MxMIndia

Tag: JWT

  • India’s hottest young creative agency Taproot sells 51 per cent stake to Japanese powerhouse Dentsu with an upfront payout of Rs 60 crore

    Dentsu acquires 51% stake in Taproot, Management (&creative) controls stay with Agnello Dias and Santosh Padhi

    By Ravi Balakrishnan

     

    Japanese advertising behemoth Dentsu has acquired a 51% stake in Taproot, arguably the most creative among the Indian independent advertising agencies.

     

    Taproot's Agnello Dias (left) and Santosh Padhi (right) with Rohit Ohri of Dentsu (centre)

    With several of the most popular recent campaigns like ‘Har Ek Friend Zaroori Hota Hai’ and ‘Joh Tera Hai Woh Mera Hai’ for Airtel and ‘Change the Game’ for Pepsi under its belt, the five year old agency has seen a meteoric rise. It’s also won critical acclaim; the most recent being a Gold Lion at Cannes along with Ramesh Deo Productions for the ‘I Am Mumbai’ film for Mumbai Mirror, a newspaper from the Times Group, which also publishes The Economic Time

     

    The managements at both Dentsu and Taproot declined to discuss the financial aspects of the arrangement. Industry observers estimate the initial upfront payout at Rs 60 crore with another Rs 80 crore expected in future earn-outs

     

    In a global deal in July, Dentsu had paid $4.9 billion for British media buying group Aegis, valuing the company at 12 times its earnings before interest, taxes, depreciation & amortisation.

     

    The Economic Times had reported in June that Dentsu among other agency groups was speaking to Taproot about a possible acquisition. Says Rohit Ohri, executive chairman, Dentsu India group, who has previously worked with one of Taproot’s founders Agnello Dias at JWT: “They (Taproot’s co-founders & chief creative officers, Dias and Santosh Padhi) could have chosen anyone. What convinced them about Dentsu is that we are very entrepreneurial and evolving; and more willing to look at out of the box ways of working.”

     

    Adds Dias: “We felt it was the right thing to do. Of all the conversations we had, we felt most comfortable with the equation we were sharing with Dentsu. Another reason cited is Dentsu’s global strengths in the digital medium and that it is currently the leading network in Asia.

     

    Taproot will retain its identity and won’t be rebranded. Although Dentsu is a majority owner, management control of the agency continues to rest with Dias and Padhi. Dias says, “In terms of changes, there’s nothing in the pipeline. I think even Dentsu is saying ‘why should we upset a system that’s doing so well’?”

     

    What the arrangement brings Taproot is integrated communication, superior execution abilities and a national network. As far as Dentsu is concerned, Taproot, says Ohri, “is really the creative firepower we needed in the group.” However, the firepower is not likely to be immediately applied to any of Dentsu’s current client relationships.

     

    Both partners believe that Taproot will step in only when needed “on a case by case basis” according to Padhi. Interestingly enough, two of Taproot’s most productive client relationships have been with Airtel and Pepsi, brands that Ohri worked on in a previous stint at JWT. Ohri regards this as “a great bonus”, but he cites the talent of the two principals at Taproot and the chemistry with senior management at Dentsu as the main reasons for the merger.

     

    Among a spate of recently launched creative-led independent agencies which include Creativeland Asia and Scarecrow Communications, Taproot has arguably been the most successful with several marquee campaigns to its name for Airtel, Pepsi and The Times Group.

     

    The agency was founded in 2008 when Dias (then national creative director at JWT) decided to join forces with former colleague Santosh Padhi (executive creative director at Leo Burnett at the time). The 33 person strong agency has been particularly successful in wresting business from Dias’ former employer JWT, landing prestigious assignments from Pepsi and Airtel.

     

     

     

    Source:The Economic Times

    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

  • As marketers take the digital route, it's appears to be the best of times for digital agencies

    @dvantage Digital

     

    By Ravi Balakrishnan

     

    Never mind the famous introduction to Charles Dickens’ A Tale Of Two Cities; digital agencies today can afford to stop at ‘It was the best of times.’ Because, there has been no better time to be in this space. For one, marketers no longer need to be coaxed into going the digital route. Also unlike mainstream advertising, almost every new campaign or assignment has the scope for interesting, maybe even ground-breaking work; considering best practices are yet to be carved in stone. And finally it makes a lot of business sense. Through 2012, independents in this space both in India and overseas are being picked at a rapid clip and the people doing the picking are some of the biggest names in the marketing communications industry.

     

    The one player that’s yet to announce a key purchase so far, Omnicom, is said to be keenly watching the Indian market, with a representative visiting practically every month. An industry insider is confident of at least three more acquisitions being announced before the year is through.

     

    Amar Deep Singh

    Not bad at all considering that many of today’s hottest targets started life a little over a decade ago, as a ragtag bunch of entrepreneur driven specialist shops. Many of them began either before, during or immediately after the great dotcom bust of 2000. It seemed a quixotic endeavour. Through the early years, most mainstream advertising and media agencies opted to ignore the space entirely. Says Amar Deep Singh, CEO, Interactive Avenues, “Traditional agencies missed the bus while advertisers saw value in using digital media. They now find it easier to buy than to build. It’s a win-win for both, because it gives traditional agencies digital expertise and it helps digital agencies get scale.”

     

    Today, even as ‘old’ shops like Indigo Consulting and Hungama Digital Services get picked up by the likes of Leo Burnett and JWT, agencies and their holding companies are casting the net wider. While Ignitee which has survived two name changes and 12 years in the business is an obvious choice, even the three and a half year old 22 Feet which has worked on Titan Fastrack, Kingfisher and Lenovo is being approached. Brijesh Jacob, founder and director of 22 Feet, admits, “Every offer is tempting because it’s either an agency you adored growing up or someone that’s done awesome work.”

     

    CVL Srinivas

    In the fray are creative and media agencies, larger digital shops, holding companies and even IT firms. But among the first two, there’s a rivalry that’s as old as the days of unbundling. They have squabbled over who gets more face time with marketers and more recently over credits at award shows. And now, many senior practitioners on both sides are convinced that their firms are quite literally the best support system for a digital shop.

     

    Media agency heads often argue that considering digital is a measurable, accountable, result driven medium, what better partner than a business that concerns itself daily with these very issues? Says CVL Srinivas, chairman, SMG, “Media agencies are ahead of the curve when it comes to digital. We hear this from clients and not just agencies.” Sudha Natrajan, founder of media consultancy, TMC and a veteran of Lintas Initiative Media believes, “The lines between creative and content, and analytics to chase, understand and convert consumers, do not exist. The talent and understanding in a media agency is more apt to capitalise on this, rather than a creative agency. Creative agencies have stopped understanding media a while ago; some are making a feeble attempt to understand the digital medium, but are failing.”

     

    Sudha Natrajan

    The creative agencies on the other hand argue that in the absence of ideas and content, there’s unlikely to be any consumer response worth measuring. Says Arvind Sharma, chairman and CEO, India subcontinent, Leo Burnett, “Agencies produce TV commercials and hand these over to media agencies who release them. But if you need to manage content on a live basis, just handing it over is not the future.” He believes media agencies can possibly work only in the short run and on specific clients where the communication is less dynamic.

     

    Mr Sharma counters the media agency claim about being result driven with, “Human beings are persuaded by content. In a simple thing like door-to-door retail, change the message and the productivity levels are up from 20% to 80%. Around the world, who are the bigger winners of Effies, creative or media?” Madhukar Kamath, group CEO and managing director, DDB Mudra says a tad philosophically, “I disagree with the point of view saying either digital or activation should rest with a creative or media agency. It resides with whoever thinks like a full service agency; addressing brand issues.”

     

    Arvind Sharma

    While pretty much everyone is speaking (or has spoken to) everyone else, a pattern is emerging where the more content and social media driven digital agencies find a space within a creative network and the more result and search engine optimisation focused shops opt for media companies.

