BR/06/2017

OFFICE INTERIOR DESIGN GOES GREEN, CHILLS OUT

WHERE ROMANIA TALKS BUSINESS July, 2017 / Volume 21, Issue 6

www.business-review.eu

6 x

EMAG AIMS TO BECOME ‘GO-TO’ PLATFORM FOR RETAILERS

22xx

LOBBYING PRESENCE YIELDS CONCRETE IMPACT

28xx

MEDIA AGENCIES REBRAND AND SHINE

30xx

PESTER POWER PREVAILS

www.business-review.eu Business Review | July 2017

EDITORIAL 3 REAL ESTATE

• Editorial •

6 Office interior

Anda Sebesi

design goes green, chills out

• Editor-in-Chief •

10 Anchor Grup turns its attention to housing

COVER STORY

Kids wield the buying baton

12 Advertising to kids: does pester power work?

LOBBY 28 Burson Marstellar Brus-

Those with at least one child at home are fully aware of the major

sels CEO: Lobbying presence yields concrete impact

influence they have when it comes to shopping. Flooded by a huge amount of information about thousands of products that are best suited for their newborn, toddler, tween or teen, parents often need to distinguish their impulse of buying “the best” for their

MEDIA & MARKETING

children from what they really need.

In today’s world where little kids and tweens have buying power to the tune of USD 1.2 trillion per year – a figure that isn’t just about how much kids buy themselves, it also includes the degree to which they are influencing their parents’ purchases, you start wondering who has the real power when it comes to shop-

30 Media agencies rebrand and shine

32 Onika Simon on honestly disruptive strategy

ping? You may say it’s the kids. And, what if you were to find out that 60 percent of all tweens today have substantially influenced their parents’ final decision on which car to buy? Then kids have the power for sure!

Marketers invest huge amounts of money in marketing to children, rolling out on TV, radio, digital, merchandising and on

CITY 36 Orchestral feat

virtually every other media channel. Their early access to technol-

achieved at TIFF this year

ogy enables new generations of kids and tweens to have a great say

38 Love and more love

in the decision-making process. However, even though companies flood the market with products for children of all ages, parents expect the advertising message to have a positive impact on their kids, the future generation of consumers. At least, this is all they can do in a world dominated by brands and advanced technology.

at Sibiu International Theater Festival

40 What doesn’t kill you makes you stronger

42 The Mummy

FOUNDING EDITOR: Bill Avery, EDITOR-IN-CHIEF: Anda Sebesi, DEPUTY EDITOR-IN-CHIEF: Simona Bazavan JOURNALISTS: Georgiana Bendre, Georgeta Gheorghe, Otilia Haraga, Romanita Oprea, Ovidiu Posirca, Oana Vasiliu, HEAD COPY EDITOR: Debbie Stowe COPY EDITOR: Eugenia Pupeza, PHOTO EDITOR: Mihai Constantineanu, ART DIRECTOR: Raluca Piscu PUBLISHER: Bloc Notes Media, ADDRESS: No. 10 Italiana St., 2nd floor, ap. 3, Bucharest, Romania­­­­, LANDLINE: Office: 031.040.09.31 EXECUTIVE DIRECTOR: George Moise, BUSINESS DEVELOPMENT DIRECTOR: Oana Molodoi, SALES DIRECTOR: Ana-Maria Nedelcu MARKETING: Marius Andronic, Patricia Neamtu PRODUCTION: Dan Mitroi, DISTRI­­BUTION: Eugen Musat ISSN NO. 1453-729X EMAILS: editorial@business-review.ro, sales@business-review.ro, events@business-review.ro­

www.business-review.eu Business Review | July 2017

4 NEWS

WHO’S NEWS

Tudose’s appointment became official following swift

BR welcomes information for Who’s News.

Submissions may be edited fo­­­r length and clarity.

Get in touch at simona.bazavan@business-review.ro

consultations with president Klaus Iohannis, who claimed that Romania needed a new government fast in order to prevent the political crisis from spilling into the economy.

In 2016, the prime-minister designate had asked for the withdrawal of his PhD title, as

Ravinder Takkar will step down as CEO of Vodafone Romania, thus ending a three-year term. He will go on to serve as chairman of Vodafone Group Services, Regional Business Development, responsible for representing Vodafone’s interests in India.

Takkar joined the mobile operator in 1994 and has held a variety of senior roles in both Vodafone Group and its joint venture companies.

This includes the positions of enterprise business unit director and strategy director of Vodafone India and group product development manager for Vodafone Live. Before coming to Romania he was CEO of Vodafone Partner Markets.

he was accused of plagiarism.

PM-designate Mihai Tudose was minister of economy in the former government

Romania’s ruling coalition topples its own government, moves to appoint new PM

page 5

Academy of Intelligence (ANI), which is run by the Romanian Intelligence Service (ANI). The ANI has been embroiled in political scandal in recent years, after journalists revealed that a series of high-ranking politicians got their PhD titles here.

Journalists wrote that several

By Ovidiu Posirca

PhD theses by politicians appeared to be plagiarized.

Asked why he thinks he

Mihai Tudose was the PM

and the Alliance of Liberals and

designated by president Klaus

Democrats, which currently

is right from the role of PM,

Iohannis to form a new govern-

holds the majority in Parliament.

Tudose said that he is recom-

ment, less than two weeks

The coalition turned against him,

mended by the “labor strength,

after the Parliament voted to

citing a slow implementation rate

experience (…) we are talking

oust PM Sorin Grindeanu from

of the governing program.

about results.” Tudose will

However, Tudose, who was

form his new cabinet which

part of Grindeanu’s government,

will have to pass the Parlia-

had a poor performance at the

ment’s vote. He is set to replace

the political support of the

Ministry of Economy, according

Grindeanu, who survived less

Social Democratic Party (PSD)

to an internal review of the PSD.

than 6 months in power.

power, following a conflict Anca Rarau has been appointed advisor to the BCR president, Sergiu Manea. She will relocate to Cluj, while Ionut Stanimir, the bank’s communications director, will take on the interim coordination of the marketing division which she previously headed. Rarau has over 20 years of experience in marketing, having joined BCR in the autumn of 2012. A graduate of the Faculty of Economics at Babes-Bolyai University in Cluj, with an EMBA from the National Conservatoire des Arts et Métiers in Paris and a master’s from the Bucharest Academy of Economic Studies, Rarau will continue to work in the areas of brand strategy and advisory.

He got his PhD at the National

with the ruling coalition.

Grindeanu fell after losing

Blue Air to invest over USD 600 million in new planes

By Georgeta Gheorghe Romanian low cost carrier Blue

six amount to USD 600 million.

Air plans to add six Boeing 737

Right now we do not have any

MAX 8 planes to its fleet, in

bank loan. (...) All we know is

a leasing deal valued at more

that the deposit was already paid

than USD 600 million.

from company money,” Gheor-

“The catalog prices for the

ghe Racaru, the general manager

Romanian low-cost carrier Blue Air plans to go public by 2020

www.business-review.eu Business Review | July 2017

NEWS 5 It opens the door for immense new possibilities for our customers, for the way they live and work. High speed, mobility, security, intelligent devices, they all have some limitations today, but 5G will give a new perspective and solutions to these current challenges,” said Miroslav Majoros, CEO, Tele-

5G opens new development avenues for mobility, security and smart devices

Private telecom sector and regulatory agency in Romania pave way for 5G adoption

kom Romania.

The public consultation launched by the National Authority for Administration and Regulation in Communications (ANCOM) will organize a competitive selection procedure to test the feasibility for the granting of usage rights for several

By Georgeta Gheorghe

radio frequency bands that

In June, Telekom Romania and

Gbps. The trial demonstrated 5G

will also be used to implement

Ericsson conducted in Bucha-

capabilities over a prototype test

new generation technologies,

rest the first 5G live demonstra-

bed, including tests on speed,

known as 5G or IMT-2020.

tion in South Eastern Europe

latency and beam forming,

and Romania’s telecom regula-

achieving aggregate speeds of up

subject of the consultation

tor launched a public consulta-

to 24 Gbps, over 60 times more

contribute to providing the

tion on how to grant new rights

than the current local highest

spectrum resources needed

to use the radio spectrum.

commercial 4G speed, with an

for the efficient development

indicative latency of at least half

of communications services,

five different cases exploring

of what is seen in current mobile

in the context of the surge in

the usage capabilities of 5G

networks.

mobile internet use, but also

During the demonstration,

technology were showcased:

“Besides its superior attri-

“The bands that are the

for the implementation of new

5G speeds, two cloud robotics

butes, more importantly, this

generation technologies known

and two smart city solutions.

technology, will create a shift in

as 5G or IMT 2020,”ANCOM

Peak data rates went up to 24

mind-set for the entire society.

said.

of the airline operator, told News.

routes in 16 countries.

ro newswire. He added that Blue

of Blue Air on the stock ex-

buying two additional planes of

change, Racaru suggested that it

this type.

might happen around 2020.

Established in 2004, Blue

to lease another twelve Boeing

Air operates out of Romania

737 planes to support the expan-

(Bucharest, Bacau, Cluj-Napoca,

sion of the business.

Constanta and Iasi), Cyprus (Lar-

Racaru said that Blue Air is

Sinziana Pardhan is P3’s new acquisitions director in Romania. She has an extensive background in investments, acquisitions and disposals, having worked for real estate consultancy Colliers for nine years. Over the years Pardhan has also worked for SOPOLEC and the Romanian Green Building Council and has been involved in consultancy assignments with the US Department of Commerce.

When asked about the listing

Air is analyzing the option of

The company is also looking

Irina Dimitriu has taken over the role of head of the real estate practice of Reff & Associates, the law firm representing Deloitte Legal in Romania. She replaces Robert Ionita, who has joined NEPI as legal director. Dimitriu has over 12 years of experience in the acquisition, financing and development of highprofile real estate projects. Her key areas of expertise include transaction structuring, energy and infrastructure developments, construction, urbanism and permitting, as well as coordinating due diligence teams.

naca), Italy (Torino) and Great

set to register a turnover of EUR

Britain (Liverpool). In 2016, Blue

400 million this year, while the

Air became the biggest Romanian

number of passengers will reach

airline carrier, overtaking for

around 5 million, which would

the first time national air carrier

be a growth of 35 percent versus

Tarom in terms of passengers

2016. The company covers 100

transported.

Constantin Bratu has been appointed head of the communication department of Coca-Cola, as public affairs & communication manager for Romania and Moldova. He is replacing Miruna Smeureanu, who has been coordinating the company’s marketing department since March. Bratu has previously worked as head of corporate affairs for British American Tobacco and as general director of the Romanian Brewers Association.

www.business-review.eu Business Review | July 2017

6 OFFICE FORWARD

Office interior design goes green, chills out The office is increasingly becoming a tool for attracting and retaining valuable employees as well as conveying company identity. But how exactly are local firms using interior design to reach these goals and what new trends are shaping up?

By Simona Bazavan will be even more when it comes to the actual time spent at the office or the work schedule, which will directly impact the concept of an office building itself,” he says.

A greater focus on the environment and sustainability, the changes brought about by technological advances, the increase in the retirement age, and some opting for lower pay in favor of a set of “soft values” that have to do with enjoying day-to-day life are other factors impacting the office environment, Courtesy of Morphoza

adds Mirona Craciun, brand manager of interior workspace solutions provider Kinnarps Romania. “All this dictates a holistic approach to the working environment, encouraging employers to create spaces where their emCompanies look for offices that spur creativity and inspiration, say consultants

T

ployees are not simple pawns, but members of a community where they feel important and useful,” she tells BR. Most importantly, perhaps, is the fact

he office environment is changing,

generations, new lifestyles and the new jobs

that offices are increasingly used as a tool to

and how it is doing so has to do with

being created, Ovidiu Sandor, the developer

attract and retain valuable talent. This is par-

more profound shifts in the way peo-

behind the EUR 130 million ISHO project in

ticularly the case for industries such as shared

ple live and work, say real estate representa-

Timisoara, tells BR. “The traditional working

services, outsourcing, IT, and banking, Chris-

tives. The office building concept as we know

environment is being improved and inte-

tophe Weller, managing partner of workplace

it is transforming under the influence of new

grated. There already is flexibility and there

consultancy & design firm Corporate Office

www.business-review.eu Business Review | July 2017

OFFICE FORWARD 7 socializing among them,” reveals Calfa.

Solutions (COS), tells BR. “Finding skilled

creased privacy, better management of noise,

talent in key cities such as Bucharest, Cluj,

increased need for collaborative spaces and

Timisoara and Iasi is becoming ever more

areas where employees can rejuvenate during

Romania as well is hot desking, a practice

challenging, so smart-thinking organizations

their working day,” he comments. Bringing

where an employee no longer has a fixed work

are taking a much deeper look at their office

managers outside of their enclosed offices and

station but is encouraged to work from more

design and budget, unlike five years ago when

into the open space has been a challenge, but

informal areas, such as meeting rooms and

it wasn’t such an issue,” he outlines.

experience shows that many now appreciate

even in relaxation areas such as the cafeteria,

the improved connection and collaboration

adds Calfa. It is a way firms make sure that for

ing their approach to their offices’ interior

with team members and people from different

their employees, no one day is like any other,

design when they relocate, while others

departments, adds Angelescu.

she explains.

All this means that companies are chang-

are opting to upgrade their existing ones to reflect some of these principles.

The objectives clients mostly have in

New interior design trends for office spaces are dictated particularly by the needs of Gen-

All in all, innovation is the word to best describe the way local companies are approach-

eration Y, for whom the working environment

project are boosting communication and

matters considerably,

collaboration among various teams, increas-

points out Calfa. Be it a

ing productivity by generating new working

coffee shop or reading

processes or accelerating old ones, and raising

room at the office, such

employee satisfaction with the working envi-

details can end up mak-

ronment and the company in general, Diana

ing the difference in the

Calfa, managing partner with architecture

retention process.

