Issue 239

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ISSUE 239END-JUNE2019

Data is AirAsia’s Best Friend AirAsia IS MOVING TOWARDS A FUTURE OF “MORE THAN JUST AN AIRLINE”.

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ISSUE 239/// END-JUNE2019

EDITOR'S NOTE

DEEPFAKES AND ADVERTISING FRAUD – A SAD STATE OF AFFAIRS

EVENTS CALENDAR 08 JULY 2019

MAKING GOOD PRESENTATIONS GREAT WORKSHOP BY JOE NAJIB 14 AUGUST 2019

YOUNG SPIKES MALAYSIA AWARDS NIGHT

04

COVER STORY

05

THE “AMAZON OF TRAVEL” IS COMING! In a world where data rules, companies are now looking towards harnessing their intricate learnings of their clientele and improving their products to appeal to a discerning marketplace.

AirAsia is well on its way to that goal.

We are living in an age of fakery and fraud. Our local news cycle is currently dominated by an endless torrent of vile filth that permeates social media as a result of the latest video-driven scandal that has dragged powerful personalities...

CREATIVE SURGE

08

10

20 AUGUST 2019

BEST OF GLOBAL DIGITAL MARKETING CONFERENCE 07 OCTOBER 2019

DRAGONS OF MALAYSIA & ASIA AWARDS NIGHT Regional CEO Professor Harmandar Singh ham@adoimagazine.com Business Development Managers Jarrod Sunil Solomon jarrod@adoimagazine.com Sandesh Singh sandesh@adoimagazine.com Content Officer Anil Prabha anil@adoimagazine.com Art Director / Designer Chemical Ali ali@adoimagazine.com Designer Lilna Marlina lilna@adoimagazine.com Events & Workshops Ruby Lim ruby@adoimagazine.com Web & Digital: Nurul Amira Ibrahim amira@adoimagazine.com Photography & Digital Imaging DL Studio No 7, Jalan PJU 3/50, Sunway Damansara 47810 Petaling Jaya, Selangor D.E. Malaysia Tel +603 7880 6380 / 6386, Email: studiodl@pd.jaring.my

IDEAS: THE ASHER STORY Every year, 8 million tons of garbage are thrown into the ocean. That’s like dumping over 112,123 Boeing 737s into the waters every year. In the Midway Atollroughly ‘midway’ between USA and East Asia- birds are dying by the thousands, their stomachs ruptured by the trash and plastic that wash up on their shores. In Bangladesh, hundreds were killed by a flood from waste piled up in the sewers.

This didn’t happen yesterday- but 30 years ago in 1988. All of us are guilty. According to data from the Public Cleansing Management Corporation (SWCorp),...

OUT OF HOME

09

Roving Photographer: Mccain Goh Contributors: Edward Ong, Josh Sklar Printer: Cetakrapi Sdn Bhd 22, Jalan Kepong, Taman Sri Ehsan, 52100 Kuala Lumpur Distribution: Spear Millennium Distribution Sdn Bhd E-1-5, Apartment AC4, Taman Sri Sentosa, Batu 6, Jalan Kelang Lama, 58000 Kuala Lumpur

SPENCER LEE, CEO OF AIRASIA BIG AND DIRECTOR OF COMMERCIAL STRATEGY AND DEVELOPMENT, REDBEAT VENTURES

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The opinions expressed in this publication do not necessarily represent the views of the publisher or editor. Advertisements are the sole responsibility of the advertisers.

MARKETING magazine is available across 200 selected bookstores in the Klang Valley.

TOP 20 BEST RAYA TVC 2019

THE TIME FOR ILLUMINATION IS NOW WITH INTERLIGHT The out-of-home ad industry is definitely undergoing a transformation in the digital age. As technology starts permeating every aspect of online advertising, it’s becoming an increasingly tough ecosystem to compete in. In the most developed markets around the world, programmatic advertising is now becoming common place in digital out-of-home solutions.

WHICH 2019 RAYA COMMERCIALS MADE IT TO OUR TOP20?

When it comes to Hari Raya commercials, there is always a special place in our hearts for these jewels of advertising folklore. These short films never fail to mesmerize us with salient notes of love, gratitude, kindness, respect and understanding. As they say, it’s always about the little things in life that truly matter.

Friends, families and loved ones are all celebrated in a manner that befits them.

Of course, most of these commercials always have a way to inject some ribtickling moments into your day....

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ISSUE239END-JUNE2019

WAYS TO WRITE 5 TIMES BETTER ONLINE COPY IN 3 EASY LESSONS

PEOPLE often say to me, “Bob, how can I be a successful online copywriter like you?” Well, I’m here to tell you that you, too, can be a famous online copywriter and make billions of dollars and have red-hot nymphos crawling all over you.

What’s the secret? First, you need to get some words. Without words, writing is a thankless chore. Take the Sumerians. They didn’t have words, they had pictures. Now they’re all dead.

There are many kinds of words. Some words are small.

Some are big – like delicatessen.

Some of them, frankly, need more vowels (Krzyewski, you listening?)

The best part? They’re all free! Any word you want. Even “penultimate”.

When we write online copy, the words we use say a lot about us. If we are funny, then we want to use “funny” words, like “homo” or “Kotex”. Although you have to be careful. Words go from funny to career-ending in about half-

hour these days.

If we are depressed, we want to use depressing words like “advertising” or “exercise”.

The important thing is to be yourself when you are writing. If you don’t know who you are, you have to find yourself. The best place to find yourself is in bed.

Hopefully, with someone cute.

Creativity: The Key To Being Creative.

In order to be a successful online copywriter, you have to be creative. The most important part of being creative is “creativity”.

Without “creativity” most of us wouldn’t have a creative bone in our body. Except maybe our femur.

Nobody really knows what “creativity” is. Every year thousands of people take a pilgrimage to find out. This involves flying to Cannes, snorting cocaine, and having sex with smokers.

How do you nourish your creativity? I suggest chicken

caesar wraps, but I know a very successful dance instructor who swears by strawberry Toaster Strudel.

The most important thing to remember is that we are all creative. Although, honestly, I have my doubts about Mitch McConnell.

The F Word: It’s #$%^ing Awesome!

On the Internet, content is king. And dirty words is queen.

If you are writing a blog, you must be hard-boiled and never show weakness. You must not let on that you are from Scarsdale and went to Hofstra and worked at Grey. You must show the world that you’re anarchistic, hardliving, hard-drinking bastard.

And what better way to be a badass motha#$%^& than to use naughty language.

Words like “f^&*”, bull&*() and “d$%^head” make your copy sing! Put a few them together and you’ve got magic – F%^&ing d$%^head”, F$%^ing bull%^&*, F$%^ing f^&*!”

The ability to express complex concepts in a censorship-free environment is what makes the web great. Well, that and those super hot videos of Kim. Understanding your Online Customer Let’s face it. Most of the people who visit your website

are f^&*ing d%^&heads.

Nonetheless, they got money and you want it.

I mean...um...they are Web 2.0 savvy customers whose immersive engagement with their own personal brands make them willing to interact in a conversational way that leverages social media to become engaged customers for life. Yeah, that’s it.

The Three Secrets of Magical Copywriting Success

Now we get to heart of the matter. Anyone can be a successful online copywriter if you just follow these three simple, secret, magical rules.

1. Don’t use Windex on your computer screen. It fucks up the molecules or something.

2. Don’t hold back. People love to know personal details about you. Unless you have a smelly intestinal disorder.

3. Amateur MILF in wild interracial 3 way...Oops, sorry, wrong website.

Joy of Eavesdropping in San Francisco

An actual overhead conversation between two 9-year olds talking basketball in San Francisco: Gabe: Dude, I saw the coolest

3

LAUGH ABOUT ADVERTISING

video...this 5-year old dribbling, and like real low and between the legs…

Leo: Dude, I can do that.

Gabe: Dude, you’re nine.

Leo: Dude, I could do it when I was 5.

Gabe: Dude, this was a girl.

Leo: Dude, that’s sexist.

Gabe: No it’s not.

Leo: Yes it is. Girls can dribble just as good as boys.

Gabe: Dude, that does not mean it’s sexist.

Leo: Dude...yes it does. Ask one of of your mothers.

Bob Hoffman has been called “The most provocative man in advertising”. In his book, Laughing@Advertising, he is out to disrupt the disruptors - those sombre, imperious souls who’ve made marketing and advertising such an earnest and humourless endeavour. It is on sale now at Amazon and only available in paperback. There’s no ebook, he says, because pixels aren’t funny.

HEALTHY&DELICIOUS Goji berry mainly contains lycine, carotene, ascorbic acid, linoleic acid and a dozen different of hydrochloric acid such as aspartic acid, glutamic acid, methionine and taurine as well as many trace elements containing to Fe, Zn and Se.Goji berry is anti-oxidant, Anti-aging, Anti-fatigue; Improve the memory and sleep quality;

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ISSUE239END-JUNE2019

EDITOR’S NOTE

THERE IS ONLY ONE “THING IN THIS WORLD WORSE THAN BEING TALKED ABOUT, AND THAT IS NOT BEING TALKED ABOUT

OSCAR WILDE

”

TO SWEAR OFF “MAKING MISTAKES IS VERY EASY. ALL YOU HAVE TO DO IS TO SWEAR OFF HAVING IDEAS.

”

LEO BURNETT

DON’T LET THE “CHILD IN YOU DIE.

HE OR SHE IS THE GENIUS. YOU ARE NOT

”

PIYUSH PANDEY, CHIEF CREATIVE OFFICER, OGILVY WORLDWIDE.

