overturned have avoided that fate by listening to their people and making efforts to change their behaviour – though they’ll have to do more. Others have resorted to their old ways of command and control; these regimes may switch off their internet and mobile phone systems, condemning their peoples to a new dark age, but they are unlikely to last; they merely delay the inevitable. The same is now true of all corporate brands. People, when presented with choice and the means to express it, take action – they complain, they leave, they revolt. That is the power of the Internet, the power of social media – it is coffee room or water cooler chat on a vast scale, with no respect for borders or vested interests. Make sure your brand is involved in the discussion, or find yourself on the side-lines. Ronald Hepburn is Managing Director of Etoile Partners, a geopolitical consultancy focused on strategic positioning and communications management. Though based in London, Ronald has worked in Qatar since 2003 and amongst other projects delivered the strategic positioning for RasGas and Dohaland (MshEIREb). Etoile advises governments, multinational corporations and NGOs on complex crossborder strategic positioning issues globally.

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OWNING YOUR BRAND OFF- & ON-LINE Social media is not a choice, it is now a modern medium that is involuntary. People will share, discuss and comment on your brand whether you like it or not... but are you keeping watch and doing it well, or are you treating it like a traditional media campaign.

By Charlotte Stubbs

A few

companies in Doha have effectively tapped into the power of social media, and their practices are worth a deeper look. The Qatar Museums Authority has developed a knack for blending their social media with their traditional campaigns so you can see that the overall essence of the campaign has the same flavour, but the social media campaigns are bespoke to the tools which they are using to engage their target audience. Their traditional advertising creates awareness, and social media is used in an interesting way to build engagement, generate interest and promote their numerous events and exhibitions. The Four Seasons Hotel Doha extend their core values through their local Twitter account. You can tweet the Four Seasons to ask for the phone number of the Business Centre or the opening hours of the Tea Lounge, and their expertise, knowledge and customer service have shone through in their quick and detailed response. They utilise social media in ways like this that complement their traditional campaigns focusing on their core values. The Four Seasons understand that people engaging with them in social media expect an immediate response, and that they may reduce their opinion of the brand if they don’t receive one. Yet there is a risk of overdoing social media campaigns. Like any campaign, it needs thought, planning and measurement, and this includes the frequency of messages that you intend to use. Nobody enjoys having their Facebook wall spammed by their friends, let alone by a brand they are following, and overdoing the frequency of communication in this way can have a very negative impact on the brand equity. The social media environment is expo-

nentially becoming crowded, so your brand must retain its values and not resort to gimmicks or over-promotion. Remember advertising isn’t “cool” – you need to earn the respect of friends, fans and followers by providing a service or product of value. It’s important not to forget that people can be protective of their online personal space, and while they may have welcomed you into their Twitter world, they may not want to be reminded of your latest campaign or promotions every half-hour.

Change your mindset

Brands in Qatar also need to be aware that there are drawbacks if you approach social media campaigns with the same mindset as you would traditional campaigns. Trends change very quickly in the online world so the same social media approach may not work all year long, whereas traditional advertising has a much longer shelf life in terms of the popularity of media types (eg, particular magazines you use to reach your target audience). Brands in Doha should consider engaging with trend hunters to ensure they know what’s happening in the social media world, what the latest tool people are talking about is, and to ensure that they have their fingers on the pulse in the best way to promote their brand.

Local enough?

Further, if your company is based in Doha but with a global headquarters, it’s worth considering that Head Office may suggest social media tools that aren’t as well known here in Doha – local

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Beware the over-eager employee who promotes your conference on LinkedIn with 12 exclamation marks and with the conference name misspelt, which is what viewers will remember, despite your clever and engaging radio and newspaper campaign.

The social media environment is exponentially becoming crowded, so your brand must retain its values and not resort to gimmicks or over-promotion.

Beware

overpromotion

knowledge is imperative. Foursquare is a critical tool for many in the US, but it’s still picking up speed here in Qatar. It’s absolutely worth considering, particularly for hotels and restaurants, as an opportunity to promote visits by offering “check in” incentives, but it may not immediately be the tool of choice to reach your largest target audience. Brands also need to put the same level of creative thought and inspiration into social media campaigns as they would traditional campaigns. It’s not enough just to be using social media; it’s important to engage the creative experts to come up with innovative and high-impact campaigns rather than just using it in the same way as everyone else.

Value of traditional campaigns

While traditional campaigns tend to be passive in their response to the brand’s target audience, and may be used mainly to build brand awareness, it’s important that local companies here acknowledge that real-time search can be a double-edged sword, as social media updates can appear in search results as soon as they’re created, and so the message needs to be right first time. It’s easy to quickly post a message without considering the brand implications, something which wouldn’t happen in a print or radio campaign. The planning that tends to go into traditional campaigns means that the messaging and tone of voice is consistent across all the outputs, because the key messages have all been thought through and created accordingly. However, beware the over-eager employee who promotes your conference on LinkedIn with 12 exclamation marks and with the conference name misspelt, which is what viewers will remember, despite your clever and engaging radio and newspaper campaign.

Own it

One of the most important things that brands in Qatar need to consider for their social media campaigns is that social media acts as a

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platform for negative feedback and brand manipulation. While people may blog about a traditional campaign they have seen, it is much easier, quicker and more satisfying to write a stinking review on TripAdvisor about the poor service at dinner last night, or to add a comment on YouTube about a promotional video you aren’t too keen on. This must be addressed and controlled in a timely fashion, and it should be allocated to someone who has the authority and experience to respond in a timely and effective manner. Using social media means taking ownership of customer comments and complaints and being the “real” and “current” face of the brand. It’s important to realise that not doing this could mean the downfall of a campaign that had such promise. This is particularly the case for B2C brands, where your customers feel a real affinity and almost a right to talk about your brand. Brands in Qatar are starting to view social media campaigns as the unique marketing tools they are, and while social media is a relatively new medium it’s continuously shifting and developing, so it’s important to continue to invest the time in deciding how these campaigns can work best for you, and to make the most of combining your social media campaigns with your traditional campaigns in an effective way.

Charlotte stubbs manages client relationships for Creative Action Design. Raised in the Middle East and educated in the UK, her background in Marketing means she has a natural interest in the marketing activities of her clients. Creative Action Design, established in 1992, is a leading international design agency that delivers high-level creative support to Corporations and SMEs in Qatar. Creative Action Design seeks to improve its clients’ competitive advantage in a crowded global economy and help them differentiate their brands through original solutions that are innovative, creative and culturally appropriate.

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PICTURE PERFECt: THE NEED FOR CATCHY PORTABLE LOGOS Welcome to the 21st Century indeed. Busy old place, isn’t it? So many brands, messages, platforms and propositions to choose from. Although some brands are still expressing the brand through old world eyes, “new world” is where it’s at, as many emerging brands are actively adapting to support other channels. By BARRY FLAHERT Y

When

one thinks about the sheer amount of hard cash, time and resources that is invested into a brand it’s important that the custodians get it right and not start diluting it for different channels. Many believe that the brand should behave exactly the same way – its personality and tone of voice are set, irrespective of the channel it communicates in – otherwise you get dilution, fragmentation and mixed messages. Easier said than done, as brands also need to be able to adapt, evolve, change and move with the ebb and flow of fickle customer demands. It could be argued that if a brand is strong enough and established, even a hint of the logo is enough. It’s interesting that at times a logo is enough without the name of the brand or the supporting strapline. Here’s an exercise for you all. Take a cursory glance at your own Twitter profile and quickly review all the brands that you are currently following. Do they use a strong logo as their visual representation? Do you feel the need for straplines or 140 characters of text to explain what it is that that particular brand does? The million-dollar question, one supposes, is how do you make both your business and brand flexible yet memorable? What do Coca-Cola, Nike, Apple, Google and BMW have in common? Naturally, a strong visual identity, but they also engender fierce loyalty, a sort of tribalism, if you will, around the brand promise and experience. When launching a business or brand, part and parcel of the introduction and integration of any product or service to consumer consciousness is naturally to create a visual identity. Every brand

Does the visual identity of my brand fit effortlessly onto an info graph, a billboard, a website, an iPad screen, a mobile screen and a large HD ready TV screen? If you can answer YES to all of the above then you are home free!

has a personality – who you are to the consumer. Aside from the brand name, a well-crafted logo and packaging that can translate fluidly across all media can create easy recall to target audiences. Since symbols, letters and images are most of the time more easily remembered than the brand name itself, visual branding is crucial in creating brand identity, especially when you have customer touch points across dozens of offline and online destinations, be they physical or online retail, e-commerce sites, mobile, blogs, social media as well as e-mail, print, advertising and perhaps even TV or “connected” TV which is the newest kid on the block.

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Hard to Miss Coca-Cola has the ribbon-y and cursive white font on a red plate, sportswear superstar Nike has the “Swoosh”, consumer electronics giant Apple has the “bitten apple”, Google has its signature colour combination and luxury car manufacturer BMW has the blue and white roundel.

Does the visual identity of my brand fit effortlessly onto an info graph, a billboard, a website, an iPad screen, a mobile screen and a large HD-ready TV screen? If you can answer YES to all of the above then you are home free! Coca-Cola has the ribbon-y and cursive white font on a red plate, sportswear superstar Nike has the “swoosh”; consumer electronics giant Apple has the “bitten apple”; Google has its signature colour combination; and luxury car manufacturer BMW has the blue and white roundel. Aside from the products and services the aforementioned brands are wildly popular for, you can easily identity who and what they are without looking at the brand name,

Creating an effective visual representation of your brand is like formulating a visual message to your target market or audience. A logo may represent your history, ideals or personality. It can also be just a graphic image or initials of your company name.

just by a mere glance at their logo across all devices. And with the world expected to be connected to 1 trillion devices by 2015, it’s important that your brand engenders instant recognition, builds trust and stands out more than the rest! Let me repeat: 1 trillion connected devices by 2015! That is a lot of eyeballs to consider, and purchasing decisions are made almost instantaneously. OK, OK, I want an exciting brand, but how do I start to even go about making a world-beating visual identity? Well, visual branding involves design elements such as colour, composition, finish, shape

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and typography to create that unique visual representation of the business and brand. The recent passing of Steve Jobs, although tragic, highlighted what one man understood in terms of taking calligraphy as his inspiration for going back to the drawing board with visually eye-catching design and products, not to mention building a goliath of a brand instantly recognised via the Apple logo. Of course all logos and packaging must have distinctive graphic imagery representative of your business, bold design, be greatly associative to your business or brand name, and be easily readable and uncluttered. These elements, along with actual product use and quality customer service, contribute to an overall customer experience well worth spending a person’s cash advance and credit card swipe for. Creating an effective visual representation of your brand is like formulating a visual message to your target market or audience. A logo may represent your history, ideals or personality. It can also be just a graphic image or initials of your company name. Either way, a creative play of design elements puts your brand at the forefront of consumers’ minds. Packaging, textures, shapes, imagery and ergonomics, among others, also play important roles in the product’s or service’s overall impact. You want to be at the forefront of your target audience’s minds when they want to purchase a product or take advantage of a particular service. You also want your brand to be identifiable with your market’s lifestyle and status. All of this can be achieved when you create a brand icon that is exquisitely unique and memorable. Now I want to share this virally with my hundreds of friends across Facebook and Twitter and Linkedin and Foursquare and, and.....you get the picture!

Barry flaherty is grow Qatar’s digital media expert in London. he is an avid technology blogger and trend spotter, always innovating and driving solutions in all areas of digital media, mobile and technology around innovation. Barry has been busy crowdsourcing digital case studies for inclusion in a new book entitled The Best Digital Campaigns in the World, which was published earlier this year by Kogan Page, alongside the chartered institute of marketing. See more at http://www.growqatar.com

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locAL, and vocal With Internet penetration rate topping 66%, it is probably surprising that social commerce has not caught on in a bigger way in Qatar.