Courtesy of Kinnarps

mind when planning a relocation or redesign

and interior design company Morphoza, tells

Another important trend catching on in

As they become

BR. The end game for all that is to increase

aware of this, Roma-

employee attraction and retention, she adds.

nian companies are

“Besides all the benefits strictly related to

aligning themselves

working processes and productivity, lately

to international office

employees also see office design as a tool that

design trends. “Principles such as flexibility,

ing their offices, and some of the projects of

transmits organizational values, both inter-

communication and technological power are

local firms offering interior design solutions

nally to employees but also externally to cli-

thus incorporated into office design projects,”

and other connected services for office spaces

ents. Creative office design can also obviously

adds the managing partner. All this means

reflect that, say market representatives. “It

act as a differentiation factor,” she notes.

that open-space working environments will

is fair to say that Romanians’ enthusiasm for

remain a widespread approach to interior

creativity and inspiration has enabled us to

OPEN SPACE WITH A TWIST

design. “They stem from democratic and

be part of some unique designs and concepts

The latest trends in interior design stem from

collaborative principles to which companies

that have now become the envy of many large

the challenge of putting in place attraction

are increasingly committing. Open informal

organizations’ sister companies in other parts

and retention initiatives, while at the same

spaces thus eliminate, figuratively and liter-

of Europe. Romania is pioneering office space

time managing the open-space model now

ally, communication barriers between team

and the requirements include an open license

very common in most organizations, Andrei

members. More and more, even meeting

to innovate, inspire, differentiate and encour-

Angelescu, architect and manager of the

rooms and gaming or social kitchens are turn-

age improved productivity and entrepreneur-

architecture and design department at COS,

ing into open and friendly spaces that spur

ship,” asserts Angelescu.

tells BR. “With this comes the need for in-

employee creativity, inspire them and boost

Some of the projects COS has recently

www.business-review.eu Business Review | July 2017

Courtesy of COS

8 OFFICE FORWARD

LOOSER PURSE STRINGS

taurants, cafés, banks and so on is being up-

Not only do companies

are being added, which contribute to and help

understand the benefits

define a modern way of life. “In other words,

of upgrading their office

new office buildings are adapting to a contem-

environment, but they

porary lifestyle, and the fact that a developer

are also willing to loosen

doesn’t deliver square meters but an environ-

the purse strings for

ment that creates, enhances or facilitates a

such investments. An

certain living and working lifestyle is truer

adequate office design

than ever,” he concludes. “Office spaces are

project requires exten-

already part of value creation, helping to

sive human, financial

recruit, enforce the brand and provide visible

and time resources, but

sustainability credentials, and the trend will

it still comes at a lower

continue,” Sorin Visoianu, country manager

graded, he adds. Fitness and cultural services

completed have been defined by adopting

cost than working in a dysfunctional space

operations Romania with Immofinanz, tells

the company’s innovative approach and

that causes stress, frustration, lost time and

BR.

translating that to a highly customized office

discontented employees, and companies now

environment such as the new OLX offices, he

see that, argues Calfa.

explains. Elsewhere, such as in the case of de-

There is actually a financially measurable

Given that the needs and wellbeing of their employees has become crucial to companies and office spaces are a key element in that, it

signing the Euromaster offices, it was about

return on investment, so “even CFOs are sup-

is no longer enough for a developer to have

“ensuring office space is more than a desk

porting the quality and sustainable approach

a building located in a very good area, with

and meeting rooms, but an innovative way

to new office investment,” adds Weller. The

good transport connections, he notes.

of approaching the typical office open plan

figures back this claim.

Nowadays many top-line company

“Allocated budgets vary depending on the

headquarters include relaxation and gaming

that enables productive human interactions,

company’s relocation or renovation strategy,

rooms, social hubs, well-furbished, modern

focused work, rejuvenation and safety,” says

the available space, how complex the project

lunch areas and workplaces that provide an

Angelescu.

is and the number of employees. Costs start

airy and nature-like environment and so on,

from EUR 350/sqm and can go beyond EUR

adds Visoianu. “As such, the support and

and turning it into an innovative landscape

One example of an innovative project that

600/sqm,” says Calfa.

Data Romania’s office space in Cluj-Napoca.

COS works for both large

“In this particular case the client wanted an

corporations as well

inspiring design that would stimulate its em-

smaller, local compa-

ployees’ creativity and innovation capacity.

nies, its value of projects

The solution was to turn an entire floor into a

thus ranging from about

spaceship boardroom. We later replicated this

EUR 30,000 to well over

‘into the future’ theme on all the other floors

EUR 1 million, says the

through various elements. Perhaps the most

company’s managing

remarkable were two functional robots which

partner.

Courtesy of Immofinanz

Morphoza was involved in was designing NTT

were later included in the company’s communication campaign,” she comments.

Kinnarps, on the other hand, says that

DEVELOPERS CHIME IN Office buildings are

a more unusual requirement for an office

changing both on the

design project they came across was that of

inside and the outside,

creating an unconventional relaxation area

note developers.

based on nature. “We came up with the idea

“The most recent office projects focus on

availability of the landlord is essential for companies to be able to implement these

of a central garden directly linked to the open

having more shared space, on connectivity

facilities, and to always be able to adapt to the

space area. In order to visually separate the

and interactivity. This is based on a mixed

needs and demands of their employees,” he

relaxation areas from the formal space, we

concept that just like an ecosystem brings

says.

had the idea of a suspended modular wooden

together in a harmonious and complemen-

structure from where plants can be hung.

tary manner various functions – working and

formed five of its local office buildings based

This turned into a suspended garden that left

living, a service mix that matches a certain

on an international office concept it calls

beneath a generous and flexible area that can

lifestyle and meets the demands of active

myhive. The idea behind it is to offer tenants

be furnished according to the client’s needs,”

people of the 21st century,” says Sandor

what it calls a desirable social space rather

recalls Craciun.

The now traditional service mix of res-

As part of all this, Immofinanz has trans-

than a simple workplace.

www.business-review.eu Business Review | July 2017

9 - ADVERTORIAL -

6 Tips to Update Your Workspace for the Office Renaissance When designing spaces for today’s employee, the best result is human-centered, a workplace crafted to mentally excite and engage, physically comfort and emotionally support busy workers.

Incorporate spaces that allow people to work in whatever posture works for them – lounging, standing, perching, walking or sitting upright.

3. Take Cues From Nature More than just adding plants -- which is important – seek variation over uniformity.

Incorporate naturally complex materials, lots of different shapes, forms, patterns and textures.

4. Embed Performance The most inviting and inspiring spaces need to help people make meaningful progress on their work. Integrate technology that makes it easier for people to collaborate, that

Copyright: Steelcase

encourages movement and makes it easier Take a moment and describe what comes

needs of today. The spaces for the new office

to get into focus. Help people find their

to mind when you think of a modern room.

need to combine an updated look with an

favorite places to get work done and provide

Your brain may conjure up images of thin,

authentic employee. Beautiful spaces are only

a feedback loop to the organization about

sleek furniture, and minimalist decor. Now,

worth investing in if they are also productive.

what spaces work.

instead of thinking about the room, turn

The Steelcase Design Studio considered the

your thoughts to the modern man or modern

entirety of the person when putting together

5. Add Needed Privacy

woman. He or she may be rushing to the next

the below tips for modernizing your workspace.

Balance the desire for openness with the

meeting, all while preparing mental talking

Emotionally, how people feel in the space, was

human need for solitude. Create spaces that

points, answering a text message and having

considered important along with employees’

support focused work as well as rejuvena-

a “casual” yet critical off-line conversation

physical health and people’s ability to focus and

tion.

with a co-worker. Is your image of a modern

solve problems. With a view of workers’ holistic

room supporting the modern worker?

wellbeing, Steelcase’s team of designers created

6. Promote Personalization

six suggestions for how to update your work-

Create spaces that feel bespoke to the orga-

place for the office renaissance:

nization and the individual. Prioritize self-

When designing spaces for today’s employee, the best result is human-centered,

expression and authenticity over perfection.

a workplace crafted to mentally excite and engage, physically comfort and emotion-

1. Democratize the Space

ally support busy workers. Mobile tech-

Similar to a healthy ecosystem in nature that is

Modernizing the workplace doesn’t need to

nologies promised workers the ability to be

biodiverse, create a range of spaces that support

feel intimidating or overwhelming. By keep-

productive on the go. But, it’s not enough.

different types of work that people can choose

ing the holistic wellbeing of people top-of-

Needs for collaboration, team building and

to work from, regardless of where they fit within

mind, your workplace can be at the forefront

individual focus are just a few of the reasons

the organization’s hierarchy. Large team meet-

of the office renaissance, becoming a place

employees are coming back to the office.

ings, small group conversations and private mo-

where everyone wants to be.

The elevated importance of the workplace is

ments to focus all support the modern worker’s

creating an office renaissance.

needs.

As employees return to the office, the workspaces of yesterday won’t meet the

2. Support Multiple Postures and Movement

www.business-review.eu Business Review | July 2017

10 REAL ESTATE

Anchor Grup turns its attention to housing Affan Yildirim, general manager of Anchor Grup, talks to BR about the company’s plans to expand its footprint into Bucharest’s residential segment this year and his outlook on the local real estate market through to yearend.

By Simona Bazavan

ABOUT Affan Yildirim Affan Yildirim has served as CEO of Anchor Grup since April 2015, having previously acted as CFO and interim GM. He has an extensive professional background in the financial field, real estate, retail and office development.

Over the years he has been in charge of several large projects and has also shown an entrepreneurial spirit.

Yildirim started his career with PwC in 2004 as audit manager. Between 2011 and 2012 he was VP and CFO of Credit Europe Leasing IFN Romania. The Anchor Grup head graduated in Finance and Business Administration from Marmara University in Turkey.

our current estimations, the project is due to be completed in the last quarter of 2018.

Are you looking at starting other projects on the local market?

For 20 years now we have been one of the most active real estate players in Romania; we’re always open to new opportunities and challenges. Apart from the new residential compound, we are developing the concept for a residential project of approximately 200 apartments in two buildings. We’re waiting for our permit for the first building and we intend to begin construction works by this summer. This project will target the midmarket segment.

Furthermore, we have several plots of land on which we plan to develop a series of luxury residential projects. Constructions works are planned to begin towards the end of 2018.

How do you expect the local real estate market overall to evolve by yearend and where do you see growth coming from?

Last year you announced plans to invest in a residential project. What is the project’s status and when do you plan to deliver the first units?

The new residential complex will include 188

The growth of the local real estate market

apartments in four buildings containing a

that was characteristic of 2016 will continue

basement and six floors, and it will have the

in 2017, according to our predictions. This

same quality elements as InCity Residences,

sector is expanding at a fast rate, hence the

A new housing project will be developed on

including some luxury ones. The apartments

increase in prices that was invoked by BNR as

an 8,000 sqm plot of land that was left after

will be delivered with a ready set-up and

a low intensity risk. But this is not the same

the demolition of the former Select factory,

furbished kitchen. The majority will have

market as in 2008. Nowadays, just like us,

located between the InCity complex on Calea

three rooms, but there will also be studios

most developers look at the long term and

Dudesti and the RATB Dudesti roundhouse.

and two-room flats available. According to

privilege sustainable investments, not just

www.business-review.eu Business Review | July 2017

REAL ESTATE 11

short-term opportunities, because they want

an office space, a retail space or an apart-

expanded, occupying now over 1,350 sqm and

certain, long-term earnings. Furthermore,

ment; they focus on the entire experience

200 sqm, respectively.

more experienced investors are entering the

and on the benefits it provides them with.

market. This means that it will become more

This means that developers have to keep

sqm) will open outlets in Bucuresti Mall. Over

sustainable and further consolidated. The

their eyes on all these factors external to the

the next few months, the mall’s customers

growth in real estate is fueled by the increase

project.

will also be able to purchase items from Buzz,

In June, Aperto (700 sqm) and Taksim (105

Triumph, Inmedio, Douglas and Tommy

in private consumption, which also seems to be continuing this year.

How did your two local malls perform in the first half of the year?

Hilfiger Kids.

Which of the market’s main segments do you think will perform best this year and why?

Very well. The occupancy rate stands at 97

augurated Triumph (60 sqm), dm drogerie

percent in Bucuresti Mall and 95 percent in

markt (270 sqm) and Banca Transilvania (80

Plaza Romania, and negotiations are under

sqm),while Fun Planet (260 sqm) and Il Passo

According to our research, office and residen-

way for the leasing out of the remaining

(85 sqm) have relocated and reopened this

tial will be on the rise in 2017. The first one

spaces. There was also an increase in footfall.

year with their latest concepts. Since May, the

At Plaza Romania, in 2017 we have in-

customers of the mall have been able to enjoy

attracts the second and vice versa, just as the

the food of Pep & Pepper (125 sqm).

entities that are of use to entire communities

Which are the most active retailers in terms of expansion and what are the latest changes you have made to the two malls’ tenant mix?

and change the urban landscape for the bet-

We are working on optimizing our tenant

Restaurant Mesopotamia and Donuterie.

ter: one is in charge of an office building next

mix in both malls. So far in 2017, in Bucuresti

to a shopping center, another implements a

Mall, we have inaugurated Anna Cori (115

future, Plaza Romania will accomodate the

housing project nearby.

sqm), Pravalia cu Retusuri (30 sqm), Hip-

Bucharest Passport Office, on 860 sqm, lo-

poland (730 sqm), dm drogerie markt (300

cated on the second floor.

second gravitates toward shopping centers.

Therefore, this is a time for developers to work closely in order to create symbiotic

The arrival of new investors does not

As for the near future, by the end of summer, three new operataors will complete the food court mix at Plaza Romania: Taksim Also, we can announce that in the near

Moreover, in September, Farmacia Tei (750

mean that there will be a decrease in the

sqm) and Nissa (120 sqm). Media Galaxy has

quality of projects, because buyers, like ten-

completely refurbished its store on the third

sqm) and a Bebe Tei store (1,750 sqm) will be

ants, are becoming more and more sophis-

floor, Paul Bakery has reopened based on a

inaugurated. Overall, 20 more outlets will

ticated. They no longer want to buy or rent

new concept, while Mango and Musette have

open in Bucuresti Mall and Plaza Romania.

12 COVER STORY

www.business-review.eu Business Review | July 2017

ADVERTISING TO KIDS: DOES PESTER POWER WORK? From food, clothes, toys and games to professional services, like education and healthcare, babies that become children then teens, have a wide range of industries concentrated around them, meant to ease both their and their parents’ lives. Players spend huge amounts on advertising in an attempt to convince parents that their product or service is best for their children. But who holds the power in the purchasing process: kids or their parents?