IF YOU CAN’T “EXPLAIN IT TO A SIX

YEAR OLD, YOU DON’T UNDERSTAND IT WELL ENOUGH YOURSELF

ALBERT EINSTEEN

”

DEEPFAKES AND ADVERTISING FRAUD – A SAD STATE OF AFFAIRS Deepfake is an AI-based technology used to produce or alter video content so that it presents something that didn’t, in fact, occur. The word, which applies to both the technologies and the videos created with it, is a portmanteau of deep learning and fake.

This is a screencap from a deepfake video that has Sylvester Stallone’s face superimposed on Arnold Schwarzenegger’s one.

WE are living in an age of fakery and fraud.

Our local news cycle is currently dominated by an endless torrent of vile filth that permeates social media as a result of the latest video-driven scandal that has dragged powerful personalities literally into the gutter of politics.

In the advertising world, it was recently reported that in the APAC region, mobile advertising space has seen fraud that has led to US$34 billion of advertising losses during 2018. TrafficGuard, an expert in ad fraud, estimates that the number will move closer to US$56 billion by the time we reach 2022.

Just let these number sink in for a minute. It’s truly staggering to see just how much of an epidemic this whole situation is and how the developers of the industry must focus more on security and how consumers need to be more aware of fraud.

The study done by TrafficGuard covered countries such as Malaysia, Thailand, South Korea, Indonesia, Japan, India, the Phillipines, Australia, China and Singapore. In 2018, one out of 13 app installs were not carried out by genuine users.

This proves that fraudalent activity is rampant. Scammers use intricate and advanced techniques to fly under the radar, and they evade the most sophisticated

attribution platforms. Interestingly, ad fraud remains highest in China, and by 2022, TrafficGuard predicts that Chinese publishers and advertisers will face losses up to US$19 billion.

Countries like Japan, Indonesia, Australia and South Korea are also highly susceptible to ad fraud at the highest levels as its users spend more time on the apps. In layman terms, and advertiser that runs a US$10 million campaign without fraud detection software could easily forfeit up to US$2.6 million of the funds due to fraud.

There are possible recommendations that include the use of multi-point fraud prevention and this immediately detects any spending that appears to be fraudelent. Systems like this can provide real-time blocking of fraud.

Every transaction is analyzed and traffic is blocked in the case of fraudulent activity, and this can go a long way to protecting people from becoming victims, but more importantly, it can also increase performance through accurate and useful metrics.

Like a lot of things, reducing exposure to fraud starts with choosing one’s partners carefully.

Working with trusted entities limits liabilities, and a trusted ecosystem is a big step towards combating fraud in any shape of form.

Independent, third-party ad verification audit services can ensure companies only spend money on positive outcomes. Of course, Artificial Intelligence (AI) is also becoming a key component in fighting fraud and illegal activity too.

Ultimately, like everything else in life, there is always a human element attached to everything that we do. Advertising in a lot of ways is all about life being heightened to a sense where we are all actors in a grand theatre that is life.

Why can’t we appeal to higher ideals instead of dragging people down into the muck? Why can’t we unite and celebrate our differences rather than subscribe to the old adage of divide and conquer?

As they say, life is like a camera. You need to focus on what is important and capture the good times for sweet memories.

You also need to develop from the negatives and if things do not work out, always be ready to take another shot.

Here’s to a great read, we hope you enjoy this issue with AirAsia 3.0 as our cover story.

Warmest Regards, Anil Prabha.

... THIS PROVES THAT FRAUDALENT ACTIVITY IS RAMPANT. SCAMMERS USE INTRICATE AND ADVANCED TECHNIQUES TO FLY UNDER THE RADAR, AND THEY EVADE THE MOST SOPHISTICATED ATTRIBUTION PLATFORMS. INTERESTINGLY, AD FRAUD REMAINS HIGHEST IN CHINA, AND BY 2022, TRAFFICGUARD PREDICTS THAT CHINESE PUBLISHERS AND ADVERTISERS WILL FACE LOSSES UP TO US$19 BILLION...

ISSUE239END-JUNE2019

5

COVER STORY

THE “AMAZON OF TRAVEL” IS COMING! In a world where data rules, companies are now looking towards harnessing their intricate learnings of their clientele and improving their products to appeal to a discerning marketplace.

AirAsia is well on its way to that goal.

SPENCER LEE, CEO OF AIRASIA BIG AND DIRECTOR OF COMMERCIAL STRATEGY AND DEVELOPMENT, REDBEAT VENTURES

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ISSUE239END-JUNE2019

COVER STORY

(Rear fifth from left: AirAsia X Group CEO Nadda Buranasiri, AirAsia X Berhad Chairman Tan Sri Rafidah Aziz, AirAsia Group Berhad Executive Chairman Datuk Kamarudin Meranun, AirAsia Deputy Group CEO (Airlines) Bo Lingam flanked by AirAsia Cabin Crew

AirAsia WINS 11TH CONSECUTIVE WORLD’S BEST LOW-COST AIRLINE AWARD AT SKYTRAX

AirAsia also claims Asia’s Best Low-Cost Airline and World’s Best Low-Cost Carrier Premium Cabin awards AirAsia has won World’s Best Low-Cost Airline for the 11th year in a row at the prestigious Skytrax World Airline Awards 2019.

AirAsia was also named Asia’s Best Low-Cost Airline and won the World’s Best Low-Cost Airline Premium Cabin award for its Premium Flatbed, available on widebody long-haul AirAsia X aircraft.

The Skytrax World Airline Awards are considered the global benchmark of airline excellence.

This year’s results were decided by a survey of 21.65 million customers of 100 nationalities who reviewed over 300 airlines from September 2018 to May 2019.

AirAsia Group Berhad Executive Chairman Datuk Kamarudin Meranun said, “It’s an honour to be recognised by Skytrax for the 11th consecutive year for our commitment to providing affordable travel and guest-obsessed service. The fact that these awards are based on direct feedback is gratifying and wonderful recognition for the Allstars who put so much effort and commitment into service excellence for our guests.”

AirAsia has always been a pioneer within the industry, serving as the vanguard of low-cost travel in Asia Pacific.

Today, AirAsia operates an unrivalled network of more than 140 destinations from 25 hubs in 22 markets and has picked up numerous awards for innovation, customer service, operational safety and employee and workplace excellence.

EVERYONE IS LOOKING FOR A ONE-STOP CENTRE THAT CAN CATER TO THEIR EVERY WHIM. IN THE WORLD OF TRAVEL, IT’S ALWAYS ABOUT GETTING FLIGHTS, BOOKING HOTELS, PLANNING EXCURSIONS AND OTHER LIFESTYLE RELATED PURCHASES. AirAsia has the vision of putting all of that under one roof. Its competitors are cautioning them, but the company is hell bent on disrupting the marketplace once again. Whatever you say about them, you’ve got to hand it to them. As they say, fortune favours the bold.

SPENCER Lee, CEO of AirAsia BIG and Director of Commercial Strategy and Development, RedBeat Ventures, recently penned an article on his Linkedin page where he talked about data being AirAsia’s best friend.

In a lot of ways, data is what it’s all about in business these days. Companies across the globe are gathering data and understanding data to connect with customers on multiple platforms.

AirAsia has integrated Google Cloud’s machine learning and AI (artificial intelligence) technologies to help make its operations more efficient and, in turn, serve its guests better.

The company has served over 500 million passengers over the last 17 years and the data it has collected has helped it transform its business.

You would be amazed to know that the company receives 65 million active users every month. Its portal now resembles a comprehensive travel lifestyle platform and its “More Than Just An Airline” promise seems to be gathering pace.

Its recent innovation, the AirAsia Virtual Assistant (AVA), an intelligent chatbot is all about enhancing the CX (customer experience) level as it interacts and listens to the airline’s guests and provides assistance where required.

Before we go any further, let’s take this opportunity to soak up some staggering facts. It has been reported by The Star,that the carrier gets about 1 billion ringgit in terms of revenue a year from its airasia.com website.

Its CEO and founder Tony Fernandes recently said that bolstering its digital capability is paramount in its effort to tap a regional e-commerce market that is set to increase to US$240 billion by 2025, as reported in The Star recently.

According to Fernandes, taking AirAsia on this journey is the ‘final part of the company’s evolution’ on its journey to become a tech player.AirAsia’s competitors in the online travel marketplace are notably Traveloka and Expedia.

Last year, sales of AirAsia flights alone, on airasia.com, amounted to US$4 billion (RM16 billion), according to Skift.com.

AirAsia has also made senior hires who came from tech companies such as Grab, Expedia and Traveloka. The company has set up a tech center in Bangalore, India.

An AirAsia executive had recently declared that the airline could become the ‘Amazon of travel’. When queried about this, its deputy CEO, Aireen Omar, said the statement was ‘ambitious, but doable’.

Numerous media outlets have ran stories recently about AirAsia competitors cautioning the airline about its ambitions in this online travel and lifestyle marketplace, but the company is undeterred.

As they say, fortune favours the bold. From the days of Tony Fernandes buying a debt-laden airline with 2 planes and a meagre headcount and turning it into a juggernaut in the last 17 years, the next evolution of AirAsia 3.0 will truly be a breathtaking one.

Fernandes said in a recent interview to industry press that the company is now the 13th largest airline flying about 100 million passengers annually and becoming a digital power is absolutely on the cards.

AirAsia is well on its way to creating its own ecosystem of travel, accommodation, excursion and online shopping in the Asia Pacific marketplace.

Marketing Magazine recently had the pleasure to sit down with Spencer Lee, CEO of AirAsia BIG and Director of Commercial Strategy and Development, RedBeat Ventures to discuss the current trajectory of the airline and its digitally driven expansion.

Spencer is the Chief Executive Officer of AirAsia BIG, AirAsia’s award-winning loyalty programme and Travel360, the digital expansion of AirAsia’s inflight magazine.

