Quarterly magazine Spring 2009
Contributors Editors Vera Bognár Online Senior Media Planner, OMD Digital Dóra Deák Senior Media Planner, OMD Emese Király Marketing- and Communication Manager, OmnicomMediaGroup Klaudia Kosaras Senior Media Planner, OMD Viktória Márton Senior Media Planner, OMD , János Mechler Director of Innovation, OmnicomMediaGroup Enikő Szakács Head of Planing, OMD Edina Szucsik Senior Media Planner, OMD Graphic design Ádám Ridovics
Intro 03
Intro In recent years I have always felt what globalization means. One can sense that every event, no matter where it happens on planet Earth, will exercise an influence on us. These days everybody can feel the truth of this. The international business community faces the biggest challenge that presentday generations have ever experienced. Each of us is facing unprecedented hardships and we will need every courage, flexibility and positive thinking in order to remain in control of the situation. Nevertheless as history shows us, every crisis is an opportunity for the more innovative and flexible companies, and stronger brands to revive. The crisis will not spare the world of traditional communication either where the demand for measurable success will increase drastically. OMD Hungary has traditionally been the most successful EFFIE participant, which proves that we are able to create effective communication in collaboration with our clients. In our current issue we enumerate our recent achievements in hope that the year 2009 will be equally successful for us. In 2008 OMD Hungary gained strength and increased its market share, which was nice to celebrate together with our 10th anniversary. In spite of the successful tenders we could not rest on our laurels, we developed our digital tools of mobile advertising field and we were the first agency on the Hungarian market to receive Google’s search specialist qualification. Under the aegis of measurability we launched our new service “Sonar” that enables focus-group researches to be part of our set of tools. All of the above are detailed in the present newsletter that also features the case study for one of our largest 2008 campaigns. For all our dear clients I wish an increased market share in 2009, for which OMD Hungary will provide the best of its knowledge, talent and tools!
Content Whazzup 04 “SONAR” Focus group researches by OMD 04 OMD celebrates its 10th anniversary 04 Google Adwords certificates 04 Pitch wins: Vodafone, Henkel and more 04 OMD awards 06 Interview with Martin Jaros 08 Talent scout
Case studies Vodafone „Rózsa & Robin”
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Media Overview Market overview 2008
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OMD Digital Mobile ads vs SPAM
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OMD Portrait
László Mező Managing Director, OMD Hungary onmedia@omd.hu
Interview with Marco Grandi
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SONAR Wall 20’s style groups
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04 Whazzup
OMD „WHAZZUP” 2008 Whazzap 2008 is selection of news by OMD about our pitchwins, the first Google certificate, our 10 year anniversary and more. To put it short, about everything that we were proud of in 2008.
„SONAR” Focus group researches by OMD
OMD celebrates its 10th anniversary
Focus group research is not a new market phenomena. But if we put the following question: Do we have enough research results? – the answer from our agency’s fellow-workers will definitely be no. That is the reason why OMD has set up its own room dedicated to focus group researches in the Bürök street office building.
In 2008 we celebrated our 10th anniversary. The celebration took place in the Kiscelli museum using a special communication campaign, a dedicated microsite (http://10.omd.hu) and a large-scale party. The campaign’s design process is documented in the form of a blog (http://10.omd.hu/blog), so along with the celebration, interested
„Right time, right place. OMD. 10 years experience.”
OMD offers its qualitative research solutions under the brand name Sonar including talks carried out with small, homogenous consumer groups. During the research the guests we invite can be monitored from the adjoining room (the so-called monitoring room) by means of detective mirrors and microphones. The guided talk of the group of 6-8 members are headed by a wellprepared moderator. The hidden monitoring of the groups may also serve as a useful tool and by using the adequate methods the answer for many questions can be found.
SONAR: OMD’s in house professional FOCUS GROUP research facility.