     

    It’s an arrangement that Atul Hegde, CEO, Ignitee finds essentially flawed: “They should be doing the opposite. Why shouldn’t a media agency acquire a strong creatively led agency? It will bring completely varied skill sets.” Some digital heads claim they don’t have a dog in the fight between creative and media. This is especially true since it’s quite impossible to go in for unbundling in digital. Says Chhaya Balachandran Aiyer, founder and managing director, BC Webwise, “It will have to be pure play; agencies are okay either continuing independently or merging with an existing digital arm.”

     

    Atul Hegde

    The agencies themselves have earned the right to be spoken to on their own terms. The offers are a lot less diffused than they used to be. While previous conversations were primarily about money, these days, companies attempt with varying degrees of success to draw a roadmap. And given how digital firms have grown in size and scale and the frequent inability of the acquirers getting richer, the founders can take pride in their creations continuing to exist as standalone brands for the foreseeable future.

     

    Says Vikas Tandon, CEO of Indigo Consulting, “Being part of Leo Burnett gives us a chance to be at the table when a strategy is formulated at the top management level.” And yet he argues, “It would be foolish to not leverage the equity of Indigo.”

     

    Chhaya Balachandran Aiyer

    Gulrez Alam, COO, Resultrix says “We are the leading buyer of Google in India and Performics is the biggest buyer of Google worldwide. We will be representing Performics in India.” However the name remains unchanged even post merger with the Publicis Groupe firm – Alam says the only addition will be the line ‘a Performics company.’

     

    There are others who have been in conversations for years and are yet to hear anything they really like. Mr Hegde admits, “There have been no compelling offers; no network that can add value to our growth plans. Being independent is our strength today, allowing us to work across agencies and brands. One of the biggest things about acquisitions is someone comes to you for what you are. Once they acquire you, they try to make you who they are.”

     

    Vikas Tandon

    Besides, there’s a bit of scepticism about what value an acquisition really brings to the table. An industry insider believes Webchutney is pretty much unchanged and the same applies to Quasar. For the moment though, it sure feels good to be wanted. And digital agencies with their PC, Mac and Tab saturated offices, internet meme based humour and boisterous geeky staff are the unlikely belles of the ball.

     

    Source: The Economic Times

    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • He will be handling the Airtel account nationally as the ECD and also partner Bobby Pawar on Special Projects

    Nitin Pradhan to join JWT Delhi as ECD

    By Tuhina Anand

     

    Nitin Pradhan is slated to join as the Executive Creative Director (ECD) at JWT in Delhi. He will be handling the Airtel account nationally as the ECD and also partner Bobby Pawar on Special Projects. Mr Pradhan moves from McCann Erickson where he was an ECD. He will be assuming his new position on August 27.

     

    The development was confirmed by Bobby Pawar, Chief Creative Officer and Managing Partner, JWT India: “Nitin coming on board is part of our beefing up our creative team. He is known for his creative prowess and will work with me closely on many special projects besides handling the Airtel business.”

     

    Mr Pradhan has earlier worked with Leo Burnett, Ogilvy Mumbai and Mudra.

     

  • Aegis' acquisition of Communicate 2 is part of a series of M&As in the Indian digital media space

    Another win-win digital equation

     

    By Johnson Napier and Robin Thomas

     

    ‘By 2015, we want to be the top 3 player in every single sphere we operate in’
     

    What led you to shortlist Communicate2 as the partner of choice?

    Communicate2 is one of the largest and oldest firms in the area of search & performance marketing in India. Vivek Bhargava, as you’d know, is considered to be the guru of search inIndia. He is also one of the guys to be Google-certified and has been in this business since 1997 – a time when the internet and search was in its absolute infancy. In our view, nobody else managed the quality and scale of the business that he has built up, and therefore he was a preferred partner of choice.

     

    The other important reason for choosing Communicate2 was chemistry – Aegis Media has a certain vision and value outlook which is very close to our heart and Communicate2 seemed to have gelled very well with those attributes. There was a lot of comfort on both sides. So these were some of the key reasons for us to choose Communicate2.

     

    Will you be laying enhanced emphasis on Search with the current acquisition…

    The focus is on search because it is one of the fastest growing parts of our business. Clearly, Communiacte2 is the biggest player in the space and now with iProspect and Communicate2 together, we are straight away the number one player of search in India. So that’s how it is placed as of now.

     

    How long has it been since you have been pursuing Communicate2? Did you scan the market for other potential candidates?

    We were working with them about 4-5 years ago, but nothing more came out of that deal. This recent move has been in the works for a few months. Also, we did scan the market as anybody else would and we did have a few names that we shortlisted and we narrowed down to Communicate2.

     

    The deal seems heavy on the investments front. Would you share with us the monetary plans you engaged in towards snapping the agency?

    An agency that is the oldest and has a workforce of more than 130 people is not going to sell out cheap. I cannot disclose the amounts behind the deal, but I can say that it has been fairly priced.

     

    The market has been abuzz with news of big communication houses buying out specialist digital agencies in the recent past. What would you infer of this trend that everybody is taking a liking to?

    I cannot comment about others, but there is a clear strategy that Aegis Media believes in and that is by 2015, we want to be the top three player in every single sphere that we operate in – be it out-of-home, search or digital. As part of our strategy to be in the top 3, the best way of getting there was by partnering with Communicate2 because their expertise, their client base and their search professionals coupled with the iProspect tools and knowledge would be an unbeatable combination.

     

    In an acquisition it is very important that you have to see how the acquisition fits with the plans of your company. So the task of integration becomes key, which is why the quality and type of people and the chemistry become important. So companies that are blindly going out and buying companies will fall flat on their face, but those who are able to acquire and integrate companies and have a great bond with the partners will be successful in the long run.

     

    Globally, digital contributes more than 35 per cent for Aegis Media. What is it that you anticipate from the Indian market post the acquisition of Communicate2?

    We are looking at being the clear No 1. Globally, iProspect is the world’s largest search network, and in India we now become No 1 with this venture. But we want to be No 1 by a long distance. We want to be double the size of the No 2 guy in a few years.

     

    What are the immediate changes that will be seen on ground?

    There is a new office that we are in the process of doing up in Mumbai; their staff will be moving into that new place soon. Likewise the Delhi team too would be amalgamated in our office. With this the entire Aegis Media clients will have benefits from Communicate2 and vice-versa.

     

    As for people, Vivek will be the MD of the new venture. He already has a management team. Of course, as growth happens we will keep recruiting more people. All other aspects remain the same.

     

    The announcement comes just weeks after Dentsu acquired a stake in Aegis Media. Has this deal been inspired from that takeover…

    These things do not happen overnight; it has been ongoing much before that. The two are not related.

     

    Future plans from Aegis Media…

    As I said, we will be the top 3 player in every space that we operate in. In some instances we will do that organically, in others we will do that inorganically – provided we get a good partner. We are not on the lookout as of now but if any new opportunity does come up we will not be turning a blind eye to that.

    No doubt people would talk about the number of medals won and the records that were broken in Olympics 2012; but what it will be most remembered for is the use of digital media, particularly social media. All of the Olympics events are being streamed live on YouTube for the first time; there has been an increase in the number of Facebook users and Twitter accounts and one can even get live news updates online. Even Google has been putting up doodles on its home page, giving users information and updates on the Olympic sport of the day. These are just few signs that digital has arrived.

     

    The past few months have witnessed quite a few mergers and acquisitions in the digital space. Standalone digital agencies, particularly those with over four years of existence, are being acquired by larger advertising networks. Only recently Publicis Groupe has announced the acquisition of Resultrix, a digital marketing agency, with the aim of strengthening Publicis Groupe’s presence in India as well as its digital dominance. Prior to this, JWT, one of the leading advertising agency acquired a majority stake in Hungama Digital Services, the digital and promotions marketing division of Hungama Digital Media Entertainment. Also recently Gruner + Jahr, the publishing division of European media conglomerate Bertelsmann AG, acquired a majority stake in Network play,India’s digital ad network company.