He is also the Head of Commercial Strategy and Development of RedBeat Ventures, the digital corporate venture arm of AirAsia.

Spencer has over 13 years of experience in the aviation industry from serving AirAsia in several positions since he joined the company in 2006, culminating in his appointment as Commercial Director of AirAsia Malaysia in 2015.

He led the entire Malaysia commercial functions including product development, revenue management, marketing, sales and distribution, ancillary, government relations, partnership and customer relationship management and has received numerous industry

awards.

Innately innovative, he has pioneered a number of projects in the group, including the setting up of AirAsia BIG Loyalty programme and ancillary income department.

It’s an exciting odyssey that AirAsia is on right now.

Could you please explain how the airline plans to evolve into a multi-faceted travel and lifestyle platform in the near future?

We’ve always been known as the company that made flying more accessible and affordable in the region. And most importantly, we’ve stayed true to that promise.

After 17 years in the business, the proverbial pot of gold is not so much that AirAsia is now the largest low-cost carrier in Asia by passengers, but more about our huge customer base and data.

With over 65 million monthly active users on airasia.com, the time has come for us to make airasia.com the go-to platform not just for flight booking, but for consumers’ everyday needs.

This is why we’ve transformed airasia.com into an everyday booking platform that offers more than just flights - now you can book other travel and lifestyle offerings such as hotels, holiday packages, activities and even daily deals on F&B, beauty, spa and more on airasia.com.

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... WITH OVER 65 MILLION MONTHLY ACTIVE USERS ON AIRASIA.COM, THE TIME HAS COME FOR US TO MAKE AIRASIA. COM THE GO-TO PLATFORM NOT JUST FOR FLIGHT BOOKING, BUT FOR CONSUMERS’ EVERYDAY NEEDS...

SPENCER LEE, CEO OF AIRASIA BIG AND DIRECTOR OF COMMERCIAL STRATEGY AND DEVELOPMENT, REDBEAT VENTURES

Obviously the customer experience (CX) factor will be huge in the success of these plans going forward, could you tell us how this is being optimized in the bigger scheme of things?

AirAsia plan to bring all of this together for the journey ahead? Perhaps a bit about the Google Cloud partnership too?

Needless to say, data will be at the core of the entire AirAsia is a ‘guest-obsessed’ airasia.com business. Partnering with Google Cloud allows us company and we believe we will win when we put the customer at to integrate machine learning and artificial intelligence (ML/ the centre of everything we do.

To achieve this, we must really AI) into every aspect of our drive continuous improvement in business and culture, and we are working closely with them our products and services and fully leverage data and technology to solve high-impact business challenges, including driving to provide our customers a better demand forecasting, more seamless experience and make targeted marketing and improving them happy. customer experience and loyalty And we will remain guestby providing a more personalised obsessed as we evolve from an experience for our customers. airline into a travel and lifestyle platform company.

We will continue to innovate Leading on from that, could the AirAsia BIG loyalty programme you tell us more about the as we move towards making BIG tech center that is being set Points a universal digital currency up in India? that our members can use for The AirAsia Tech Centre is transactions beyond the AirAsia proof of our commitment as a ecosystem. company to deliver innovation.

We are also currently working Located in Bengaluru, India’s on various travel and lifestyle Silicon Valley, the tech centre ventures - from deals and is one of many global initiatives e-commerce (OURSHOP) to fintech we are exploring to drive the (BigPay) and logistics (Teleport) company’s digital transformation - that will only serve to further by developing our strategic assets enhance the overall AirAsia in-house and providing more experience for our customers. opportunities to regional talent.

Currently the centre in Bengaluru has 35 digital experts, Big Data, Artificial including software engineers and Intelligence and Machine Learning are all parts and product managers. The team will work to streamline AirAsia’s parcel of being a techdriven company, how does digital assets, such as airasia.

com and the AirAsia mobile app, alongside the creation and implementation of new products and enhancements such as our new AI-powered chatbot, AVA (AirAsia Virtual Allstar).

From an advertising and branding perspective, how will the future brand positioning and brand strategy differ from what is being currently utilized by the company in its disparate markets?

AirAsia is a strong brand synonymous with value, innovation and making dreams come true, and we will continue to build on these promises as we expand our ecosystem beyond flights and make AirAsia more than just an airline.

The company has over 65 million active monthly users, enormous data pools and robust networks of partnerships and contacts, however, is there a danger of diluting its unique selling points by trying to diversify into a range of services all at the same time?

We don’t see any danger of diluting our unique value proposition as airasia.com still operates within the travel and lifestyle space.

What we are doing is building a complementary ecosystem and we believe our customers

will continue their journey with us beyond just flights to booking hotel accommodation, tours and activities, shopping and so on.

All these will increase consumer stickiness to airasia.com and increase customer lifetime value.

As AirAsia embarks on this new tech-driven wave of innovation, how will AirAsia 3.0 keep its edge in a marketplace that is experiencing tighter margins, stiffer competition and a more discerning customer base?

One, be open-minded and agile. We must never be too fixated on how the business runs because what worked before may not work today, and we must always be ready to change and evolve. Two, be fast and up to speed. The world is moving faster than we can imagine, and no one will wait for you to perfect your product. Don’t worry about making mistakes, we will learn and improve as we go.

One has to believe in getting out of your comfort zone, do things that have never been done before, and only then can one create breakthroughs.

In a lot of ways, it’s the same for airasia.com, the company has always trailblazed new frontiers by stepping out of its comfort zone and bringing the brand to greater heights.

It should be noted that

AirAsia recently won the ‘World’s Best Low-Cost Airline’ award for the 11th year in a row at the prestigious Skytrax World Airline Awards 2019.

AirAsia was also named Asia’s Best Low-Cost Airline and won the World’s Best Low-Cost Airline Premium Cabin award for its Premium Flatbed, available on widebody long-haul AirAsia X aircraft.

Despite all the data and technology, the most important asset is talent and it’s the talent that can humanize technology and make it relevant to people and solve real problems and needs of consumers.

This is all part of the ‘humanizing technology’ concept that is the overarching theme of what the company does on a global scale these days.

Could you expand on the involvement of AirAsia as the title sponsor for Young Spikes Malaysia?

AirAsia is a brand that champions dreams. We want to encourage young local talents to strive to achieve their dreams.

This sponsorship reinforces our on-going commitment to empower home-grown talents and give them a platform to shine on the global stage.

Aside from the quality of work, level of skills and creativity, we would also like to emphasise the value of hard work, attitude, and passion among the youth.

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ISSUE239END-JUNE2019

CREATIVE SURGE

IDEAS: THE ASHER STORY EVERY year, 8 million tons of garbage are thrown into the ocean. That’s like dumping over 112,123 Boeing 737s into the waters every year.

In the Midway Atoll- roughly ‘midway’ between USA and East Asia- birds are dying by the thousands, their stomachs ruptured by the trash and plastic that wash up on their shores.

In Bangladesh, hundreds were killed by a flood from waste piled up in the sewers. This didn’t happen yesterday- but 30 years ago in 1988.

All of us are guilty. According to data from the Public Cleansing Management Corporation (SWCorp), KL folks generate 3,500 tonnes of domestic, and industrial waste a day.

Nationwide, we produce 37,000 tonnes of waste daily. It’s frightening to think how much goes into our landfill each yearalong with waste imported from ‘more developed’ countries.

OBJECTIVE The global waste problem is complex and multi-layered. As well, there are different types of wastes- Liquid, Solid, Organic, Recyclable and Hazardousstored in places under the earth, on the earth, and above the earth.

CREATIVE SHOWCASE

take up too much space. A machine that is mobile, easily transportable and doesn’t need to be ‘plugged in’. An affordable solution that can be ‘owned’ by the community.

Secondly, we need to change mindsets: Why should waste disposal be the government’s problem? Can communities be responsible for their own trash?

Finding a holistic solution is like juggling several balls- of different sizes, weights and levels of degradation- while managing a group of people who don’t speak your language.

An impossible task becomes easier when you break it down into bite-sized pieces. For this exercise, let’s focus on something more manageable: How can we reduce landfills?

CHALLENGE First, we need a clean and cost-effective technology. A contraption that can be easily manufactured, and doesn’t

TRUTH One way is via incinerators.

Which basically reduces the volume of the waste going into landfills, and our dependency on landfills.

Except cons seem to outweigh the pros. While waste seemingly disappears into the fiery pit, it also produces toxic smoke that gets released into the atmosphere. These poisonous exhaust gases tend to increase allergies, immunodeficiency, diseases, pseudocroup, and contaminate food chains And then there’s the amount of fuel and energy needed, the heat generated, and the resulting fly ash, bottom ash, boiler ash, slag and wastewater treatment sludge that will be deposited in landfills for decades.

ANSWER Incineration in itself is not a

bad idea. At its core, it’s about getting rid of trash via heat transfer. It’s the execution that needs to be improved.

Enter The Asher. It’s an incinerator but not really. It doesn’t run on fuel, diesel or electricity but on solar power, and the waste you put inside.

It’s about the size of a sedan, and can take about 80-130kg per hour (depending on moisture content and layered feeding).

You can put almost anything in it (PET Bottles, Plastic, Paper, Rubber, Tubes and Tyres, Mixed Waste) except metal, glass, and concrete.

Emissions are pollutionfree with full compliance to US EPA Standards. They have also obtained certification from various agencies and bodies including SGS, MYCO2, EXOVA Dubai, CRL Environmental, UPM Malaysia and more.

For every tonne of waste, the Asher churns 4% of its original weight in remains in the form of non-hazardous and non-harmful ashes.

The big question is: Does it work? Officials in 13 countries, including Malaysia, seem to think so. You may have heard about the closure of Boracay last year. The famous beach resort was closed for almost 6 months so that the army can clear and dispose of the trash.