By Anda Sebesi

www.business-review.eu Business Review | July 2017

COVER STORY 13

www.business-review.eu Business Review | July 2017

14 COVER STORY

F

or decades,

ally per child in a middle-

children have

income (USD 59,200-USD

been the source

107,400), two-child,

of big business for many

married-couple family.

companies selling toys,

Middle-income, married-

games, clothes and now,

couple parents of a child

lots of high-tech goodies.

born in 2015 may expect

Marketers have tried to

to spend USD 233,610 for

treat kids as young adults,

food, shelter, and other

unleashing an array of ad

necessities to raise a child

campaigns designed to get

through age 17. This does

them to buy or pester their

not include the cost of a

parents.

college education.

According to a report

As pundits say, the

published by Digitas, part

current marketing strate-

of the global ad giant Pub-

gies focus on some basic

licis, today’s little kids and

sentiments that kids have

tweens have buying power

such as fear, anger and joy.

to the tune of USD 1.2 tril-

“The strongest influence

lion per year. The same re-

on purchasing a product

search says that this figure

comes from joy: joy of eat-

isn’t just about how much

ing, playing, being strong,

kids buy themselves. It

getting attention or influ-

also includes the degree to

encing others,” says Diana

which they are influencing

Paula Stoian, psychologist-

their parents’ purchases.

psychotherapist, coach and

For instance, 60 percent of

representative of “Centro

all tweens today have sub-

di Terapia Strategica” from

stantially influenced their

Arezzo (Italy) in Romania.

parents’ final decision on

According to her, chil-

which car to buy.

dren need to be part of a

As pundits say, kids

group and often they buy

today are treated more like

a specific brand just to do

adults than ever before. In

so or to make friends. “By

school and at home, they

consuming a product, chil-

are exposed to more adult

dren try to create autono-

topics like poverty, war,

mous spaces where there is

the environment and climate change. In addition, because they are

no room for the authority or the influence of their parents. Usu-

treated more like adults, the result is that they are showing prefer-

ally what parents defy or consider unhealthy, children love,” adds

ences for adult things.

Stoian. She emphasizes that parents who spend less time with their

Every year, children and their parents are bombarded with ad-

children, spend more money on them due to the resulting guilt.

vertising announcing the latest and greatest the toy industry has to offer. Toy manufacturers try to convince parents that their children

ROMANIA IS ON THE SAME WAVE

absolutely need these new toys.

Technology is part of our life more than ever and children of all ages

It has been estimated that the toy market garners an approxi-

are exposed to it and to its implications on their personal develop-

mate revenue of more than USD 80 billion on an annual basis

ment. According to a study conducted by iSense Solutions for Lowe

worldwide. Around a quarter of this estimated total is derived from

Group last fall, the average age when children get devices is 8.5 for a

the North American toy market. The revenue obtained from the sale

tablet, 9 for a computer, 10 for a smartphone and 11 for other smart

of games and toys within the United States alone was estimated to

devices. “Children are exposed to technology in their early child-

have reached USD 23 billion by the end of 2014.

hood which generates changes in the behavior of young generations

Last but not least, according to a study called “The Cost of

and in the decision-making process in a family. Seventy-one percent

Raising a Child” conducted by the US Department for Agriculture

of parents said that they asked their children what products should

(USDA) in 2015, a family spent approximately USD 12,980 annu-

buy while 51 percent of them consider them very persuasive. Our

www.business-review.eu Business Review | July 2017

16 COVER STORY

THE EVOLUTION OF TRADITIONAL TOYS, BY CATEGORIES, BETWEEN 2017 AND 2020 CATEGORY AND CURRENT MARKET SHARE (%)

FORECAST

+80% +6,3% +5,3% -4% -5% -5% -17%

63,7 Different toys (sports, dynamics, for newborns)

16,5 Instruments, vehicles and weapons

15,6 Dolls and plush toys

2,3 Society and interior games

1,16 Construction sets and models

>0,2 Puzzles

>0,2 Card games

Source: Data aggregated from public sources (Statista, Euromonitor, INS, Minister of Finance) by Perceptum

stake is to understand the factors that influence the new behavior

Evaluation of medical services within the National School for Public

models and identify hints that can guide us in preparing some

Health, Management and Improvement of the Medical Sector Bu-

actual, long-term communication strategies for the next genera-

charest (SNSPMS). Over 12,000 children have been born in Baneasa

tions of consumers,” said Adela Preda, digital creative strategist at

Maternity up to now, of which 2,200 were premature ones.

Profero. The study analyzed the behavior of children aged between 5-7, 8-12 and 13-16 in a digital environment.

Children on the local market have been a source of big business

The public educational system is in the same shading cone as the medical one, with many parents considering private education as a valid option for guiding the professional path of their children.

for many companies across many sectors, from food, toys, cosmet-

According to the most recent data released by the National Insti-

ics, care products, clothes, books and audio books to medical and

tute of Statistics (INS), quoted by Mediafax, about 17,000 children

educational services. Next, H&M, Mothercare, Zara Kids, Mango,

were registered in 310 private kindergartens in 2014 and 61 private

Cocodrillo, Lego, Imaginarium, Jumbo, just to name few, are some

educational institutions have opened their doors for students from

of many global brands that made their entrance on the local market,

primary and middle schools. As for private high schools, only 2.1

either with a traditional store or using the online channel to sell

percent of Romanian students were enrolled.

products for children of all ages. Even hypermarkets like Cora,

One significant step in this huge industry dedicated to kids was

Auchan or Carrefour have set up specific areas for food and non-

made with the entrance of Bebe Tei on the local market. The store,

food products and clothes for children.

based on the concept of “all under the same roof” posted a RON 54

As a result of decreasing confidence in the Romanian public

million turnover last year, according to Ziarul Financiar. At present,

medical system, many parents decided to invest more in the safety

Bebe Tei operates through its three locations in Bucharest in Militari

of their newborn or unborn children and benefit from premium

Shopping Center, Sun Plaza and a showroom located on Lacul Tei

medical care and housing offered by private medical players. As a

Boulevard. Roxana Maftei, the founder of Bebe Tei and Farmacia

result, in recent years, almost all the private healthcare clinics and

Tei stated last year for Ziarul Financiar that the company intended

networks completed their portfolio with medical services dedicated

to launch a 3,000 sqm Bebe Tei store in Iasi and another one in

to children, from maternities to pediatric clinics and hospitals.

Constanta.

For example, 3,051 babies were born last year at Regina Maria Baneasa Maternity, representing the second largest number of

TOY STORY

newborns registered in Bucharest both in the public and private

The local toys industry is one of the hottest sector on the local

medical system, according to the data of the Center of Research and

market, with Jumbo, Imaginarium, Noriel and Lego just to name

www.business-review.eu Business Review | July 2017

OPINION

Diana Paula Stoian, psychologist-psychotherapist, coach and representative of “Centro di Terapia Strategica” from Arezzo (Italy) in Romania

Who dictates in the purchasing decision process: the kid or the parent?

COVER STORY 17

the few, making big plans for the local market. Even international private investors scanned this market, with Polish Enterprise Fund VII being such an example. The private equity fund managed by Enterprise Investors (EI) signed an agreement to acquire 100 percent of shares in Noriel Group last year for an undisclosed sum. The sellers were the Constantinescu family, Noriel’s founding entrepreneurs, and Balkan Accession Fund, a private equity fund advised by Axxess Capital. As part of the deal, EI will provide EUR 2 million funding to support further development.

With a network of 47 stores in 27 cities and a strong online platform, Noriel is the leader in the toys retail market in Romania.

In 2015, Noriel’s sales grew by 26 percent, to approximately EUR 30 million. “We will strengthen the management team with industry experts and we will support the further rollout of Noriel stores throughout the country in order to double the number of shops in the coming years,” stated Serban Roman, country director at Enterprinse Investors.

Along the same line, Jumbo is another significant player on the Romanian toys market. Despite only having seven stores in

The architects of the consumerist culture – those who manufac-

Bucharest, Pitesti, Ploiesti, Timisoara, Arad and Oradea, the Greek

ture, commercialize and promote products – have discovered the huge

retailer posted RON 217 million turnover in 2015 and had over 40

potential that kids may have. They became the channel between con-

percent market share. According to local media, Jumbo intends to

sumption and family, the bond between advertising and the parents’

open two new stores in Constanta and Suceava this summer. As a

wallet. This is the reason why the so called “commercialized childhood”

recent study conducted by KeysFin found, from the 2015 turnover

became a phenomenon because, while parents are flooded with infor-

perspective, Jumbo is followed by Intertoy Zone (RON 117 million),

mation distributed on media or social channels, he or she asks how the

Lego Romania (RON 75.5 million), Noriel Impex (RON 35.9 mil-

room of their children will look like, what car will they use to transport

lion), Brick Depot (RON 13 million), J&M (Ron 11.7 million), Netzah

them, what accessories should they buy for their baby or kid. And this

Game (RON 11.3 million) and Tritex Design (RON 9.5 million). “The

is happening because it is very difficult to stay away from the “working

entrance of Jumbo in Romania back in 2013 was a significant point

and spending” lifestyle.

for the local toys market. Through its format and wide offer, it

Since 1920, advertisers have made use of their alliance with mothers,

managed to rewrite the standards in this sector in a short time,”

convincing them that their products are good for their kids (“gate-

adds the analysts of KeysFin.

keeper model”). This is happening today too, especially when it comes

According to them, the local toys market will reach its histori-

to products for newborns or kids up to two years. However, this model

cal peak this year, based on an increasing demand. The research-

became almost obsolete in an age where advertising has direct access

ers found that the cumulated turnover from both the production

to children because they spend a lot of time at the TV, on the internet

and retail of toys reached RON 715.8 million in 2015, four times

or are involved in the shopping sessions together with their parents.

higher than in 2010. Also, the profitability of the sector reached

In this situation, the consequence is that both the power of acquisi-

significant peaks, from RON 11.3 million in 2010 to RON 72 million

tion and the influence of the children have exploded, with marketing

in 2015. “Both manufacturers and retailers capitalized the increase

and advertising bringing their contribution to their transformation in

effectively of the income posted by families with children. The

autonomous, determined and decided consumers!

Companies make advertisements especially for children because

sustained promotion on all media channels – TV, radio, print, online, stores, outdoor – is proof in this regard. The marketing poli-

they buy. For example, at international level, every half a second, a

cies became more effective and now we have TV channels for kids

Barbie doll is sold. As early as 2003, it was noticed that 80 percent of the

where games and toys are marketed,” say KeysFin representatives.

global brands adopted a strategy that targeted children aged between

The global toys and games market reached USD 100 billion last

9-13 (“tween strategy”) for food, music, fashion, culture and even for

year and, according to analysts, it is estimated that it will exceed

more expensive products designed for adults like electronic devices,

USD 135 billion by 2020. This growth is the result of the increase

cars and hotels. So it is no wonder that in the US alone, at least 62 per-

of the purchasing power, innovation, technological advance and

cent of the acquisitions of SUVs and minivans are influenced directly by youngsters or by advertisements that present happy kids in such cars.

the increasing appetite of both children and adults to buy toys and games.

Plus, since 2004 in the “influence market” industry kids aged between 4 and 12 determined adults to make purchases worth USD 330 billion and influenced expenses of another USD 340 billion.

ROMANIAN PARENTS EYE PRIVATE EDUCATION Education is one of the crucial pillars that establishes the solid

www.business-review.eu Business Review | July 2017

18 COVER STORY

THE MOST IMPORTANT RETAILERS OF TOYS IN ROMANIA (2015 TURNOVER)

to the school, and to have a more open and direct communication with teachers and directors, focusing on the education and protection against alcohol and drug consumption and other behaviors that can have a negative impact on them,” adds Gardescu. She highlights that today there is a wider group of young parents that invest more in education, are involved in the educational experience of their children and realize that they have a crucial contribution to it. As for the marketing messages, Gardescu says that parents need to be listened to and be told the truth about the school and what it can or can’t offer. “At present parents are much more educated and critical with the messages they get. They can easily identify both the standard messages and those that are not in line with reality,” concludes the representative of the American International School of Bucharest.

Total ->EUR 109.5 million

CHOOSING TO BE RESPONSIBLE For Ana Maria Florea Harrison, writer and owner of Riki&Friends

Jumbo (EUR 47.5 million) Intertoy Zone (EUR 25.6 million)

the idea of determining a responsible behavior towards pets and animals in general has been the main drive for putting into practice The Adventures of Riki, a book published back in 2013 by Curtea

Lego Romania (EUR 16.5 million)

Veche Publishing. Her inspiration was Riki, her own 14-year-old

Noriel (EUR 7.8 million)

dog. The book got a nomination at the Bun de Tipar Gala in 2014 in

Toys & Games (EUR 7.7 million) Nicoro Toys (EUR 4.1 million)

the “Best book for kids in Romania” category. Recently, she published the first bilingual edition of “The Adventure of Riki” (French and Romanian). “The Romanian edition of The Adventures of Riki is recommended by many teachers, and there are schools that choose

Source of data: data published on the website of the Minister of Public Finances quoted by Perceptum.

it for study in a specific week. Plus, many schools and kindergartens invite me with Riki to read to them and tell them about animals,” says Harrison. She adds that a publishing house included a text

foundation of a future adult. At present, many Romanian parents

from the Romanian edition of her book in an auxiliary manual of

choose to enroll their children in the private educational system.

Romanian Language and Literature. “My book, including the bilin-

“Usually parents choose private education because they want an

gual edition is now part of the libraries of many schools, including

educational system that focuses on student and a curriculum adapt-

the Anna de Noailles French High School in Bucharest,” adds the

ed to his or her individual needs of learning. They want a school

writer. Speaking of the benefit that The Adventures of Riki brings to

oriented towards academic performance, personal development

children, Harrison says that she wants people and children to learn

and discovery of passions along with well-trained and motivated

how to be gentler with animals and make them understand that

teachers who are able to use complementary educational strategies

they are like human beings. “Riki is a real character, not a Superman

and have access to diverse and interactive teaching materials,” says

one and thus doesn’t do imaginary things. Children need imaginary

Cristina Pop, director of communication and admission at Avenor

stories, but they also need real ones about characters with which

College. She adds that when it comes to education, parents strike

they can identify. They discover and learn through the eyes and the

a chord with authentic messages that are in line with their values

soul of a dog how to behave in different circumstances. They learn

and principles. “When telling the story of your school, it is crucial to

simple but important things. The realism and the honesty of the

help parents find their place in this story,” adds Pop.

stories inside the book are its main added value,” adds Harrison.