     

    On August 09, the media and digital communications group Aegis Group plc (“Aegis”) announced that it has acquired Communicate 2, a performance marketing and search agency in India.  With this acquisition, Aegis Media becomes one of the strongest agencies in the digital space in India. Communicate 2  will be merged into iProspect India’s existing operations; strengthening its network in key cities across India and providing additional service capabilities for its clients.

     

    Speaking to MxMIndia about his views on the increasing trend of big communication houses buying standalone or specialist digital agencies, Mr Ashish Bhasin, Chairman India & CEO South East Asia, Aegis Media said: “I cannot comment about others, but there is a clear strategy that Aegis Media believes in and that is by 2015, we want to be the top three player in every single sphere that we operate in – be it out-of-home, search or digital. As part of our strategy to be in the top 3, the best way of getting there was by partnering with Communicate2 because their expertise, their client base and their search professionals coupled with the iProspect tools and knowledge would be an unbeatable combination.”

     

    “In an acquisition it is very important that you have to see how the acquisition fits with the plans of your company. So the task of integration becomes key, which is why the quality and type of people and the chemistry become important. So companies that are blindly going out and buying companies will fall flat on their face, but those who are able to acquire and integrate companies and have a great bond with the partners will be successful in the long run,” he added.

     

    Mr Vivek Bhargava, Managing Director, Communicate 2 was of the view that these are signs that digital media has arrived and that even brands have accepted this reality. “Digital marketing in India has now arrived. More promoters and senior management people now believe that digital is a very critical part of their marketing endeavour. So they are spending a lot of time around the medium. About 3-4 years ago we were talking about digital being the future and today digital is now considered as present. Earlier digital used to attract a small budget from marketers, but now they position it as their first priority and question whether they need conventional media or not.Mobilehas given digital three times the reach of television. So I believe digital is going to be the dominant medium in the future.”

     

    MxMIndia also spoke to a few industry players to gauge their take on the recent mergers and acquisitions in the digital space, especially Aegis Media acquiring Communicate2′.

     

    Anurag Gupta

    According to Mr Anurag Gupta, MD, DGM India, it is a win-win situation for Aegis Media and Communicate 2: “Vivek Bhargava has done well for himself, he has created a fairly good outfit and the testimony for this is the fact that it has been acquired. This is a good sign. I believe that this trend will continue – most of the standalone digital agencies will get merged with larger offline agencies. Both search and performance advertising are growing robustly. In fact, a completely new category in digital has emerged in the past one and half years – e-commerce business. They are doing a lot of search and performance advertising, so there is lot of growth.”

     

    Mr Amardeep Singh, Co-Founder and CEO, Interactive Avenues was also of the view that the Aegis acquiring Communicate2 is a win-win situation: “I believe it is a good move for both Aegis Media and Communicate2, as this kind of transaction will help Communicate2 to scale from where they are currently placed. It doesn’t matter whether an agency is part of, or not part of, a larger advertising networking, if it continues to operate as an independent agency despite being owned by a larger network then it retains its identity. Typically, a specialist agency is able to provide a holistic solution to the clients and everything happens in-house for them. What happens is that when an agency offers an offline as well as online service, the focus on digital is lost. A standalone digital agency is able to give its clients that much more focus than an agency which offers both offline and online services.”

     

    So, while the Aegis Media acquiring Communicate 2 is seen as a win-win situation by industry players, it is also believed that this is just the beginning in the digital space.

     

    ‘It was a meeting of the best minds of the world’
     

    The buzz was that you were being hounded by most big communication players in the market for a takeover and now you’ve finally given in to Aegis Media. How would you describe the takeover journey?

    We had the opportunity to talk to every single large player and we found that the way the market is growing, there is going to be a lot of technology components required in it and iProspect globally has the best technology in the world. Also, we are a very dominant agency as far as search and performance marketing is concerned in India while iProspect was the world’s largest search company, so it was a meeting of the best minds of the world. The digital market in India has matured to the level where clients are looking for the best in the world and we felt that with the expertise that iProspect had to offer, it was a perfect solution to offer to our partners. And we endeavour to take decisions for our partners as much as it helps us.

     

    What is your view on big communication players showing sudden interest in digital in India?

    Digital marketing in India has now arrived. More promoters and senior management people now believe that digital is a very critical part of their marketing endeavour. So they are spending a lot of time around the medium. About 3-4 years ago we were talking about digital being the future and today digital is now considered as present. Earlier digital used to attract a small budget from marketers, but now they position it as their first priority and question whether they need conventional media or not.Mobilehas given digital three times the reach of television. So I believe digital is going to be the dominant medium in the future.

     

    What is the value that you’d be leveraging from this partnership?

    Globally if you see, there are clients like GM, Nokia, Philips and others who have operations in 60-70 countries and they are aligned with Aegis Media. I see tremendous opportunities there. As for us, we are a 140-people agency which makes us the largest digital agency in the country. So with the clients we have and with the kind of team we have in the enterprise sector, I see it as a perfect marriage of the two. I see tremendous value in the venture.

     

    How have clients responded to this move of yours?

    I had spoken to clients even before this venture and they seemed pretty positive about it. Also there is no change as such in the team and talent, so there was a comfort level there. Generally they are happy with the merger.

     

    Do you see the gap between digital and advertising being bridged?

    If you ask me the demarcation between digital and conventional media will probably go away. This is going to be an advertising agency and digital is going to be an integral part of the advertising medium, probably the largest. Demarcation is something that we have created for ourselves but it is about giving out advertising solutions.

     
  • The MD and CEO, Hungama Digital Media Entertainment Pvt. Ltd speaks about MOBisur, the efforts put into it, about Hungama Digital Services post JWT acquiring a majority stake, his focus for the company in the next two years and much more

    Mobile on voice is where middle India really is: Neeraj Roy

    Hungama Digital Media, along with singer and music composer Shankar Mahadevan, recently launched MOBisur – touted as India’s first digital talent hunt property. Taking time from the launch, Neeraj Roy, MD and CEO, Hungama Digital Media Entertainment Pvt. Ltd. spoke at length with MxMIndia about this new brand property, the efforts put into it, and also about Hungama Digital Services post JWT acquiring a majority stake, his focus for the company in the next two years and much more.

     

    You say that it has taken nearly a year to conceptualize the entire brand property – MOBIsur. Can you share with us the efforts that went into building this property, how it all started, and the kind of research you may have undertaken and so on?

    This idea was conceptualized nearly three years ago by my colleague Anuj Bajpai who heads our voice business. As we moved into it, we realized the complexities, but at Hungama, we have a very deep rooted understanding about both consumers (because we have a lot of large consumer properties, which are all digital), and at the same time, we understand digital content. However, we still felt that something was missing and that’s where Shankar Mahadevan and his team came in because it was important that we run past them what we are thinking.

     

    Do you have a dedicated team working on this initiative…?

    Yes! It is driven by a voice team, but we have leveraged the entire group’s assets because there is a web interface aspect to it, there is a social media aspect because for any new service we launch, there is always a core product team. Once the product is approved and has a go-to market strategy at that stage, it moves from the product team to the operations team, which will then run this and ensure that it has momentum.

     

    Hungama launches digital talent hunt MOBIsur
     

    The mobile medium in the last many years have grown significantly, especially with 3G and now 4G coming in, there is great expectations from this medium. As wireless subscriptions continue to grow, billions of apps continue to be downloaded worldwide and India said to have the second largest mobile subscribers in the world.

     

    Taking into account the growing popularity of the digital medium, ITC’s Vivel FaceWash, along with Hungama Digital Media Entertainment Pvt. Ltd. and musician Shankar Mahadevan has launched ‘India’s first digital talent hunt’ – MOBisur.