What you didn’t know is that all the garbage went into the Asher. Only the odd metal,

glass and concrete pieces went into the landfill. Everything else was baked and dried, re-baked and dried, and reduced to nonhazardous ash thanks to the Asher.

In parts of Indonesia, communities are complaining that there is no more trash left.

That’s because for every bag of trash, locals are paid a certain amount of money. The whole community swings into action collecting trash for money so that authorities can dispose of the trash in the Asher.

If this is your first time hearing about the Asher, you can do something about it. Tell your local council, write to your ADUN, let Ms Yeo Bee Yin know there’s a local invention that can help solve the global trash problem.

Details are at pamaraicorp.com Malaysia was never meant to be a dumping ground for the world. We were meant to help clean it up.

Edward Ong is on a quest to discover and create Malaysia’s best ideas.

He is an award-winning Writer and Creative Director, and can be found at IdeasAreBorderless.com

Kenya will be one of the first markets in the world to pre-launch Coke Coffee, and Ogilvy helped the company design an iconic visual to spark excitement, especially in a tea-drinking continent.

They developed an icon that merges Coke’s Dynamic Ribbon into the coffee bean as if it were a natural occurrence. From there they are leaving it up to the audience to work out the connection.

The only other element included is a launch date where all will be revealed. The ad, attached, has been seen in outdoor, print and instore posters in Kenya, and soon to be joined by Uganda, Tanzania, and Nigeria.

Advertising Agency

Ogilvy, Kenya Creative Director

Brett Wild (Regional), Shashank Jha (Group) Art Director

Brett Wild, Shashank Jha Copywriter

Brett Wild, Mathieu Plassard, Shashank Jha Illustrator

Shashank Jha, Deepak Jadhav CEO

Mathieu Plassard Designer

Patrick Wanoyike, Sandra Raduma

ISSUE239END-JUNE2019

THE TIME FOR ILLUMINATION IS NOW WITH INTERLIGHT

The out-of-home ad industry is definitely undergoing a transformation in the digital age.

As technology starts permeating every aspect of online advertising, it’s becoming an increasingly ecosystem to compete in.

In the most developed markets around the world, programmatic advertising is now becoming common place in digital out-ofhome solutions.

9 OUT OF HOME

WE ARE

THE BEST ONE-STOP-SHOP

FOR ALL YOUR INSTALLATION NEEDS

10

ISSUE239END-JUNE2019

OUT OF HOME

Marketing Magazine recently sat down with the team at Interlight Technologies to discuss their manufacturing aspirations with Interlight Technology.

Its a fascinating deep dive into what makes them tick in the Malaysian marketplace.

How is the 2019 outlook for Interlight right now?

I think this should be more about the outlook for Interlight.

2019 has been an interesting year for Interlight Technologies.

There have been some big wins in this year with new businesses from direct clients and media owners erecting new sites.

We have established our own factory facility to support the Malaysian market with LED screen supply & support.

The rest of the year promises to keep us busy with many more media owners converting static OOH to Digital OOH and direct clients approaching us for LED screen solutions.

In a nutshell, we are positive that we are going to enjoy a great year, doing what we love.

In today’s DOOH landscape, what are some of the key strengths that clients are looking for in companies like yours?

Integration is the key here.

Clients today want a one stop shop, where all their needs are taken care of.

At Interlight Technologies, we are able to bring these integrated solutions to market due to the diverse experience of the team.

Our strengths range from fabrication to LED screen hardware and even software development & integration.

In essence, we have packed the company with all the services required by a client or Media Owner.

Interlight Tehcnologies bring a vast amount of experience to the table, having executed multiple projects with success.

Also key to the LED business is the support that the company provides. Interlight’s integrated service team provides that ease of mind to prospective customers.

Can you talk about some big wins for 2019? in terms of new business?

Some of the big wins for 2019 include the HSBC Indoor LED Screen & Cycle & Carriage whole showroom conversion to LED screens (Mutiara Damansara, Johor Bahru & Ipoh branches) Ramcel (NZ Curry House Jalan Ampang/KLCC), Visual Retale (Pinnacle, Sheraton PJ) largest single-faced LED screen in KL & WIsma Rockwills, Old Klang Road), and Prisma (Kota Damansara).

THE INTERLIGHT TEAM - AN AWARD WINNING GROUP OF INDIVIDUALS WHO EXCEED EXPECTATIONS AND ALWAYS GO ABOVE AND BEYOND WHAT IS NEEDED.

Aside from these, Interlight has also received an award

by Asia Pacific Golden Brands Products, in recognition of the quality of the products supplied.

This is a proud moment for us, in recognition of our dedication to quality work.

Please tell us more about Interlight Technologies and how their solutions trailblaze the marketplace?

Interlight is a leading LED supplier and installer in Malaysia.

In partnership with China manufacturers, the company provides cost effective, quality products, bringing the latest technologies to clients here.

In view of the expanding LED business here, Interlight has brought in LED stock to the tune of 10,000 m2, to ensure local clients have ready stock at their disposal.

This in turn, ensures quick turnarounds for clients, as opposed to when buying the screens directly from China.

Usually, the process involves paying the manufacturers up front before the screen is shipped out.

Furthermore, where other vendors import the built up screens into Malaysia and proceed to install, we bring in the components and assemble everything locally.

Details as minute as soldering are done in-house, at our facility in the Klang Valley.

Factoring in production time & transportation, the process usually takes a few months and thus may also delay, when it

comes to Malaysian authorities clearing the product.

To avoid these situations, by having the stock locally, you tend to reduce the delays in project execution and of course, local support for installation & service.

How is the LED screen manufacturing landscape?

Is it difficult to maintain a presence in Malaysia as the technology must be evolving quite rapidly...how do you stay ahead of the curve?

LED manufacturing is indeed a challenging landscape with many manufacturers and many products.

The technology does evolve rather quickly and having a finger on the pulse of the latest technologies means having to be present at the source of the products.

The Interlight team works closely with the principals and other manufacturers in China, to ensure that clients are provided with the best solutions, at the best prices.

Our screens are of the highest quality and our LED bulbs in use on the screens are produced based on ISO manufacturing standards. This ensures the quality of the LED bulbs on our screens, which speaks to the longevity of the screen and reduced maintenance.

Some clients require very high spec’d screens and there are some who require lower specs.

We pride ourselves on being able to provide solutions

to fit all client’s budgets and requirements.

In summary, to stay ahead of the competition, we work closely with China to bring the latest technologies, at the most competitive prices to the market, whilst maintaining the highest quality possible & providing the relevant technical support.

Can you give us an overview of the technology, product lines, and how it matters in today’s advertising marketplace?

An LED screen is akin to a TV you have at home, but the usage of the screen defines the type of screen used.

For Outdoor screens, we use the latest SMD technologies, which allows us to go very fine pitch, which creates extremely sharp images, whilst saving at least 30-40% on your power bills.

For Indoor LEDs, similarly, we have all ranges of screens, from small formats like LED standees, to large format, auditorium/ amphitheater style screens.

Additionally, we have screens available for rental, to be used during events like concerts or corporate events.

Will you think local media owners are going to be receptive to your technologies? How about cost and implementation strategies?

At the end of the day, the most important factors for local Media Owners is cost, implementation timeframe & support.

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... FOR MEDIA OWNERS/CLIENTS WHO WANT TO BUILD A SITE FROM SCRATCH, WE HAVE IN-HOUSE FABRICATION, WHICH CAN BUILD STANDARD OR CUSTOM STRUCTURES TO MEET THE CLIENT’S NEED...

We have the trifecta as the services are integrated. Cost and implementation strategies are always open for discussion and we are flexible to negotiate and come up with solutions in both aspects.

Please elaborate on the one-stop solution (full suite LED screen supplier, fabricator and cloud based CMS service provider). A bit of a deep dive into the tech may be helpful for clients who want to understand the advantage of your solutions.

Interlight Technologies provides a full suite of services, all integrated under one roof.

We supply all forms of LED screens, at all sizes and all common pixel pitches. For Media Owners/Clients who want to build a site from scratch, we

CLIENT: HSBC MALAYSIA

CLIENT: MERCEDES MALAYSIA

have in-house fabrication, which can build standard or custom structures to meet the client’s need.

In most cases, others would sub-contract with a fabricator to build the structure, however, we have an in-house facility for fabrication. This ensures our cost control and quality.

The next important service provided is Electrical Cabling & TNB site works, which are an integral part of the LED screen operation.

Lastly, we also provide a Cloud - Based CMS to run and manage the screen content.

We are moving away from the native manufacturer-based CMS, which only allow limited functionality.

In today’s day and age, clients require Media Owners to provide data in terms of playtime logs and other relevant information, which native CMS’es do not provide.

Our CMS provides all that data, allows for scheduled & dynamic content changes and is also open to integration with sensors and third - party applications.

These aspects are integral today, as we are looking at crossing DOOH over into the Digital advertising space.

By providing these solutions all under one roof, we ensure that Media Owners/Clients are equipped with latest in technology to match the requirements of Advertisers.

11 OUT OF HOME

CLIENT: IJM

AVAILABLE STOCKS

12

ISSUE239END-JUNE2019

TOP 20 BEST RAYA TVCs 2019

1 PLUS MALAYSIA Tumpang

This TVC by Plus Highway hits all the right notes and brings a real terjerker of a story with a plot twist at the very end. Our hero misses his bus, but hitches a ride with a senior fellow who is wary of his new found passenger.

We learn more about each of them as the journey unfolds. It’s a well woven story with ups and downs. A real human touch. A well-deserved No.1 ranking on our Top 20 list. Congratulations!