Similarly to the research panels of www.namivan. hu, the goal for the creation of the Sonar room was to put questions to the members of a particular group using the most simple, fastest and most cost-effective way. The first tests of the room and the technology have already been carried out with very positive initial experiences. Therefore Sonar not only provides a new tool for OMD but also an opportunity whose benefits are to be exploited in our work as often as possible. The first SONAR researches analyzed teenagers’ style groups. See some of the findings on SONAR wall. For more information contact: janos.mechler@omnicommediagroup.com
professionals had the opportunity to look behind the scenes. We thought it was important to draw the attention of professionals to the fact that media design is not what it used to be 10 years ago – it faces new challenges. New roles for media agencies Before 1998 OMD prepared media mixes and it purchased the approved plan as the media department of the full-service agency. Today in partnership with OMD creative agency it takes part in strategic communication planning, carries out consumer researches, finds its way in the messy looking media cacophony, it is able to reach the targeted consumer both online and offline, in collaboration with its creative agency partners formulates the creative message according to the receiver’s situation. Using the force of unity of its media holding – Omnicom Media Group – OMD effectuates best-price purchases and it is constantly ready to assist its
Whazzup 05
OMD’s anniversary campaign emphasized the changing role of media agencies.
clients in media planning issues. As an agency for Omnicom Media Group, OMD Network provides complex media communication services worldwide. Creative message and media usage As DDB’s partner OMD came up with an unusual (for some people maybe too strong) creative material. The essence of the message is: “In the right place at the right time. OMD - 10 years’ of experience”. For this campaign we used special media solutions. As for the seemingly classical media usage, it turns out fast (due to the unique features of the target group) that we do not approach the indoor, outdoor and print solutions in a classical way. Great emphasis was put on the online solutions along with the professional journals. Google Adwords certificate Amongst the Hungarian agencies providing full-scale media services, the first one to obtain Google’s official, professional search-engine specialist certificate was Omnicom Media Group (a media agency network comprising of OMD, GFMO and PHD).
It is an important step that shows well the development of the Hungarian online market. Besides the specialist agencies now it is a leading Hungarian media agency group that has obtained the Google AdWords professional certificate thereby providing its clients the most advanced search-engine campaigns – said Zoltán Peresztegi, Google Hungary’s manager. In order to obtain Google’s „AdWords Qualified Company” certificate, several members of the company’s staff have to pass Google’s GAPexam (Google Advertising Professional) and
the company has to show solid, professionally managed advertising activity. 2009 will be a year full of hardship, so advertisers are expected to turn to measurable, efficient and cost effective solutions. Amongst the various media surfaces Google’s advertising system boasts one of the best settings therefore high growth rate is foreseen in this field.
Pitch wins: Vodafone, Henkel and more
OMD awards OMD has clearly been the most successful agency in the Hungarian market in history. In 2008, this statement is proved again in the shortlist and the final results – 7 EFFIES! The Effie jury of 70 marketing experts evaluated 101 campaigns this year, and they selected 56 campaigns on the shortlist out of which OMD campaigns alone represent 14! 23% of the total shortlisted campaigns ! 7 campaigns of those won an EFFIE AWARD!
In 2008 OMD Hungary achieved great success in the large-scale media agency tenders. Our biggest clients – Vodafone and Henkel as well as an other significant client for OMD Network - Nissan (together with Renault) launched international tenders. OMD became the winner of all three tenders. We succeeded in retaining Vodafone in the course of the probably greatest and most complex competition where in the last round we gained victory over Mindshare. This means that the OMD – Vodafone 10 years’ long successful professional partnership that is abundant in EFFIE awards will continue. On the occasion of the successful tender, in this year’s first release of Onmedia we interviewed Martin Jaros who has been Vodafone’s marketing-communications director since the end of 2008.
Our biggest success in 2008 was OMD Hungary’s GOLDEN EFFIE for VODAFONE Valentine campaign 2008! Further 2 SILVER and 4 BRONZ EFFIES! And of course the fact that OMD Hungary is again the most awarded media agency on the Hungarian market!