As Catalina Gardescu, director of admission and external relations at the American International School of Bucharest highlights,

KIDS LIKE THE MARKET NICHES

Romanian parents want “something different” for their children

Back in 2014, when Luiza Willems, entrepreneur and designer at the

than what the public system can offer: smaller classes, modern

Family Fashion tailor shop decided to set up her own business and

facilities, the possibility to apply what they learn and to encourage

give up her 13 years of corporate life, the concept of family fashion

their creativity, supporting the child and leaning on the social-emo-

was quite nonexistent on the local market. She found a specific

tional aspects of his or her life, encouraging the learning process and

market niche and started by creating mother-daughter clothes

creating an educational environment where the kid can participate

based on a mix of factors: her passion for fashion combined with

with joy, learning foreign languages and getting certificates with

her ambition to create clothes, her experience in the marketing field

international recognition. “Plus, parents want to be more connected

and as a mother of two daughters. “In December 2015, I leased a

www.business-review.eu Business Review | July 2017

COVER STORY 19

Cristina Pop, Avenor College

Catalina Gardescu, AISB

space and made my own tailor shop. I continued to work with other

increase by 10 to 20 percent this year. “The Family Fashion concept

tailor shops until I created my own team of tailors with whom I cre-

appeals both to children and their mothers. When creating clothes

ate the mini-series and the dresses made to order. For large projects,

that need to be suitable for both a child and an adult, I pay attention

that involve hundreds and thousands of items, like my partnership

to design, the moment of wearing it and comfort. While girls strike

with Cora Romania for mother-daughter sets and school uniforms, I

a chord with color and design, mothers need to be sure that their

collaborate with factories,” says Willems. Her initial investment was

kids feel comfortable wearing that dress and that it can be cleaned

about RON 1,000 in 2014 while the total investment for setting up

easily,” says the entrepreneur. As for her marketing strategy, Wil-

the tailor shop reached about EUR 10,000. Last year, Family Fashion

lems says that often it is based on an emotional communication, as

posted a EUR 110,000 turnover, and Willems expects her business to

children that wear her creations don’t know to read.

TYPES OF FAMILIES: Hyper-protective family: they focus on health, food, look, scholar activity and how their kid socializes. It makes all the efforts to buy clothes of the latest fashion, have extra-curricular activities and the latest gadgets.

Democrat permissive family: all the members of the family have the same rights. The kid becomes in time “the small tyrant” that gets everything he or she wants from their parents, as a result of the debates in the family where “democracy is the most valuable thing”.

Family that makes sacrifices: they focus on the opportunity of the kid to get affirmation. Through their kid, parents satisfy their need to exceed their emotional, professional and social status. All the resources of the family are at his or her disposal.

Discontinuous model. In their day-to-day interactions, parents can pass from a firm attitude to a flexible one or from valorizing the kid to criticizing them. In their need to valorize their children, they will put all the material privilege at their disposal.

Family that delegates. Children will capitalize their relationship they have with their grandparents and parents so that they will get as much as possible, especially making use of the emotional squeeze.

The authoritarian family. They focus on respecting some very rigid rules and on obedience of the kid. They put pressure on scholarly, sporting and social performances. The financial resources are allotted strictly in direct correlation with his or her achievements.

Source: Diana Paula Stoian, psychologist-psychotherapist, coach and representative of “Centro di Terapia Strategica” from Arezzo (Italy) in Romania

www.business-review.eu Business Review | July 2017

20 TRAVEL

Sunny days ahead for Romania as a travel destination 2017 could be a turning point for the local travel market should it manage to take full advantage of the favorable context, Javier Garcia del Valle, CEO of travel group Happy Tour, tells BR.

By Simona Bazavan

The number would be even higher should the local authorities finally solve the problem of the road infrastructure, notes the executive. “If I want to put together a tour around Romania I cannot do it based on the distances.

I have to build it based on the roads. This is a problem because Romania is a country to visit in ten days with proper roads,” he says, adding that at the moment tours that foreign tourists take leave out important parts of the country such as the north.

Romania is now Happy Tour’s second largest leisure market. “France holds first position mainly because we are the only authorized tour operator for Disneyland Paris and therefore for us France is a key market nowadays.

But if we leave this aside then Romania is our biggest growing market with a 28 percent increase in the first quarter.” He believes it could

M

grow overall this year by a level similar to the 40 percent posted in 2016, should everything

ore locals and foreign tourists are

infrastructure is developing too, little by little

choosing to spend their holidays in

– probably not at the speed that we all want,

Romania, due to both internal fac-

fall into place.

“There is a momentum that we really need

but it is happening. More and more we’re see-

to take advantage of because everything is

tors and concerns about security elsewhere,

ing new hotels and better service, although

in our favor. The external situation is not the

says del Valle. One reason is that Romanians

there is still a need for better training in ser-

best, as elsewhere security is an issue. Over

have more money to spend on travel fol-

vice delivery,” he says. Hopefully, the rising

here prices are good and Romania can boast

lowing the pay hikes and VAT cuts of recent

demand will not artificially inflate hotel rates,

an authentic travel experience, unlike other

years, points out the CEO. The increase of the

especially when it comes to foreign tourists,

places in Europe that are flooded with tour-

minimum wage in particular has made it pos-

stresses the Happy Tour head.

ists. All this represents an opportunity, so let’s

sible for a new segment of Romanians to af-

The number of foreign tourists coming to

makes sure that we use it. And let’s make sure

ford a holiday and local destinations are their

Romania has been increasing too, especially

we promote Romania as a destination,” he

first choice. Even if the average local tourist

from countries with good flight connections

urges.

remains price sensitive overall, there are also

to Romanian cities. “What I am seeing is

tourists with higher than average budgets

groups coming from abroad. This is the seg-

10 percent last year to some EUR 50 million.

who prefer a domestic holiday after years of

ment that we have to target. Individuals will

All of the company’s business contributed to

going to now established travel destinations

keep coming but their budgets will probably

the growth and del Valle says the same should

such as Greece or Turkey.

be lower. We’re seeing an increase in traffic

happen this year. The expected growth rate

from Germany and other countries,” adds del

for 2017 is above 11 percent and so far the CEO

Valle.

says the company is ahead of target.

It also helps that there are more options to choose from locally, goes on del Valle. “The

Happy Tour saw its turnover increase by

www.business-review.eu Business Review | July 2017

BEVERAGES 21

EcoCap’s taps into Eastern European market, pushing for mainstream expansion Based in Bologna, Italy’s ‘packaging valley’, EcoCap’s is the company behind the protective aluminum foil that seals the top of San Pellegrino’s colorful fruit beverage cans. Through a recent partnership with United Romanian Breweries Bereprod (URBB), the company entered the Eastern European market in a bid to make the technology it developed a worldwide standard in the beverage industry.

By Georgeta Gheorghe which means that is tamper evident. In fact, every time someone removes the Ecocap, it is impossible to replace it again on the can, and this is a further warranty for the final customer,” Cassoli explains.

The company operates exclusively out of Bologna, where its factory is located. Currently employing 35 staff, EcoCap’s posted a EUR 11 million turnover in 2016 and expects a 10 percent increase this year. “Our business model is different from common packaging machinery companies, because we do not offer only the EcoCaps themselves, but also

T

EcoCap’s seeks to attract clients from the Eastern European beer market

EcoCap’s sealing units. As such, we are also able to offer different types of services beside

he recyclable aluminum foil, called

company’s biggest client. For the next ten

technical assistance. For instance, we give

Ecocaps, protects the beverage from

years following its launch, EcoCap’s did

support in the designing of the Alu-Lid, in

any contamination, from the moment

not conclude any partnership, something

some marketing campaigns and also when

it leaves the production line, throughout

Cassoli puts down to the reluctance of the

it comes to logistics,” the company’s brand

storage and until it reaches the consumer.

shareholders to take on risks. “At that time,

manager tells BR.

The aluminum foil is set through thermoseal-

the company was managed by a group of

ing, without the use of glue, by machines

shareholders, including my family. However,

countries and has entered the Romanian

that EcoCap’s produces in Bologna and sells

the holders of the majority share were afraid

market via its Turkish connection. “We have a

to beverage companies. The solution was

to offer and promote our system worldwide,”

great partnership with Turk Tuborg in Turkey,

developed and patented by EcoCap’s partner

Cassoli argues. Things changed in 2013, when

which has been very important in starting

Carlo Innocenti at the end of the ‘90s when

the Cassoli family purchased the majority

the relationship with URBB. Furthermore, we

cases of contaminated cans were detected

stake and started looking for opportunities to

also have a good partnership with Turkey’s

in Europe. “All these cases brought up the

expand their client base. “Since then we have

Anadolu Efes Group,” Cassoli explains. The

problem of the can top, which is exposed to

found new customers, and now our system

company’s recent partnership with URBB

the environment and everything that lies on

is a must in some countries,” added Cassoli,

opened the doors to the Eastern European

it, would then come in contact with our drink

who argues that the green factor is a top sell-

beer market, which, he argues, holds tremen-

and our mouth,” EcoCap’s brand manager

ing point of the product. “Aluminum is 100

dous potential. “Eastern Europe is a huge

Jacopo Cassoli explains.

percent recyclable, and it can be disposed

market, as the beer consumption per capita is

and restored an infinite number of times. As

higher than in the rest of Europe. Moreover,

receiving the patent for the technology,

both the lid and the can are made of alumi-

cans, in general, also in what concerns soft

EcoCap’s was created and, in 2003, delivered

num, they both have the same waste disposal

drinks, have a great presence thanks to their

the first unit to mineral water brand San

method. That is why the consumer can leave

cost-effectiveness,” he explains, adding that

Pellegrino. Part of Nestlé Waters, the iconic

the Ecocap attached to the can or inside

the company’s ambition is to make the tech-

Italian brand has remained until today the

the can. Moreover, the material is flexible,

nology mainstream.

The invention enjoyed a flying start. After

Currently, EcoCap’s is present in four

www.business-review.eu Business Review | July 2017

22 ONLINE

eMAG aims to become ‘go-to’ platform for retailers Online retailer eMAG, controlled by the South African Naspers group, is looking to reach the EUR 1 billion milestone in sales this year through a combination of acquisitions and investments in the marketplace platform, which handled 1.9 million orders last year.

By Ovidiu Posirca

Florin Filote, eMAG Marketplace

I

Iulian Stanciu, eMAG

t might look as if eMAG is trying to gobble

widest traffic channel, which has more than

technology last year, in external technology,

up the Romanian e-commerce market,

20 million visits each month, exceeding by far

equipment and in platform software develop-

where it already holds a commanding po-

the top 10 Romanian malls’ monthly traffic,”

ment. Out of this figure, EUR 5 million went

he added.

into the marketplace.

sition, and also to challenge the shiny retailers in shopping malls.

“For businesses, the platform is a channel

And the growing importance of the plat-

HOW THE RETAILER MONETIZES THE PLATFORM

form is seen clearly in eMAG’s overall results.

worth exploiting to increase revenue from selling products, simply because it offers

The online retailer takes its cut from each

EUR 100 million and over 1.9 million orders

one-click access to 500,000 unique custom-

sale recorded on its platform. Commission

for marketplace partners,” said Filote.

ers each day and hassle-free listings in more

varies from 7 to 25 percent, depending on the

than 1,600 product categories,” Florin Filote,

product category.

director of eMAG Marketplace, told BR in an interview.

The platform currently hosts 3,500 sellers

Filote says that eMAG’s commissioning

“In other words, we generated more than

The platform has been growing fast since 2015, when it got almost 1,000 stores to sell their products through eMAG infrastructure.

policy is based on the costs its partners have

The figure doubled the next year and the

or would have when selling through vari-

same expansion is expected for 2016.

and more than 1.4 million products. Filote

ous sales channels. “We keep in mind the

says that eMAG wants to reach 7,000 partner

rental costs for offline stores as well as the

wants customers to have a complete shop-

stores this year.

costs a partner would have online to become

ping experience on its platform, creating an

relevant,” he added.

ecosystem that of late includes even its own

“Through eMAG Marketplace, we want to make available to all Romanian businesses the

The retailer invested EUR 24 million in

The retailer, headed by Iulian Stanciu,

delivery services.

www.business-review.eu Business Review | July 2017

ONLINE 23

Filote said that auto, home & deco, chil-

marketplace in the first year since launch, ac-

the past few years there have been issues in

dren & toys, fashion and sport are the catego-

cording to eMAG. In this category, the retailer

the industry, which is trying to keep up with

ries that have posted high sales and look set to

reduced the commission in order to attract

surging demand in the e-commerce sector.

continue to do well on the marketplace.

more Romanian producers.

One of the firms selling through eMAG’s

Earlier this year, eMAG invested EUR 1.7 million in Zitec, a Romanian IT company

HOW COMPANIES GET ENROLLED

infrastructure is Care Spot. The online store,

eMAG has developed a clear policy when it

specialized in the beauty industry, gener-

comes to the retailers that it accepts on its

ated 47 percent of its total revenues through

ment is part of a new strategy for eMAG, to

sales platform, and some companies have

the marketplace in 2016. Representatives of

support entrepreneurial firms in Romania,

been rejected.

the company said they are able to sell their

what is for sure is that Zitec will use the

“Registration on the eMAG Marketplace

products to clients in Bulgaria and Hungary

money to hire more people, expand across

platform is very easy; all you have to do is fill

through the platform, while the website also

Romania and create a department tasked

in a form with the company’s profile on the

targets clients in Italy.

with attracting EU funds and grants.

website and send us some documents. After

“While up to now we have focused on

founded by Alexandru Lapusan.

Although it is too early to say if this invest-

The group headed by Stanciu might have

a short period of evaluation and validation of

cosmetics and perfumes, in the future we

chosen Zitec because the Romanian company

the profile, the partner store can display its

want to sell fashion and jewelry products,”

is an active buyer of stakes in other emerg-

products directly on the site in the proper sec-

representatives of Care Spot told BR. They

ing firms across the globe. Its investments

tion. At the moment eMAG Marketplace is the

added that perfumes are the most popular

include Zipongo.com (the US), cosQuare.

simplest way to start selling products in less

with foreign buyers.

com (the Netherlands) and publishing house HAC!BD (Romania).

than 30 days,” said Filote.