     

    Mr Neeraj Roy, MD and CEO, Hungama Digital Media Entertainment Pvt. Ltd. said: “The reach of Internet and Mobiletechnology has grown tremendously in the past few years. The aim of MOBisur is to create a talent-scouting engine in spaces that haven’t been explored in the past, via an entry ticket that is their everyday communication device.”

     

    This unique mobile- and internet-based talent hunt promises to give every Indian an opportunity to prove their singing talent. The property was launched by Shankar Mahadevan, Nilanjan Mukherjee, Head of Marketing, Personal Care Products Business, ITC Ltd; Bhushan Kumar, MD, T-Series and Neeraj Roy, MD and CEO Hungama Digital Media Entertainment in Mumbai on July 13. T-Series is the official music partner for the property, which elevates the talent hunt to an even higher platform.

     

    Mr Bhushan Kumar, MD, T-Series, said: “It gives us immense pleasure to be able to bring new talent in to the industry. As a music label, we are always looking for fresh talent and with a truly digital talent hunt; we have access to talent across the country. We are looking forward to releasing an album composed by Shankar Mahadevan for the winner of the hunt”.

     

    The entries for the digital talent hunt, MOBIsur is said to continue for the next 45 days and the duration of the property will be for three months. The marketing budget is pegged at Rs3-4 crore.

     

    Mr Nilanjan Mukherjee, Head of Marketing, Personal Care Products Business, ITC, said: “Vivel FaceWashis delighted to present Mobisur, an exciting and innovative platform to discover hidden musical talent. Vivel Face Wash MOBisur, in line with this brand philosophy provides a unique opportunity to aspirants to live their musical dreams.”

     

    5,000 talented female participants selected from entries submitted on the Vivel Facebook page www.facebook.com/itcvivel will make it to the second round.

     

    The contestants who clear the first stage of the auditions will be given specific tasks by Shankar Mahadevan, who said: “When I conceptualised this property with Hungama, the thought was to give every Indian an opportunity to participate in a unique contest to try and reach the pinnacle of musical genius. Music is a powerful medium that can come from the most unexpected places.”

     

    Based on their performance in the tasks and the votes secured for each task, they will be chosen for the next round. There are three tasks in all and after clearing all three tasks the contestants make it to the final round, which is the On-Stage Performance. Ten finalists will be chosen to perform in front of Shankar Mahadevan and two other prominent personalities, where the final two winners will be announced.

    How different will the user experience be for mobile and internet users?

    In internet, there have been initiatives of this nature – they have been done in the past. Over the years, even the mainstream entities that do reality shows have created web interfaces for people to upload and so on. We are, in fact, going to be unveiling a lot of newer applications which will have stronger internet experience to it. So we have innovated on that front, knowing fully well that as a process it has been done. On the other hand, this was never done on mobile. In fact, mobile on voice is where middle India is, in reality. We needed to build this property and we had our limitations in terms of what we can do and not get cumbersome. At the same time, I needed to capture certain amount of information data to be ethically appropriate in the whole process. Overall, we have balanced it well and we are happy with the product.

     

    What about the duration of MOBIsur and its timeline and so on?

    There will be three different phases. The entries will go on for the next 45 days, wherein it is all about reaching out and getting as many people to participate. Then it goes through zonal rounds, which will then culminate into final round. The entire property is on, however, for three months. We didn’t think that we ought to have a real world angle to it in terms of going on-air and so on, but the way it is panning out, we might even consider that as the response has been very positive.

     

    Tell us about your marketing activities planned around MOBIsur?

    There is a fivefold approach to marketing. First, it starts with announcing the initiative through media and we then backed it up with a television campaign. Hungama has about 20 million consumers on the internet which are accessing our media properties, and we will obviously actively promote it there. We have also have 3.5 million social media community and we will promote it there as well. The most vibrant community is going to be the telco-ecosystem – one of the most unique thing we have done – because it is a universal number. We want every one of the telcos to take ownership of this as their own activity event/ product and that will be the one that will give us the maximum reach.

     

    Television promotion will be across channels, a lot of them music channels. Overall, my sense is that we should be putting in about Rs3 to 4 crore across mediums, in terms of the entire activations programmes, but a lot of that focus will be in areas where there is direct call to action. So don’t expect that skew to be driven completely by television, we will in fact do a lot more on digital and mobile mediums.

     

    Now, post JWT acquiring majority stake in Hungama Digital Services, what changes have taken place, especially on internal developments?

    JWT now has a 51 per cent stake in our business. There has been absolutely no change operationally, as it is the same team that runs the business, we are operating out of the same premises, we are handling the same clients. Clearly, over a period of time, we hope to be able to tap into and grow, leveraging their network onto other areas as well but, as of now it is business as usual.

     

    What about expansion plans into newer cities, any new verticals in the Digital Services business?

    Expansion is an ongoing process for us, the big focus is going to be to try and do as much of digital and physical promotional activations. The second area we are looking a little bit closely are trade-based marketing activations, which is the new area of growth for us.

     

    What are your views on India’s drawing a blank in digital at the Cannes? Does digital creativity lack steam in India?

    In fact, it is just the beginning in India, I think in the each passing quarter, you will find more focus on digital from both mainstream agencies as well as from brands. There are times when you have a good year or not so good ones, it’s alright.

     

    What are your plans for Hungama Digital Services in the next one or two year time?

    Our first objective is to make the new entity fully integrated; to align ourselves in certain manner and ensure that appropriate synergies are brought about. Our objective is to ensure that our existing clients benefit from a wider, more global network that exists for them. The third objective is that the team, about 120 people who’ve moved there, feel a renewed sense of enthusiasm and energy towards creativity. All of this has to happen in the current fiscal, then we gauge how do we scale this and go forward.

     

  • Four leading media agency heads pick their top print ads of last year… in an extract from Dainik Bhaskar's Mosaic 2011

    The Best of Print Ads – 2011

     

    By A Correspondent

     

    You may have seen only a few of them and probably even forgotten the underlying message that the campaigns had to tell. But now you could make a dash to have a hard copy of MOSAIC, a compilation of the Best in Print (campaigns) to have hit India n shores in 2011. The compilation has been put together by 23 creative agencies who have submitted their best pieces of work for the category in 2011. Conceptualised by Sanjeev Kotnala and team from the Dainik Bhaskar Group, the initiative has been made special through the “insights” and “personal favourite” sections that have been provided by Media agency bosses. These include Lynn de Souza of Lintas Media Group, Mallikarjun CR, CEO, Starcom MediaVest Group, PM Balakrishna, Chief Operating Ofiicer, Allied Media and Punitha Arumugam, Director – Agency Business, Google India.

     

     

    Lynn de Souza, Chairman and CEO, Lintas Media Group, Chairman, Aaren Initiative and Director, Karishma Initiative

    “An excellent idea to recreate interest and remind all about the power and impact of the print medium. My only reservation is that there were too many submissions of ‘pretty pictures-pithy headlines’ work that may or may not have been published and did not appear to fully grasp how the medium must be used effectively.”

     

    TOP 5 Choices:

     

     

     

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    1) DNA – ISKCON (Scarecrow India)

    Reasons for choosing: The intelligent use of the cigarette-turned-food visual immediately targets the smoker and invites him/her to contribute in a very simple way to a cause that benefits both beneficiary and the giver – something not easy to achieve. I like the simple, clean look of the ad and the directness of the headline and copy.

     

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    2) Flying machine “What an Ass” (Lowe)

    Reasons for choosing: This is my idea of perfect ad! One that has used all the elements of the print medium – headline, visual, copy to present a bold, modern attitude through a perfectly harmonised contribution of all three. It’s an unmissable ad whether you are a guy or a gal.

     

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    3) Parker – Ramnath Goenka Excellence in Journalism Awards (Lowe)

    Reasons for choosing: A stark headline supported by the simple bottle of ink that says it all. An attention grabbing reminder of the power of the pen to influence the world. Perfect synergy for the subject – Journalism awards and the ‘always memorable’ image of a gold Parker fountain pen.