2 TNB MALAYSIA

Konvoi Epik Fantastik

The overarching theme in this TVC is all about togetherness and how its always important to maintain relationships by keeping in touch with family, friends and relatives. It’s a humorous take on the age-old practice of visits during the Raya period. A close knit family travels in a convoy to visit all of their acquaintances far and wide. Ultimately, the ending is heartfelt yet important as its all about being present. Definitely another great ad that takes the No.2 spot in our Top20 list. Well done!

WHICH 2019 RAYA COMMERCIALS MADE IT TO OUR TOP20?

When it comes to Hari Raya commercials, there is always a special place in our hearts for these jewels of advertising folklore. These short films never fail to mesmerize us with salient notes of love, gratitude, kindness, respect and understanding. As they say, it’s always about the little things in life that truly matter. Friends, families and loved ones are all celebrated in a manner that befits them.

Of course, most of these commercials always have a way to inject some rib-tickling moments into your day.

As always, we poured our heart and soul into unearthing Malaysia’s Top 20 favourite Hari Raya commercials, which were based on an online survey that drew a tide of respondents from our readers. Here is our TOP 20 Hari Raya TVCs for 2019. The votes are in and we listened to you to bring the best of the best. Enjoy!

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3 TOUCH N GO

Bakal Mertuaku Gengster

When it comes to product placement, this Touch N Go TVC does it very well with mentions of its RFID, e-wallet and other promotions being inserted into a humorous story line. Some of the scenes are a bit over the top, but it still delivers on the laughter scale. It’s always nice to see a brand make some bold decisions in how they market themselves. Bridging the digital gap is something that needs to be addressed, and this advertisement certainly does that on all fronts.

4 TV3

Hero Setulus Ikhlas

As they say in life, ‘be sincere to others, and they will be sincere to us’. It’s a simple lesson that can sometimes be lost in the hustle and bustle of our lives.

This TVC by TV3 has all of it and so much more. Led by an adorable cast and true salt of the earth characters, it’s a great tribute to the simple things in life.

Have a watch and reaffirm your faith in what is good.

5 Petronas

Rendang SoRaya

When it comes to keeping traditions alive, this TVC nails it. It’s all about a chef who is practicing to create a rendang dish that is just like what her mother used to make. Its a poignant story that is all about keeping the legacy of someone

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TOP 20 BEST RAYA TVCs 2019

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throughout the years. It’s a real minimalist tribute to what most of us hold dear in our households.

Another great TVC from Petronas during the Raya festive period.

6 RHB

Put Aside All Differences

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When it comes down to it, life is all about communication.

That’s what makes our lives interesting and it’s what connects us. This TVC by RHB tackles language barriers in a very heartfelt yet endearing manner. All of us need to take a leaf out of the story and apply it to our daily lives. There are always ways to improve our interactions and promote togetherness. Kudos to RHB for this TVC.

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TOP 20 BEST RAYA TVCs 2019

7 Digi

#HeroRealiti

This is truly a great TVC from Digi as it brings the best of technology and how connectivity can bring about real change.

The story revolves around a man who recently suffered a stroke, and through VR technology, he undergoes a rehabilitation process that is remarkable. His spirit and determination shines through the whole process. It’s great to see a brand taking a very unique initiative to that truly humanizes technology.

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8 Malaysia Airlines

Sama-Sama Balik Kampung

When it comes down to it, Malaysia Airlines always delivers the right message with its Hari Raya ads. For the national carrier, it has been very careful in cultivating its overall image in these troubled times, and its loyal customers have always appreciated its efforts amid the trials and tribulations that its experiencing. Once again, a great TVC that highlights the simple pleasures of coming home to your loved ones.

9 Pos Malaysia Heroku

Heroes are always in our midst, and this latest advertisement from Pos Malaysia is all about bringing the best out of its unsung heroes, the humble postman. A truly heartwarming yet important message being delivered through the video. It’s definitely another great TVC from the guys at Pos Malaysia.

10 KFC

KFC Original Series: Raya Selamba

When in doubt, always do a musical themed TVC. The folks from KFC certainly outdid themselves with this year’s RAYA tvc. A catchy tune with some good application of technology certainly hits the spot. For a brand like KFC that is all about spreading that ‘finger licking goodness’, it’s always nice to see a brand staying true to its values and spreading the joy of the festive Raya season.

11 SHARP

Special Moment with Zahirah Macwilson

When it comes to family reunions, it’s always a good bet that this can be a real good gambit for the overall theme.

The folks at SHARP sure did their research in finding a mother and daughter team that fit the bill.

Getting Zahirah Macwilson was the perfect individual to bring this concept to life. A big shout out to SHARP for making the effort to

reconnect family members in this tribute to togetherness during the Raya period.

12 MAYBANK ‘IKHLAS’

This TVC is actually truly a extraordinary tribute to ordinary people who make a real difference to those who are less fortunate. Ultimately, in life, it’s always about helping people up and not putting them down.

MAYBANK really did a great job by focusing on this selection of stories that brings out the best in people. It’s a must watch and a great tribute to the power of humanity.

13 CELCOM

Cucu-cucu Tok Ucu: A short film from Celcom

The story of how technology can make a difference in our lives, is as old as time. It’s always great to see a brand like Celcom making the leap with a TVC that is modern yet contemporary in its ideals. It takes a lot of guts to make a difference in everyone’s lives through the use of technology. It’s definitely a commercial that makes a real effort in humanizing technology.

13 TM

ATUK GAMER #LebihUntukMu

Bridging the digital and generational gap through an era of convergence is definitely something that is high on the list at TM. This Raya TVC certainly has that in spades. It’s a brilliant way to highlight technology and entertainment in a way that is uniquely TM. The brand definitelty has experience in setting out an avenue that makes its products and services stand out from the crowd.

14 Watsons

Watsons Raya 2019 - Ada

Hati, Raya Menjadi-Jadi

Sometimes a TVC captures the what if moments in our lives so perfectly, and Watsons does a great job with this TVC that truly drives home the message of how any type of celebration is dependent on the effort that one puts into it, in terms of your spirit and desire to outdo oneself.

A great TVC that is humorous, touching yet relevant to the target audience.

15 Saji Malaysia

Rendang Tok Mak

If there is one thing we can all agree on, it’s that food certainly is the glue that binds all of us together. At Saji, a bit of product placement is mandatory in this exercise, but the storyline is good as gold. Maintaining traditions, keeping up the legacy, and making sure there is continuity, are all hallmarks of family life. Saji Malaysia has understood this and made sure they delivered on the promise.

16 Samsung ‘Seringgit’

It’s the small things that matter. In a lot of ways, this is what it’s all about. Samsung recognised a great idea when they saw it.

That’s Atuk’s wisdom that he hands down to his grandchildren, one that is eternal despite how much change the world has wrought upon our lives, especially in an age where One Ringgit doesn’t seem to matter much.

And through his unconventionally quirky method with the duit raya, he teaches us to imbue the true spirit of Raya in all the little things that we do — which was and always is the coming-togetherness of love and forgiveness.

Its a nice TVC that reminds us about the simple things in life that can really make our lives

more meaningful in the long run.

There never was a better time to remind ourselves about what is truly important as we celebrate this period of festivity.

17 Axiata 2019

Project Eid | Axiata Raya

When we can focus on connecting people through the use of high speed broadband and technology, a brand like Axiata has fulfilled its KPI in terms of driving home the message about its products and services.

When Adila finds out her brother is unable to celebrate Raya with the family, she and her drone come up with a clever plan.

Adila proves that with ingenuity and heart, technology can be used to advance connections no matter the distance.

One has to give it to Axiata for having the guts to create such a commercial that required a substantial budget to pull off as well. Another great watch awaits.

17 Grab

Grab goes back to the future with #BuangBalikRaya

The Raya season always brings with complexities in terms of logistics, so that’s where Grab comes into play. It brings convenience and makes sure everyone is happier and have time to celebrate with their families.

Grab has pulled out all stops to ensure all of its products and services are highlighted in this latest installment of its Raya 2019 advertisement. The sheer variety of ideas and storylines in this commercial is a tribute to the wonders of creativity. For a company like Grab, it’s all about touting how the establishment is making convenience a new benchmark for everyone in the markets that its operating in.

Another great commercial that is worth the watch.

18 Astro

Raya Kuasa 7

The story is about Apai’s family, where everyone of them show up with their own special powers to make the collective result a great one. In times of crisis, they unite and they realise that they are enough for each other.

This is another great example of how families come together in a bid to make their lives better.

As you manage crisis situations in a good way, you can see the real value of people around you. This commercial brings out the best in each one of us, and that’s why it’s always great to believe in the small things that matter in our lives. Astro certainly understand the value in harnessing the collective power for greater good.

19 AKPK

Projek Azim dan Adik

Simplicity is the ultimate sophistication, as the say, and the storyline for this commercial has the ideal method of conveying the message as succintly as possible. Azim and his sister join forces to get the debts settled for their parent’s business and everyone has a great Raya together.The message is heartfelt and the core idea is strong. This is another great commercial that truly hits all the right notes.

20 PRUDENTIAL BSN

Every good deed starts with the sincerity of the heart.

It’s a simple message but it’s something that always get lost in the hustle and bustle of our lives.

This advertisement by PrudentialBSN is heartwarming and just right for the eventual effect that is needed.

Another wholeheartedly great effort for the festive season.

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of confidence for the second consecutive quarter. Malaysian consumers were still wary of their job prospects and rising cost of living.

Unemployment rate during the first quarter of 2019 maintained at 3.3%.