The

companies that have embraced the opportunities social media offers have in a very short time put a substantial gap between them and their non-social

competitors. In a study on Qatari companies that are utilising social media to reach a wider audience, by Digital Media Across Asia, Qatar Airways and AlJazeera are cited as brands that have constantly engaged with

customers through their social media sites. Qatar Airways (facebook.com/qatarairways) has close to 200,000 “likes” on FB, much of which was gained through their interactive campaigns online. AlJazeera English (@AJEnglish) has over 600,000 followers on Twitter. There are a growing number of companies in Qatar that are “connecting” with their existing and potential client base via social media. We speak to a few.

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Vodafone Qatar Clicks and Mortar @VodafoneQatar, facebook.com/vodafoneqatar

Khalifa

Saleh Haroon is Head of Interactive and Innovation at Vodafone Qatar and holds more than a couple of avatars online (ILoveQatar, for one). “It turns out that people trust brands that are on social media channels more than those that just use traditional media,” he says, speaking specifically about Vodafone. Social media, says Haroon, is basically anything that helps facilitate an online conversation. “So why is everybody talking about it? Probably because two-thirds of the world’s Internet population visit some form of social network. People now visit social sites more than they check their e-mails. In fact, people spend over 10% of all time online just visiting social networks. “When using different social media channels, always be sure that your message is clear and consistent,” advises Haroon. When did you first launch your social media campaign? We were on Facebook much before we opened our website or our store in 2008. We embraced social media immediately. We wanted to be in touch with our future customers and wanted to do it in a friendly way. Online initiatives are a high priority for Vodafone. We are a “clicks and mortar” company compared to a more traditional “bricks and mortar” company.

We don’t delete comments unless there is anything offensive to other users in it because we want to hear from our customers, whether it’s about something they like or a concern that they have.

Do you have a separate department that handles this, or is it integrated within your marketing department? We have an in-house online team but we also outsource development, which we manage. The team does have a reporting structure, and there is overlap or a dotted line with the marketing department. That’s because we handle the e-store, e-care, social media, the website, and fun online projects too. What are your key learnings from the social media interaction with your users/clients? I’d like to say that it’s about being honest while trying to make a personal connection with users. People on social networks are just that – social. They want to have a discussion, they want to share their opinions, and they want to be heard. We talk to people in exactly the

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quick look We have very few rules on our Facebook page. Our users are also a great way of giving us feedbacks.

same way we’d talk to a friend. We have very few rules on our Facebook page. Our users are also a great way of giving us feedback. We believe in bringing information to the users and have created the region’s first online top-up on Facebook and some great microsites for Ramadan and National Day, to name a few, and we interact with users on forums and Twitter. We’re where the people are. What’s easy, and what’s tricky, about these interactions? It’s definitely important to be calm, because comments on social media can bring out the emotional side of a person. It’s important always to provide service with a smile and understand where people are coming from. We don’t delete comments unless there is anything offensive to other users in it, because we want to hear from our customers, whether it’s about something they like or a concern that they have. How involved are your team and staff in your social media ventures? Our online team are always working on improving the social media experience for users. Whether it’s by integrating features on our website itself or creating tabs on our Facebook page. We’ve empowered product owners and key people in the company to jump in and answer questions on our Facebook page. So while we do have people, including myself, who take care of social media on a regular basis, if a staff member happens to be on the page and knows the answer to a question, we encourage them to answer it. It’s great that we have so much support from the whole organisation. Vodafone has definitely made a huge difference to how social media is used in Qatar.

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W DOHA WOWING ONLINE @wdoha, facebook.com/wdoha

W Hotel

got onto Twitter two years ago, and constantly engages with its customers. It recently hosted the city’s largest Tweet-Up with a turnout of 150. Edgar Vaudeville, PR manager, W Hotel, tells us more. Do you have a separate department that handles this, or is it integrated within your marketing department? As PR manager I am responsible for the strategy, but we created a specific position this year that we call “e-insider” and this person is now handling last minute requests on any of our social media. She is actually in charge of communicating to any department and acting within the same minute. W Doha was selected as one of the global Starwood Hotel Group’s most active on social media like Twitter. What are your key learnings from the social media interaction with your users/clients? It is very rewarding as we find out about their needs, expectations, the main issues they may have, their preferences, and of course, their favourite happenings or entertainment at W Doha. What’s easy, and what’s tricky about these interactions? Well, information goes straight to thousands of users immediately so it can be good or bad, but the most important thing is that we are able to reply directly to ensure good flow of communication. Bad comment can also be great as it is so informative and we are able to take action straight away to make things better. How involved are your team/staff in your social media ventures? They are involved on a daily basis, as we always have all our social media pages open 24/7, so as to be able to take action on the spot and amaze the guests with our speedy responses. We also created a W Doha Talent Facebook page to have open communication with

quick look W Doha was selected as one of the global Starwood Hotel Group’s most active on social media like Twitter.

our talents. It is so much easier for them to communicate with social media. Finally, in terms of marketing events, we can easily communicate all the hotel activities on social media.

FOUR SEASONS DOHA REAL-TIME INTERACTION @FSDoha, facebook.com/Four SeasonsHotelDoha

“We

believe ownership of a brand is shared because the communication relationship is now two-way. The winners in this new age are brands that let their fans define and syndicate them through creating, sharing, commenting on and liking content,” says Julian Crane, Director of Marketing, Four Seasons Hotel Doha, who heads the social media campaign at the

hotel, which was launched in 2010. Do you have a separate department that handles this, or is it integrated within your marketing department? The Public Relations team handles social media as part of the Hotel’s integrated Marketing Communications Plan.

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Brevity or Bluster? What are your key learnings from the social media interaction with your users/clients? Engaging with our fans is the key. It’s not just about posting interesting content such as fun facts about the destination, attractive images and videos, ongoing F&B and spa promotions and so on. It’s also about offering our fans a platform to share their photos and videos, ask us about the best spa treatments, menu recommendations and destination tips for when they are in town, and letting us respond accordingly. As we continue to incorporate social media into our day-to-day business, we see real-time interaction with our customers as an extension of Four Seasons’ service model. What’s easy, and what’s tricky, about these interactions? Brands need to communicate in an authentic and genuine voice. They need to constantly stay fun, interesting and engaging and that translates into knowing what your customers really want from you. Social media channels also open the door to instant feedback - be it positive or negative. In our industry, feedback is crucial as it helps us to meet and exceed our guests’ expectations. Moreover, social media channels like Facebook and Twitter let us reach an audience that is already receptive to our news as they have chosen to follow us. It also allows us to publicise material that need not necessarily warrant an inclusion in traditional media outlets but that is still interesting to our fans and followers.

How involved are your team/staff in your social media ventures? In the world of social media, because of its reliance on a multimedia format, content is king. You need to be able to constantly keep things interesting and vibrant – engage your fans and followers with pictures, videos, tips, links to interesting stories, competitions and so on. Finding and putting together content could require the input of anyone in the team – from the chef who shares his favourite recipe to the florist who shares her tips on recreating the amazing floral arrangements in our lobby. The team as a whole are the ones behind all the interesting content we share with our fans on Facebook and our followers on Twitter.

mathaf: art of socialising @MathafModern, facebook.com/mathafmodern

When

Wassan Al-Khudairi, Director of Mathaf, the Arab Museum of Modern Art, took the reins of the Museum, she wanted it to be in constant touch with the community. With the help of social media, Mathaf is in touch with the local community, engaging them in conversations and helping cultivate an art-appreciative culture in the country. When did you first launch your social media campaign? We launched our social media campaign in May 2010; since then we have brought on board a social media strategist and are actively expanding our team in this area. Do you have a separate department that handles this, or is it integrated within your marketing department? Social media is integrated into our marketing and public relations department. The messages we transmit through our social media channels are part of our overall communications strategy. What are your key learnings from the social media interaction with your users/clients? We have learnt that the combination of content and conversation is what makes you the king in social media. Engagement is the main driver for reaching new audiences and in retaining the existing ones. Community management requires around-the-clock work ethic, and analytics helps steer strategy in a successful direction.

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What’s easy, and what’s tricky, about these interactions? It’s easy to share content that does not require much engagement. What’s tricky is sharing content that drives discussion and sometimes even debates, for example a call to action where the user has to click a button to respond. How involved are your team/staff in your social media ventures? The marketing/ PR team are actively involved in social media on a daily basis, even on weekends!

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Brevity or Bluster?

"BRANDS not friends to consumers" A Silicon Valley-based Internet entrepreneur, Andrew Keen founded Audiocafe.com in 1995 and built it into a popular first generation Internet music company. An Internet evangelist he is not. The author of the CULT OF THE AMATEUR: How the Internet is killing our culture is now set to release his new book Digital Vertigo: An Anti-Social Manifesto, which is about the social media revolution. A Q&A with Qatar Today.

You’ve always maintained that the Internet and Web 2.0 debase culture. What about social media? In many ways, social media is no different from Web 2.0. It brings the same problems of narcissism, superficiality and mob ignorance. What most concerns me, however, about social media is the way in which it is destroying privacy and its herd-like culture which discourages original thinking. Culture evolves all the time. What if the Internet is just one influencer in that. Could your argument be a case of “things being better in the past?” My argument has sometimes been oversimplified by my critics. I’m not a Luddite and – as the owner of an iPhone, an iPad and a MacBook Air – I’m as dependent on digital technology as anyone. I also think that the Internet has made much of modern life more convenient and easy. For example, I like doing my banking online, I’m thrilled with e-readers and online newspapers and I’m also more than happy to dis-intermediate travel agents. That said, the Internet is far from perfect and I’m not shy to point this out – especially in the way it devalues the economic worth of professional artists and encourages “free culture”. Unfortunately, anyone who criticises the Internet in any way is labelled a reactionary. Brands are moving towards, or to a large degree including social media in their marketing. What’s your take on this? Brands should certainly include social media initiatives in their marketing campaigns. But they do need to be careful not to present themselves as “friends” to consumers. The more brands try to establish intimate relations with consumers, the more vulnerable they are when things go wrong. Maintaining distance with their customers is thus essential if brands are going to protect themselves in our viral age. What brands need to understand is that the Internet re-

flects the new primacy of the consumer in our knowledge economy. They no longer have the power they once had. And they have to alter their behaviour accordingly. Why are luxury brands joining this trend too? Isn’t it in conflict with their exclusivity? Yes, luxury brands need to be very careful with many inclusive social media networks like Facebook and Twitter. However, I expect that we’ll see the development of exclusive social networks that cater more to luxury brands – networks focused as much as keeping people out as including them. In this respect, luxury brands should be able to use the internet to compound their mystery and exclusivity. They shouldn’t be shy to build walls around their websites and products. This will upset the online mob, but will benefit them in the long run. What is of real value, and what is just a fad, when it comes to twitter, facebook and other social media sites? I have just finished my latest book, Digital Vertigo, which argues that the social media revolution is real and profound. And while there is certainly something faddish about a lot of the me-too social media start-ups, networks like Facebook, Twitter and LinkedIn are all of immense value. I’m particularly bullish about Twitter because of its ease of use and simplicity. It seems to be becoming part of the plumbing of the Internet and thus could ultimately be worth a lot more than its current $8 billion. I’m slightly less bullish about Facebook, especially at its $80 billion valuation. I fear they’ve hit a wall in terms of new members and I find their interface to be a lot less intuitive than Twitter. Also, I suspect, that many Facebook users don’t really like their privacy policies which are always liable to blow up in Mark Zuckerberg’s face. –Interviewed

by Vani Saraswathi

november 2011

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Brevity or Bluster?

digital iq of luxury brands From live streams of runway shows to an arms race on social media platforms, brands are seeking the halo of innovation that comes from inspired online programming, according to Scott Galloway, Founder, L2: A Think Tank for Digital Innovation.