He added, “One of our selection criteria

Zitec also develops mobile solutions,

is to meet the quality standards for products

MOVING INTO THE DELIVERY MARKET AND TARGETED INVESTMENTS

which are becoming the main channel that

and services. This means describing the

Since the start of the year, eMAG has made

generates sales for eMAG.

product characteristics accurately, quality

some surprising moves, taking over a Roma-

“E-commerce has entered the mobile

pictures, customer reviews, and compliance

nian firm that focuses on same-day deliveries

era and this trend will continue. The mobile

with delivery commitments.” The director

and investing in another IT firm specialized in

phone has become the mall in our pocket and

says that the retailer imposes a mix of quality

online apps.

in 2017 we expect over 70 percent of eMAG’s

standards for its products and for those on the

The retailer took over an 80 percent stake

traffic to come from mobile devices. It’s a

marketplace. Asked if there have been retail-

in Sameday Courier and the fresh funding

market with significant growth potential,”

ers whose requests have been turned down,

will be used for new investments in technol-

Stanciu told Bursa newspaper in early June.

Filote says there has been “a relatively small

ogy and the network for deliveries across

number of rejections on the platform”.

Romania.

At the start of this year, the e-commerce

eMAG’s move into the delivery sector un-

The growth of the local e-commerce market will remain in double digits for the next year, according to estimates. The Association

player launched a separate initiative called

derpins its efforts to keep up with the number

of Online Stores in Romania (AMRO) fore-

Open Romania which targets small business

of orders, which grew by 50 percent year-on-

casted that the industry will double its value

owners, including NGOs. Some 400 small

year, said Stanciu. The retailer works with

by 2020 from the EUR 2.5 billion estimated

producers were set to be enrolled on the

a series of delivery firms in Romania and in

for this year.

www.business-review.eu Business Review | July 2017

24 ENERGY

Utilities boost investments to cater for digital client amid market liberalization With the liberalization of electricity prices for Romanian households set to be completed this year, utilities are investing in new technology as users can switch more easily to new suppliers.

Although gas prices for individual consumers will be fully liberalized by 2021, companies are already developing new solutions to allow households to keep their consumption under control in real time.

By Ovidiu Posirca

Utilities are boosting investments in mobile solutions

T

he main utility firms in Romania are

we offer our clients a wide array of prod-

starting to install tens of thousands

ucts that they can get from a single supplier

continue to provide personalized packages of

of smart meters in households across

alongside the digitalization of processes and

services for consumers.

Szabo added that the firm’s strategy is to

the country, paving the way for differentiated

the reduction of time spent paying bills,�

pricing mechanisms and the easier transition

Cornelia Szabo, CEO of CEZ Vanzare, told BR.

off a digitalization process, firstly by expand-

of consumers from one supplier to another.

The company supplies both electricity and

ing its payment infrastructure through part-

gas in Romania.

nerships with retailers and by boosting online

“We are focusing on integrated services;

Elsewhere, Electrica Furnizare has kicked

www.business-review.eu Business Review | July 2017

ENERGY 25 she added.

operations. The company has also launched

also generate most of the consumption, for

a mobile app through which households can

households the government has intervened

track their consumption in real time and

to delay this process. What we know for sure

be taken into account by households that

make payments faster.

is that electricity prices for individuals will

want to switch to another electricity supplier.

“For the period 2017-2018, the digitalization process will include the redesign of the Virtual Office, so that it corresponds to the

be fully liberalized, while for gas, the process should be finished in four years.

“Progress on gas price liberalization for

And there are other provisions that should

For instance, consumers that opt to change their electricity supplier can’t return to the regulated tariffs imposed by the

households stalled in mid-2014 and the

Romanian energy regulator ANRE, according

seek the assistance of utilities if they need a

deadline for completing the deregulation was

to Electrica Furnizare. In addition, although

handyman or to check the health of electric-

extended from 2018 to 2021. The authorities

households can switch to another sup-

ity or heating equipment in their home.

considered the original timetable for price

plier, the electricity distributor will not be

liberalization too aggressive and demand-

changed.

new visual identity launched with MyElectrica (the mobile app – e.n.), as well as the implementation of web services based on open standards, which will allow the exchange of information with other automatic systems, in real time,” Electrica Furnizare representatives told BR. The company will also provide energy audit services and enter on the market for the maintenance of electricity installations within homes.

In fact, almost all the utility firms have recently been launching auxiliary services, this being a new market in which companies can differentiate themselves. Consumers can

In the meantime, Electrica Furnizare says

“The supplier can’t influence the number

that it is planning to enter the gas supply

ing for households with fragile incomes,

market. This is a medium-term project and

even though measures to protect vulnerable

and duration of power outages or the quality

the company suggested that in this way it can

consumers were taken,” said experts from

of electricity, and can’t change the recon-

further enhance the portfolio of services it

the International Monetary Fund (IMF) in a

nection times through the contract. Against

provides to clients.

report published this May, following a review

this backdrop, the analysis of all commercial

mission in the country.

and contractual conditions is essential for

This spring, Italian Enel, one of the key players in the electricity sector, also an-

Electrica Furnizare claims that the de-

each supplier, aside from the price criterion,

nounced that it would provide gas supply

regulation of the energy markets allows users

contractual provisions and the capacity of

services in Romania.

to switch their suppliers, with the ultimate

the supplier to meet all its obligations during

goal of lowering bills and selecting packages

its validity period, which are elements of ut-

customers, there is a new world that we can

of offers that meet their consumption needs

most importance in the decision to select an

still explore. We have basically been doing a

better.

electricity supplier,” said Electrica Furnizare

“Regarding our interaction with our

lot in terms of applications for the benefit of our customers, through which we can track your bills and consumption, on an online

However, Szabo of CEZ Vanzare says there are some pitfalls.

“A trap in this change of supplier is the

officials.

Meanwhile, companies are investing heavily in developing smart metering sys-

basis, with your smartphone, and even give

way energy prices on the free market are

tems in Romania. Enel has announced that it

instructions to your heating and air condi-

communicated, as the supplier often does

will have 300,000 smart meters installed for

tioning through smart thermostats and smart

not provide all the components that will

its clients, out of which 150,000 will be rolled

cooling,” Eric Stab, chairman & CEO of Engie

be included in the bill. In addition, other

out this year. This process is set to continue

Romania, part of the French utility group,

contractual provisions regarding cancelation

in the coming years as the company has 2.8

said during the Country Focus Community

or potential price changes are significant for

million clients across the Romanian regions

Forum, organized by BR mid-June. Stab was

the client and need to be taken into account

in which it operates.

outlining the steps pursued by the company

when the contract is negotiated (…) In the

on the digitalization front.

first stage, the low price of electricity charged

20,000 smart meters this year, and another

Elsewhere, German E.ON aims to install

by some suppliers played an important role

350,000 in the 2018-2020 period. By 2020,

FRESH CHALLENGES FOR CONSUMERS ON DEREGULATED MARKET

in selecting an offer, but considering the

the company wants to have 600,000 such

evolution of prices so far, it is not the only

meters in its network, following an invest-

Although the gas and electricity markets have

selection criterion, with the stability of the

ment effort of EUR 39 million that kicked off

been fully deregulated for companies, which

supplier and prices gaining a bigger share,”

in 2014.

www.business-review.eu Business Review | July 2017

26 BR EVENTS

Foreign investors grappling with overheated local labor market The planned public sector wage hike and the underdeveloped infrastructure in some regions of the country are among the crucial challenges faced by the main foreign investment communities looking to create new jobs in Romania.

Mihai Constantineanu

By Ovidiu Posirca

Panelists concluded that Romania’s economic outlook is positive but investors require more stability in policymaking

A

s the government plans to increase all public sector pay by

and Industry in Romania (CCIFER), said that to solve this challenge,

25 percent from January 2018, executives from some of the

companies have to increase staff productivity.

largest foreign firms in Romania say they have to focus even

more on retention strategies.

“This will increase the imbalance between the supply and demand

“We need to find ways to compensate for the sharp increase in the human factor. If it is too sudden, we won’t get enough of a productivity gain and it will pose a financial challenge. The second way to solve

of talent and people in the private sector. But here we face a dilemma.

this dilemma is by striving to be a preferred employer (…) It’s not all 7

On one hand, investors in Romania see for sure the need for stronger

about the money, it is about the culture you provide, the development

social cohesion through higher wages. They see the need for conver-

opportunities,” he added.

gence in Romania with the European Union (…) On the other hand,

Making a company stand out to new candidates also means that

we need to protect our margins, because with a higher margin we hire

companies might further intensify their recruitment programs in

more people, we develop people, we invest in capacity,” said Francois

universities.

Coste, CEO of Groupama Asigurari, during the Country Focus Com-

Francois Bloch, CEO of BRD-Groupe Societe Generale, said that

munity Forum, organized on June 13-14 by Business Review maga-

there is a lot of talent that should stay in Romania and work for

zine. The French insurer has 2,100 employees in Romania, of whom

companies with Romanian or foreign capital. “Through innovation

600 are contractors

and investments, we will enable productivity gains in various sectors

Coste, who is also president of the French Chamber of Commerce

again, through which we can compensate for the increase in salaries,”

www.business-review.eu Business Review | July May2017 2016

said Bloch.

COVER BR EVENTS STORY 27 14 Companies from Germany, Austria and France have been among the strongest supporters of the local vocational education system, and

HOW TO GET MORE EMPLOYEES IN THE PRIVATE SECTOR

classes with students enrolled in such programs have emerged across

The draft bill for the new wage structure in the public sector was

the country. Companies have been struggling for years to find, for

voted in by MPs in early June, but has to be signed into law by the

instance, enough welders and mechanics, and employers hope that

president, Klaus Iohannis, before it can be enforced. The government

vocational training could help them fill the skills gap.

has already pushed back the deadline for the wage hike from this July to the start of next year.

“We have to open the country to foreigners. We have to do this in the next two to three years,” said Anastasiu.

The draft bill has raised concerns among economists, who have warned that the spike in the payroll could push Romania’s budget

MOVING AWAY FROM THE LOW-COST MODEL

deficit above 3 percent. The cost of the new draft bill will amount to

With public sector wages poised to rise sharply, which will also put

more than 8 percent of GDP annually.

ongoing pressure on the private sector to move in the same direc-

“It is worrying that the high economic growth comes

tion, representatives of investment communities talked

with a high deficit,” said Carmen Marcus, economic

extensively about Romania’s transition from a low-

counselor at the European Commission.

cost economy.

Eric Stab, president of the Foreign Investors

“Romania is progressively losing this low-

Council, added that there is a pretty broad

cost advantage,” said Marcus of the EC. She

consensus that some wages in the public

added that there is a clear sectorial shift to

sector have to rise, citing the situation of

services.

teachers and doctors. However, he shared

Stab, also chairman & CEO of Engie Roma-

the story of an investor who claimed that

nia, added that generally speaking, foreign

it had become “pretty much impossible” to

investors are optimistic about Romania, noting

hire people in Timisoara. The western city has

that there is room for improvement in terms of

attracted massive investments in the automotive

foreign direct investments per capita.

and IT sectors and its proximity to the border makes

“If you look at FDI stock per capita, it is the

it attractive for industrial groups that need to move

lowest in Romania, around EUR 3,100, compared to

freight by road fast.

“The soaring salaries that companies are complaining about

neighboring countries: in Bulgaria it’s more than EUR 5,000, and in the Czech Republic more than EUR 9,000,” said Stab, citing the

would not be a problem if productivity was growing similarly or more

results of a study conducted by the University of Economic Studies

strongly” said Gerd Bommer, commercial counselor at Advantage

and the FIC.

Austria. He commented that Austrian companies see the potential in longstanding operation in Romania to stay for good and profit from the strong domestic market and growth.

Bommer went on to say that Romania faces a workforce mobilization problem and that there’s a need for government actions to bal-

In addition, with the rising automation trend, low-income jobs might be the first ones to go, according to commentators.

“Romania was a low-cost country, but this is changing,” said Pierre Moussy, economic counselor at the French Embassy in Romania. He suggested that everything related to research and development and

ance the lack of skilled workers.

The government has taken the first steps to promote the relocation of employees, for instance by subsidizing the rent paid by an unemployed person who gets a job far from home, in another city. However, the bigger problem is that some counties, especially in eastern Romania, where there is a chronic lack of transport infrastructure, are not able to attract investors that could develop large-scale projects.

innovation should be increased.

The state continues to provide support for investors looking to de-

Representatives of foreign investment communities say that the

velop projects in Romania. There are two state aid schemes, one to at-

Romanian diaspora, which comprises roughly 4 million people, is a

tract labor, where there is still money, and the second for investments

source of valuable talent that has been somewhat ignored up to now.

in assets, for which competition for projects has begun, according to

Dragos Anastasiu, president of the Romanian-German Cham-

Iulian Sorescu, associated partner at Noerr Finance & Tax.

ber of Commerce and Industry (AHK Romania), said that the labor

“There are still investments higher than EUR 10 million coming

market has been literally blocked in the past six months as demand

into Romania for expansions,” said Sorescu. He added that companies

far outstrips supply. “We could do more but we don’t have people,”

are waiting for the call for applications for the state aid scheme for

said Anastasiu, adding that there is an insufficient number of skilled

assets.

employees with the right mindset.

“Companies have to wake up and do something. We have to invest

“What we have in Romania compared to other countries is a high level of financing,” said the partner, adding that the 50 percent state

in people through education,” said the AHK Romania head, speaking

aid for investors in certain parts of the country helps Romania’s state

about the dual education program in Romania.

aid scheme become more attractive than others in the region.

28 INTERVIEW

Burson Marsteller Brussels CEO: Lobbying presence yields concrete impact In Brussels, lobbying is a crucial element of the decision-making process, as it helps stakeholders make their interests and concerns known to EU-level decision makers, allowing the latter to draft legislation that affects millions in a well-informed manner. Over 100 Romanian entities are registered in Brussels, however, many public actors, such as the country’s regions, are not represented. In Romania, legislative proposals to regulate lobbying dating from 2010 and 2011 have been roadblocked, with the past three governments giving a negative opinion.

Karen Massin, CEO of the Brussels chapter of Burson Marsteller spoke to BR about the importance of lobbying in a transparent and regulated framework.

www.business-review.eu Business Review | July 2017

ABOUT Karen Massin, CEO, Burson Marsteller Brussels Karen Massin manages pan-European projects towards regulators, industry, NGOs and media.

She has played a key role in relaunching Burson-Marsteller Brussels as a public affairs and communications agency in 2016.

She rose through the ranks after starting off as an intern and, when she was appointed CEO in 2014, became one of the few female executives under 40 in Belgium.