06 Whazzup
Interview with Martin Jaros At Vodafone headquarters, on a busy Friday afternoon. Martin Jaros, head of marketing at Vodafone Hungary greets me at the reception with a friendly HELLO, accompanied by two young guys – his communication team apparently – they keep talking while we ascend in the “water polo pool” decorated elevator. People passing by, everyone with a friendly smile. Nice, inspiring atmosphere, Martin never spares a smile or a nice word to his colleagues. How did your advertising career start? I worked as copywriter for the biggest and most brand focused telecom company in the Czech Republic, Oskar. I loved the company as I met the first CEO, who really believed in the brand he worked on. At that time this CEO offered me a position as head of brand, where I was given the chance to take a real exciting challenge. Oskar was aquired by Vodafone and the task was no less then re-branding Oskar, keeping the spirit of the company. Everything had to be perfect and we managed it. I believe in emotional, radical ways. I believe in change. A brand like Vodafone must be known of its innovative spirit, braveness, freshness. It is crucial to stand out in our communication.
What brought you to Hungary? I met my wife in Germany and we lived together in the Czech Republic, but she is Hungarian. I was offered the position at Vodafone Hungary and, partly because of my wife –and because I always wanted to have work experience in a foreign country – Hungary was a great opportunity for us. Working on a different market always helps you understand and respect local values more. If you would have to pick a media channel, which is your favorite, and why? Outdoor and online! Especially for Vodafone, we need an outstanding, powerful outdoor presence with clear creative.As for online, I have always been a big fan of innovation. We ran a campaign for Vodafone Czech (anti advertising http://www. youtube.com/watch?v=phwBQmCcn38). We put the ad on YouTube and it had 600 000 views in 2 weeks time. That was massive, proving the power of online advertising.
How are successful advertising and Chihuahuas connected? I believe in ads that people love to watch. With this campaign, people just heard what they actually wanted. A non-marketing or better to say an “anti-advertising bullshit” spot with a credible offer told in a clear but surprising and outstanding way. The campaign had great results, won several awards. Do you prefer - and believe - in „rational” ways of doing advertising, or being more „emotional”? I believe in emotional, radical ways. I believe in change. A brand like Vodafone must be known of its innovative spirit, braveness, freshness. It is crucial to stand out in our communication. Is Hungary very different from your earlier postings? Hungary is a country of really smart people, with strong analytical mind, who think twice before they accept an offer. A fair conversation, an outstanding creative is key to successful communication here. A nice challenge. In your opinion, what is the biggest challenge the Hungarian telecom companies are facing in the near future? Any plans about the future with Vodafone Hungary, you could mention for us? It is quite characteristic on the Hungarian market that the bigger a client, the less courageous it is. The biggest challenge for Vodafone is to keep on breaking these rules. Vodafone is different, we need to stand out and be the courageous big client on the market. Taking the risk sometimes means making some mistakes as well, but that is part of leading the way!
remind me of my travels and also because maps are like a piece of art. Best maps are the “historic maps, still dirty with the best coffee you had there. Photography? Well, yes, I love photography. I take most of my pictures of my children and of nature. What I am especially keen on is bird photography, but that is also one of the most difficult and expensive art of photography ever. Photo by Martin Jaros
A lot of people like photography, just like you, but not many people show interest towards „traditional” maps, one of your hobbies. Can you tell us a few words about that? Well, as I child I wanted to be a diplomat. I love traveling a lot, and I kind of fulfilled my dream, as Vodafone’s diplomat. I never travel anywhere without a map. My firs map was a marine map of the Bosporus. Why do I like maps? Because they have the “smell of foreign countries”, they
Some quickies: Speak Hungarian? Yes Favourite city in Hungary? Debrecen SMS or phone call? / Voice or text? SMS / text Best and worst thing here? Best: Hungarian cuisine and wine Worst: traffic jam Digital or traditional photo? Digital
Case studies 05
VODAFONE Rózsa & Robin OMD has been briefed to prepare a communication strategy in support of the total renewal of the Vodafone prep-paid tariff proposition in the Hungarian market.