The

recently published Luxury Digital IQ Index by L2 focuses on luxury fashion brands and their activities in the realm of social media. Galloway, who is also a clinical professor of marketing at NYU Stern, refers to a recent report by Fondazione Altagamma which indicates that site traffic and online buzz in fashion exceeds all other luxury categories with the exception of automobiles. “The industry has also been among the first to pilot marketing initiatives on Foursquare, Tumblr, and photo-filtering and sharing app Instagram. Some programmes could best be described as bleeding edge, including Ralph Lauren’s 4D building facade and Ermenegildo Zegna’s virtual store on the iPad,” he says, in the intro to the study. An interesting observation made in the L2 study is that most fashion brands still approach digital as a “series of pet projects rather than presenting a coherent multi-platform strategy”. Although 94% of brands in the Index have a presence on Facebook, one in five brands still lacks e-commerce capability. ROI-proven tactics such as e-mail marketing CRM and search engine marketing are underutilized, and site navigation is still an afterthought – 30% of brands lack basic site search. “There are two ways to build shareholder value: increase revenue and/or reduce costs. Managers tend to focus on the former when presented with new technology. 67% of EU

and half of American consumers claim they research luxury purchases online before buying, highlighting digital’s potential to drive and derive incremental revenue. However, social media’s true form may lie in the less romantic notion of significantly reducing the costs of, and addiction to, offline media,” writes Galloway. “Brands that establish direct relationships with their customers via social media platforms have the opportunity to excise the publisher’s tax. Burberry’s speculative investment in Facebook has resulted in more than 8.2 million fans – a more target-rich audience which is nearly seven times the global circulation of Vogue. “A lot has changed in our third annual Luxury Digital IQ Index. Press-darling Burberry tops the list, buttressing its social legacy with a site re-launch and mobile optimisation. Index newcomer Kate Spade demonstrates heritage isn’t everything, coming out of nowhere to nab the number two spot. And Coach and Gucci hold on to their Genius crowns. However, some industry icons continue to slip further behind.” L2’s thesis is that digital competence is inextricably linked to shareholder value. Key to managing and developing a competence is an actionable metric. “This study attempts to quantify the digital competence of 49 global fashion brands. Our aim is to provide a robust tool to diagnose digital strengths and weaknesses and help brands achieve greater return on incremental investment.” >> CONTINUED ON PAGE 71

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Brevity or Bluster? GREATEST YEAR-OVER-YEAR GAIN OR LOSS 2010 vs. 2011 Digital IQ Percentile Rank

+43% Donna Karan AVERAGE GIFTED Site revamp buttressed an already strong social presence. @DknY now boasts more than 360,000 followers and has expanded to Tumblr.

+43% Alexander McQueen CHALLENGED AVERAGE Untimely death + Royal Wedding + Exhibit at the Metropolitan Museum of Art = earned media trifecta. Brand capitalized through Tumblr launch and social media growth.

Digital iQ Index ®:

Fashion

+41%

kEY FinDinGS

Ermenegildo Zegna

CHALLENGED AVERAGE

Traffic Patterns

-17% Chanel GIFTED AVERAGE Mobile site launch isn’t enough to outweigh lack of e-commerce

-33% Prada AVERAGE CHALLENGED Italian fashion house still lacks an official Facebook page (although rogue page has 800,000+ fans). Standing still pushes Prada further and further behind.

-33% Armani

Social media accounted for more than 14% of the traffic going to and coming from fashion brand sites. Eighty-nine percent of this traffic was from Facebook. A linear regression reveals that there is a 0.59 correlation between the amount of traffic brands generate from and to social media platforms and Digital IQ, suggesting the importance of a multiplatform digital presence. Still, there are significant missed opportunities to link to social platforms to/from the brand site.

Sold on Social

Social media adoption in Fashion has exploded since L2 released its first Digital IQ Index(r) in 2009. Even more impressive than the penetration on the big three platforms is the velocity of community growth. From 2010 to 2011 the Facebook communities of fashion brands grew an average of 256% (or 2,271 new fans/day), while Twitter followers grew 469% (324 new followers/day), suggesting a network effect-as brand communities get bigger, they grow faster. Brands’ use of Facebook advertising, sponsored tweets, and other paid tactics to acquire fans and followers has also increased dramatically, particularly as both platforms have refined their ad products. The cost of CPC advertising on Facebook has skyrocketed 74% since 2010. While up 25% year on year, brand channels on YouTube remain the leastutilised social media platform. Although some Fashion brands have been successful on Want to know more about your brand’s ranking? YouTube, live-streaming their runway shows, it is repurposed CONTACT US broadcast media and/or celebrity-driven long form video that attracts views. Half of the most-viewed videos in fashion do not sit on an official brand channel.

GIFTED AVERAGE social media integration

3D virtual store iPad app Confusing site architecture launch pushes the limits of is more glaring as the Social accounted percent of the traffic in the innovation andmedia makes Zegna for more than 14 pace of innovation the only brand the industry increases. Social going toin and coming from fashion brand sites. Eighty-nine Index with an iPad-specific media growth has not kept percent of this traffic was from Facebook. A linear regression commerce offering. pace with peer group.

% of brands that link to the following S O C i A L M E D i A i n T E G R AT i O n platforms from brand site: 2011) % of Brands That Link(august to the Following Platforms From Brand Site: (August 2011)

reveals that there is a 0.59 correlation between the amount of traffic brands generate from and to social media platforms and Digital IQ, suggesting the importance of a multiplatform digital

+25%

-34%

presence. Still, there are significant missed opportunities to link to social platforms to/from the brand site.

Christian Dior AVERAGE AVERAGE From May to September, Facebook page grew from 700,000 to more than five million with no decrease in engagement and interaction. E-commerce launch is necessary to continue ascent.

+24% Salvatore Ferragamo CHALLENGED CHALLENGED Online trunk show launch customers to pre-order collection exclusively online. iPad app signifies the first step to a mobile strategy

73%

27%

Facebook Page

39%

Oscar de la Renta

61%

Twitter Account

GIFTED AVERAGE Brand comes in second overall in social media scoring,but drops this year because of scant updates to e-commerce site and lack of mobile presence

65%

35%

Blog / Tumblr

69%

-35%

31%

YouTube Channel

82%

Hermès

18%

Mobile Applications

GIFTED CHALLENGED Playful site continues to deliver on brand translation, but technology and functionality have become dated as peers have innovated

92%

Mobile Website

YES 94%

nGeolocal o v e m bProperties er 2011

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= YES = NO

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Brevity or Bluster? Share and Share Alike

Digital IQ Dispersion

The digital and ® social media explosion in Fashion has led to Digital iQ Index : a consolidation in the rankings. This year’s Digital IQ dispersion follows a normal distribution, with the Average ranks swelling from 20% in 2010 to 35% in 2011. Similarly, the standard deviation across brands tightened significantly, kfrom E Y39Fini2010 n Dtoijust nG S2011, suggesting that it is becom25 in ing increasingly difficult to differentiate. However, as innovation in the category has increased there Share and Share AlikeIQ class and the size of a brand’s ofis less correlation between fline business, digital provides a unique platform Fifty-seven percentsuggesting of affluent consumers report that informafor fashiononbrands with limited heritage andpuroffline media tion gathered social media influences their luxury 3 such as Kate Spade and Tory Burch, to punch above spend, chases. However, just more than half of fashion brands have their weight class.features on their product pages. Brands implemented sharing

Fashion

Fifty-seven percent of affluent consumers report that information gathered on social media influences their luxury purchases. However, just more than half of fashion brands have implemented Want to know more about your sharing features on their product pages. Brands utilising product social sharing registered more than double the traffic growth, year on year, of those that failed to incorporate sharing functionality.

brand’s r CONTA

product sharing % of brands withPand R O Dwithout U C T S hthe A R i following nG functionality on product % of Brands With and Without the Following Functionality on Product Pages: (august 2011)

(August 2011)

utilizing product social sharing registered more than double the traffic growth, year on year, than that failed to incorporate digital iqthose distribution

41%

59%

% of brands per digital iq class

sharing functionality.

Email Product to Friend

43%

57%

Tweet Product

Digital iQ Index : ®

Fashion 47%

53%

Facebook Share / Recommend API

kEY FinDinGS 73%

27%

Selling Is Knowing

Social Bookmarking

Although e-commerce for luxury goods is expected to have a

1 compound annual growth rate of 20 percent through 2015, 78% 22%

almost 20 percent of the brands in the study still do not sell API online. Furthermore, less than twoFacebook thirds of“Like” the brands without

e-commerce provide links to third-party online retailers. Brands that are e-commerce enabled average 19 percent more visits 10%

90%

per user.

Add This / Share This Plugin

Few brands meld the commerce and brand experience. Calvin Klein and Coach were the only brands to provide user reviews

All products on the John Varvatos product ratings at the time site are sharable acrossand multiple social media platforms percent of fashion brands offer

of data collection,2 and only six

with

live chat capability. On average,

fashion brands that are e-commerce enabled sell in 20 counwith out tries, with the U.S. being the most popular followed by Western European nations, China, and Japan.

e-commerce E -COMMERCE % of brands selling online in the following regions % of Brands Selling Online in the2011) Following Regions: (june - august

Selling Is Knowing

100%

51% 50%

november 2011

41% 31% 20%

25%

96%

20%

18%

12%

“Digital Luxury Experience,” Fondazione Altagamma, September 2011.

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72 Qatar Today

94%

78% 75%

Although e-commerce for luxury goods is expected to have a compound annual growth rate of 20% through 2015, almost 20% of the brands in the study still do not sell online. Furthermore, less than two-thirds of the brands without e-commerce provide links to third-party online retailers. Brands that are ecommerce-enabled average 19% more visits per user. Few brands meld the commerce and brand experience. Calvin Klein and Coach were the only brands to provide user reviews and product ratings at the time of data collection, and only six percent of fashion brands offer live chat capability. On average, fashion brands that are e-commerce-enabled sell in 20 countries, with the US being the most popular followed by Western European nations, China and Japan.

(June-August 2011)

“The Fashionable Affluent,” Unity Marketing, September 2011.

coverstory

Brevity or Bluster? Instagram: The Next Big Thing?

Photo-sharing and filtering app Instagram has taken the fashion world by storm. Most fashion brands use Instagram to provide a sneak peak into runway shows, photo shoots, and other events. Available exclusively for the iPhone, Instagram reports almost 10 million users. More than 20% of the brands in the Index are using the app, with Burberry leading the way with almost 85,000 followers Want (nearly 1% of all Instagram users to know more about your brand’s ranking? CONTACT US follow the brand).

i n S TA G R A M F O L LO W E R S (September 2011)

shion

vide a

84,314

Burberry

vents.

44,708

Kate Spade

ost 10

dex are

20,889

Marc Jacobs

7,167

Oscar de la Renta

3,904

Michael Kors Dolce & Gabbana

>> CONTINUED FROM PAGE 68 Marc Jacobs

tember 20, 2011.

0 8,

0 6,

22 00

Donna Karan

Christian Louboutin

Kate Spade

Louis Vuitton

305 114

Theory

Versace

3,415

591

4,724

Gucci

brand).