By Georgeta Gheorghe

www.business-review.eu Business Review | July 2017

INTERVIEW 29 It is up to each Member State to be involved

believe that this is due to a certain openness

Why is it important for Romania to lobby in Brussels? Who should be lobbying on behalf of Romania?

and a willingness for more dialogue on the

Many laws and standards in Romania origi-

transparency there is, the better.

part of the European institutions regard-

nate from European legislation. This is why

ing the legislative process. EU laws have an

Romanian industries that are impacted by

impact on more than 500 million people, with

European legislation must be there at the Eu-

What key elements should be included in lobbying regulation according to you?

European standards directly applicable to

ropean level to ensure that the specific nature

I understand that in Romania you already

member states and their citizens. European

of the operation of their sector is taken into

have a voluntary system in place and that

institutions have understood that it is better

account. For example, you do not recycle the

the Government introduced a public register

to try to do the right thing by taking the neces-

same way in Romania, Germany or Italy.

of meetings with interest representatives in

How is lobbying regarded in Brussels?

Lobbying is seen positively in Brussels. I

sary time (normally it takes 2 to 3 years) and

in the proper functioning of their institutions at national level. In my opinion, the more

September 2016.

consult all relevant stakeholders so that the

Is Romania lobbying enough in Brussels?

In Brussels, together with the European Pub-

law is drafted in the best possible way and can

It’s hard for me to have a full perspective. I

lic Affairs Consultancies’ Association (EPA-

be rapidly introduced afterwards.

understand that 114 Romanian lobbying enti-

CA), we have worked to clarify the definition

ties are registered on the EU Transparency

of lobbying and created a Register to answer

Why is the Brussels lobby model functional?

Register, from nurses, to music, transport and

questions such as what interests are being

telecoms. Romanian regions are not repre-

represented at EU level? Who represents

Two reasons. The process is open to every-

sented, unlike other European regions. Other

those interests, and on whose behalf? With

body and it is transparent.

industry sectors may be missing out as well.

what budgets? The EU has also developed a

First, many organizations are represented

Direct presence in Brussels offers a direct

Code of Conduct and an alert and complaints

here and can communicate with EU institu-

learning process with a concrete impact. Of

mechanism. I think these are a good start.

tions: trade associations, companies, NGOs,

course, most of the federations and NGOs

trade unions, regions, governments, con-

have Romanian members so I would think

sultancies, law firms, foundations and think

their interests are being represented too. That

Why do you think in Romania lobbying is mistaken for influence peddling?

tanks. Second, we operate in a transparent

said, I am not sure they are sufficiently active

As far as we are concerned, as lobbying pro-

and legitimate framework. European institu-

and make their voice heard enough through

fessionals, we operate a transparent and le-

tions are in favor of lobbies who provide infor-

these channels or directly towards EU institu-

gitimate business. The European institutions

mation and inform policy-makers. A website

tions.

are in favor of lobbies as they provide infor-

has been created - the EU Transparency Register- that allows lobbying entities to declare

mation and inform policy-makers. Corruption

Could the Brussels model be implemented in Romania?

and influence peddling are therefore not part

who they are working for and the amounts they receive for carrying out this work. This

According to the same survey I mentioned ear-

are acts punishable by law.

registration then allows them to have access

lier, a lack of transparency is most commonly

to the European Parliament buildings and to

cited as an example of poor lobbying practice.

Why is transparency important?

meet high-ranking Commission officials. You

I think it is good to create a framework and

Lobbying is a very interesting activity and I

can see the stats on who is lobbying in Brus-

mechanisms so that politicians can openly

am happy to be able to work in the profes-

sels on the above-mentioned website.

and transparently consult with all stakehold-

sion in Brussels. Lobbying can only function

ers and interested parties. These mechanisms

well if it is linked to transparency and trust

What industries are most active when it comes to lobbying in Brussels?

should be improved to ensure that the consul-

in the system. According to our 2013 survey,

tations take place in the right environment,

public affairs agencies have a good reputation

It is not only industries that are active; it’s also

which means in a transparent manner.

according to respondents in Romania. They

of the work of the lobbyist. Moreover, these

are rated as mostly transparent lobbyists (40

NGOs, trade unions, governments, regions…

Why is it important for lobbying to be regulated in Romania?

percent seeing them as ‘transparent’ or ‘very

EU discusses together to create/harmonize policies or legislation. These areas include

I can’t really speak for Romania. What I know

them as ‘effective’ or ‘very effective’).

environment, energy, healthcare, technol-

is that the European Commission is going to

ogy, transport, food, social affairs, financial

propose the establishment of compulsory lob-

services, agriculture and trade. You can find

bying rules at the European level that would

a list of the industries and NGOs perceived as

affect Member States like Romania to a certain

Did you lobby in Romania or on behalf of Romanian political actors and companies?

For what client/industry?

the most efficient in A Guide to Effective Lob-

extent. The introduction of compulsory rules,

When we lobby, we contact officials and poli-

bying in Europe – The view of Policy-makers,

applicable to all, would bring everyone to the

ticians in Brussels and a number of countries.

a survey we did on lobbying that included

same level and would probably improve the

We have contacted Romanian officials from

Romania, available on our website.

perception of lobbying in Romania.

time to time, although not often.

Entities are lobbying in policy areas where the

transparent’) and effective (55 percent seeing

www.business-review.eu Business Review | July 2017

30 MEDIA

Media agencies rebrand and shine The value of the Romanian media market will amount to EUR 403 million in 2017 and, if this pace of growth will be sustained in the following years, the market is expected to reach the 2008 peak once again by 2020, shows Initiative’s Media Fact Book 2017.

By Romanita Oprea their focus into delivering content, optimizing the user experience, creating customer value and developing advocacy programs, alongside their traditional areas of strength,” added Bonori.

The Zenith logo is reinterpreted under the shape of an inspirational structure and the new range of colors, fonts and images shapes a distinct tone of the Zenith brand, at a global level, wanting to keep the message consistent, understandable and confident. The agency landed on “ROI+,” an approach that aims to solve business challenges through a consultancy approach. Alongside offering value optimization, communications planning, content creation and data analytics, Zenith wants to be “an agency of trusted advisors,” using advanced communication models, data and automation, such as machine learning, to help clients.

Alexandra Olteanu, Initiative Media Romania

INITIATIVE – CONCENTRATING ON CULTURAL BRANDING

is always evolving and changing, the me-

I

aims to solve the clients’ business challenges

announce its global rebranding, a new agency

dia agencies are the ones making waves

through advanced communication models.

positioning to be adapted to the changes of

these days. At the end of spring and start of

In this context, the new Zenith mantra be-

the global media industry. Therefore, the Ini-

summer, three big, important, multinational

came about “combining data, technology and

tiative network will concentrate on creating

media agencies announced their rebranding.

specialists in order to explore new opportuni-

cultural branding around the brands in their

The series of rebrandings started with Zenith

ties, to find solutions to complex challenges

portfolio, in order to help clients differentiate

Media, which announced a new approach

and to raise the clients’ business results.”

on the markets they are present in.

n a very effervescent media market that

Soon after, Initiative, part of the IPG MediUnder the ROI+ name, the new approach

abrands group, was the next media agency to

in media communication, supported by the

As Vittorio Bonori points out on Zenith’s

re-launch of their brand identity, positioning

blog, new technology has created new oppor-

the manner in which we are building the

and the network’s platforms. The action was

tunities for brands to engage with consumers

campaigns for our clients, they would be

coordinated by Vittorio Bonori, global brand

– and vice versa. Consumers expect to be able

memorable in the long-term. Lately, we have

president of Zenith, and represents the most

to discuss, research and buy products and

observed that consumers are adopting more

important moment in the network’s devel-

services at any time and in any place; their

and more methods to reject or simply forget

opment, after the launch of the ROI Agency

relationship with brands extends way beyond

about the advertising messages. The brand

positioning in 2002. “Our vision is to offer

paid advertising. “This means that share of

advertising that media agencies used to con-

our clients growth in business results and for

experience, not share of voice, is the new

centrate on in the past is no longer sufficient

this, a new manner of work that harmonizes

currency of brand growth, driven by commu-

for the clients’ objectives, therefore heading

technology and innovation is needed,” said

nications. Agencies that seek to deliver prof-

towards cultural branding is a necessary and

Bonori.

itable growth for their clients must extend

natural change, especially for a dynamic me-

“We promised ourselves that, through

www.business-review.eu Business Review | July 2017

MEDIA 31

dia agency such as Initiative,” added on her turn Alexandra Olteanu, managing director at Initiative Romania.

With Initiative’s new global positioning, the agency’s members in Romania have committed to help the brands in their local portfolio to integrate more easily into communities and enhance the user experience, with direct impact in both KPIs and preference at shelf.

According to Alexandra Olteanu, cultural branding refers to media communication being built based on its association with trends or icons to which consumers resonate – either characters, moments, places, events, lifestyle influences etc. – which are representative to a certain culture or micro-culture to which they have a special meaning.

“There are a few local brands that are focusing their communication – especially in terms of advertising – on values or icons that are representative for their target or

Andras Vigh, Blue 449

brands that are leveraging certain Romanian holidays, but there is still a huge potential not being seized at the moment. At the same

OPTIMEDIA BECOMES BLUE 449

and customized approach in communication,

time, as I said before, this trend is more

June brought the last rebranding in the

in an important CEE market. Romania will be

common in advertising, but not very visible

media agencies’ scene so far, with Optime-

our 15th market, and the 23rd office,” said An-

when it comes to media. However, we believe

dia, the media agency part of Publicis One,

dras Vigh, Blue 449 global brand president.

cultural branding should be integrated in

changing its name to Blue 449. The rebrand-

any media campaign that is aimed at bring-

ing is part of a larger transformation process

connections. It has full access to Publicis

ing long-term results for clients,” explained

in all markets where the group operates, with

Groupe’s resources, whilst keeping the ‘open

Olteanu. The values on which the present

the goal of adapting Publicis One’s global

source’ philosophy at the core of its opera-

Initiative identity are built are courageous

and local resources to the clients’ needs.

tions. “Blue 449 brings a breath of fresh air

approach of the media context, creativity and

Optimedia has operated in Romania for the

to a grown agency, remarkable through

exceptional building, a lot of dynamism and

last 20 years.

continuity and team stability. In addition, it

flexibility, but also perfect execution of the

Blue 449 was launched two years ago by

Blue 449 is a dynamic brand with multiple

brings something fresh to the group level.

ZenithOptimedia as the ‘open source’ media

Now we have three strong media agencies in

agency and now has a global presence across

Romania, with precise positioning but which

recent years, increasingly more consumers

13 important international markets and 23

complement each other and form the stron-

have been adopting various ways of rejecting

offices, under the lead of Andras Vigh, global

gest pool of buying in Romania. Last but not

or evading advertising messages. Well, while

brand president. The ‘open source’ principle

least, this Blue 449 launch in Romania also

advertising can be ignored or blocked, culture

found its analogy in the technology field and

brings me personal joy because it’s one of the

cannot. Culture is memorable, generating

it is determined by the basic programming

first in the CEE,” added Maria Tudor, chief

messages that activate the part of the brain

code specially created to allow constantly

media officer at Publicis One.

responsible for long-term memories. To help

spreading, adapting and expanding on a large

our clients leverage this opportunity, we are

scale. This principle became the Blue 449

body art and ideas represented by the blue

now more craft-focused than ever, with 4

philosophy and carries the spirit throughout

color, and the usage of data and technologies

main values at our core: Fearless in our ap-

their collaborative and client-focused ap-

implied by the number 449. This number is

proach/ Brilliant in our work/ Dynamic in our

proach. ‘Collaboration’ is the main concept of

just one digit away from the true blue color

design/ Seamless in our execution,” explained

this new type of business approach.

(represented by the number 450 on the color

media campaigns.

What will actually change and evolve? “In

the Initiative Romania’s managing director.

“Our main goal is to set a consistent global

The name and the visual identity em-

spectrum) and therefore Blue symbolizes the

All this, while on the inside, Initiative devel-

footprint as the Open Source media agency

state of being a step away from perfection,

oped a new set of unique media tools which

and we are making quick progress towards

i.e., the state in which the agency constantly

are helping them in to reach the brands’

this. The launch of Blue 449 in Romania en-

strives for development, problem solving and

objectives.

ables us to offer our clients a truly innovative

continuous performance improvement.

www.business-review.eu Business Review | July 2017

32 INTERVIEW

Onika Simon on honestly disruptive strategy Considered an unorthodox strategist, Onika Simon has been directing how global brands and businesses evolve for over 15 years. With experience in the UK, USA and Germany, Onika is currently running her own business, Spokehub. Business Review met with her at Bucharest’s Unfinished festival.

ABOUT Onika Simon Born and educated in London, she studied Philosophy at the University of Manchester, and then began her career with the WPP Group in New York. on Monday September 10th, 2001.

Her talent for connecting behavior patterns with design opportunities, has led to successful product, marketing and business innovations for Adidas, Apple, Levi’s, Red Bull, Samsung and the French Ministry of Defense.

By Romanita Oprea

How did you decide to take this professional path and how has it changed through the years?

I started my career in 2001. The defining event of that year was 9/11 and I actually moved from the UK to New York in the first week of September. My first day of work, in an advertising agency, was on a Monday in September and the second day of my career was 9/11. When I look back on the last 16 years, every important decision I took in my career can be traced back to that moment, because it was a moment when all systems were in crisis.

My very first impression about work was that is all about the people. It’s all about emotions, connections and confronting people.

New York was a very interesting place to be. Some people lost an entire team, some lost their families; they were walking on the streets crying. It was a crazy time to be in the City. It really shaped the way I worked because I realized in that moment that, projects who wouldn’t improve people’s lives, wouldn’t hold any interest for me. Ever.

I knew that I had to learn a skill, to develop an area of expertise. Here I learned the first and biggest lesson of my whole career: if I couldn’t find a way to improve people’s lives

Valerie Schmidt

with my work, I was going to be unfulfilled.

How do you think the job of the planner has changed through the years and how do you see it evolving?

Planning as a discipline really comes from the world of advertising. “Mad Men” is the classic system of advertising agency life. Planning,

www.business-review.eu Business Review | July 2017

34 INTERVIEW

You were talking about the idea of being disruptive. Where did it come from?

Disruptive is becoming a very popular word and, as soon as people started to say “disruptive design”, “disruptive innovation”, “disrupting a technology,” I started to ask myself what it actually means.