Emese Király Marketing- and Communication Manager, OmnicomMediaGroup
Business importance of this particular campaign can be attributed to the fact of much higher profitability of prep-paid customers, while facing a saturated mobile market, and a declining market share of Vodafone. The existing tariff systems are usually extremely complicated to compare for the customer, therefore OMD had to deliver challenging media solutions and ideas that have the impact of longterm differentiated tone of voice for prepaid. According to pre-tests of the offer, the new Vodafone tariff performed significantly better in all aspects, especially in simplicity and transparency. The marketing challenge was to carry over a mass market proposition with focus on critical segments, thereby talking to the Young Texter audience, while not alienating Confident Callers at the same time, with a significant pre-paid penetration. The promotion was about giving a bonus for all customers in case of a top-up of the prepaid card. The communication challenge has been to build awareness during a short campaign, with delivering and sharing detailed information about the offer. In the meanwhile, as we had been using a wide media-mix, we had to ensure the consistency of our message through all channels. Media strategy has been set based on the fulfilling communication objectives, where we had less focus on traditional TV spot ads, but more eye-catching outdoor solutions. Online
Feltöltő kártyás barátaim, végre közeleg a jutalom ideje.
and PR press supported the delivery of detailed information about the offer. OMD has fine tuned communication according to the target audience media preferences, which had been very different compared to the similarities in tariff preferences, where both Young Texters and many Confident Callers has been targeted with the new pre-paid offer. OMD Hungary has been also conducted a Pathway research project for the Hungarian telecom market results of which we used in this campaign, where we tried to define channels of influence as the most relevant touchpoints, and the essential influencers we should ideally have within media-mix. We found that TV, online, WOM and stores had most impact, with slight differences in each decision making stage. The campaign had been divided into two major parts, a teaser and a reveal phase.
Considering the task and all factors, the campaign ran with a media-mix of TV spots, press PR articles, billboards, citylight posters, talking citylight, public place installations, 3D construction net, online display advertising, floor stickers, wobblers at news-stands, and a cinema live activity. Our online strategy has been based on 3 main pillars, precise targeting through high-affinity sites, CPC buy to ensure cost-efficiency, and eye-catching display presence.
The communication message has featured historic characters, Robin Hood and Rózsa Sándor, an international and a Hungarian outlaw, who used to help the needy, where the main concept of the campaign has been „rewards for the people”. The campaign had excellent sales results for Vodafone, an outstanding 127 percent more in November, and 120 percent in December, above original targets.
08 Whazzup
Talent scout OMD has been the organizer of the National Media Contest for Students since 2001. The contest that is accompanied by ever-increasing interest, offers the winning team the chance to spend a 6 months’ traineeship in the world of media. and the elaboration of presentations as well. Some of the teams I’ve interviewed approached the task and shared the work in different ways. Several of them considered it to be natural to sit around the round table and work on everything as a team while other teams shared the specific tasks of research-, planning- and presentation-preparing according to the expertise of the participants. Both methods proved to be successful as many members of the winning teams work for our company now. It’s also true that “if you participate and make it to the oral part of the exam, you’ll gain excellent references and will have a good opportunity for testing the university curriculum” (Nóra Nyírő).
Enikő Szakács Senior Media Planner, OMD
It may be a little-known fact that the winning teams have already supplied OMD and later the world of communication professionals, several long-term fellow workers. Without aiming at completeness: Nóra nyírő, Edina Szabó, Kata Néz, Klaudia Kosaras, Nóra Ersók, Orsi Várkonyi, Judit Pásztor, Kata Fincza, Martina Majoros, Hajni Pongrác…
The winning team has a chance to work in media. And the fact that schools reward participation with pre-offered grades and exam exemptions is also worth being taken into consideration.
I find myself in such a lucky position to be able to currently work with three of them, so I can get a first-hand experience of the advantages of working with someone who gained serious preparedness, elaborated studies and disposes of great motivation and a huge professional devotedness. I interviewed a few of them about their memories concerning the contest, the advantages it may have gained for their careers, their opinion about the preparedness of today’s contestors, the advantages of the contest for building a career and the organization of the contest. Here are a few interesting ideas and views.