     

     

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    4) The Times of India – A day in the Life of India (Taproot India)

    Reasons for choosing: Fantastic art direction – great visual appeal that hooks you into reading the whole ad. The contemporary feel, using India n kitsch, with attention to detail, is riveting. (Check out the dog lifting his leg to pee on the bed of nails!) Bright, colourful, crowded yet not messy. I could read it again and again!

     

     

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    5) Vaseline ‘Dear Mr. Vaughan’ (BBH India)

    Reasons for choosing: The kind of ad that every Creative Director who woke up to it that morning would have said: “I wish I had written this”. There are some things you can do impactfully in a topical yet ‘permanent’ medium like print that you can’t do anywhere else, and this ad fits the bill. Nose-thumbingly outstanding!

     

     

    Mallikarjun CR, CEO, Starcom MediaVest Group

    “This is a fantastic initiative. As media agency professionals, our lenses to view the world are different. However, what comes across is that great creative work is universal. Really enjoyed it.”

     

     

     

    TOP 5 Choices:

     

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    1) Audi – World Cup (Creativeland Asia)

    Reasons for choosing: Great connect with the Champion’s Trophy ’85 win. Most of the target audience that can buy an Audi will connect immediately with that moment. For a lot of us India ns, that was the first moment of connect with Audi.

     

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    2) DNA ISKCON Food Relief Foundation (Scarecrow)

    Reasons for choosing: A nice calculus linking smoking to food relief. Very innovative, eye catching visuals.

     

     

     

     

     

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    3) Indigo Campaign (Weiden+Kennedy)

    Reasons for choosing: Stark, consistent visuals. The colours, space everything reflects the qualities of the airlines. Nice word play that grabs your attention and makes you read the copy. The reference to price is as value and not cheap.

     

     

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    4) Nissan Micra (TBWA\ India)

    Reasons for choosing: Simple stark visuals. Driving home the relevance of a small car without talking price, affordability etc. Great, understated use of a celebrity.

     

     

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    Reasons for choosing: Great expedient use of Michael Vaughan’s comment. Superb cut through and great visuals.

     

     

    PM Balakrishna, Chief Operating Ofiicer, Allied Media

    “I think this is a wonderful initiative and exposes the fantastic creativity. It is a very different platform as it is more an appreciation of great work rather than a competition as I believe each creative is great on its own.”

     

     

     

    TOP 5 Choices:

     

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    1) Bajaj Fans (Leo Burnett)

    Reasons for choosing: The best part of this creative is the way it has integrated everyday common issues and weaved them into the core communication of the product. The creative is also very well crafted visually using the very cause of the product making it very effective.

     

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    2) Birla Cellulose (Salt Brand Solutions)

    Reasons for choosing: The sheer aesthetic treatment to the communication draws you and I like the beautiful and colourful way the creative has used nature and the human body (woman). It brings out the environmental friendly nature of the product in a very soft and appealing manner.

     

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    3)Fuji(Grey)

    Reasons for choosing: Colour and background are intrinsic material for any great creative and nothing better than drawing inspiration from Mother Nature and wildlife. The beautiful use of the animals brings the message home effectively and creatively and connects with any photographer or photo enthusiast.

     

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    4)NipponPaints (JWT)

    Reasons for choosing: They say a great picture is worth a thousand words and the effect is breathtaking when it is beautifully woven into the message making the communication very compelling and effective. In this case the product USP, a central factor in the category has been brought home very beautifully for correct impact.

     

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    5) Zee 24 Taas (Draftfcb Ulka)

    Reasons for choosing: Ganpati Bappa has a significant connect with the India n diaspora and especially with Maharashtrians who revere the elephant God. I like the way the creative has beautifully engaged the viewers in an innovative and personal manner and makes it unique and different.

     

    Punitha Arumugam, Director – Agency Business, Google India

     

    “This initiative continues the long tradition of Dainik Bhaskar – breaking boundaries and setting new trends in the industry.”

     

     

     

     

     

    TOP 5 Choices:

     

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    1) DNA Mumbai Marathon (Scarecrow)

    Reasons for choosing: The power of long copy. It brings back memories of the old era, which was marked by a great headline and the power of long copy. It inspires and bonds with its audience.

     

     

     

     

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    2) Murphy Richards epilators (Contract)

    Reasons for choosing: The power of a picture. The visual intrigues, makes you pause, demonstrates the benefit and brings a smile – all this without a single word.

     

     

     

     

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    3) MTR Spicy Pickle (Ogilvy)

    Reasons for choosing: The power of insight. A true South India n like me will see this ad and can only say “How true!” Equating spicy with ‘tears’, the way the ad captures the cultural nuances – awesome!

     

     

     

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    4) Parker – Ramnath Goenka Excellence in Journalism Awards (Lowe)

    Reasons for choosing: The power of words. While most entries used the power of the picture, this ad stands out because it uses print for what it does best – leverage the power of words and intriguing headlines.

     

     

     

     

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    5) Saffola Healthy Heart (McCann)

    Reasons for choosing: The power of an innovation. A great collaboration between the creative agency, the brand team, the media agency and the publication to convey the brand message interestingly and inclusively so as to trigger an action from the reader.
    Best of Print in Dainik Bhaskar Group’s MOSAIC
     

    Some may see India’s performance of bagging just four Press Lions at Cannes out of the 30 that were shortlisted as a drab effort, but then there are some who would like to think of it as being otherwise. After all, Press Lions as a category managed to get India its largest tally of four metals versus any other category at the awards – a valiant effort considering that India finished 2012 with just 14 metals in its kitty.

     

    While the category may have received its fair share of fame at the pinnacle of creative awards, many would agree that Indian adland has failed to laud the finesse that stems out from Print creatives over the years. While such is not the case in some large international markets where creative works across categories gets noticed and rewarded that gesture seems to be missing when it comes to India. Luckily for the creative frat in India, an opportunity to showcase their best works – besides the awards shows – were given a fillip by the Dainik Bhaskar Group that released the first of its kind creative compilation of the finest works produced in Print in the form of MOSAIC 2011.

     

     

    Elaborating on the initiative, Sanjeev Kotnala, VP & National Head, Dainik Bhaskar Group said, “This has been a first year for MOSAIC, which is a rich collection of 150 creative units part of 77 campaigns that have been submitted by 23 agencies.” The creative showcase has been made special through some individual comments and insights that have been posted by creative leaders of individual agencies.

     

    Elaborating on the thought process behind the compilation, Mr Kotnala said: “As a group, we believe that the Indian creative across mediums and media is of international standards, in its thinking, relevance and in its execution. Unfortunately there has been no single reference point for the same. MOSAIC bridges this gap and we would want it to be referred by the creative, clients, media and trade.”

     

    As for the method that was adopted in getting the agencies to submit their campaigns, Mr Kotnala said that it began with Dainik Bhaskar requesting the creative heads at the agency to send their best Print work. “They know better than us – as by placing it in MOSAIC affirms it to be their best work. Though we did have constraints on the number of campaigns we could place in Mosaic from a single agency. This has all been a by-invitation. On the other side, there were few agencies that sent lesser number of creative units as they felt others were not up to the standard to feature in such a compilation. So it was created and evaluated by the creative teams themselves.”

     

    On how print has evolved over the years as a medium, Mr Kotnala said: “Today print ads are working on all fronts of communication. They are not just for the purpose of awareness building or as a source of providing tactical information; they engage and involve the readers and are very result-oriented in their approach. We always held that the idea is more important than the medium. And it will automatically find its right medium for better efficiencies and effectively delivery of the message.”

     

    In fact, the compilation has been made special with the involvement of four media agency heads who’ve provided their assessment of the campaigns. They include Lynn De Souza, Chairman and CEO, Lintas Media Group, Chairman, Aaaren Inititative and Director, Karshma Initiative; Mallikarjun CR, CEO, Starcom Mediavest Group; PM Balkrishna, Chief Operating Officer, Allied Media and Punitha Arumugam, Director- Agency Business, Google India.