5,000 fol-

Courting Dolce & Gabbana Louisbloggers Vuitton Christian Donna Karan Gucci Michael Kors Theory Versace Coach and DonnaLouboutin Karan have been at the forefront of investing in relationships with bloggers. Legacy programmes, including Holiday 28 Blog-A-Day (December 2009) and the Poppy Project (August 2010), demonstrate Coach’s long-standing partnership with these digital influencers. Ongoing projects include monthly appearances by guest bloggers on the brand’s site and leveraging these style journalists during product launches, such as the recent 1973 Duffle Bag reintroduction. In conjunction with Fashion’s Night Out in September, Coach commissioned seven top fashion bloggers to style themselves with the bag, later featured in a limited edition broadsheet at the FNO event and online. Donna Karan elicited the support of top fashion bloggers to extend the shelf life of its 2009 “Cozy” cardigan, which has its own award-winning mobile app. In December 2010, the brand hosted a Cozy Style-Off in its flagship store, challenging bloggers to create novel looks using the diversified sweater. The looks were published on the DKNY Facebook page, where fans and the bloggers’ followers could vote for their favourite look. Most recently, the brand joined forces with bloggers to capture their Cozy creations. Using the Pose mobile application and Instagram, the photos were then shared on Facebook, Tumblr and Twitter under the #DKNYCozyLV hashtag. Live streams The practice of live-streaming runway shows continued to gain momentum this season, and more than 50 collections could be seen online during New York Fashion Week, with countless more shows from London, Paris, and Milan. Oscar de la Renta added a new dimension

to the experience by incorporating real-time crowd sourcing into its Spring 2012 show. Fashion show attendees and home viewers were encouraged, through Facebook, Twitter and Tumblr, to take photos and upload them to odlrlive.tumblr.com with the #odlrlive hashtag. A mosaic of these pictures served as the background leading up to and throughout the live stream, providing unique vantage points for viewing the show. More than 2,600 tweets featured the #odlrlive hashtag, and the brand instantly saw boosts in its number of Facebook fans and Twitter and Instagram followers.Oscar de la Renta was one of the first fashion brands on Tumblr and continues to work the platform to cost-effectively provide interactive experiences for its fans. Burberry opted to use the Twitter platform for its Fashion Week agora. In addition to live streaming on Facebook and YouTube, the brand tweeted runway looks from its S/S12 show seconds before they debuted on the catwalk. Guest tweeters took over Burberry’s Twitter accounts across the globe and the brand trended worldwide. $15 billion in four years Online sales of luxury goods may climb 20% a year by 2015 as producers build networks of potential customers on social media websites such as Facebook.com, according to a study published by Italian luxury trade group Altagamma. Currently, online sales of luxury goods still only account for 2.6% of a market worth nearly $224 billion. “The explosion of social media and the increasing investments in the online channel by luxury companies has reinforced and enlarged the community of those who explore, comment upon and eventually purchase luxury goods,” Milan-based Altagamma has said. Revenue from fashion, jewellery and other luxury products is likely to reach ($15 billion in four years, the report from Altagamma shows. Luxury companies are more than doubling their “friends” on Facebook annually in recognition of the link between online and offline purchases, according to the report. At least half of consumers in Europe, the US and China form an opinion or seek information online before buying in a store, while most online luxury sales are preceded by a boutique visit, Altagamma said. Burberry Group plc, the UK’s largest luxury goods maker, gets “the most reach and most response” from digital initiatives compared with other media, Burberry Chief Financial Officer Stacey Cartwright told analysts earlier this year. Blogs The web’s influence on perceptions of luxury goods is strongest in China, where fashion blogs are the source of opinion for 58% of consumers, compared with 27% of their counterparts in Europe and the US, the report said. China also has a higher penetration of online purchasing. 78% of Chinese buy luxury goods online, compared with 56% of Europeans and 46% of Americans, “mainly because they wish to avoid interactions with sales personnel or their insistence,” Altagamma said. The study included surveys of 187 companies with total revenue of $82.1 billion, interviews with 1,500 consumers and analysis of 450 websites in seven countries

This article carries excerpts from the L2 Digital IQ Index: Luxury (reproduced with permission). The entire report can be accessed at http://www.l2thinktank.com/luxury2010digitaliq/

november 2011

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America knocks for young Qataris A number of organisations in America are trying to foster healthy US-Arab relations, but the National Council on US-Arab Relations (NCUSAR) in particular, is focused on educating young Americans using practical methods. They are now promoting an initiative here which will encourage young Qatari patriots to experience their culture through internships and debating forums.

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By Rory C oen here’s an endemic perception among American youths about Arab culture and this region. It’s an issue which might not bother most Americans, but for those who have spent a considerable amount of time in this region, this lazy perception can be a source of embarrassment. Dr. John Duke Anthony first visited Qatar prior to its independence in 1971, and subsequently wrote a chapter (one of the first American-authored publications in English to appear on Qatar) in his book Arab States of the Lower Gulf: People, Politics and Petroleum. Since then, he has spent a significant amount of his time in this region and developed a strong opinion regarding these ignorant perceptions that were being fostered in the US. The National Council on US-Arab Relations (NCUSAR) was founded in 1983 to combat the problem – as Anthony saw it – through the most potent weapon available to him, education, and the association has gone from

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strength to strength ever since. Its mission is defined as ‘seeking to enhance American awareness, knowledge and understanding of the Arab countries, the Mid-east and the Islamic world through education’. Vice President of NCUSAR Amy Greenlee explains: “It really was by the relationships Dr Anthony built up here in the region, and through his regular visits back to the US, he garnered this impression that young Americans needed to be educated about the Arab world. They needed to have the correct facts about policies, politics and general life here. Not necessarily Islam.” Qatari Internships After years of promoting this organisation in the US, NCUSAR is now striving to develop it here in Qatar. Greenlee is working on an initiative to help young Qataris understand American culture, see what it’s like to work there, and leverage this experience in their careers thereafter. “Our summer internship programme hosts 35 college students in Washington, DC, and we accept international students as well as US students.We place these students with organisations focused on Middle East developments and US relations, where they are required to work 35-40 hours a week. “I am working on a Qatari student-specific internship programme in Washington, DC, and ideally in time we would certainly like to host US students in internship positions in Qatar. The Qatari Ambassador to the US, HE Ali bin Fahad Al-Hajri, has expressed an interest in being supportive of this. One of my goals is to encourage the patriot students here in Qatar to work for a summer in the US. One area in particular we are focusing on is journalism at the Washington Post or Al Jazeera English. “However, there are many suitable organisations which are happy to accommodate Qatari students, such as ANERA, AMIDEAST, Al Jazeera English, Al Jazeera Arabic, the Middle East Policy Council, Qatar Airways, the League of Arab States, the Embassy of Jordan, and the Center for Contemporary Arab Studies. “This programme would give young Qataris a well-grounded, fully-informed way of looking at things. To bring them to DC and place them with cultivated organisations, they get to understand and appreciate how Americans do their business and gain a better understanding of the way they operate.” The students are expected to attend

Founded in 1983, the NCUSAR is an American non-profit, non-governmental, educational organisation dedicated to improving American knowledge and understanding of the Arab world. It is not a membership organisation; its supporters are primarily philanthropists, individuals, and institutions in the United States and the Arab world that have hosted or participated in one or more of the Council’s programmes.

lectures every week at George Washington University – often given by Dr Anthony – which are focused on the Middle East, while special field trips are arranged to bring variety to the learning process. In the past, the students have visited the White House, the Office of the Defence Attache of the Arab Republic of Egypt and the Islamic Centre of DC (the National Mosque).

“This programme would give young Qataris a well-grounded, fully-informed way of looking at things. To bring them to DC and place them with organisations, they get to understand and appreciate how Americans do their business and gain a better understanding of the way they operate”

Model Arab League The Council’s flagship event is their ‘Model Arab League’ which is mirrored from the ‘Model United Nations League’, and they hope that they can try something similar in Qatar in 2012. It gives students a real chance to research an argument and understand why a particular Arab nation might take a certain stand. “Since the Council was founded, 35,000 students have participated in it,” says Greenlee. “We have a national competition twice a year at Georgetown University for 2,000 high school and university students. “Team of students from each high school, from each university, represent an Arab country and they must decide how that country might debate an issue that is before them. Whether it is political, or regarding the environment or economics, we teach them how to debate, how to write a resolu-

tion. We take students into the Model Arab League regardless of their major, and it really empowers them to be leaders in their field. “I’m sure the debates have been much more interesting and heated since September 11, 2001. Most of these students have lived their lives in the aftermath of this tragedy, so it’s very much engrained in them. Thankfully, since then, they’ve had the opportunity to learn more about the Middle East and the Arab World, which have made them a little bit more informed.” Art and Film Greenlee is looking to diversify the programme a little in Qatar, and has some interesting ways of extending the message. She’s an advocate of using art and film as a medium of translation, and has been working with some groups on ways to help her with her vision. “An area of interest that I have personally and professionally is art and film,” she explains. “I believe they are a way to educate and open minds, and the National Council is supportive of education in many forms. Film can be one of those ways to capture people of all ages and engage them in dialogue. “A good friend of mine is currently in post-production in Los Angeles with her film Mars at Sunrise, which depicts the relationship between an Israeli soldier and an imprisoned Palestinian painter. The National Council will host a screening of it and a question and answer session with the writer, Jessica Habie, afterwards. The film stars Ali Suliman (who starred in Paradise Now) as Khaled, Guy Elhanan as Eyal and Haale Gafori as Azzadeh. The director’s passion behind this film stems from seeking peace through art, not war, guns or violence. “Something else we are trying is a documentary about a member of the Saudi Arabian royal family journeying through eight states in America’s mid-west. A ‘MiddleEast meets mid-west’ type show. Over the next five years we’ll be engaging in all areas, because we are focused on policy, education and culture, because I feel there is so much to be found in art and films.”

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Are you Gamified Yet? The trend of neologism is on THE rise in the world of technology. We need new words to interpret new ideas. We had the Internet, Websites, Blogs, Web 2.0, Social Media, Tweet and now Gamification.

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amification” is the new buzzword and predictably the future. It’s coming soon to your gym, your job, your government and even your doctor. In fact it has already arrived in the world of financial services, and is used by marketers to engage customers online. As defined on Wikipedia, “Gamification is the use of game play mechanics for non-game consumer technology applications (also known as ‘funware’), particularly consumeroriented web and mobile sites, in order to encourage people to adopt the applications.” The corporate world is realising that “Gamification” is an effective way to generate business using the same mechanics that keep gamers glued to their televisions/ laptops. Gamification involves the application of game design thinking to non-game applications to make them more engaging. A popular example is something on the lines of earning points and setting goals with Nike+ to motivate you to exercise more.

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Some other examples of Gamification

1 Linkedin “Progress Bar” This is a simple example of gamification by encouraging users to complete their profile to 100%, with a progress bar that is visible while editing the profile page.

2 Xbox Live “Achievements and Leaderboards” Microsoft truly connected with the gamers when it rolled out achievement points. Gamers can earn a certain level of gamescore by completing few specified tasks in the game.

Since the inception of videogames, people have questioned why gamers spend hours to reach to that final stage of the game, working towards intangible rewards. The study of human behaviour shows that incentives offered for completing a task, tend to be addictive. Take for instance, location-based website, Foursquare. The mobile app encourages people to share their location wherever they are. Users try to check in to locations several times to receive one of several badges offered by the site. The entire experience of achieving the “Mayor” status of a particular location gives users immense pleasure. The commercial side of this is that many retailers give

3 Gamification Wiki was created in November 2010.

If “gamified” businesses, programmes and products are implemented they

Since its creation, the word "Gamification" has surged in popularity. It has become one of the hottest topics discussed amongst marketers and developers in the world.

will mutually benefit the company and the consumer.

their customers discounts/freebies upon achieving a “Mayor” badge (or any other badge prescribed by the retailer). Dominos Pizza in the UK offers an exclusive discount to anybody who checks into one of their outlets frequently and becomes Mayor of that outlet. Mint.com transformed the financial services into a gaming experience. Want to go to Bali for your next vacation? Select that option from a drop-down list of rewards on the website, and as you save your deposits toward achieving the desired target, a gauge fills, showing you how close you are to your next vacation. Mint is making managing one’s money more fun with a unique approach.