The answers showed that the teams basically had the same motivation when entering the contest. In general aiming at completeness was the major motive for the teams of three, as it was natural for them to participate in every professional contest during the year, irrespective of the fact that it specialized on creative- or media subjects. Nóri Ersók who gained her experiences in the first National Media Contest for Students puts it this way: “As we did not receive any such task in the university, it was a contest that we could not afford to miss.. What’s more, we received feedback from people who are really good at what they are doing.” Let’s be sincere and admit that the fact that schools reward participation with pre-offered grades and exam exemptions is also worth being taken into consideration. The most important aspect for all the participants was the opportunity to gain a post for professional traineeship that can provide a career opportunity instead of having to cope with an endless stream of interviews and job-fairs. It’s because “as a college student, especially before the final exams, students are mainly focused on finding a job. “Everybody is concerned about the terrific idea of being unemployed after graduation”. (Klaudia Kosaras) The Kata Néz – Klaudia Kosaras team underlined that it was a great relief for them that the contest took place at the time of their traineeship semester therefore they had enough time not only for working on their theses but for preparation
It is an interesting view – mainly shared by the more experienced members of the staff who participate as observers, colleague “hunters” – that even though participating teams work hard, their preparedness is unquestionable and ever more up-to-date, they are younger in age than the participants of the early years. Even in the course of reading the work papers and listening to presentations one can conclude that integrated communication has really been receiving more and more focus in the education system. Kata Néz also added that “this year creative solutions in the presentations were over-weighted – to the detriment of media issues but such new media devices were presented that we could not even think of in previous years”. The contestants interpret the subject much more liberally, more details are elaborated when approaching a task. It may be the responsibility of the judges to consider it to be an advantage, to identify it as an opportunity, to give feedbacks to the contestants so that they can find their way to the media path. Nóra Nyíró has experienced several sides of the media contest as she joined OMD as a contestant then a few years later she found herself on the client side where she was the member of the jury as a tender writer. Now when I interview her she also works as a trainer helping to prepare for the contest. I asked her how was working with the team, how different her approach was as an „insider” and how she felt when being on the other side as a member of the jury and as a trainer helping with the preparation. The following consequence can be drawn from Nóra’s answers: the two questions are
Whazzup 09
OMD has been the organizer of the National Media Contest for Students since 2001. The contest that is accompanied by everincreasing interest. 2008’s topic was “Nivea for Man”.
closely related as: “It is exciting to be around the competition. As a trainer who helps in the preparation I was tying to give constructive and motivating feedback to the contestants. As a trainer I was a lot more involved emotionally, I was at least as excited as back in the days when I was a contestant, or maybe more so. Since then, from a contestant I’ve become a trainer and supporter”. „I do not consider myself more of an insider than those other trainers who similarly to me have been preparing teams (and boast winners) for the contest for 7 years and usually have experiences too.” The tasks and the concepts were elaborated by the students. What really mattered was their approach and the answers they gave. The trainers can help with systematization, structuring, coherency, logical thinking, clear-, practical approach and fine tuning. The presentation well demonstrates this. Each person who was interviewed deemed that it was a well-organized-, smooth running and high prestige contest. This provides OMD with very positive feedback. Nóra also added that: „Because of the significance of the contest and
the ever increasing number of competing teams, it may be a good idea to give more contestant the opportunity to present their material at the oral part though I know that it takes up a lot of time to to do the finals. I would definitely have the new media, Internet, digital media line represented along with the representatives of the traditional media. One review that is worth being taken into consideration is that the prestige of the first prize (a professional traineeship) is weakened by the fact that this is not a unique offer, as several contestants have already made it to the agency just because their presentation was excellent, they presented quality material or fine elaborated some details. The people I interviewed independently from each other came to the same conclusion several times, either they talked about themselves or successful participants of other contests who now work for OMD as well. It is believed that they received a more favorable welcome at the agency interview, as the client also knows about the contest, the new employee is better positioned if she was a contestant before and this is a kind of motivation too. If you were
a winner at the contest you have to put down something on the table in your work too, though expectations are no different but there is a motive. “The difference in the professional attitude and devotedness is remarkable” (Kata Fincza) The basically “smiley positive” and satisfied view of our colleagues and the ever-increasing number of teams contesting prove incontestably that OMD’s contest is beneficial for two reasons: it has grown to become a prestigious tradition for the students and it is good for the professionals as they can find interested and talented workforce.
10 Media overview
Market overview 2008. What happened on the Hungarian media market in 2008? Without aiming at completeness here is an assortment of media market news based on Internet sources, media websites and presentations.