     

    With the first edition already finding appreciation within the industry, the Dainik Bhaskar group have their task cut out for the next year too. On his plans for a sequel, Mr Kotnala said, “We would want to see more regional and language work in the collection – and they still should meet the standards set. We would and could try getting clients and media owners also picking their favourites and definitely may wish to incorporate a section on media innovations. Though we have taken the task and brought out the book, in our mind it is an industry level initiative and we would want to keep it that way.”

     

    Mosaic 2011 can be accessed and downloaded at http://i10.dainikbhaskar.com /dainikbhaskar2010/books/ Final_Book.PDF

     

  • Cannes Lions 2012 Jury members and presidents on why they chose a winning entry for the Grand Prix in various categories

    Cannes Lions Grand Prix JurySpeak

    By A Correspondent

     

    A diverse set of Grand Prix Lion winners were announced at the 59th International Festival of Creativity, Cannes Lions 2012 over the last week. It was a hectic week for judges with an interesting array of campaigns and creative projects being thrown up to dig out the Grand Prix awards.

     

    Four agencies won two Grand Prix each, Creative Artists Agency for Chipotle; R/GA for Nike; and Crispin Porter + Bogusky and Digitas, who teamed up on American Express.

     

    Nick Worthington

    The Outdoor category saw Jung von Matt’sInvisible Drive for Mercedes honoured along with Ogilvy Shanghai’s Cokehands posters. Coca-Cola was a double winner in Outdoor for a student-designed poster and in the inaugural Mobile Lions contest for its role in Google’s Project Rebrief. In the PR category JWT’s musical-based campaign for a Puerto Rican bank and BBH won Creative Effectiveness for its Even Angels Will Fall campaign for Lynx/Axe.

     

    The Promo & Activation Grand Prix was won by Crispin Porter +Bogusky’s ‘Small Business Gets an Official Day’. Jury President Nick Worthington, speaking about the winning campaign, said: “It’s just an extraordinary piece of work. It’s so audacious, it kind of breaks the boundaries of what advertising is, what promo and activation is…It’s very easy to do the stuff that comes and goes but these guys have achieved a legacy.”

     

    Bruce Duckworth

    This year’s Design Lions Grand Prix was awarded to ‘The Solar Annual Report 2011’ by SERVICEPLAN. President of the Design Lions Jury, Bruce Duckworth said that one of ways you know a work is great enough is when you wish you would have done that work. Speaking about the winning entry, he said: “It’s got a great idea. It’s taken a client which is a solar powered company and it’s the annual book for that. You take it out in the sunshine and magically from a blank book, the information appears. It’s like magic, it made the hair on the back of my neck stand up and it wasn’t just me, it was the whole jury.”

     

    David Jones, President of the Creative Effectiveness Lions Jury explained why the jury selected BBH London’s Axe Excite for American Express as the Grand Prix winner: “It won for a few reasons. First, they did a fantastic job of proving the contribution of advertising and the tangible business results associated with that. And they also did a great job of discounting the other facts, showing that it wasn’t a bad price or increased distribution or a massive increase in media spends.

     

    David Jones

    The case they made for RoI was very powerful, also we were impressed by the fact that it had some great consumer insights. And finally it was the best proof of what we all know, which is – in today’s world where you can’t buy attention anymore, you have to earn it – a brilliant creative idea that engages and cuts through is the best way of driving effectiveness, and we thought it was a fantastic idea that was bigger than the product…”

     

    For more insights from the jury on what went into picking the best and how the selected winners stood out from a clutter of entries, MxMIndia put together a video playlist where Jury presidents and members discuss and explain the reason for choosing the Grand prix winners in the respective categories.

     

     

    MxMIndia gets you an assortment of videos where Jury Presidents and members speak to Cannes Lions TV to explain why they chose the winning entry for the Grand Prix in different categories.

     

     

    1. Nick Worthington on the Promo & Activation Lions Grand Prix 2012: Jury President Nick Worthington talks to Cannes Lions TV about the 2012 Promo & Activation Grand Prix, which was won by Crispin Porter + Bogusky’s ‘Small Business Gets An Official Day’ for American Express. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=8VueDxGaCgA[/youtube]
    2. Gideon Amichay on the Direct Lions Grand Prix: Jury President Gideon Amichay explains why his jury selected Crispin Porter + Bogusky’s ‘Small Business Gets An Official Day’ for American Express as the 2012 Direct Lions Grand Prix winner. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=jt5tvuTobaw[/youtube]
    3. Gail Heimann on the PR Lions Grand Prix: Jury President Gail Heimann explains why ‘The Most Popular Song’ by JWT San Juan,Puerto Ricowas awarded the PR Grand Prix – the first in the country’s history. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=8t3HIi49v0U[/youtube]
    4. Lo Sheung Yan on the Outdoor Lions Grand Prix: Jury President Lo Sheung Yan explains why ‘#Cokehands’ and ‘The Invisible Drive’ were both awarded Grand Prix at Cannes Lions 2012. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=cTNNgv-hzdY[/youtube]
    5. David Jones on Creative Effectiveness Lions Grand Prix: Jury President David Jones explains why his jury selected BBH London’s Axe ‘Excite’ for American Express as the 2012 Creative Effectiveness Lions Grand Prix winner. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=GFGN5gqZNWg[/youtube]
    6. Mainardo de Nardis on the Media Lions Grand Prix: Jury president Mainardo de Nardis, OMD Worldwide’s CEO, explains why the ‘Google Voice Search’ campaign by Manning Gottlieb OMD London picked up the 2012 Media Lions Grand Prix. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=ZydFdfA9hE8[/youtube]
    7. Rob McLennan on the Radio Lions Grand Prix: Jury president Rob McLennan, the Executive Creative Director at Net#work BBDO, explains what set ‘Repellent Radio’ by Talent São Paulo apart from the other entries and earned it the 2012 Radio Lions Grand Prix. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=sEcalIah40w[/youtube]
    8. Bruce Duckworth on the Design Lions Grand Prix: Jury president Bruce Duckworth explains why this year’s Design Lions Grand Prix was awarded to ‘The Solar Annual Report 2011’ by SERVICEPLAN Munich. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=706cGnjT44Q[/youtube]
    9. Tham Khai Meng on the Press Lions Grand Prix: Jury President Tham Khai Meng explains why his jury selected United Colors Of Benetton Apparel’s campaign for the 2012 Press Lions Grand Prix. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=nlck0BMSCyE[/youtube]
    10. The Jury On The Cyber Lions Grand Prix: Three members of the Cyber Lions jury, including president Iain Tait, discuss the two winning Grand Prix pieces. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=CGPF9nkpavU[/youtube]
    11. Tom Eslinger on the Mobile Lions Grand Prix: Jury president Tom Eslinger explains why Google’s ‘Hilltop Re-Imagined For Coca-Cola’ was awarded the first-ever Cannes Lions Mobile Lions Grand Prix. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=qOqjRbjgE-s[/youtube]
    12. Avi Savar on the Branded Content & Entertainment Lions Grand Prix: Jury president Avi Savar explains what set the first-ever Branded Content & Entertainment Lions Grand Prix apart from the rest of the entries. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=6z380OGlyRg[/youtube]
    13. Espen Horn on the Film Craft Grand Prix: Jury President Espen Horn explains more about the Film Craft Grand Prix, indicating why it stood out from the crowd. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=PiPgwTtAZfU[/youtube]
    14. Rob Riley on the Titanium & Integrated Lions Grand Prix: Jury President Rob Riley takes a moment to give us some more information about why made the Titanium Grand Prix so special and worthy of the prize. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=2NSmpkR6Ap8[/youtube]
    15. Tham Khai Meng on the Film Lions Grand Prix: Jury President Tham Khai Meng takes a moment to reveal the 2012 Film Lions Grand Prix and explain why it picked up the prize. [youtube width=”300″ height=”169″]http://www.youtube.com/watch?v=mA8OxP0gpNA[/youtube]

     

     

     

     

  • Taproot's 'I am Mumbai' campaign for Bennett, Coleman & Co is the only Indian entry that has found favour with the judges

    Taproot entry sole shortlist in Film Lions

    By A Correspondent

     

    India lost a great opportunity to upgrade itself in the points tally when it found just a single nomination in the Film Lions. Of the 56 entries that were sent from India – last year it was 61 – only one entry has been shortlisted. Taproot’s ‘I am Mumbai’ campaign for Bennett, Coleman & Co is the only Indian entry that has found favour with the judges so far. This is strange given India’s past performance in this category, where it went on to win 2 metals in 2011 and 1 in 2010. Its best finish has been 3 metals in 2007.