TABLE 1

Compiled and written by Retail Group Malaysia

YEAR ON YEAR PERCENTAGE CHANGE IN RETAIL SALES (WEIGHTED), 2018/19 TYPE

PERIOD

% GROWTH

Retail sales

Jan-Mar 2018

2.6

Oct-Dec 2018

2.7

Jan-Mar 2019

3.8

TABLE 2

Source: MRA/ Retail Group Malaysia

COMPARISON OF RETAIL SALES WITH OTHER ECONOMIC INDICATORS, 2018/19 ECONOMIC INDICATOR

4TH QTR 2018

1 ST QTR 2019

GDP (%)

4.7

4.5

Inflation rate (%)

0.3

-0.3

Private consumption (%)

8.5

7.6

Retail sales (%)

2.7

3.8

Consumer Sentiment Index

96.8

85.6

Unemployment rate (%)

3.3

3.3

Source: Bank Negara/ Department of Statistics/ MIER/ Retail Group Malaysia

TABLE 3

COMPARISON OF RETAIL SALES WITH OTHER ECONOMIC INDICATORS For the first quarter of 2019, Malaysia national economy recorded a moderate growth rate of 4.5% (Table 2, at constant prices), as compared to 3.8% for retail sales (at current prices).

Higher public expenditure and sustainable private consumption contributed to the latest economic growth.

The average inflation rate during the first quarter of 2019 was -0.3%. Malaysia recorded deflation during the first 2 months of the year (-0.7% in January and -0.4% in February). For the first time since November 2009, Malaysia experienced deflation.

This was mainly due to the lower average fuel prices of RON95 during the first 2 months of 2019. Transportation costs declined 7.8% in January and dropped again by 6.8% in February. During this period, all other costs continued to rise.

In March 2019, inflation rate rose by 0.2%. During the month, transportation cost returned to positive zone with 2.6% increment.

Two obvious increases during the first quarter of this year were essential goods and services such as foods and non-alcoholic beverages as well as housing, water, electricity, gas and other fuels.

Private consumption slowed down to 7.6% during the first quarter of 2019.

During the latest quarter, the Consumer Sentiment Index (by MIER) dropped further to 85.6 points. It remained below the 100-point threshold level

RETAIL REPORT

JUNE 2019

YEAR ON YEAR PERCENTAGE CHANGE IN RETAIL SALES BY RETAIL SUB-SECTOR, 2018/19 RETAIL SUB-SECTOR

Department store cum supermarket

1ST QTR 2018

4TH QTR 2018

1ST QTR 2019

2.6

3.2

6.2

Department store

4.6

1.0

0.8

Supermarket and hypermarket

-3.8

-4.0

-2.3

Fashion and fashion accessories

2.8

1.2

1.9

Pharmacy and personal care

9.2

8.7

11.8

Other specialty retail stores

3.3

5.2

5.3

Source: MRA/Retail Group Malaysia

TABLE 4

LATEST RETAIL PERFORMANCE For the first quarter of 2019, Malaysia retail industry achieved a better-than-expected growth rate of 3.8% in retail sales, as compared to the same period in 2018 (Table 1).

This latest quarterly result was higher than the estimate made by members of MRA at 3.1% in March 2019.

Despite a lacklustre performance during the Chinese New Year period, the Malaysia retail market managed to generate more turnover than market expectation for the entire first quarter of this year.

3-MONTH RETAIL SALES FORECAST BY RETAIL SUB-SECTOR, APRIL-JUNE 2019 RETAIL SUB-SECTOR

% GROWTH RATE

Overall (weighted)

5.5

Department store cum supermarket

6.9

Department store

7.2

Supermarket and hypermarket

-7.4

Fashion and fashion accessories

4.2

Pharmacy and personal care

15.2

Other specialty retail stores

10.8

Source: MRA/Retail Group Malaysia

TABLE 5

PREAMBLE Members of Malaysia Retailers Association (MRA) were interviewed on their retail sales performances for the first halfyear of 2019.

MALAYSIA RETAIL INDUSTRY REPORT

MALAYSIA RETAIL INDUSTRY QUATERLY GROWTH RATE 2019 QUARTER First

% GROWTH RATE 3.8

Second

(e) 5.5

Third

(e) 3.9

Fourth

(e) 5.8

Whole year

(e) 4.9

(e) - estimate Source: Retail Group Malaysia

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RETAIL SUB-SECTORS’ SALES COMPARISON Except for Department Store sub-sector, all retail sub-sectors recorded improvement (Table 3) in their retail businesses during the first quarter of 2019. In addition, the Department Store sub-sector performed below the estimate made by the members in March this year.

Department Store cum Supermarket sub-sector achieved a strong growth rate of 6.2% during the first quarter of 2019, as compared to the same period a year ago.

The Department Store subsector did not see improvement in its sale performance during the latest quarter. The business of this sub-sector increased by only 0.8% during first 3-month period of this year.

The Supermarket and Hypermarket sub-sector remained in the red in terms of retail sale growth rate. Its growth rate was -2.3% during the first quarter of 2019. This latest result is the worst among the retail subsectors. Nevertheless, this latest result was much better than the estimate made in March this year at -7.6%.

The Fashion and Fashion Accessories sub-sector continued to record slower growth rate in the latest quarter. This sub-sector expanded by only 1.9% during the first quarter of 2019.

During the first 3 months of this year, Pharmacy and Personal Care sub-sector reported another strong growth rate of 11.8%, as compared to the same quarter a year ago. Among the retail subsectors, this is the best performer during this quarter.

The Other Specialty Stores sub-sector (including retailers selling photographic equipment with photo processing services, optical, sporting goods, fitness equipment, second-hand goods, toys, baking ingredients as well as TV shopping) managed to sustain its growth at 5.3% during the first quarter of 2019, as compared to the same period last year.

NEXT 3 MONTHS’ FORECAST Members of the retailers’ association are hopeful that their businesses will improve further during the second quarter of 2019. They projected an average

growth rate of 5.5% (Table 4).

The department store cum supermarket operators are expecting to maintain their average growth at 6.9% for the second quarter of this year.

The department store operators are expecting to recover strongly with a growth rate of 7.2% for the second 3-month period of this year.

On the other hand, supermarket and hypermarket operators will not see improvement in their business in the coming months. They expect to remain in the red zone with a -7.4% growth rate for the second quarter of 2019.

Retailers in the fashion and fashion accessories sector expect their businesses to pick up again with a positive growth of 4.2% during the second quarter of 2019.

Retailers in the Pharmacy and Personal Care sub-sector remains optimistic of their businesses with a strong growth rate of 15.2% for the second quarter of 2019.

Similarly, retailers in Other Specialty Stores sub-sector (including retailers selling photographic equipment with photo processing services, optical, sporting goods, fitness equipment, second-hand goods, toys, baking ingredients as well as TV shopping) are very hopeful that their businesses will climb higher with a growth rate of 10.8% during the second 3-month period of this year.

SECOND HALF OF 2019 Based on the latest results for the first half year of 2019, the projected retail sale growth rate of Malaysia retail industry in 2019

by Retail Group Malaysia has been revised upwards from 4.5% estimated in March 2019 to 4.9% (Table 5).

Despite the weak economic environment from both internally and externally, the higher growth expected during the second quarter of 2019 is mainly due to the Hari Raya period. This largest festival in Malaysia is celebrated earlier this year as compared to 2018.

The retail sale growth rate for third quarter is maintained at 3.9%. After a major festival celebration, slower growth in retail sale is expected during this period.

Similarly, the estimated growth rate for the last quarter of this year is maintained at 5.8%.

School holiday, year-end festival and expected higher economic activities should stimulate consumers’ spending during this period.

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NEWS

THE FUSION OF DATA AND DESIGN AND HOW IT SUPERCHARGES INNOVATION When it comes to breakthroughs, businesses often strike it big when organizations connect a multitude of different, disparate ideas and approaches into something truly special.

Solving tough problems requires fresh thinking, and this is where the fusion of data and design can bring great promise to the occasion.

Recent advances in artificial intelligence (AI) and other analytics can enable decision makers to activate the wonders of product development right up to customer engagement.

Qualitative insights, creativity and a relentless focus on end-user needs is of course focused at product and service innovation.

According to a McKinsey & Co, an average of 10 to 30 percent performance improvement is seen among companies that interweave data and design capabilities to solve business problems.

Companies need to move from silos to squads, from disconnected workflows to deep synchronicity of skills and from product innovation only to operations-wide use.

ARE ADVERTISERS REALLY SOLD ON CONSULTING FIRMS? Are consulting firms really a better fit than advertising agencies? Are we really seeing the demise of creative agencies from being the real decision makers?

According to DigiDay, it’s probably still a long way off. The publication recently interviewed three global media directors and their comments certainly offered some food for thought.

They felt consulting firms were good at telling marketers what they are doing wrong with their media budgets, while agencies were good at turning those deficiencies into realistic action points.

In one case, the advice from a consulting firm was ‘questionable’ at best, and the recommendations were ‘shallow’.

Since the consulting firm had better relationships with the C-suite personalities, their arrogance was always plain to see.

Unfortunately, the respondents told the publication that most of these consulting firms do not have the expertise to ‘bridge the chasm between strategy and media activation’.

Smaller consultancies are often roped in to pick up the slack.

In a study of the design practices of 300 companies, the top financial performers had integrated design across the organization rather that creating design units within specific departments.

Apparently, the most effective integration of design is through the assembly of “squads” that include both data experts (data scientists, data engineers and so on) and designers (design researchers, visual designers and others).

When data and analytics capabilities come together, a center of excellence can be created. 60 percent of companies successfully scaling analytics to solve problems across the organization use cross functional teams.

Over the last 10 years, the use of data and design has ballooned in the world where

born-digital companies are merging these disciplines as a natural evolution of their culture.

These companies have fertile environments, with agile practices and multi-disciplinary mind-sets that allow diverse approaches to easily intermingle and ultimately blossom together.