A regional example is RAK Bank in the UAE, which recently launched games on its website to engage customers with its brand and indirectly inform them of its products. However, Gamification is still in its infancy. The gamification of services/products should not be just restricted to points like programmes. Users may reject gamification as with any other loyalty programme. Points/badges are part of a game awarded to customers for completing a task. Once this phenomenon is mature, a game itself must be able to give the player a choice to take a decision that will result into a reward. For example, choosing an XM8 Lightweight Assault Rifle versus an AK-47 could help the player to win a game resulting in a reward

www.twitter @kapilkb. He is an avid blogger @ http://iwep.blogspot.com, and an amateur photographer @ http://earsplease.blogspot.com

By Kapil Bhatia Kapil Bhatia is an E-Business Manager, working in the Financial Services Industry for the past 10 years. His work ranges across Digital Marketing, e-Channels and development of marketing strategies, with a sound Information Technology base.

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GREE N S CE N E

GPS HOLDS ORIENTATION EVENT Schools positive about the programme

Around 30 schools were invited to the Orientation event for the Green Programme for Schools (GPS) that was held at the Msheireb Enrichment Centre. Present at the event were Ravi Raman, Vice President, Oryx Advertising Company and Jawaher Al-Khuzaei, Communications Manager of Msheireb Properties along with students and representatives from several schools.

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uring the event, attendees were taken through an informative presentation on the entire programme that included registration procedures, implementation and strategies for monitoring and analysis of the school’s performance. They were also given a preview of how the visual elements such as stickers and suggestion boxes would be placed around the campus. In addition, the GPS Facebook page will be a common platform for schools to share their eco-friendly initiatives and achievements with other schools. “We are pleased to be a part of this programme, and we hope that this will be the start of something big and that it will grow and expand over the years. We plan to hold a presentation in school for the staff and students to reinforce the idea of water and energy conservation. Also, being active via Facebook is an asset to us; it will encourage us to do more,” said Jenni Gratze, a teacher from International School of London (ISL) Qatar. “This is a great idea for schools to connect, and for us to work as a team and learn how each school is going ahead with the programme. Putting the creative stickers up will help to emphasise turning the lights and taps off in school,” said Jonathon Harwood, a student from ISL Qatar.

GREE N S CE N E

Jawaher Al-Khuzaei,

Ravi Raman,

Communications Manager of Msheireb Properties

Vice President, Oryx Advertising Company

Students an representatives from several schools at the GPS Orientation Event.

“It’s a very innovative programme that will encourage us to work further for the environment. It is great that there are many schools participating; we can do much more together than we could do individually. Also, facebook is a good idea to let other people participate as well; social networking can be a huge driving force for this programme,” said students from the Eco Club of Doha Modern Indian School. “GPS will be very interesting for the stu-

dents as it is a serious topic that will be executed in a fun way for students. It is also beneficial to schools as it will help us to reduce electricity and water consumption,” said Letha Jacob, Principal of Shemford Noble International School. “We have been running eco-friendly activities in our school for which we have won an award too. GPS will further help in supporting and strengthening our environmental campaigns. The stickers that we

have received are very creative and colourful. It’s good to attract students’ attention and make them aware,” said a staff member from Gharnata School. The GPS is an initiative of Msheireb Properties in association with Qatar Today magazine. This initiative is supported by the Supreme Education Council. Qatar Green Building Council is the consulting partner; ILQ is media partner and Mission 20 is the activation partner

To know more about the programme,

visit the GPS page at http://www. facebook.com/GPSQatar. To know more about GPS,

contact 44550983

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braking news

THE SMART LAUGHS ARE THE HARDEST

GM Middle East registers successful third quarter

eneral Motors (GM) Middle East reported total sales of 35,565 vehicles for the third quarter of 2011, up 21% compared to the same quarter in 2010, thus representing its 12th consecutive month of double-digit sales growth. The growth was recorded throughout the region for the company’s line-up of passenger cars, crossovers, sport utility vehicles and pickups across its three brands: Chevrolet, GMC and Cadillac. “To achieve 12 consecutive months of double-digit growth and to increase third-quarter sales by 21% is an incredible achievement. It is testament to the investment we, and our dealer partners, are making to ensure we introduce the very best vehicles to the region combined with an unrivalled customer experience,” said John Stadwick, President and Managing Director of GM Middle East Operations.

Lamborghini’s flag of glory

arking Italy’s 150 years of unity, Lamborghini will carry celebrations to the Dubai Motor Show by displaying its three new models – the Gallardo LP 570-4 Spyder Performante, Aventador LP 700-4 and Gallardo Super Trofeo Stradale - in green, white and red respectively, depicting Italy’s national flag. The Aventador is the new benchmark for super sports cars. With a V12, 6.5 litre engine outputting 700 hp at 8,250 rpm and 690 Nm of torque at 5,500 rpm, it combines lightweight

engineering with exceptional torsional rigidity and safety. With acceleration from 0-100 km/h in just 2.9 seconds; a push-rod suspension system derived from F1 technology, and an E-gear transmission providing gear shifts, the Aventador provides extraordinary handling and performance. Meanwhile, the Gallardo Super Trofeo Stradale brings the excitement of the race track directly to the road. The V10, 570 hp engine returns a power-toweight ratio of just 2.35 kg per hp, reaching 0-100 km/h in just 3.4 seconds and with a top speed of 320 km/h.

Most powerful convertible from Chevrolet

he 2013 Camaro ZL1, according to Chevrolet, will be the most powerful convertible ever, and will deliver more performance and technology than many exotic cars and ultra-luxury convertibles. The model, which makes its debut at the Los Angeles Auto Show this month, will go on sale in late 2012.

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The Camaro ZL1 features a supercharged 6.2L “LSA” engine at 580 hp and 754 Nm of torque. Its power is complemented by advanced powertrain and chassis technologies. Strategic reinforcements help to quell the cowl and steering wheel shake and improve noise and vibration characteristics, while also reducing unwanted ride and body motions. The convertible will also offer performance traction management as standard equipment, which is exclusive to General Motors. It is an advanced system that integrates magnetic ride control, launch control, traction control and electronic stability control, to enhance both launch-acceleration performance and cornering. Above all, the fifth-generation Camaro is designed to accommodate a convertible model, which gives the ZL1 convertible coupe-like driving dynamics.

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SLS Roadster marks the jubilee of NBK and Mercedes-Benz

ercedes-Benz and Nasser Bin Khaled (NBK) commemorated their five-decade illustrious track record in Qatar with a gala evening that launched the SLS Roadster, the latest super sports car from Mercedes-Benz. NBK Chairman HE Sheikh Nawaf Nasser Bin Khaled Al-Thani said: “Commemorating 50 years of growing success is a solid testament to our team’s efforts to uphold our core philosophy of true commitment to our brands. Mercedes-Benz and NBK share similar underlying values which have played a central role in turning our group into Mercedes-Benz’ sole and preferred partner in Qatar. NBK combines unparalleled market acumen with internationalism in standards in line with what Mercedes-Benz expects from its partners worldwide, and this jubilee highly accentuates this fact.” NBK Automobiles General Manager Khaled Shaaban said: “The launch of the 2012 SLS Roadster is our commitment to be at the forefront of Mercedes-Benz partners, leading with innovation. Thanks to a unique technology concept and spectacular design, the SLS Roadster sets new standards in the supercar segment. It is sure to arouse the interest of performance-focused car enthusiasts in particular.”

Land Rover celebrates in style, on screen

elebrating the launch of the new Range Rover Evoque in the Middle East region, Land Rover collaborated with Range Rover Evoque Brand Ambassador and City of Life Director Ali Mostafa to create a thrilling and exciting online film series –Classified. Shot in a mix of Arabic and English with subtitles, the story follows the adventures of three friends – Adam, Badr and Fadi – in a variety of dramatic situations, played out over five episodes that were shot on location in the region. The Range Rover Evoque is subtly featured throughout the series in a variety of thrilling scenes. Jaguar Land Rover MENAP Managing Director Robin Colgan said: “With the Range Rover Evoque we are targeting a completely new type of urban, stylish consumer. Our goal with this online series was to create compelling content which would engage and excite this new audience, and make it accessible for them to consume and share.”

Go green with EN-V

n line with the vision of General Motors to meet the growing demand for safe, connected, zeroemissions personal transportation, Chevrolet has begun work on the next-generation EN-V concept. “For 100 years, the Chevrolet brand has been focused on making advanced technology that improves customers’ lives accessible and affordable, and the Chevrolet EN-V will continue that tradition,” said Chris Perry, Chelrolet's Vice President, Global Marketing and Strategy. The award-winning Chevrolet Electric Networked-Vehicle

(EN-V) is a zero-emissions vehicle powered by lithium-ion batteries. Recharging from a conventional wall outlet using standard household power allows EN-V to travel at least 40 km on a single charge. The next-generation concept will add new features such as climate control, personal storage space and all-weather and road condition operation while preserving key elements of the original EN-V, such as the small footprint and manoeuvrability. It will also retain its battery electric propulsion, connectivity and autonomous driving capabilities.

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M ARKET WATCH

From setting the pace to joining the race 40 years of communication

Founded in 1971, Action Global Communications, based in Nicosia, has been a witness to dramatic changes in the media and the associated evolution of PR practices. A full-service public relations consultancy, it completes 40 years of operations.

“In the late 80s my vision was to build a business that was to become the first full-service public relations consultancy in the emerging markets. Now those same emerging markets are not only the focus of global attention but also drive the global economy,” says Action Group Founder and CEO Tony Christodoulou. “As the company grew we found that, while we offered our clients effective communications combined with strong local knowledge we also had to help educate local media and other influencers to understand the value of what we were doing.” Action has been in Qatar since 2004. Christodoulou talks about the four-decade journey to Qatar Today . Tony Christodoulou Action Group Founder and CEO

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M ARKET WATCH

Know your client’s business as if it were your own Make your communications strategic and structured

SIX-point PR master class

Monitor and be knowledgeable about the environ ment that your client operates in Be flexible with your communications strategy to meet changes in that environment

Always be available Be innovative, creative and effective - really deliver results