My friends and I cannot watch unsustainable things; we cannot watch bad things without saying anything. This comes from being in New York in 2001: when everything fell apart, everybody was in mourning; Andrei Gindac

complete strangers would ask you if you were ok. Being able to cut through all the social labels and help someone is disruptive, but for a good purpose, and it’s something that I Unfinished Festival: all eyes and years on the speakers

learned just by doing. If you see somebody in distress or troubled, just do something!

as a discipline, initially was only for com-

able than what you make. The possibility for

munications; it was “what do we need to

different people to work together and bring

ness world, it becomes disruptive, because

know about people in order to use the right

their own perspectives is going to be the big-

businesses and society deliberately have

language and place the communication me-

gest shift in the creative industries. People

ethics and rules, to run smoothly. If the [dis-

dia in the right place?” And that was it. That

can keep their titles, as long as they bring

ruptiveness] is for a higher purpose (justice,

is where planning comes from. But strategy

more meaning and communicate better. That

community justice, balance), it’s always

is a lot broader. It’s about figuring out how to

is the next step.

worth doing.

communication, product, service, a process,

What do you think are the skills that actually make a good strategist?

How do you persuade a client who is not open to new ideas and innovation?

etc. Strategy is a lot broader and within it are

The biggest skill, which I have never been

I’ve been working in this business for 16 years

many, many disciplines. I studied philoso-

good at and I am still working on, is listening.

and, with time, also come confidence and

phy, but strategy also bends into ethics, log-

You know when you go to school and you

trust. If I’ve been working for that particular

ics, psychology etc., but it’s ultimately about

get a report card from your teacher - I have a

person for 6-7 years, that person also knows

human minds. Strategy is like a label stand-

stack of them, each one stating that I have to

that my style is brutally honest.

ing over many disciplines and this is where I

learn how to listen. My favorite teacher used

I think you have to decide what your sig-

see everything going. I don’t think that stu-

to say: “She doesn’t listen, she just waits

nature is. Why should people call you and

dents will have to grab as many disciplines

to speak.” And that ties into another skill

not another person? Especially if you are

as possible, but what I do see happening, and

that strategists have but is also a weakness:

a consultant, it doesn’t matter what your

what I think is really exciting, is that they are

strategists have to always keep the end goal

expertise is. It was very uncomfortable in the

more students and people already working

in mind, so the reason I am a bad listener

beginning of my solo project to realize that

in the creative industry that understand the

is because the second I think I’ve heard the

people would call me only when they were

real need for interdisciplinary collaboration.

answer, I stop listening to the rest. I just want

really upset and wanted my honesty. People

I am not saying that everybody has to learn

to jump to the end.

call me when they want to change direction,

If you take those principles into the busi-

tie observations about systems and people and societies into any outcome, whether it’s

a little bit of architecture, but I am saying

If the researcher comes back to me and

when they actually break something.

that architects need to come to the table and

tells me a story about a consumer, I am

“it’s not about what you make, but about

already thinking about what it’s going to turn

how you think.” If industries would shift

into; therefore I tune the volume down and

What services do you offer your clients and which countries are they mostly from?

from looking at the output to looking at the

start thinking about the solution. This skill is

The cool thing about consulting and strategy

method and the journey, that is where real,

also valuable, because sometimes creatives

consultancy is the range of projects, which

amazing innovation happens. Right now, art-

go off on a tangent, they come back with a

are pretty much infinite. Ultimately, my ser-

ists focus on what they make, on what they

product that is beautiful, but that has no con-

vices are advice, research and defining a way

build; everybody is focused on the objects

nection to what is actually needed. There-

forward (helping people understand their

and the outcomes, whilst the process is way

fore, it’s also the strategist role to point out

current position, decide their future position

more valuable. How you think is more valu-

the end goal, the destination.

and how to get there).

www.business-review.eu Business Review | July 2017

36 FILM

Orchestral feat achieved at TIFF this year Transylvania International Film Festival (TIFF) was full of surprises this year, offering a great selection of movies and special events. By far the most exceptional one was 1927’s Metropolis silent movie screening at the Banffy Castle, accompanied by the Transylvania State Philharmonic Orchestra in Cluj-Napoca, scoring the original music composed by Gottfried Huppertz, conducted by the German conductor Stefan Geiger. How was all this possible? Business Review talked with Oana Andreica, the musical secretary of the philharmonic to find out all the details.

By Oana Vasiliu Who came up with the idea of Metropolis, the Transylvania State Philharmonic Orchestra and Stefan Geiger?

Firstly, it was about the collaboration between Stefan Geiger and our philharmonic; we had already staged The Adventures of Prince Achmed (2013) and Pandora’s Box (2015) with him. When we invited him back to Cluj, he had the idea of doing something in collaboration with the German Centre and TIFF. But, the idea of which film should be presented came from the German Centre.

They were already in contact with the Friedrich Wilhelm Murnau Foundation, which has a significant part of Germany’s movie heritage under their jurisdiction. But the biggest advantage was that Stefan Geiger already knew our orchestra and our team, so he said that Metropolis can be done without any worry.

Tell me more about the process of re-creating Metropolis at Banffy Castle with the philharmonic.

The idea was launched last year, when the negotiations were settled with the German Centre. What was for sure, Stefan Geiger was “booked” to conduct our orchestra for a movie. After consulting with TIFF management, there were three movies on the shortlist, but Metropolis became the lucky winner.

Our orchestra found out in late February this year that they would bring to life Fritz Lang’s Metropolis.

How many musicians were in the orchestra

www.business-review.eu Business Review | July 2017

FILM 37

The dystopia created by the expressionist director Fritz Lang had new meanings through the grand interpretation of the Cluj Orchestra and a new record for TIFF was reached with over 2,000 people present in the beautiful open space at Banffy Castle.

Photos from page 37: Chris Nemes

Launched in 1927, Metropolis has influenced not only modern cinematography, but also pop culture, which has, along the way, borrowed and reinterpreted many of the symbolic elements used by Fritz Lang to illustrate the society of 2026. With a portfolio of tens of projects of sound portrayal of cinema masterpieces, conductor Stefan Geiger has been conducting the Youth Symphony Orchestra of Bremen since 2002, and was chosen the main conductor of the National Symphony Orchestra of Panama, Brazil for the 2016/2017 season.

for this concert?

orchestra who performs live. Just to have a

The Transylvania State Philharmonic Orches-

brief understanding of what’s happening on

tra had over 63 artists for this event, but it

stage, underneath the silver screen, in a nor-

In terms of space, was the open air from Banffy Castle friendly for the orchestra, or not really?

was a reduced version of the official score.

mal score, the woodwind and brass sections

In terms of acoustics, the sound was incred-

We had fewer strings in the distribution, but

have seven up to ten pages; for Metropolis,

ibly good. This helped both the orchestra and

the whole woodwind and brass sections were

there were over 80 pages, which is a huge

the conductor, but there were some things

there because everyone is needed. We got

test of physical endurance. Also, there were

to consider. Our artists had to get used to the

lucky with a great technician, who helped us

few rehearsals, namely three, and the dress

space, particularly with the fact that they had

amplify to make up for the “lack” of strings.

rehearsal with the movie included only took

to perform in the grass. It was even a problem

place a short time before the final concert.

with the contrabass because it has to be fixed

Is Metropolis’ score adaptable for any orchestra or does it have specific recommendations?

Without any false modesty, there aren’t many

in its endpin and on a normal stage, they have

orchestras who can perform perfectly under

some special boards. All in all, they discov-

these circumstances. But our orchestra is ma-

ered that soil and grass can be good allies for

The answer is no. First of all, this particular

ture and very united, so this is why they can

classical music.

score is a physical endurance test for any

easily perform such complicated pieces.

www.business-review.eu Business Review | July 2017

38 THEATRE

Love and more love at Sibiu International Theater Festival Over 70,000 people attended the Sibiu International Theatre Festival daily, known also as FITS. Curious eyes, mesmerized tourists and amazed kids were simply enjoying the outdoor shows, while the luckiest ones had tickets booked in advanced to one of the performances: Mikhail Baryshnikov, Beijing People’s Art Theatre, Pippo Delbono, Andalusian Flamenco Ballet, Silviu Purcarete, Yamamoto Noh Theatre, Robert Wilson, Brenda Angiel Aerial Dance Company, Batcheva, Kibbutz Contemporary Dance Company, Vertigo Dance Company, Gigi Caciuleanu Dance Company, just to name a few.

Sebastian Marcovici

By Oana Vasiliu

churches and a section of performances for

global meeting of artists and audi-

the NATO soldiers in Romania,” sums up Con-

ence, under the sign of love. We set up

stantin Chiriac, the festival’s president.

Adi Bulboaca

“

The 24th edition of FITS proposes a

a competition with ourselves, i.e. that the Festival would grow both qualitatively and quantitatively from one year to the other. We are presenting 503 events from 72 countries in

Highlights of the festival

71 venues, with an estimated average number

BRODSKY/BARYSHNIKOV. This performance

of 68,000 spectators per day. Besides the

is a one-man show based on the poems of

sections created over time, (…) this year we

Nobel laureate Joseph Brodsky, staged by

Baryshnikov. Conceived and directed by

are adding organ concerts in Transylvanian

the well-known ballet dancer, Mikhail

Alvis Hermanis, noted Latvian director of

www.business-review.eu Business Review | July 2017

THEATRE 39

The New Riga Theatre, “Brodsky/Barysh-

that has been working with Pippo Delbono

visually inspiring approach to the philosophi-

nikov” is an emotional journey deep into the

for many years. “Vangelo” takes its cue from

cal and poetic text” which Cage based on a

poet’s visceral and complex compositions.

the atmosphere of Enzo Avitabile’s music,

complex time length scheme similar to some

Performed in Russian, Brodsky’s mother

explains the official booklet of the festival. It

of his music. “Cage’s text is charming, often

tongue, Baryshnikov recites a selection of

is rich in poetic overtones, but also markedly

amusing, often quotable, equally often inten-

his long-time friend’s poignant and eloquent

reveals the memories of its Croatian perform-

tionally infuriating and profoundly thought

works. His subtle physicality transports the

ers who lived through the traumatic events

provoking. Yet his theatre is non-narrative,

audience into Hermanis’ reverent imagining

of a cruel war that has reshaped the history,

only understood by experiencing it, living it”,

of Brodsky’s interior world.

places and boundaries of their native land.

as described by the festival’s officials.

Absolutely amazing performance.

HORSES IN THE SKY. For everyone in the

NAHARIN’S VIRUS. Ohad Naharin doesn’t

Maria Stefanescu

Dragos Dumitru

Sebastian Marcovici

HUMANS. FITS has also a contemporary

need any description, yet, we would like

world, the Kibbutz Contemporary Dance

circus section, where companies from all

to point out his outstanding choreography

Company should mean perfection. These art-

over the world mesmerize the audience with

which continuously impresses the public.

ists use their whole body to dance, from the

outstanding performances. Australian Circa

Naharin’s restaging of his 2001 celebrated cre-

bottom of their feet, to the top of their head.

Ensemble’s Humans represents a stirring

ation makes use of Peter Handke’s play, “Of-

The name of this performance comes from a

journey of what it means to be human, ex-

fending the Audience”. For Naharin, the play

song by Canadian band Thee Silver Mt Zion

ploring the physical limits of their bodies as

rejects all that is conventional in theatre, and

Memorial Orchestra. It also evokes thoughts

they are pushed to the extreme. The ten art-

takes a saw to the branch it sits on. Within

of the Horsemen of the Apocalypse and the

ist team of Circa Ensemble basically connects

this process, a kind of void is created-a very

end of days, presenting fear, but also tender-

each moment with the next one, in a heart-

interesting space for exploring movement.

ness. What’s more, although the performance

stopping performance: these people aren’t

has amazing key moments for individuals

humans. Their bodies seem to be as light as

and couples, the story remains for the entire

a feather while creating a human body tower

ensemble. And there are also the fluttering

of about two, three and at one point even

hands, a symbol of artistic director Remi Be’er

four layers, not to mention how they revital-

creation.

ize acrobatics, hand-to-hand partnering,

VERTIGO 20. This is a festive production,

pyramid building, Banquine and Risley.

VANGELO. Pippo Delbono returns to FITS Paul Baila

LECTURE ON NOTHING. As a homage to rev-

Sebastian Marcovici

which weaves together twenty years of the Vertigo Dance Company’s creations from its

with Vangelo, another theatrical experiment.

Mihaela Marin

inception. Choreographer Noa Wertheim follows the trail of pebbles she laid, as if re-deciphering the secret of time. As stitches between the private and the public are

Vangelo is a choral work, which began as a

olutionary composer John Cage, Robert Wil-

unraveled, she moves from real to surreal,

contemporary opera. It first took shape in

son performs Cage’s “Lecture on Nothing”,

from intimate to theatrical, from impalpable

Zagreb, performed by the orchestra, choir,

one of the central texts of twentieth-century

to tangible. The Vertigo 20 unique body lan-

dancers and actors at the Croatian National

experimental literature. The production has

guage offers a spectacular staging of rituals.

Theatre, together with the acting company

been described as being an “acoustically and

www.business-review.eu Business Review | July 2017

40 REPAT EYE

What doesn’t kill you makes you stronger In our second monthly column reflecting on the Romanian experience from the perspective of a native whose life has primarily been spent abroad, BR’s resident repat will temporarily fill the expat’s shoes by musing on life back home, more specifically, car registering hell.

By Eugenia Pupeza

I

got my driver’s license 18 years ago, in Italy, so I am no novice to bureaucracy, or chaotic driving for that matter. Or so

I thought. The past month and a half as a car owner and traffic participant in Bucharest have tested me in many ways, as I motivationally sing Gloria Gaynor’s I Will Survive before approaching the Arc de Triumph roundabout intersection and the Piata Eroilor subway-building nightmare.

1

THE LOCATION

But today, a short story about how I came into the legal possession of my vehicle – I call it “How to Test Your Every Last Nerve” or “Arm Yourself with a Phenomenal Amount of Patience”. As in every country (though in this case, I can only speak of experiences in Italy and the US), when you purchase a car, you

1

2

3

4

have to register it at the respective Registry of Motor Vehicles. Simple? Perhaps everywhere else. In Romania, the friend from whom I was purchasing the car and I are wandering around the Pipera DRPCIV (where basically every car-related transaction occurs in Bucharest and Ilfov), when we are approached by a woman yelling “ACTE!” (papers) in the middle of the street, next to the crosswalk. We say yes, and follow her into the building across from the Pipera DRPCIV.