In reality, most companies have institutional silos, disconnected workflows and misconceptions of design.

Moving forward, the more data and design experts are brought together and work together, the earlier and wider their sphere of influence can be.

Greater rewards will always be on offer to companies who choose to break the conventions, defy expectations and explore new horizons in order to reimagine their future.

However, since strategic-level thought leadership and strategic counsel continues to be how one gets a foot in the door, there will definitely be a blurring of lines between consulting firms and advertising agencies as we go along.

At the same time, not all marketers are disillusioned with consulting firms as well. The head of media at a technology business, believes they can successfully close that disconnect between strategy and execution.

In this case, Accenture Interactive helped the advertiser overhaul the way it devises media strategies for its agencies to buy.

“My experience with Accenture was positive as they offered a good strategy and understanding of what our issues were,” said the head of media.

Of course, the consulting firm wanted to play a more active role in how it spent its media budgets.

This where it gets tricky.

The media director at the communications advertiser believes there is “an inherent conflict in the consultancies auditing and buying media.

This is because consulting firms like Accenture Interactive and Deloitte Digital are openly aligned with the technology giants such as Google and

Facebook.

Kees de Jong, co-founder of ad tech consultancy Uncommon People, says that since these firms have partner programs with these technology giants, they will receive compensation as they are effectively resellers.

Source: McKinsey & Co.

AB INBEV STEALTHILY BUILDS ITS OWN IN-HOUSE CREATIVE AGENCY According to reports, Anheuser-Busch InBev has been building its own in-house creative agency, Draftline.

It seems that the agency uses “data-driven insights to produce creative that is more local and personalized with greater agility”.

Marketing Dive reports that the company has currently 50 employees and after initially focusing on digital and social, the company is now expanding its focus.

It now works on packaging, cans, sign-making, out-of-home, digital video, GIFs, memes, display, data collection and audience segmentation.

Ultimately, many advertisers aren’t aware of these relationships or don’t know how to ask, and that is the real danger to the marketplace as a whole.

Source: DigiDay

They will also focus on email marketing, radio, programmatic media buying, analytics, influencer marketing, social listening, community management and more.

The agency has now worked on more than 42 brands in the company’s portfolio. AnheuserBusch’s move to create its own agency is in response to the industry wide push towards data driven marketing.

Other companies such as PepsiCo also revealed recently that it was building its own inhouse media planning team with a focus on CRM, ad tech and data.

Apparently, Draftline has been constructing a significant creative team, it will be focused more on branding than in-house strategies focused on data, social and media planning.

As more companies look towards in-house moves in a bid to cut costs and save on overheads that are commonly attributed to outside agencies and partners, there are of course greater concerns as well.

For a long time, there has been a lack of transparency in agency fees and digital media supply chains.

Most recently, P&G famously saved nearly US$ 1 billion in agency fees and production costs by moving businesses to in-house departments.

Reinvesting savings into marketing, the company has also seen a sales boost in terms of its product lines as well.

João Chueiri, who is leading Draftline, has been actively rethinking how AB InBev can help save the legacy of its most popular brands.

Recently, he discussed how a focus on creating curated, localized experiential promotions can create lasting impressions with consumers.

By building culturally-led experiences in sports arenas, music venues and elsewhere, he said that brands could get attention in ways that traditional sponsorship and advertising can’t in the digital age.

Source: Marketing Dive

ISSUE239END-JUNE2019

17 NEWS

ADVERTISERS TO LOSE US$42 BILLION IN 2019 DUE TO FRAUD According to a new study from Juniper Research, advertisers will lose US$42 billion around the world due to fraud across online, mobile and in-app channels.

This figure represents a 21% increase from the reported $35 billion lost to advertising fraud in 2018.

The report states that the growth in loss to online scammers using more sophisticated techniques adopted and to smaller advertisers not adopting anti-fraud solutions.

Juniper predicts that advertisers will only save $16 billion of the ad spend that would otherwise be lost to fraud.

The research firm also expects that available ad inventory will grow faster than advertiser demand in the next four years.

Scammers are expected to take advantage of this trend by running fraudulent ads in this inventory.

The research also forecasts that spend on advertising over

BAYER DITCHED GROUPM AND SAVED US$11 MILLION In what can be termed as quite a bold move, Bayer ditched GroupM last year, and the company managed to reduce its programmatic buying costs by US$10 to US$11 million.

Speaking to DigiDay, its head of programmatic and social, Paul Gelb, said that “it is really hard to provide a significant amount of value in an agency today in a programmatic biddable medium.”

The company had managed to negotiate better pricing with every

HOW PROGRAMMATIC ADVERTISING POWERS THE FUTURE Not a day goes by where we hear endless ramblings on the power of technology and how it is bound to reshape the way advertisers and marketers connect to the masses.

Well, programmatic technology is now becoming the benchmark in terms of how advertising campaigns are being rolled out these days.

As reported recently on AdWeek, Kylie Skin, the skincare line of Kylie Jenner, used 1,300 screens in more than 1,000 cities in the US for its latest advertising campaign.

The campaign was brought to life across billboards in malls, roadsides and metropolitan areas

OTT (Over-the-Top) TV services will exceed $42 billion by 2023; rising from $28 billion in 2019.

However, it found a lack of standardization among OTT TV services leaves advertisers exposed to increased levels of fraud by simplifying the process needed to spoof advertising networks via connected TVs. Research author Sam Barker noted “OTT TV service providers must address the issue of advertising fraud if they wish to attract high value advertisers to vendor that it works with compared to what the company paid when it had an agency, according to Gelb.

Bayer is planning to bring all digital media buying in-house by 2020. While the company is working only with MightyHive in the digital space, it still has links with agencies for TV ad buys and creative work.

Currently, Gelb said that the company is spending more on programmatic and social advertising and is already spending more on digital than TV. Bayer set up their operations in New Jersey and recruited programmatic talent from ad tech firms in the form of veteran like Times Square with the help of digital OOH ad tech company, Adomni, and over 22 publishers in the OOH space as well.

Speaking to the publication, Jonathan Gudai, Adomni’s CEO, described the ad campaign as “possibly the largest of its kind” and “kind of a whirlwind” that came together over the course of five days.

He said that the idea was hatched on a Friday, and under a week, the message was being pushed out around the country.

This “Kylie-real-world-takeover,” as Gudai dubbed it, shows the “magic” of buying out-of-home programmatically.

Campaigns on screens around the country can be bought in minutes via online buying platforms, and in the days of traditional billboard campaigns, it would have taken at least three months and possibly millions of

their platforms.”

“These players must prove the value of advertising on their services by minimizing exposure to ad fraud through the adoption of fraud detection and mitigation solutions specific to OTT TV solutions”, he said.

“Accountability needs to come from advertisers first because they are holding the money of the brand…they need to be aware of the task at hand to keep a check on ad fraud…however, the whole ecosystem is responsible for

the set up which is happening.” said Dheeraj Gupta, CTO and Cofounder of mFilterit, while talking to industry press.

New research by Juniper also found that advertisers’ total loss to fraud will rise to $100 billion by 2023.

The report claims fraudsters will gravitate to advanced techniques such as spoofing advertising networks to falsify ad clicks and displayed ads, rather than labor-intensive activities such as app install farms.

Juniper forecasts that advertisers will only save $16 billion of potential lost ad spend to fraud; owing to a lack of adoption of anti-fraud solutions from smaller advertisers and the increasingly complex tactics of fraudsters.

Additionally, the research projects that the growth of ad media inventory from publishers will grow faster than advertisers’ demand over the next 4 years.

As a result, fraudulent players will look to fill this increasing gap between supply and demand by filling unused inventory with fraudulent ads.

Source: Marketing Dive

AMAZON IS NOW WORLD’S MOST VALUABLE BRAND It looks like Amazon has broken the 12-year stranglehold of Apple and Google at the top of the 100 global brands.

According to Kantar’s latest global BrandZ ranking, Amazon’s value is now at US$315.5 billion, while Apple is at US$309.1 billion and Google at US$309 billion.

Speaking to Marketing Week, Graham Staplehurst, BrandZ’s global strategy director says that Amazon’s rise has seen it evolve from an online, price-led retailer to an ‘ecosystem brand’.

“It has successfully connected the values and positive brand associations from one business – ease of use, speed, reliability – to other areas,” he added.

Staplehurst says that Amazon has diversified into a range of offers from cloud computing to smart devices, from payment systems to the best in entertainment.

“As the boundaries between traditional businesses blur, Amazon has been ideally positioned to seize emerging opportunities,” he explained.

Overall, the top 100 has gained almost a third of a trillion dollars ($328bn) in value over the past year to reach $4.7tn – roughly the combined GDP of Spain, Korea and Russia.

Source: Marketing Week

executives.

It was not a huge challenge for the company to achieve it, and Gelb mentioned that as long as brand are willing to hire and dollars too.

“But because programmatic screens are bought for only the time that a brand needs them, it’s a completely different game—and cheaper than ever,” said Gudai.

DOOH sales have been growing, and as recent analysis from MagnaGlobal shows, its been steadily growing by 16 percent over the past five years with nearly US$6 billion of sales in 2018 in the US alone.

Interestingly, the number of digital ad units purchased by marketers has increased from 160,000 to 300,000 over the last four years too.

Gudai is trying to educate digital buyers that DOOH is the next great medium and what they have done is nothing short of groundbreaking to run that many advertisements with minimal effort.

Source: AdWeek.

compensate people well for their efforts, most brands can take the in-house route with minimal fuss.

Source: DigiDay UK

18

ISSUE239END-JUNE2019

NEWS

HOW ASIAN CONSUMERS VIEW GLOBALIZATION A McCann Worldgroup study has revealed that Asian consumers are more individualistic, proglobalization, and more suspicious of social media than ever.