First, congrats on the 40th anniversary. Can you recall the first campaign or client meeting you had? The first campaign I ran was to promote the British Overseas Airways Corporation (BOAC) flight from Cyprus to the Seychelles, when the first international airport was opened on the island of Mahe. BOAC were the only airline serving the island using four-engined VC10s, which were then considered among the most luxurious planes flying. At the same time we were also asked to promote and build the image of the Seychelles in Cyprus and the Middle East. Parallel with this campaign we were promoting the direct BOAC flight from Cyprus to East Africa and Mauritius. In fact even before we opened Action we not only had BOAC as a client but also, since there was no such thing as conflict of interest in those days, we were promoting Pan Am’s Round the World flight – Pan Am Flight 01 – as well as Middle East Airlines. The first client meeting I had was with BOAC’s Regional Director, who was based in Rome. Even though 40 years have passed, and although he has now retired, we still keep in regular contact. You launched at a time when TV and Radio were also gaining momentum. How did you balance this? We have always maintained strong and effective relationships with all types of media. I am proud to be able to say that many of the Action team are ex-TV, radio and print journalists, which gives them useful insights into the media world and has meant that our clients benefit from in-depth analysis and positive coverage whatever the media concerned. Of course now we are facing the increasing importance of social media which has created a host of new opportunities. The trickiest part of PR is managing news that is not so good. Some of your oldest clients, due the cycles of the

trade, have had tough moments (e.g. BA). Can you talk a bit on what PR firefighting involves, and the lessons you’ve learnt over the years? The first and most important lessons when it comes to handling crisis situations are preparation and planning. By being ready for a potential crisis you are in a far better position than being caught on the hop. So being prepared is the most important lesson and we call this crisis communications preparedness. The aviation industry applies what it calls “the golden hour” in crisis situations, which gives all concerned just one hour to react and start communications. Middle East PR activities draw a lot of flak for lack of professionalism. As a member of MEPRA what are your thoughts on this? Yes, I am afraid it is a fact that some PR companies have behaved unprofessionally. When we started in the Middle East and Eastern Europe many journalists didn’t understand PR and thought that it was advertising. But we persevered and slowly, slowly, we taught the media to appreciate and understand what PR was about. Action is one of the founder members of the Middle East Public Relations Association and so we play our part in ensuring that the highest standards of professionalism are maintained at all times. The Action team are trained and experienced enough to ensure that they do not lack professionalism. Can you give a decade-by-decade highlight of what Action has witnessed in terms of changes in media? In the 70s and early 80s we saw the first changes as many countries allowed privately owned radio stations to set up alongside their state-owned radio. The 80s saw more press freedom in many countries and continued growth in privately owned radio, TV and print media. Of course the 90s saw the start of the Internet and in the past eleven

years there has been a mushrooming of specialist media, a decline in some traditional print media and of course the new phenomenon of the fast-growing social media, creating almost instantaneous communications around the world. Four decades ago it could often take up to a day or more for news to break. Now with the Internet and social media, international news flow has been transformed and news stories, especially crisis stories, are being reported around the world literally in a matter of seconds. We are now in an era where traditional practices - both PR and advertising - are under fire with the emergence of social media. How has Action embraced this change? Can you elaborate on any campaigns you’ve launched tying in social media? Emerging platforms for online collaboration have fundamentally changed the way we work, offering new ways to engage with customers, colleagues and the world at large. Social media has taken off in the Middle East and provides a wonderful new channel of communication. Action is at the forefront of this development and we offer our clients a full range of digital services, from online planning and strategic counsel to content creation and distribution. Recent social media campaigns we have run in the Middle East include creating and managing all the social media for the Abu Dhabi International Triathlon to make it an instant classic on the global triathlon circuit, managing ongoing social media for the new Kuwaiti Missoni Hotel, Jacky’s Electronics, HTC mobile phones, tourism developer TDIC, and creating and managing social media for the UAE government entity, the Urban Planning Council. We also managed the first use of social media in the Middle East for the UK-based MD of Rolls-Royce follow

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MARKET WATCH

DOHA TRIBECA FILM FESTIVAL

GCC spending on luxury goods

hisham almana VISIONARY OF THE YEAR - ARABIAN BUSINESS ACHIEVEMENTS AWARD 2011

rabian Business held their annual Business Forum and Awards ceremony in Qatar in September. Leaders from various organisations in Qatar attended this ceremony. Arabian Business awarded Hisham Almana, the Visionary of the Year Award 2011 for the automotive field. The Middle East is emerging as one of the most promising economic regions with consumer spending being amongst the highest in the world. With the GCC population and economic growth forecast to remain above

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the global average, this trend isn't expected to change any time soon, as consumers flock en masse for luxury goods. In the Gulf region, the high consumption of luxury goods per capita is driven by age (50% of luxury purchases are from customers under 30 years of age), a high income with a high purchase frequency, a strong appetite for novelty, and a tendency to change high-tech items and fashion brands irrespective of any particular need to do so. Indeed the region is seen as a source of growth for luxury companies. Business Monitor International (BMI) is forecasting the UAE luxury goods market to grow 30% by 2015 and Saudi Arabia to grow by 20%. Data from BMI shows that Saudi Arabia was the 13th biggest market globally for luxury goods in 2010, with annual sales of QR11.38 billion. Sales in the UAE amounted to QR8.54 billion. Qatar's economy surged by 28% in the first quarter of 2011 and its growth outlook looks very strong going forward. The banking sector remains profitable and well capitalised and the nation's plan to diversify from its traditional hydrocarbon-based economy will further promote its retail spending.

Beyond the Superlative: "Pour le MErite"

he fourth “Pour le Merite” timepiece presented by A. Lange & Soehne in a limited 15-watch edition is a manifestation of artisanal virtuosity at the highest level. The case in honey-coloured gold accommodates two complications – a fusèe-and-chain transmission and a tourbillon – both designed explicitly to achieve the highest degree of precision. Inspired by a historic predecessor, this regulator takes horological artistry to a new level that merits the attribute “Handwerkskunst”. With exquisite dial and movement decorations, the Saxon masters demonstrate impressive new facets of traditional craftsmanship. Concurrently, the case in honey-coloured gold stands for the brand's firm resolve to leverage technological progress in the interest of the discerning owners of Lange watches. With a Vickers hardness of over 300 HV, the innovative gold alloy is about twice as hard as yellow gold. This extraordinary collector's item is limited to 15 pieces that are available exclusively at the five A. Lange & Soehne boutiques in Dresden, Shanghai, Tokyo, Seoul and Hong Kong.

M ARKET WATCH

CGC achieves Excellence Award from Cisco

onsolidated Gulf Co. (CGC) has achieved Channel Customer Satisfaction Excellence Certification from Cisco for its commitment to the success of customers in the country. This certification is the highest distinction a Cisco partner can accomplish within the Cisco Channel Partner Programme. Anil Mahajan, COO, CGC, said: “This feat is yet another testimony and recognition to

our commitment, quality of solutions and services to valued clients. As the trusted partner of Cisco, we at CGC are fully dedicated to highest networking competency, service, support and customer satisfaction set forth by the global networking giant. This achievement reinforces our commitment as a trusted local technology partner and facilitator in helping customers accelerate productivity and growth, gain and keep a competitive advantage besides being

exposed to the latest technology,” he added. “Cisco is pleased to recognise and congratulate CGC for achieving Cisco Channel Customer Satisfaction Excellence,” stated Mazen Raad, Regional Channel Manager at Cisco Qatar. “Now, CGC will be identified as having achieved outstanding customer satisfaction as part of Cisco’s worldwide assessment process. This excellence is a core value we both share and a key driver of our current and future success.”

MEDIA AND COLLECTORS EVENT IN PANERAI BOUTIQUE

fficine Panerai – in collaboration with Ali Bin Ali – presented the Luminor Submersible 1950 3 Days Automatic watch in bronze to key media and selected collectors from Qatar in Panerai Boutique, Villagio Mall last month. For the first time, the new model uses a unique case which marks the historic development of the Radiomir case: the Luminor 1950 3 Days 47 mm. The Luminor 1950 of the new model, executed in polished steel in the classic size of 47 mm, has a rounded, cusp-shaped case-band, directly descended from the cushion design of the case, which is characteristic of Radiomir watches. Other details concern the flat back with the large sapphire crystal window which enables the manufacture movements to be seen; the slightly narrower lugs which give greater impetus to the whole; the Plexiglas crystal and the engraving of the reference between the lugs.

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M ARKET WATCH

TIMEX launches new Quartz Technology

arzooq Al Shamlan & Sons (MSS) recently announced the launch of Timex, Revolutionary Intelligent Quartz technology. The Intelligent Quartz technology platform encompasses independent motors, digital sensors and microprocessor technology making it incredibly flexible and capable of displaying an array of information. K.V. Ravi, General Manager, Marzooq Al Shamlan & Sons, said: “With our insistence on the highest quality in all our timepieces, we are confident that customers who visit our stores will be more than happy with the Timex Intelligent Quartz watches which range from the Timex Traveller Series World Time collection designed for seasoned travellers and watch connoisseurs alike to the elegant and timeless style of Timex T Series Perpetual Calendar.” With prices ranging between QR600

and QR1200, Timex Intelligent Quartz is retailed exclusively in Qatar through the stores Crono, Crono fashion and Watch Corner stores of MSS and also available at the Qatar Duty Free.

Brand Fiesta at Hyatt Plaza

yatt Plaza shopping mall launched its exclusive sales promotion “Brand Fiesta” on October 8, which offered customers unique opportunities to win gift offerings. Every customer who shops for a minimum of QR100 from any outlet in Hyatt Plaza receives a raffle coupon and is entitled to take part in a lucky draw. Brand Fiesta features ten lucky draws each week and entrants stand to win elegant accessories such as sunglasses, perfumes, watches and jewellery from brands such as Swarovski, Armani, Cartier, Aigner and Mont Blanc. “We believe this promotion will give yet another reason for our valued customers to continue shopping at Hyatt Plaza,” said Feroz Moideen, General Manager, Hyatt Plaza. Customers can shop and win these prizes until November 12.

Toywatch showcase their new selections

oywatch unveiled their latest selections at the W Hotel recently where they were on display. Included were their Jelly-Looped, and Velvety (pictured) and their Jelly and Total-Stone collections. Their Jelly and Jelly-Looped watches (pictured right) have rubber straps where the customer can exchange the different flashy colours. They come with or without stones and in two sizes, small and medium. The Jelly-Looped watches are different from the normal jelly alternative where the customer can have a different colour strap on each side of the timepiece. The velvety collection is known for its super-soft silicone rubber finished strap that has a brushed velvet-like feel. This watch is available in eight chic colours including black/white. Total Stone watches feature pave crystal dials, bezels with crystal baguettes and stones throughout the band. All crystals are Swarovski.

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sports file

Get set

for Arab Games

DOHA 2011

Come December and 8,000 athletes and officials from surrounding Arab nations will be in Qatar to be part of one of the most anticipated sporting events to take place in the Arab region.

s the defining moment for Arab sport draws near, a total of 25,000 people, including those employed with the Arab Games Organising Committee (AGOC), volunteers and contractors, are working towards delivering a spectacular and memorable Arab Games. Workforce Director, Saadoun Al-Kuwari, provides an insight into the diverse and highly competent workforce formed for Arab Games Doha 2011. “The upcoming Arab Games will set new standards for sporting activity and events in Qatar,” says Al-Kuwari. “I am very proud to be associated once again, with an event that has brought new skills, challenges and goals for me personally and for Qatar as a nation,” he says.