2

THE TOOLS

After many twists and turns past insurance brokers of every kind, we sit down at a table and she starts to place a Contract for Selling/ Purchasing into a typewriter. Yes – I said a typewriter. My friend gives her the papers, I give her my ID, she asks us the sale price of the car and types away, as we stare in awe at

www.business-review.eu Business Review | July 2017

REPAT EYE 41

each other, at her, at each other. “Is this legal?

had never really had to wait very long. Five

up at 5pm – certain of my victory. I go to print

Can this really be how things are done?” our

minutes to reissue my birth certificate, 10

a number at the machine – all numbers for the

silent gazes ask. However, being so awestruck,

minutes to get my passport, 10 minutes to

day have been given out. #Killmenow #fml

neither my friend nor I can say a word. Fol-

convert my driver’s license from the Italian

lowing what seems like an eternity of typing,

one to the Romanian one. So all I would have

revealed. Apparently, the driver tells me,

we are asked to sign the contract, pay for the

to wait here would be maximum one hour. I

because the “environmental stamp” and hefty

insurance, pay her the broker’s fee for prepar-

would do it during my lunch break. The fol-

tax have recently been removed, everyone

ing our documents and are rushed on our way.

lowing day I arrive ready to take my number

and their long-lost grandmother are regis-

“So, we go to the police with the contract and

to wait in line – it says 524. I feel a chill go

tering their used cars. He tells me to get an

that’s it?” we ask. Of course not – my friend

down my spine. Could my luck finally have

appointment online. Not possible – appoint-

must go the District 2 Public Finance Adminis-

run out? I look at the screen that displays the

ments are only available after a one and a half

tration to renounce ownership of the car and

numbers being served – it says 128. It seems

month wait, whereas I have to register the car

get the contract signed and stamped. She does

like I’ll need an actual strategy this time. I put

within 30 of signing the contract.

so the next day – it only takes four hours of

the license plates back on the car.

waiting in line.

The opening times for the Pipera DRPCIV

I take an Uber home and the mystery is

4

VICTORY

Step 3, I must take the signed contract to

are 7am – 9pm. I’ll come in the morning at

Finally, I do what every Romanian does when

my District 1 Public Finance Administration

6am, I resolve. That way, I’ll be among the

in need of help – ask the family. The follow-

section so that I can assume legal ownership

first in line for sure. The following morning I

ing day my cousin goes to the Pipera DRPCIV

and pay taxes. I go the following morning at

take the license plates off the car once more.

at 1pm, gets a number and brings it to me at

8am – only 20 people in front of me!!! – I re-

I show up at 6am – people scattered every-

work. At 5pm, I take the number back to the

joice. I leave the office three and a half hours

where. Is there a line, I ask. No, but there’s a

Pipera DRPCIV, wait one hour and everything

later, much less joyful.

list that was started at 2am as people show up.

is solved. I have that “on top of the world”

I look at the list – 167 people in front of me so

feeling that I imagine one gets when climbing

no way I can make it to work by 8am. I put the

Mount Everest; where else can you get such

Finally, Step 4, the final step, taking all the

license plates back on the car. New strategy –

a feeling from a few dealings with public ad-

documents and the old license plates to the

I’ll come after work and wait in line as long as

ministration offices? Moral of the story – if you

Pipera DRPCIV. Despite hearing horror stories

it takes since they close at 9pm. The following

don’t work for it, you don’t feel you earned it,

of public administration office lines, I myself

day, I take the license plates off the car. I show

and family is everything.

3

THE WAIT BEGINS

www.business-review.eu Business Review | July 2017

42 FILM

The Mummy DIRECTOR: Alex Kurtzman STARRING: Tom Cruise, Annabelle Wallis, Sofia Boutella, Jake Johnson, Courtney B. Vance, Marwan Kenzari, Russell Crowe ON AT: Movieplex Cinema, Grand Cinema & More, Grand VIP Studios, Happy Cinema, Cine Globe Titan, Hollywood Multiplex, Glendale Studio

T

The finer points of the plot are easily lost as the film veers between genres. There’s Indiana Jones/Da Vinci Code-style adventuring, sci-fi-esque elements like mechanical spiders (who seem to have followed Cruise from Minority Report), horror, the supernatural, action sequences and general Tom Cruiseness. Shaun of the Dead-type zombie humor is thrown in as well, as characters get dragged

om Cruise battling ancient Egyptian

over to the dark side. And why do Jekyll and

zombies? It may sound ludicrous –

Hyde pop up out of nowhere?

and parts of this mishmash of a movie

The patchwork nature of the narrative

indeed are, but the fun stunts and Cruise

makes sense if you know that this is the first

doing what he does best – racing around as a

in the planned Dark Universe franchise, under

cocky but redeemable charmer – help offset

whose umbrella various monsters are poised

the nonsense.

to blockbust in the coming years. This also

Back in the prehistoric day, a pharaoh

helps explain the closure-no closure nature of

enrages his daughter-heir by remarrying and

the ending. Proceedings throughout are fairly

having a son. Denied her birthright to succeed

silly, but in a Mummy reboot one wouldn’t

her father, Princess Ahmanet (Sofia Boutella)

expect anything less.

embraces the dark side, makes a pact with the

Counterbalancing the film’s flaws is

Egyptian god of death and murders her entire

Cruise’s likeability: he’s played versions of

family. As punishment, Ahmanet is mum-

this part most years since he was a teenager

mified alive, buried, and left to suffer for all

(he’s now, unbelievably, in his mid-50s and

eternity.

still getting away with it) and could prob-

Back in the present day, mercenaries Nick

ably do so in his sleep. The star enjoys some

(Cruise) and Chris (Jake Johnson) are capering

sparky chemistry with his (much younger)

around Iraq, stealing and selling antiquities.

love interest Jennifer, and while their re-

One of their daring raids leads to the discov-

lationship isn’t on as equal a footing as his

ery of an unusual tomb, which catches the

recent pairing with Emily Blunt in Edge of

interest of attractive archeologist Jennifer

Oblivion, the archeologist at least has attitude

(Annabelle Wallis). Cavalier Nick inadver-

and a proper job. Aside from star power,

tently causes a commotion that busts open

action-adventure flicks of this sort rely on

the tomb – and guess who pops out!

their stunts, and these are also impressive

Newly released into the modern world,

enough. Set variously in the Middle East

Princess Ahmanet must feast on the living to

and London, the film makes good use of its

boost her own life force, while searching for a

striking locations for the set pieces, both the

special gem that will allow her to resume her

real-life and the supernatural ones. An aerial

evil reign over the world – or something like

sequence near the beginning is particularly

that. Meanwhile, London scientist Dr. Jekyll

well executed and thrilling.

(Russell Crowe), who seems to have wan-

The Mummy is not a memorable movie

dered in from a different movie altogether,

– partly because it borrows heavily and is

leads a secret organization that is trying to

therefore reminiscent of so many other

stop her. And Nick keeps having weird visions

productions – and nor is it one you’d rush to

of Ahmanet, who seems to have developed a

see again. But Cruise and co, including the an-

liking for him since he accidentally released

cient zombies, will largely keep you on board

her from centuries of entombment.

throughout this divergent ride.

FILM REVIEW

By Debbie Stowe

www.business-review.eu Business Review | July 2017

44 RESTAURANT REVIEW

HERE BIG AMBITIONS GO AWRY

I

>>> EMTE, Calea Floreasca 77, tel 0799 385 585 <<<

feel sad writing this, for I really want

ever wondered why squid is prepared the

dish was patronizingly dumbed down to

this place to succeed. But, I found a

whole world over with onion, garlic, wine

Romanian standards by omitting hot chillis,

major error on every dish I tried, which

and herbs? The answer is simple: without

cumin and fresh coriander.

By now, I was aware that I was as eating

had the house gotten it right, they would

the aforementioned, squid is unpleasantly

have been sensational. So near, yet so far.

overpowering. But the house missed out on

my way through the menu in the hope of

It lives on Floreasca, in the company of the

the above, together with all the seasoning

finding one perfect dish. So I settled for a

coolest bar/restaurant neighbors in town.

and simply added an exotic touch of black

crispy beef burger. It was almost a classic,

If you don’t know it, Floreasca is rapidly

ink from a cuttlefish, with the result being

sexed-up beef burger with salad, bacon,

becoming the center of social gravity for

another soggy bread bun base.

crispy onion, mayo and ketchup. With

people who have grown up and are tired of grubby, seedy Lipscani.

So I told Blondie that we were going to a burger bar, at which point she wailed “I’ve never had a Big Mac and I won’t pollute my taste buds

They were generous with their black ink as they added it to all their fish burgers, namely salmon with rucola, lime chutney and oyster sauce, and sea bass with mayo, pickled red onions and cucumber.

minced high quality sirloin beef, what could possibly go wrong? Plenty!

For the house is out to impress you by cooking all its beef dishes in Wagyu beef lard. Wagyu is Australian beef from the four primary

Well,

breeds of Japanese cows

with one now”. I intoned

which produce the

that we were going

finest, most exqui-

to whoof gourmet

site and expensive

burgers - and by gourmet, they cer-

beef in the world.

tainly were! Each

But the cow’s fat

dish comprised of

which has been

2-3 small burgers,

rendered (fried) down to produce

crowned by a bun

the lard is far from

(either green, white

fine and exquisite.

or black) of superb quality. The creative thought in designing the menu has to be applauded, as do the prices, which are a bargain.

So away I went to a duck burger - minced

In fact, it is downright

could

unpleasant, which explains

anything go right? Yes and no,

why it is omitted from every fine

for Blondie ordered BBQ spare ribs which

kitchen restaurant which you will ever

she loved. A rack of 10 ribs, slow cooked to

encounter.

Rather than enjoying the sensation of

(tocata) duck topped with fried foie gras

perfection. She grinned in satisfaction as a

and layered with crispy onion, plum jam

trickle of BBQ sauce ran down her chin, which

fine minced sirloin beef, all I could taste

and pomegranate sauce, all for a mere RON

reminded me that we were not given a neces-

was the overpowering lard. I could weep

38. This would be fine on a plate, but having

sary finger bowl. But this dish was spoiled

tears of frustration at the silly mistakes the

been ‘burgered up,’ gravity took its toll and

by the addition of pomegranate sauce to the

house made on everything we sampled. It

the duck juice, jam and sauce dripped into

BBQ sauce, with a horrible result. Pomegran-

would be so simple to put it right and I hope

the bottom bun, rendering it a mushy bread

ate has no place in a European kitchen and

they do so.

of terrible sweetness. Yes, that great combo

should be confined to Asian cuisine alone.

was not meant to be all mixed together at

I was desperate to find something right,

I feel affection for EMTE, for it puts me in mind of the terrible school reports I

so I ordered a safe lamb taco. But they still

got as a kid, throughout my entire child-

messed up, because the lamb was an inspira-

hood. Year after year, my tutors repeated

squids and at a bargain price of RON 38, I

tional choice, but they just had to goof up by

“he doesn’t pay attention,” “he should try

could not see how the House could pos-

serving the corn taco chips soft (too much ex-

harder,” ”he can do better.” I apply this to

sible make a profit at this price, but I was

posure to air) rather than crispy and crunchy.

the house.

not about to complain. However, more

Worse still, the minced lamb had no season-

problems spoiled my treat. Have you

ing whatsoever and this red hot Mexican

the bottom of the dish. Not nice.

Now off to a squid burger - with 3 huge

Michael Barclay Mab.media@dnt.ro

www.business-review.eu Business Review | July 2017

46 CITY

Cultural calendar Evanescence concert June 29, Arenele Romane

By Oana Vasiliu

BUZZ CEE, meaning Buzau Inter-

including rock, indie, hip hop,

national Film Festival, represents

electronic and reggae, as well as

a new film festival, which already

art installations.

started in southeast Romania, JazzTM

offering an impressive line-up of films of all genres, with spec-

Depeche Mode July 23, Cluj Napoca

for the city that hosts it and

tacular results for a region that

strengthens its identity. JazzTM

typically doesn’t have a tooth for

American rock band Evanes-

comes to celebrate the vibrant

cultural events.

cence, one of the most well-

cultural energy of Timisoara

known rock bands in the world,

and we can only confirm. At this

returns to Romania. Formed in

edition, Thomas de Pourquery

1995, by singer/pianist Amy Lee

& Supersonic, Monty Alexander

and guitarist Ben Moody, the

Harlem Kingston Express, The

returns to Romania, this time to

band sold millions of albums over

Chick Corea Elektric Band, Miles

Cluj Napoca, ending the band’s

the years, and received many

Mosley feat. The West Coast Get

European tour organized to pro-

nominations and international

Down, Bill Laurance and China

awards, including two Grammys

Moses are among the bands who

in 2004 for their famous song

will be jazzing up Timisoara.

Bring Me To Life. 40 VIP Meet & Greet special packages are available for the band’s dedicated fans.

Jazz in the Park June 26-July 2 Cluj Napoca, several locations

Sibiu International Street Art July 3-9 Sibiu, several locations There will be colors and artists and a new perspective to the beautiful city of Sibiu. Old walls, be prepared! Beautiful colors will inject you with life.

setup has arrived in Romania.

Garana Jazz Festival still nurtures

The concept was first born in

the passion for jazz and nature

New York in the 80s, where small

along with the freedom of bring-

scenes, dance floors and vintage

ing these two elements together

fairs appeared, while in the

in a unique festival experience.

evening, a big concert stage was

The festival will remain faithful

set up for the music lovers. Long

to its initial mission of revealing a

story short, go to Cluj and enjoy

distinctive universe where inspir-

Jazz in the Park.

ing artistic encounters are made

Jazz in the park

For four years now, a new jazz

Garana Jazz Festival July 6-9 Garana village, Semenic Mountain, Caras Severin County

possible.

JazzTM June 30-July 2 Timisoara, several locations A festival becomes a symbol

BuzzCEE Film Festival July 4-9 Buzau, several locations

Electric Castle

Electric Castle July 12-16 Bontida village, Cluj county

English band Depeche Mode

mote their latest album, Spirit.

“This is not an album to listen to if you are remotely worried about The festival is a unique festival

the state of the world right now,”

experience that combines music,

notes Clash Music portal, but the

technology and alternative arts.

band is legendary, so it’s not to be

It features many genres of music

missed.