Edina Szucsik Senior Media Planner, OMD
1. New and renewing TV channels
RTL klub has changed image after two and a half years featuring wisches portraying Hungarian paysage. TV2 undergone an image brush up in autumn and came out with a new tricolour logo. The image work of RTL and Film+ (celebrating its 5th anniversary) was carried out by an Argentinean company while the consistent imagery of Story TV (re-broadcasting the Dallas series) was created by a British firm. Animal Planet has been on the international market for ten years and promised captivating stories with its new image. Deko Tv and Filmmúzeum came up with new image and new content in 2008 too. Also new channels started to broadcast last year. Early 2008 brought us the “male counterpart for Viasat3” – TV6 which is seducing men with action – sex – and sport. Comedy Central started in late 2008 and 12 hours a day in 1.5 million homes it is able to make people laugh using only legal substances. 2. Program fine picking
The two commercial TV giants launched several popular and less successful new programs. TV2 gave us Cápák (Sharks), 10! and XXL, Sztárok a fejükre estek (Stars gone fool) as well as Hal a Tortán (gastro-reality), Joshi Bharat and the Adventures of Senorita Szöszi. In 2008
Megasztár had its fourth annual series. We saw the return of Pókerarc (Pokerface) on RTL klub where a new quiz show started and than ceased to exist (Fogd a pénzt és fuss – Pick up the cash and run off). In the third series of Szombat esti láz (Saturday Night Fever) another group of celebrities developed their dancing skills, the stars had a fine dine in Vacsoracsata (Dinner fight) and were starving from hunger in Celeb vagyok ments ki innen (I’m a celeb(rity) help me outta here). The football EuroCup and the Olympic Games in August had outstanding ratings on the public tv channel m1. The opening ceremony of the olympic games is one of the most watched programs worldwide. Anyway the next Olympic games will be broadcast by commercial channels because according to news in December the International Olympic Committee rejected the offer from the public service TV channels. 3. Miscellaneous news from the TV market In February Hollywood script writers put and end to their 3 months’long strike. -Because of the strike the production of several tv shows and series suffered drawback and the 65th annual Golden Globe award ceremony was cancelled. -There is a vacancy for the presidency of MTV. In spite of many tender calls, the public service TV still has no president. -According to the final decision ORTT (Radio and Television Board) lost a litigation against Viasat3, so Viasat3 is not considered to be a nation-wide broadcast channel therefore it may opt not to prepare a daily news program.
(Axel Springer) appeared with a more elegant, modern style and Kreatív (PPH) with new layout and coloumn structure. In April Családi Lap (Word Communications) came out more dynamic and young-looking while Piac és Profit renewed with new design and a new lifestyle column. In May Autó-Motor (Axel Springer) celebrating its 60th anniversary switched to a more informative and well-structured style while in June hot! Magazine (Ringier) came out with new columns and a fresh layout. In August Metro became Metropol after the store chain Metro won the trademark litigation against the newspaper. The newspaper Metro(pol) celebrated its 10th anniversary in autumn. End of August saw Blikk (Ringier) with new imagery, a more modern and well structured look, and new columns. In September Otthon magazine (Sanoma) transformed completely with a new look, more personal style- and content while in December Nők Lapja Esküvő (Sanoma) switched to a more vital, practical style and Maxima (Sanoma) became a bi-weekly, more voluminous magazine. The list is far from being full, new magazines started as well eg. the bi-monthly Kiskegyed Fitt (Axel Springer) for the health conscious family woman (age group: 25-45) and Piknik from Sanoma which features an assortment of the best articles from the publisher’s products. 6. Renewing websites
4. Switch to digital
Last summer Antenna Hungária Ltd. became the tender winner for digital radio- and television broadcast too. Terrestrial digital television service (MinDig TV) was launched in December from the Budapest, Kabhegy, Szentes transmitting stations providing a coverage of nearly 60 % for homes. For the time being, the price for the necessary receiver equipment (set top box, tuner card, digital tuner TV) is quite high. Without any subscription fee MinDig TV offers Duna TV in HD and Duna II Autonómia in SD quality, an experimental HD broadcast of the programs of m1 and m2. For a subscription fee ATV and HírTV can be watched. In spite of the positive declarations of intent, neither RTL Klub nor TV2 could sign an agreement with Antenna Hungária. Viasat Hungary decided to not yet join the digital club. According to the plans, analogue terrestrial television broadcast will continue until 2012 and radio broadcast will switch to digital by the end of 2014. 5. New and renewing magazines A number of magazines changed their look in 2008. January saw Blikk Nők (Ringier) with a new layout and extended content, in February Gyöngy