The Workforce Directorate, which consists of a core team of 73 members, is primarily responsible for four key areas - workforce management, government relations, workforce planning and the Arab Games Volunteers Programme. In the workforce management area, human resource specialists ensure that recruitment is done at the highest levels of professionalism and expertise in sporting events, says Al-Kuwari. “The core of the Games is the workforce. Of course, the more competent the team, the better the results,” he says. On the other hand, workforce planning comprises four different functions, including planning and scheduling, games workforce support at specific venues, training

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something should discribe the headlin e

THE FOCUS

WELLNESS IS

VOLUME 1

2010

HEALTHCARE

healthcare suppliment

sports file

Key members of the the Arab Games Organising Committee (AGOC)

and development and uniforms. “One of the key challenges we faced initially was recruiting the best of the best. Qatar is known for hosting some of the most successful sporting events, and therefore individuals with previous experience in sports were not too hard to find - but that gave us an extra edge and we became more competitive as we aimed to hire the sharpest ones,” he says. To fill the variety of roles created by the upcoming sporting event, 313 employees were hired specifically for the Games in addition to the 251 full-time employees of the overarching national Olympic body, the Qatar Olympic Committee, who are dedicated to the event. Of the 313 additional hires, 183 are Qatari nationals. While corporate staff have already been appointed, temporary staff are currently being hired to support their efforts. One of AGOC’s workforce planning goals is to recruit a total of 6,000 volunteers. With all the groundwork laid, the Workforce Directorate is currently operating at full capacity in all areas. “As we get closer to the Games, there isn’t one department that is more active than another. Currently, all functions are running at maximum capacity. Government relations are on full capacity with regards to the staff’s visa and ticketing requirements. Workforce planning is busy with training and scheduling,” says Al-Kuwari. In the past, Qatar has demonstrated extraordinary capability in hosting worldclass sporting events so it has much expe-

rience to fall back on, including the 15th Asian Games, IAAF World Indoor Championships, Diamond League and 2011 AFC Asian Cup, as well as several World Volleyball Club Championships. However, continual training and development is a must for new and existing employees across all levels in the organisation, says Al-Kuwari. AGOC hosts three training

The Arab Games workforce will include:

5,000

paid staff (corporate and temporary staff)

4,000 volunteers

16,000 contractors programmes – general orientation, jobspecific training and venue training – for its employees in order to equip them with the skills required to host an Arab Games of Olympic standard. “From all kinds of AGOC staff to consults and volunteers, I believe everyone will acquire tremendous skills and knowledge, as well as lasting relationships, from working in such a dynamic environment. We have seen this in the past where

temporary staff and volunteers have taken what they learned during the Asian Games or other sporting events back to their organisations and benefited from them greatly,” said Al-Kuwari. “An investment in its people is one of the soundest ways for a nation to embark on sustainable development. Through sport, Qatar is investing in its people, enabling them to develop skills and expertise as the nation continues to host major international sporting events,” he says. As Director, Al-Kuwari’s operating philosophy for his team is based on a “commitment to professional delivery”, which he says is not a goal but a process which involves determining both corporate and Games time requirements, applying best practices, and striving to ensure perfection in all areas. Al-Kuwari is also the Vice Chairman of the 2015 World Handball Bid Committee, as well as Administration and Finance Manager of the Doha 2017 IAAF World Championships Bid Committee. As can be seen from the Workforce Directorate progress, a rich and diverse set of skills is being invested in Arab Games Doha 2011. The challenge to deliver a sporting event of world-class Olympic standard is tantamount – but the team remains committed to inspiring the people in Qatar to embrace the spirit of competition, while developing invaluable organisational and sport management skills follow

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Doha Diary

The Smart Laughs Are the Hardest “It always starts with an egg,” Iranian American comedian Maz Jobrani says to a packed audience during his first public performance in Qatar.

obrani isn’t telling an off colour joke that for most comedians would serve as a staple in their routine-the kind of joke that would be considered inappropriate in the GCC context and cause the fair number of Qatari attendees squirming in their seats. In fact he loves the challenge of performing in a region where religion, politics, and sex are considered off limits. For the 40-something father of two, married to an Indian-American, anything, from his father-in-law’s accent to the lack of usefulness by men in the pregnancy process, is fair game. In the west people often ask me not to mention certain brands,” he explains, “so I often say in the west products are god and in the Middle East God is God.” This understanding of not only the values of the region but also that people still like to laugh at the foibles of travelling, gender differences, and nosy relatives is what has made Jobrani a popular act. With performances in Oman, the UAE, Lebanon, Jordan and Kuwait, he is no stranger to Arab audiences.

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By Mohanal akshmi Rajakumar Regardless of where he is performing, Jobrani, a former PhD student in Political Science at UCLA and self-proclaimed drop out, is not just funny, he is the thinking person’s comedian. Ranging in scope from current events including jabs at Dick Cheney’s water boarding policy to the antics of life in a young family (he thanks the audience for giving him a break from diaper duty) Jobrani built credibility through the Axis of Evil comedy tour (2007). A success abroad, it was banned from the mega-retailer WalMart inside the United States because of a title that was deemed to be unpatriotic. The comedian’s reaction to being locked out of such a key domestic market? His current tour is named “Brown and Friendly.” “I wish more of the world had it [diversity] that’s in Qatar...Seems like a leader in the region,” Jobrani said at a pre-event press conference when asked about his thoughts on Qatar. He credits YouTube for his popularity in the MENA region and for being part of the reason he has made it back to Doha after a private performance for RasGas in 2008. The taping by an appreciative crowd, however, is not always a favour. Jobrani explains “the double edged sword” of technology where a new joke that has taken months to write, over the internet can become overexposed and often plagiarised by other comics. There are no such shortcuts, he warns aspiring comics: “I believe in the 10,000 hours principle [explained by Malcom Gladwell in the book Outliers]. It takes a comedian six to seven years to find his/her

Maz Jobrani Iranian American comedian

voice, six to seven nights on stage a week.” He not only believes young comics should work hard, he is generous with his advice as he said to Carnegie Mellon University in Qatar’s alumni Omar Allouba (2009) “I think you have something there,” referring to one of the opener’s jokes. For the Egyptian twenty-something being on stage with Jobrani and before a crowd of hundreds of people was motivation to write new jokes and further explore a burgeoning love of stand up. The Maktaba Children’s Library initiative supported the comedian’s appearance in Qatar to promote reading among young males through the support of a male role model. “Read Qatar, read,” Jobrani tweeted as he departed Doha. Comedy – and making people laugh – is hard and mysterious work and it’s clear that Jobrani has done the time to refine his technique. From a playful entrance on stage to lively music, to jibes at Dubai for overspending and causing the recent market collapse, this is a man who knows his audience and delights in telling them stories that they can relate to. Oh and that egg? A baldness remedy recommended to him by his mother. If you didn’t get a chance to see him perform in Doha last month, then you don’t know if it worked. But there wouldn’t be a story if had, now would there?

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TOP 10 GLOBAL BRANDS 2011 /100

doha diary

Katara brings alive the Latin American culture

he first Latin American Cultural Festival (LACF) hosted at Katara ended with a show-stopping performance by worldrenowned Jorge Ben Jor who electrified audiences with his musical talents. The ten-day festival, showcasing the best of Latin dance, music and film from nine Latin countries saw over 5,000 visitors stepping through the gates of Katara, according to the organisers. The first edition of the festival, running from October 6-15, brought together 230 artists and performers from Argentina, Brazil, Costa Rica, Cuba, Dominican Republic, El Salvador, Peru, Uruguay and Venezuela.

Doha Parkâ&#x20AC;&#x2122;s entertainment extravaganza

atar Tourism Authority (QTA) has kicked off the sixweek entertainment festival named Doha Park 2011 which is set to wow families in Qatar with more than 100 events and attractions including an amusement park, international circus acts from Europe, Russia, Egypt and China, theatrical plays, concerts by international stars, a 3D cinema, performances by folkloric bands depicting the heritage of Qatar and other Arab countries and appearances by cartoon personalities. With more than 106 stalls besides restaurants, rest areas and cafes, the event also

exhibits more than 20 impressionist works of art inspired by Eid al-Adha and reflecting aspects of the Qatari identity. The childrenâ&#x20AC;&#x2122;s play zone with bumper cars and rocket and video games is already a hit with kids. With discounted tickets and special offers, the gala has already sold more than 50,000 tickets, with 22,000 visitors through its gates since the opening. Organised by QTA in partnership with Economic Group, the festival will occupy 30,000 sq m at the newly upgraded event area near the Doha Exhibition Centre and will run until November 17, ending with Eid al-Adha celebrations.

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Doha Diary

Film Festival expresses itself with grand opening

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afp

Mohammad Al-Ibrahim, the only Qatari who acted in the movie Black Gold speaks before the world premiere of the movie at Katara Open Air Cinema

Cast members of Black Gold: (L-R) Tahar Rahim, Mark Strong, Akin Gazi, Freida Pinto and Jan Uddin arrive to the opening of the DTFF.

afp

he third Doha Tribeca Film Festival (DTFF 2011) opened at Katara Cultural Village last month with international celebrities attending the world premiere of Black Gold on the opening night. HE, the Minister of Arts, Culture and Heritage, Dr Hamad bin Abdulaziz alKuwari was joined on the red carpet by regional stars such as Yosra and Nabila Obaid, and international actors Rob Lowe, James Cromwell, and members of the cast of Black Gold. However Black Gold lead star Antonio Banderas disappointed fans, who waited for four hours to catch a glimpse of the famous Hollywood actor, with a non-appearance, but the presence of Omar Sharif compensated. Sharif, a proud Egyptian, who made his name from his role in Laurence of Arabia fifty years ago, made of point of exclaiming his optimism for the political future of the region, saying that democracy is set to reign in the Arab world in the coming months. It’s hard to believe the same man was back to work in another Arabic blockbuster all these years later. Black Gold was co-produced by the Doha Film Institute. Jan Uddin, who also stars in the movie, said: “I’m hoping that people of Arab and Muslim backgrounds will feel proud of the way Arabs have been portrayed in this movie, and I hope non-Arabs will be able to identify with the human element of the movie. It is not just a movie about Arabs in the 1930s but it is one which should touch everybody’s heart.” Veteran Hollywood actor James Cromwell, who starred in the popular nineties movie, Babe, said that the festival was important because Arabic films need to have a burgeoning audience. Independent films which are made on a small budget and which are expressive of a particular culture without compromising the need to be seen by the world. He said it was important we understand each other and do not get into a position where it’s possible to misinterpret that people from diverse countries and backgrounds do not have the same dreams, do not want the same things in their government, do not want to make a difference and do not want to live their lives freely.

Egyptian veteran actor Omar al-Sharif poses on the red carpet as he arrives to the opening of the DTFF. afp

Doha Diary

Sotheby’s to exhibit NYCA auction highlights

otheby’s will exhibit highlights from the upcoming New York Contemporary Art auctions in Doha, Qatar this month. The exhibition will be held at the Ritz-Carlton Hotel and will include works by Andy Warhol, Jackson Pollock, Willem de Kooning, David Hockney, Edward Ruscha and Josef Albers. Headlining the selection of works that will be shown is Willem de Kooning’s “Cedar Street”, an example of the urban landscape paintings that dominated the artist’s mid1950s oeuvre and captured the raw dynamism of New York (estimated price, $2.5

– 3.5 million, QR9.1 million – 2.74 million). With its reference to the storied Cedar Tavern which originally opened on Cedar Street in Manhattan in the 19th century and had relocated to University Place by the 1950s, “Cedar Street” holds a place of particular homage for this era of de Kooning’s career. Located nearby to various artists’ studios, the tavern was a convenient place to congregate for de Kooning, Jackson Pollock, Franz Kline, Mark Rothko, Philip Guston and many other members of the New York art world. Three iconic works by Andy Warhol will

also be exhibited, including “Dollar Sign” from 1982 (est. $250/350,000). The dollar sign is one of the most potent symbols of the time and as a master at identifying and appropriating the zeitgeist of America in the 20th century, Andy Warhol revisited this symbol many times throughout his career. Seen as the ultimate capitalist and consumerist society, America is here reduced by Warhol to one signifier – the symbol of its currency. Also by Warhol is “Mao”, the classic silkscreen image of Mao Zedong’s official portrait printed as the frontispiece in the Quotations from Chairman Mao Tse-Tung.

T Qatar silver media sponsor of DTFF 2011

Qatar, the Qatar edition of New York Times Style Magazine, has signed on as silver media sponsor for the third edition of Doha Tribeca Film Festival (DTFF). T Qatar maintains the essence of T: New York Times Style Magazine – design, fashion, arts, beauty and style, while incorporating relevant local and regional content, providing a mix of sometimes quirky but always fascinating stories from across the world. Oryx Advertising Co. is the publisher of the magazine in Doha. Through this association, T Qatar will lend an ideal platform for exclusive and in-depth coverage of the festival, the films it showcases and the stars it brings to Doha.