The wide-ranging report explores some of the attitudes that are taking hold across the continent.

This is according to an exclusive WARC report on the research, a quantitative global brands study conducted across 29 countries and surveying 24,000 respondents.

Of them, 8,400 came from nine APAC markets (China, India, Japan, South Korea, Hong Kong, the Philippines, Indonesia, Singapore and Australia).

This edition (2018) of The Truth About Global Brands study follows an original 2015 survey by the same name.

McCann Worldgroup’s regional planning director Judd Labarthe, who was presenting the findings at

an event in Singapore, reported that APAC’s consumers feel more disconnected than almost every other country.

With 49% of respondents in the region saying that they don’t feel like they belong to any particular country or culture – “by far the highest” across all six regions surveyed, Labarthe said.

That said, APAC appears to be positive about globalisation.

While 31% of respondents from the rest of the world said it has threatened the way they want to live, 85% of APAC respondents said globalisation has expanded opportunities for them.

In fact, only 15% of respondents in APAC said it has posed threats to how they want to live.

There are other threats.

“Across Asia-Pacific, 75% of people agreed that social media… may have turned out to be something far different that’s not very helpful at all,” observed Labarthe.

Three in four APAC consumers agree that social media was

created to bring people together, but now divides them.

Collectivism may be less applicable to Asia than is widely ascribed: 67% of APAC respondents agree they need to focus on themselves before they can focus on others.

“In Asia, home to all those collectivist cultures we’ve been reading about, two thirds of people are saying, ‘Actually, I need to focus on myself’.

“This is comparable to the rest of the world, with 71% of respondents agreeing with the same statement,” Labarthe reported.

Some of the most dramatic shifts towards individualism took place in China (from 34% in 2015 to 56% in 2018), the Philippines (62% to 81%), India (62% to 81%) and South Korea (67% to 78%).

Source: WARC

BOB HOFFMAN GIVES HIS TAKE ON CANNES 2019 Bob Hoffman seldom minces his words, and his recent post from his blog does not disappoint. The post goes as follows: For the 100th consecutive year I did not go to Cannes. But the good thing is, I know exactly what happened and saved myself thousands of dollars. As a free service to you other losers who didn’t attend, here’s what you missed.

A very casually dressed CEO from a very big holding company said that the consumer is changing and we have to change to keep up with the changing consumer.

He said we have to evolve or die. A very rich and famous creative person gave a very stirring speech about how creativity is the heart and soul of our industry and we have to get back to celebrating creativity.

Agencies that don’t prioritize creativity won’t be around long.

Another famous creative person with very expensive eye-wear said we need to be brave.

Those that aren’t brave won’t last. A very earnest female executive gave a talk about how we have to value all people regardless of sex, sexual orientation, race, religion, absence of religion, age, ability, body type or gluten sensitivity.

Marketers that don’t value diversity will soon be dead.

A very European planner gave a talk about how we have to stop thinking short-term and realize that brands are built by long-term strategy.

Those who focus on the shortterm will disappear in the longterm. (Then she hurried out to see how many tweets her talk got.)

A panel discussion was held to discuss the future of marketing. It was agreed that more personalization was necessary to make marketing more relevant to consumers.

Brands that don’t have better insights into individual consumer behaviour don’t have long to live.

A panel discussion was held to discuss the future of the agency business. It was agreed that the agency business must align its priorities to the evolving needs of our clients or we will fade away.

A very famous celebrity from outside the advertising industry gave a talk on why he/she now pays as much attention to social

media as he/she does to acting/ singing/basketball.

“You have to stay in touch to stay alive.”

A very famous billionaire sent a very mid-level executive to explain how their company is committed to protecting consumer privacy by developing an AI process to screen out everything and everyone that is bad.

“If we don’t do that, we have no future.” A research expert said that in order to understand Gen Z we must forget everything we know about Millennials, who were digital natives, and start to understand Gen Z, who are “digital aboriginals.”

Ignoring the needs of Gen Z is a death sentence. A panel of branding experts agreed that consumers now expect brands to

be socially responsible and make the world a better place for all people regardless of sex, sexual orientation, race, religion, absence of religion, age, ability, body type or gluten sensitivity.

Brands that don’t do that will soon be extinct. There is so much potential for death in the advertising business these days that there is only one responsible way to avoid marketing’s grim reaper – hang out on yachts and gulp putrid rosé.

Thank goodness there are thousands of men and women from around the world who are willing to do this on our behalf.

Otherwise, we’d be dead. Bob Hoffman has been the CEO of two independent agencies and is the author of the Ad Contrarian blog,where this post first appeared.

“I WANT CMOS TO LOVE US”: DROGA5 CHAIRMAN David Droga has been in the news lately, and it’s all been about Accenture Interactive snapping up Droga5 and the collective gasps as the whole affair unfolded.

DigiDay UK recently got in touch with Droga to talk about things in a rather candid chat.

He revealed that the recent tieup with Accenture Interactive was very personal and also emotional too.

“It was sort of a meeting of the minds, but nobody was a passive partner, they are the bigger player but in my delusional mind, we bought it,” he said.

While some quarters have said that Droga ‘sold out’ by agreeing to be acquired in such a manner, he sees it differently.

“Do we bring a strategic rigor or unvetted creativity they could benefit from? We kind of both need each other,” he explained.

It’s common knowledge that creative agencies are going through tough times, with margins becoming thinner and creative work being sold on the cheap.

Droga states that the real money is being spent on people on who control the customer experience.

“Blue chip brands give agencies on record (AORs) fees of $10 million or $15 million… but the people who are controlling the customer experience, they’re getting paid an ongoing fee of $100 million a year,” he added.

“I don’t need that number, but what I want is to be that important and that influential…I want CMOs to love us and CEOs to love us as well,” which is pretty much the real reason for this new merger.

Source: DigiDay UK

ISSUE239END-JUNE2019

19 NEWS

THE CMO OF THE FUTURE Though the CMO is a powerful position in the business, it requires constant adaptation to survive.

At Cannes Lions, WARC’s Sam Peña-Taylor heard executives from Tencent and LVMH explain their view of the future for the profession.

At Cannes, the most audible conversations are around the threats to agencies – specifically, the slowing growth and the painful restructuring of the big six holding groups.

Despite the super-yacht lunches, Riviera hill views, and all the other perks, the CMO isn’t safe either.

The budgets that have fueled their power in this town are increasingly having to meet different objectives.

Where the role of a brand’s marketing chief was once simply to build awareness of the brand, the expectations of the budget and its keeper have become more complex and more diverse.

Along with the Association of National Advertisers (the ANA) in the US and Cannes Lions, marketing chiefs from around the world have been gathering periodically to talk about the challenges to the profession and how to deal with them.

It’s called the CMO Growth

Council, and they have been meeting all week. “This is the only way to bring back glory to marketing,” said Mathilde Delhoume, global brand officer at the luxury giant LVMH. She was speaking at an event at the festival following a series of discussions that the group has had over the week.

Next to her stood Seng Yee Lau, Tencent’s SEVP and chairman of group marketing and global branding. It has fingers in many, many pies.

LVMH is no meek challenger either. I could list some of its brands (or maisons) but the name alone gives you three.

These guys know what they’re doing, and they’re concerned about the future. Whereas

finance, for instance, may have tooled up, it remains a discipline that a Florentine merchant might still recognize: balance the bloody books.

Marketing is newer; its definition ultimately unstable.

Like finance, it is about inputs and outputs: insights and creative, desire and business results, but the tools of the job bring the modern CMO only marginal gains in this multidimensional world.

Many occupants of such positions have witnessed their discipline metamorphose before their eyes. The job of building brand awareness through advertising has become an expectation that CMOs and their departments should deliver

customer-level personalisation at scale.

This, Lau says, “requires a significant, fundamentally different, skill set, that, unfortunately, many of our colleagues around the world don’t have”.

There is a plan to change this, however with three strategies. Revive the mission of the CMO There’s a lot of talk of missions in this town, but we might read it as a reconsideration of the idea of what the CMO is there to do.

In this, both Delhoume and Lau are clear: the purpose of the CMO should be to think long-term about the brand. But the longterm requires ongoing work: “no one builds a legacy by standing still,” Delhoume cautions.

A brand, Lau said on Monday, is like a family trust. Too many people think of it and treat it more like a will left to the next person to do with what they want.

As CMOs, they must recognise that going into the future isn’t about reacting to every single new event, but about putting the pieces in place to ensure the brand will survive and perform – both short-term and in building long-term value.

“Lots of us will be pressured for short-term growth,” says Delhoume, “this is where you have to be very vigilant and never sacrifice the long-term

growth of your brand.”

Craft, as an idea in advertising, is more typically associated with agencies, but there’s much that a CMO can learn.

A lot of it is around understanding what’s possible, how the brand relates to the people it serves and who serve it.

It is also about redefining what the discipline is. To this end, says Delhoume, the focus for CMOs should be to create products, services, and experiences that exceed the expectations for the value they bring.

This is quite different from traditional creative commissioning, media buying, and measurement. If this element of craft can take hold, it places the marketing chief far closer to the elements of the business that really pull the levers of growth.

There are also lessons to be learned from new markets. Lau points to China as an example of a rapidly growing, mobile-first marketing universe that the west is beginning to resemble.

The ideas of always-on, necessary sustainability and opportunities for e-commerce are all shaped by the influence of technology.

Source: WARC

CREATIVE SHOWCASE

Imagination Billboard Client

Hasbro Advertising Agency

DDB Colombia Production Company

JC Decaux

MAKING GOOD PRESENTATIONS

Great!

by Joe Najib

8

July 2019 (Monday) Maple Training Room, iSpace, Plaza VADS