It is worth visiting the websites of TV channels, radio stations and those of the press media as one can find a bulk of interesting news items, writings of interest, online services on these regularly updated pages. The wave of renewal also reached the websites, in many cases the online content changed look along with the channel or the magazine but in some cases only the online version received a face-lift or got changed (eg. FigyelőNet, Népszabadság Online, Metropol.hu, Nők Lapja C@fe, Est.hu). 7. News from the radio market
90.9 Jazzy radio celebrated its first anniversary early last year. This station broadcasts different genres of jazz along with business and cultural news. In the end of the year radiocafé 98.6
Media overview 11
renewed both is program structure and its advertisement image putting more emphasis on talk content. According to news in October, Klubrádió gained a new, refreshed image, while Inforádió (broadcasting news in every 15 minutes) underwent a complete renewal. According to a research carried out last year by Szonda Ipsos and Sláger rádió, radio is the most personal medium, it is a companion to listeners who have a strong affiliation to popular radio brands and this exercises positive influence on recalling the advertisements and influences recommendation and purchasing habits as well. 8. Miscellaneous news
Since last year it is possible to target advertisements on Youtube according to country of residence, which means displaying banners
to Hungarian users (OMD was the first media agency to benefit from this option in the course of campaign planning). IAB (Interactive Advertising Bureau) was founded as a sub-part of the Hungarian Advertising Association. IAB’s goal is to help interactive and digital marketing to grow. RMB Hungary finished selling the on-screen surfaces of Palaca Cinemas by the end of 2008. Hence Palace Media is the exclusive vendor for both on-screen and off-screen surfaces. 9. Law on media, Law on advertisement The project for the new law on media was disclosed in November. This project received heavy critics not only because of its concept of the notorious “media police” but also due to the regulations concerning the definition and duties of the so-called “media service provider with determinant power of influence” and the rules on smaller-scale stations. After being restructured by professionals the draft was debated in the parliament again before the holidays. The new draft no longer contains the most debated part concerning the project for replacing the Radio and Television Board with the National Media Authority armed with investigative power, and the definition of “media service provider with determinant power of influence” was also
mitigated. The current version of the draft is displayed on the Parliament’s website: www.parlament.hu/aktual/szakmaitervezet.pdf. A new law on advertisement was adapted and entered into force on 1. September 2008. Under the new regulation there is a heavier control on tobacco advertisements and on direct marketing. 10. Crisis By the end of 2008 the financial crisis had reached Hungary as well with high exchangerate volatility, more severe credit conditions and layoffs. There has been a lot of talks about the causes and the effects of the crisis and about different action plans but it is hard to tell the future. The crisis has serious impact on the advertisers of the financial and automotive sectors, in same cases a certain shift of emphasis took place at the end of the year (eg. in case of banks the emphasis was put on deposit constructions, in the automotive industry it was put on tactical communication) while others prefer to wait. On the other hand, serious cuts in the marketing budget can be very dangerous as competition did not weaken it rather became more fierce recently. Effective, efficient usage of the marketing budget, as well as measurable results will gain even higher priority.
12 OMD Digital
Mobile ads vs SPAM It is beyond doubt that mobile phones are amongst the most personal everyday utility objects. According to a survey, it is the mobile phone that is the fastest object to cause a feeling of “missing it” when somebody fails to bring it with him.
is likely that in the long run every service provider will sell banner advertising services, as it is already the case with agencies who offer this service for the Internet. Vera Bognár Online Senior Media Planner, OMD Digital
Since the penetration level of 100% was passed in Hungary, it is righteous to consider this medium as a fast way to reach masses of people (even in minutes) . This is a very effective tool. Compared to traditional channels advertisers can transfer much more personal messages based on the location, time, phone model, with higher interactivity and precise measurability. Since the penetration level of 100% was passed in Hungary, it is righteous to consider this medium as a fast way to reach masses of people (even in minutes). However, mobile phones have not turned out to be a very powerful medium. Why is that?