“The seeds of both the magazine and the film festival were sowed in New York, to bring in a new perspective and depth to the media they represent. Both have now found an audience in Qatar, and it’s only natural that this tie-up should happen,” says Ravi Raman, Vice President, OAC. Hanaa Issa, Head of Sponsorship at DFI said: “We are really pleased to be media partners with T Qatar for this year’s DTFF. From movies to cultural events to the fashion and style of this year’s stars who will be in Doha for the festival, T Qatar will provide in depth coverage of the festival, bringing the full flavour of this community event to local Qataris and showcaseing the many arts and cultural events associated with DTFF to our local community in Doha.”

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Doha Diary

Schools without Accidents Scholarly experience at NU-Q

BQ has announced its sponsorship of the ‘Schools without Accidents’ campaign, allocating a total sum of QR600,000 for the fourth consecutive year. The campaign is expected to be rolled out in different phases during the academic year 2011/2012 and will expand its focus to include both boys and girls from primary, middle and high schools. It will focus on the basics of safety and respect

for the law on the road with live demos, activities and workshops which will engage students, academic officials and parents in an effort to promote best and safest behaviour on the road. The campaign will also emphasize the increasing trend of Tajamhor – risky driving shows by students without driving licences. It aims to invest all the time and resources necessary to encourage conscious and mature behaviour on the road.

he Evanston Experience: Great Teachers from Northwestern University, a series of lectures and discussions has been launched at the North-western University campus in Qatar, with the distinguished children’s media scholar Dr Ellen A. Wartella presenting her opening lecture on ‘Children, Media and the Childhood Obesity Crisis’. The series will enable undergraduates at the Qatar campus to engage with preeminent faculty visiting from the home campus in Evanston, Illinois. “By bringing leading scholars and teachers at North-western to our campus in Qatar, this series will augment and strengthen our students’ experience and expand their exposure to the liberal arts and related fields,” said Dr Everette Dennis, Dean and CEO of Northwestern University in Qatar.

The all-new look at the Four Seasons Doha Four Seasons Hotel Doha has unveiled its renovated inventory of guest accommodation marking the completion of the first phase of the Hotel’s $10 million renovation project announced earlier this year. This will also see the opening of an all-new Southeast Asian-inspired signature restaurant and further suite upgrades in the coming months. Named as Qatar’s leading resort at the World Travel Awards 2011, the renovations highlight the Hotel’s unique proposition in the Qatari capital, offering a superior waterfront stay experience alongside a highly enviable location in the heart of the West Bay business district. The Hotel also expects to launch a second phase of refurbishments in 2012, covering the soft renovations of its Gulf, State, West Bay and Royal Suites.

Golf Day out at HSBC HSBC organised a special golf day with last year’s winning Ryder Cup Captain, Colin Montgomerie, for 36 VIP customers. Monty conducted a special golf coaching session and then played two holes with every fourball that took part in the day’s activities at the Doha Golf Club. John Hawksworth, a regular Golf Pundit and commentator for Sky Sports Golf coverage, was the master of ceremonies for the event. HSBC is a global supporter of high-profile golfing events, extending this partnership to involve customers and staff alike.

Back to Business

s part of the ‘Back to Business’ event organised by the business councils in Qatar, around 700 members of the business community gathered at the Sharq Village and Spa in a networking gala to meet and greet after the summer holidays.

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Remy Rowhani, Director General of Qatar Chamber of Commerce and Industry (QCCI) was the guest speaker at the event. He explained how companies operating in Qatar can benefit from working and partnering with the QCCI. Carlos Maldonado, Vice Chairman of the Dutch Business Council, said that he

expects more companies coming to Qatar in the near future, due to the change in perception as investor confidence grows in Qatar’s stable development, with 2022 as its driver. Qatar is fast getting noticed as the primary hub for business in the Middle East, a position earlier held by its neighbour Dubai.

news bites

QT TwitPick Who is @BlakeHounshell? We know little about him as a person,

but we do know that if you want to be well-informed but are too lazy to follow satellite news channels and surf the web tirelessly, your best bet is to follow him on Twitter. A Q&A with the insomniac news junkie. 44,000+ tweets, nearly 30,000 followers... after Al-Jazeera, you are the most followed person in Qatar. Do you feel like a celebrity? Can that possibly be true? I think Wadah Khanfar (@khanfarw) is pretty close on my heels, and he’s got a much better follower-pertweet ratio!* As for celebrity, I think the vast majority of my followers are from elsewhere in the world. The only place where I’m likely to be recognised is at a wonkish think-tank event in Washington. So far, I’ve been able to keep the paparazzi at bay. You are invariably amongst the first with regional news. Is it the tweeps you follow, the sites you subscribe to...? You’ve got to put in the hours, and follow the right people in the right places. Among the best is the Emirati commentator Sultan al-Qassemi (@sultanalqassemi), who watches the satellite channels much more regularly than I do and is a brilliant translator from Arabic to English. And you’ve got to be genuinely interested in, say, the latest manoeuvrings inside the Libyan National Transitional Council. Oftentimes, people just find you and share news that they think might interest you, in the hopes of giving it a wider hearing. That makes it easy. My best sources of news are usually Syrians, Egyptians, Saudis, etc. who follow their own countries much more closely than I do, and I try to filter out what might interest a more global audience. Tell us a bit about your life outside the Twitterverse? Your role at Foreign Policy Magazine? The importance of having an editor stationed in Doha? I moved to Doha last year for personal reasons, but Foreign Policy was kind enough to let me keep my job as managing editor and edit and commission articles for the magazine remotely. Most of what I need to do is over e-mail these days anyway, though of course it’s always helpful to meet people in person. Being in Doha, and in this time zone, has given me a great vantage point on this turbulent year, and it’s allowed me to travel much more extensively in the region than I would have otherwise. Doha’s also a great place to catch people coming through town – last year, for instance, I was able to interview Turkish Foreign Minister Ahmet Davutoglu – and there are always interesting and important conferences happening here. Normally, I wouldn’t focus so heavily on the Middle East, but it’s been the big story all year long.

When did you first sign up on Twitter? You know, I don’t even remember. I was definitely a late adopter, though. Until the Iranian protests in 2009 I was a sceptic, and saw it mainly as a tool for tech gurus to talk to one another about the latest social media conference they had been to. Now, I’m a convert. Who are the must-follow tweeps according to you? I follow about 1,700 people, and that number has been edging steadily upwards over the past year. It’s harder to unfollow people, it seems, than it is to follow them in the first place. Aside from Sultan al-Qassemi, I’d recommend @dohanews and @PeninsulaQatar for Qatar stories, and a few Al-Jazeera reporters like Rawya Rageh (@rawyarageh) and Evan Hill (@evanchill) for regional news. In June, Foreign Policy put together a global list of people to follow (http://www.foreignpolicy.com/articles/2011/06/20/ the_fp_twitterati_100), and I’d recommend that as a good starting point. I’ve also put together my own regional and country-bycountry lists that you can access from my Twitter profile. Looking at your Twitter timeline, one wonders: Does Blake Hounshell sleep? Yes, but I’m a lifelong insomniac. I think Twitter makes it worse, frankly. Can you talk about a few memorable hashtags or Twitter campaigns, apart from the Arab Spring? Well, it looks like the #occupywallstreet movement is really picking up steam. Before the Arab Spring, perhaps the biggest hashtag campaign was #Iranelection, which dates from before the actual election. And people are still using it! Some of my favourite hashtags are actually long-running Internet jokes, like #FAIL, #winning and #protip. Do you think it’s rude to be tweeting and messaging while socialising or in the company of others? My wife certainly thinks so! I try not to do it.

(Every month Qatar Today will feature an interesting Doha tweep in this new column. So if you have a favourite, do send a direct message to @QatarToday)

( At the time of going to press, Wadah Khanfar was marginally ahead of Blake on the followers count)

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Top 10 Global Brands, 2011 Rank

Brand Value ($million)

Sector

Created in 1886 in Atlanta, Georgia, Coca-Cola was first offered as a fountain beverage by mixing Coca-Cola syrup with carbonated water. Patented in 1887, registered as a trademark in 1893, the Coca-Cola Company began franchised bottling operations in the United States in 1899.

71, 861

Beverages

+2%

Brand

+/- Brand Value

Coca-Cola

IBM

In July 1980, Microsoft’s Bill Gates agreed to create an operating system for IBM’s new computer for the home consumer, which IBM released on August 12, 1981. The first IBM PC ran on a 4.77 MHz Intel 8088 microprocessor.

69, 905

Business Services

+8%

Microsoft

Founded in 1975, Microsoft is the worldwide leader in software, services, and solutions that help people and businesses realise their full potential. In August 1989, it introduced the first version of its Office suite of productivity applications.

59, 087

Computer Software

- 3%

Google

In 1996, Larry Page and Sergey Brin, recent Stanford computer science graduates, began collaborating on a search engine called BackRub, which operated on Stanford servers for more than a year. In 1997, they decided to change its name to Google, which defined their mission to organise a seemingly infinite amount of information on the web.

55, 317

Internet Services

+27%

In 1892, the Thomson-Houston Company and the Edison General Electric Company combined to form General Electric Company, having realised they could innovate more efficiently working together than in competition with each other. The first GE electric fans were produced as early as the 1890s, while a full line of heating and cooking devices was developed in 1907.

42, 808

Diversified

unch

McDonald’s

Since its incorporation in 1955, McDonald’s Corporation has become the world’s largest quick-service restaurant organization. On an average day, more than 46 million people eat at one of the company’s more than 31,000 restaurants, which are located in 119 countries on six continents.

35, 593

Restaurants

+6%

Intel

The Pentium processor was first introduced in 1993 at speeds of 60 Mhz and 66 Mhz. It contained over three million transistors which greatly expanded the processor’s computing capabilities and increased its speed. In 2000, Intel introduced the Pentium 4 family of processors, which featured an initial speed of 1.5 Ghz.

35, 217

Electronics

+10%

Apple

In 1976, Steve Wozniak and Steve Jobs formed a company to market a new computer, which eventually took off in 1977 with the Apple II. The early Mac’s user-friendly interface, with such features as the trash can, windows, drag-and-drop file moveability, and plug-and-play compatibility, predated the efforts of those developing the PC. Jobs passed away last month, aged 56.

33, 492

Media

+58%

Disney

In 1923, Walter Elias Disney made a short film in Kansas City about a little girl in a cartoon world, called Alice’s Wonderland, and he planned to use it as his “pilot” film to sell a series of "Alice Comedies" to a distributor. On October 16, 1923, a New York distributor, M. J. Winkler, contracted to release the Alice Comedies, and this date became the formal beginning of The Walt Disney Company.

28, 731

Electronics

+1%

Classmates Bill Hewlett and Dave Packard founded HP in 1939. The company’s first product was an audio oscillator - an electronic test instrument used by sound engineers. One of HP’s first customers was Walt Disney Studios, which purchased eight oscillators to develop and test an innovative sound system for the movie Fantasia.

26, 867

Electronics

+12%

6 7 8

Brand Value % change is based on 2010. Source: http://www.interbrand.com The method takes into account all the many ways in which a brand touches and benefits its organization – from attracting and retaining talent to delivering on customer expectations. The final value can then be used to guide brand management, so businesses can make better, more informed decisions. There are three key aspects that contribute to the assessment: the financial performance of the branded products or services, the role of brand in the purchase decision process and the strength of the brand.