     

    A total of 257 entries have made it to the final shortlist of the Film Lions category this year out of the 3,475 entries that were sent. The countries that have sent maximum entries include USA that have sent 966 entries, UK that has sent 329, Brazil that has sent 174 entries, Canada that has sent 172 entries and France that has sent 159 entries.

     

    Representing India at the Jury is Priti Kapur, Executive Creative Director, JWT Delhi.

    The Film trophies will be presented on June 23 in the Grand Auditorium, Palais des Festivals.

     

     

  • What peers and commentators think about JWT's 51% stake in Hungama Digital Services + a report

    Can JWT create digital Hungama with stake buy?

     

    MxMIndia spoke to a cross-section of media professionals to elicit their views on the JWT Singapore acquisition of a majority stake in Hungama Digital Services

     

    Hungama’s telecom business is intact

     

    By A Correspondent

     

    Make no mistake. Hungama hasn’t sold out. Of the 1000+ employees, only 120 will be off to the new company which will only be 51 percent owned by JWT Singapore. And the key telecom business is intact, as are various others.

     

    When on Wednesday, leading advertising agency JWT confirmed its acquisition of a majority stake in Hungama Digital Services, the digital and promotions marketing division of Hungama Digital Media Entertainment. The size of the deal is not known, though the digital services division is said to have aggregated a turnover of Rs50 crore last fiscal. WPP reportedly earns revenues of over Rs 2500 crore from India and Hungama earned around Rs 450 crore last fiscal.

     

    The new entity which will be called Hungama Digital Services Pvt. Ltd.will be a full-service digital agency specializing in digital marketing and social media solutions. As part of the acquisition, Hungama’s activations arm, Hungama Promo Marketing will become a part of Hungama Digital Services Pvt. Ltd. and provide an engagement platform linked to online and offline deliveries.

     

    However, it is not known who from the existing team at Hungama Digital Media would move to the jv. “We haven’t received the new org structure,” a Hungama spokesperson told MxMIndia.

     

    Said Neeraj Roy, MD and CEO, Hungama Digital Media Entertainment, “With JWT, we are now part of the largest advertising network in the world. Hungama Digital Services is the coming together of two exceptional teams in a globally relevant market.” “With this partnership with JWT we hope to offer integrated digital and experiential services to our clients and prepare brands to connect, interact and now transact with their customers.”

     

    Hungama Digital Services has been a dominant player in the digital space for 13 years and is spread across six cities in India. In fact the creative services devision is what Hungama started out with over a decade back. The 120-strong team will continue to drive the agency, including servicing old and new clients and offer creative and promo marketing services, viral marketing campaigns, social media marketing and mobile marketing, applications, managing websites and video services.

     

    For JWT, it’s a good acquisition, an insider told MxMIndia. Said Colvyn Harris, JWT India CEO: “Digital is our next new frontier.The idea of the partnership is to build a digital offering for our clients so we can live up to being a ‘single source’ partner across all their ‘marketing solutions’ needs. What will be most effective in the future is a new set of talented, digital high end specialists who will add new skills and capabilities to what JWT already offers to its clients. We want all our clients to be leaders in their respective categories.”

     

    “We have greatly expanded our digital capability across the region, and we are not standing still. JWT will continue to hire new digital experts and explore possible acquisitions across the region this year,” said Michael Maedel, President, JWT Asia Pacific.

     

    See earlier report: JWT acquires 51% stake in Hungama Digital

    Raghav Anand, Segment Leader-Digital, Ernst & Young (The observer and often advisor)

    Raghav Anand

    I think Digital is an extension that every creative arm should have, but the real efficiency comes from how well it is syndicated with the overall collusion. Most of the agencies which have bought digital companies have not been able to integrate them into the overall setup, and hence not been able to leverage the synergy. So, how well you integrate and leverage the synergies will really decide whether it’s a fantastic acquisition or not. Apart from that, the other important things is that companies like Hungama are not just agencies, they are more of digital workflow companies which do a lot more than advertising and creative. They integrate into mobile and few other things. So it’s important for an agency to fully leverage them.

     

    Arvind Sharma, Chairman of the Indian Subcontinent, Leo Burnett (He recently acquired Indigo, a digital agency)

    Arvind Sharma

    Setting up an outfit from scratch has its own merit as you don’t have to pay a hefty acquisition price. However, I think this is a chicken and egg situation as the challenge is that when starting from scratch, you lack the scale and expertise in the beginning which is a handicap when attracting talent or meeting the needs of a client. You get stuck in sub-optimal size and scale. Particularly in Digital, one needs technical expertise and should be armed with a suite of capabilities to meet the clients’ demand. Therefore, it makes sense to acquire an agency of 150-plus people who are specialists, especially in the digital category which is witnessing a lot of interest from clients too. It immediately gives you scale and expertise. Also today clients want gamut of services under digital. They are not looking for few pieces of digital work; hence having an in-house digital agency helps in delivering.

     

    Mahendra Swarup, Former CEO, Indiatimes, Chairman, Smile Interactive (He’s worked with Pepsico, Indiatimes, Smile Interactive whose Quasar was acquired by WPP, and is now a well-known VC)

    Mahendra Swarup

    I think Digital is not an easy space to get into for traditional agencies. And at this point of time, digital agencies’ valuations are pretty realistic, so it’s always good for the traditional agencies to take over an existing team which understands digital. Also, the digital space is going to start growing at a fast pace, although at this point of time, it has a very low share of the total spends. But it will probably end up growing almost by 75 to 80 per cent year on year. So, it’s a big growth area. Also, I think organic development of a digital agency within an existing traditional agency is just not possible, the existing teams will not understand this space at all. So it’s more an acquisition of knowledge and competence, rather than of revenues. It’s only a question how do they (traditional agencies) get into a space which they will then grow faster.

     

    Alok Kejriwal, CEO & Co-founder of Games2win (He’s a contemporary of Mr Neeraj Roy…)

    Alok Kejriwal

    Whatever be the nature of the investment, I think it is brilliant that Hungama Digital has managed to get a partner like JWT. It shows that people who have been around and helped build the digital landscape over the last 10-12 years have finally begun to see the fruit of their labour as it has been one long arduous battle. Neeraj Roy has fought many battles to get media owners and brand planners to get convinced about the digital platform for India.

     

    Creative people are not like cement bags where you can go to the market and buy them. They are like yogis in the mountains. So when you get hold of a yogi, you’d do anything to keep him. It’s not one size fits all. JWT has a large client portfolio while Hungama has the digital capability. There are some cutting-edge creative digital agencies in the world that are the ones trying to set shop inIndia. For them to buy it makes a lot of sense, but then there are existing creative agencies inIndiathen why buy an outside agency when they are cutting-edge themselves? If you look at Quasar, which is a WPP company, they too are doing a good job. So it varies according to the needs of the marketplace.

     

    Mahesh Murthy, Founder, Pinstorm (He embraced digital early and is known for his forthright views on everything!)