Why haven’t mobile phones turned out to be a very powerful medium? There are many explanations for that, but probably the most likely reason is that its strong point constitutes its weakness as well; because this is such a personal tool, the rest of the service providers dare not to deal with it, in fear of scaring off their hard-earned clients. Instead of “Push” type text messages that are sent out to masses, Vodafone introduced Mobile advertisement which means that while using the phone to browse the Internet, banners appear on the WAP pages just as they do in case of the Internet.
That is the reason why it was a courageous step that Vodafone took by opening up this channel to advertisers. In order to avoid public outcry, they used the mobile phones in a clever way as a medium for message transfer. Instead of “Push” type text messages that are sent out to masses, Vodafone introduced Mobile advertisement which means that while using the phone to browse the Internet, banners appear on the WAP pages just as they do in case of the Internet. The first Mobile Advertisement campaign was quite a success. The contents related to the Olympic games and targeted at young men, made the Beiersdorf NIVEA FOR MAN campaign really unique and exciting while not leaving a “spam feeling”. The other two service providers have not entered the market of mobile advertisements yet, but it
The breakthrough has not reached Hungary yet though there is enormous potential in this tool. In the USA where this business is booming 1.4 billion USD was spent on mobile advertisements. According to a forecast by Price Waterhouse Cooper, mobile phone ads will have a tenfold increase by 2011 and by that time it may constitute 5% of the ATL market.
OMD Portrait 13
Interview with Marco Grandi Marco Grandi’s name is well known in media as he has been working in the industry for 20 years in several countries all over Europe (England, Ireland, Ukraine, Russia, Romania, Hungary) Joining OMD he is director of the Vodafone client service team.
He joined OMD to lead the Vodafone team as Client Service Director, after spending 1 year at Publicis Media Group in Moscow as Strategic Media advisor. 15 years experience in Central Eastern Europe on agency, client and media sides (he worked as sales manager for ITV in London, then he started his media career in Hungary at Saatchi & Saatchi in 1993, worked for Zenith later on and left Hungary in 1998 for Romania to become communication manager at Coca-Cola. He ran his own business as media auditor, did trainings and HR consultancy. I am a person who believes in common sense approach. So I would say I am both emotional AND rational. Emotional, radical solutions can work fine as long as they are based on a sustainable, rational strategy.
How did your advertising career start? By the age of 16 a family member who worked in the advertising industry, introduced me to this world. At that time I had ambitions to work as a creative, (I always loved drawing.) I was told that the easiest way of getting a job at an agency is to start with media, so I started with media sales at ITV in London. At the time headhunters offered me my first “agency job”. That is how my media career began in Budapest at Saatchis. What brought you to Hungary and what made you come back here? Saatchi & Saatchi’s offer back in 1993. And a marriage and family kept me here and brought me back. If you would have to pick a media channel, which is your favorite, and why? The Economist Magazine. It is almost the only medium left in the world where I will not be bombarded by the cult of the amateur, or the incidious banality of celebrities. Sorry for the rant! Do you prefer - and believe - in “rational” ways of doing advertising, or being more “emotional”? I am a person who believes in common sense approach. So I would say I am both emotional AND rational. Emotional, radical solutions can work fine as long as they are based on a sustainable, rational strategy. Is Hungary very different from your earlier postings? Hungary is different. Hungary is a small country in a difficult situation, it has not much to offer, but its smart people! In your opinion, what is the biggest challenge the Hungarian telecom companies are facing in the near future? Providing ‘meaningful’ and affordable services that enhance brand position and drive loyalty, whilst the customers minds are focused on value and price.
What is the biggest challenge for media agencies these days? Todays economic situation makes it really hard. On the whole media agencies are expected to be creative and traditional at the same time. The real challenge is to keep up to date with change, especially with cutting edge technological developments, but not to loose sight on classic means. You mentioned drawing and creativity. What happened to those ambitions? I am just getting closer to these, drawing a lot with my kids and expressing myself by other means. I started writing novels.
Some quickies: Speak Hungarian? No Favourite city in Hungary? Esztergom SMS or phone call? / Voice or text? Call / Text Best AND worst thing here? BEST: The size of the country. You can be in and out of the city within 20 minutes WORST: Traffic jam Digital or traditional photo? Digital
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