    Mahesh Murthy

    India is one geography in the world where MNC agencies are absent among the large digital agency houses. The basic reason is perhaps their unwillingness to give up on their bread-and-butter – that is media kickbacks and TV film production over-billing. Both of these tend to disappear when you move online and digital-first agencies like Pinstorm have built large practices by focusing more on new technologies and processes, having avoided the kickback-led business that still drives mainstream advertising. Given India’s importance on their global client rosters, the MNCs here have finally figured out that if they can’t build a digital business themselves, they’ll try to buy one. I personally don’t think these random purchases will make much of a difference.

     

    Vikas Tandon, Founder & Managing Director, Indigo Consulting (Indigo was acquired recently by Leo Burnett)

    Vikas Tandon

    It is no surprise at all. The pace of change in the world today is stupendous, and digital media is causing consumer behaviour to change very rapidly. There is no time to build the expertise from scratch, and scale is also critical to success. Another compelling reason is there is not enough digital talent out there – a lot of the experience and expertise resides in entrepreneurial outfits. Hence acquisitions make eminent sense.

     

    Karl Gomes, Co-founder – AgencyDigi (He co-started the agency after a great run as a digital CD)

    Karl Gomes

    When it comes to digital, any news is good news. In fact if you look around in the media marketplace, there have been similar news developments that have happened in the recent past. The focus for agencies should be about coming up with the right idea and focus on the consumers and brands. In today’s world you have to collaborate. My only worry with these acquisitions is I hope they don’t treat them as another division but they work together and in a synergistic fashion. They need to be sitting together on the table when a brief comes across to them rather than just approach it passively. So, an acquisition like this should be good for both the people buying them and for people selling them. We have been approached by agencies but we are completely funded by clients and their business. So we will continue to run independently.

     

    Compiled by Shruti Pushkarna, Johnson Napier and Tuhina Anand

     

  • JWT acquires 51% stake in Hungama Digital

    From the MxM Infodesk

     

    Leading advertising agency JWT has acquired a majority stake in Hungama Digital Services, the digital and promotions marketing division of Hungama Digital Media Entertainment. Although the joint communique issued does not state it, MxMIndia learns that the JWT stake in Hungama Digital will be 51 percent.

     

    The new entity which will be called Hungama Digital Services Pvt. Ltd.will be a full-service digital agency specializing in digital marketing and social media solutions. As part of the acquisition, Hungama’s activations arm, Hungama Promo Marketing will become a part of Hungama Digital Services Pvt. Ltd. and provide an engagement platform linked to online and offline deliveries.

     

    Neeraj Roy

    Said Neeraj Roy, MD and CEO, Hungama Digital Media Entertainment, “With JWT, we are now part of the largest advertising network in the world. Hungama Digital Services is the coming together of two exceptional teams in a globally relevant market.” He added, “India is at the cusp of a digital revolution with the advent of 500+ million consumers getting online in the next 3-4 years. From augmented reality to developing applications for connected devices, Hungama Digital Services has been at the forefront of digital technology. With this partnership\ with JWT we hope to offer integrated digital and experiential services to our clients and prepare brands to connect, interact and now transact with their customers.”

     

    Hungama Digital Services has been a dominant player in the digital space for 13 years and is spread across six cities in India. The existing team of 120 people, who will join Hungama Digital Services, will continue to drive the agency, including servicing old and new clients and offer creative and promo marketing services, viral marketing campaigns, social media marketing and mobile marketing, applications, managing websites and video services.

     

    Colvyn Harris

    “Digital is our next new frontier.The idea of the partnership is to build a digital offering for our clients so we can live up to being a ‘single source’ partner across all their ‘marketing solutions’ needs. What will be most effective in the future is a new set of talented, digital high end specialists who will add new skills and capabilities to what JWT already offers to its clients. We want all our clients to be leaders in their respective categories.” said Colvyn Harris, CEO of JWT India.

     

    With this acquisition, Hungama Digital Services along with JWT Digital capabilities will be a digital thought-leader with delivery capability in digital ideation, production, and social media.By our association with many of India’s largest clients, Hungama Digital Services will be able to create the right traction and critical mass within the digital and business community in India.

     

    “We have greatly expanded our digital capability across the region, and we are not standing still. JWT will continue to hire new digital experts and explore possible acquisitions across the region this year,” said Michael Maedel, President, JWT Asia Pacific.

     

  • Taproot's co-founders Dias and Santosh Padhi are clearly testing the market and checking out valuations, said an agency insider. But this may not tantamount to an immediate sale

    Global ad biggies like Omnicom, Publicis & Dentsu in hectic parleys to buy Taproot

    By Neha Dewan & Ravi Balakrishnan

     

    In 2011, when Taproot snatched two big-ticket assignments, PepsiCo and Airtel – both JWT clients – the joke was that JWTstood for Just Went to Taproot.

     

    Now JWT may just have to be shuffled around to become TJW – or Taproot Just Went – now that a clutch of global ad networks are in hectic parleys with the founders of the five-year-old independent Indian agency. Those in the fray, said a person familiar with the negotiations, include the Omnicom group, Publicis and Dentsu.

     

    Agnello Dias, chairman and co-founder, Taproot India, said: “There are three or four groups talking to us and Dentsu is one of them. It doesn’t have any head start and we are no closer to signing a dotted line (with Dentsu than with any other network).”

     

    A Dentsu spokesperson was unavailable for comment. Nakul Chopra, CEO, Publicis South Asia, said: “We don’t comment on acquisitions of any nature.”

     

    Taproot’s co-founders Dias and Santosh Padhi are clearly testing the market and checking out valuations, said an agency insider. But this may not tantamount to an immediate sale.

     

    “The global groups are speaking not just to Taproot but also to other independent agencies like Creativeland Asia. We are open to talking to anybody but at the end of the day it may not be Dentsu, Omnicom or anybody. We would just like to get an idea of how much we are worth and valued at,” is how the insider who requested anonymity put it.

     

    The agency, which had a slow beginning in 2007, eventually moved on to big clients. Campaigns such as ‘Har Ek Friend Zaroori Hota Hai’ (HFZ) and ‘Change the Game’ for Pepsi got popular acclaim as well as industry  accolades with HFZ winning seven medals at Goafest this year.

     

    At Goafest, considered the premier local ad festival in India, Taproot was runner-up to Ogilvy India, clinching 34 metals and beating top agencies such as Leo Burnett, DDB Mudra, Grey and JWT. Besides this, the agency had won the Grand Effie award last year for the ‘Change the Game’ campaign.

     

    In its fifth year, the agency runs a tight ship with 35 people on board. A senior official at a leading ad agency says that Taproot has had to turn down a lot of projects in the past year.

     

    “Funding via a sale of equity will help them increase their capabilities,” he said. For now though, a more interesting game is afoot with Dias and Padhi playing their cards very close to their chest.

     

    Source: The Economic Times
    Copyright © 2012, Bennett, Coleman & Co. Ltd. All Rights Reserved

     

  • MAX launches a new brand campaign with a completely new channel packaging

    JWT crafts new ‘shuruaat’ for post-IPL Max

    By A Correspondent

     

    Television channel Max has announced its latest brand campaign with the theme ‘Shuruaat Yahin Se’ . Created and conceptualized by JWT, the creative agency for Max, the campaign comprises three films – featuring an old couple, a politician and an Olympic shooter.

     

    The campaign highlights the monotony in the lives of these characters and how certain movies that they watch on the channel change their life for the better. Directed by ad film maker Piyush Raghani of Old School Films, these will be released across television, social media and online forums.

     

    Meanwhile, the channel also sports an all-new packaging. Charlieco, a Los Angeles-based agency has brought about this new look-and-feel. The music score mirrors and accentuates the visual themes of the packaging and has been created by the musical duo Salim- Sulaiman.

     

    Speaking on the new initiatives, Neeraj Vyas, Executive Vice President and Business Head, Max said: “‘Shuruaat Yahin Se’ aptly brings alive the central communication theme that Max gives its viewers the power to change their life for the better by showcasing the best of inspiring and thought provoking Hindi cinema. I am sure we will be successful in further engaging loyal viewers while bringing in new audiences.”