UK media company expanding in Thai new media sector
By Jon Fernquest |
Today's Bangkok Post reports that one of the world's largest media and research companies, the UK-based Aegis Group, plans to increase its business activities in Thailand in the area of outdoor and digital media as well as sponsorship marketing:
"The group, which has four subsidiaries in Thailand, plans to strengthen new business areas such as outdoor and digital media and sponsorship marketing, said Mainardo de Nardis, CEO of Aegis Global.At least US$10 million would be invested in companies running outdoor media and sponsorship marketing. It acquired the local company Digithais for digital media in 2006.
Patrick Stahle, regional CEO for the Asia Pacific, said the new companies could be either new establishments or acquisitions...
...The group now has four brands here: Carat for media communications, Synovate for marketing research, Digithais by Isobar for digital media, and Vizeum to handle media accounts. "
(In photo on right, executives Stahle and de Nardis discuss Aegis Group's strategic plans)
As people spend more of their time outside the home, outdoor media has become a more important form of advertising and encompasses more than merely traditional billboards by the side of the road:
In the global market, it uses the Posterscope brand to handle outdoor media......Mr de Nardis said the group saw potential in outdoor media since people now spend more time away from home. In addition, the change in digital and communication technology has created new channels to connect consumers and advertisers.
"Out-of-home media are not limited only to billboards," he said. "Even billboards can become digital, which can connect with other technology like Bluetooth. It has no boundaries."
They believe the future of outdoor media is quite broad, spanning billboards, transit, buildings and in-store media.
Spending on outdoor media, however, was flat last year:
"According to Nielsen Media Research (Thailand), spending was flat last year with outdoor, transit and in-store media worth 4.48 billion, 956 million and 550 million baht, respectively. The first two categories fell by 4% and 3.8% respectively, while in-store rose by 81.5% year-on-year."
Event sponsorship is another emerging area:
"Mr Stahle said that nowadays consumers were fragmented. Sponsorship marketing was an another option for advertisers to reach targets. Aegis companies can advise clients on how to optimise spending on local and international events. Unofficial records estimate the sponsorship marketing market at eight billion baht in Thailand."
Digital television is a promising new form of digital media.
Online newspapers and magazines with specialised content targeted at specific audiences also has future potential:
"As the world market leader in digital advertising, he added, Aegis was enthusiastic about Thailand. Once the country changes to digital television, which brings hundreds of channels, it would change the landscape of the advertising industry.""Conventional media will remain, but there are a tremendous amount of options," he said.
"Newspapers are still alive, but they have to be integrated with the Internet. Newspapers will be fine because readers want to read brainy opinions and perspectives that are not available on TV. Reporting general content will die," added Mr de Nardis.
(Source: Bangkok Post, business section, page B3, Woranuj Maeerungsee, 18-02-08, temp-link)
Vocabulary:
new media - media created and used with computers and usually includes some audience interactivity
Aegis Group - a media and market research group listed on the London Stock Exchange, the company employs almost 14,000 staff in over 80 countries (See Wikipedia)
digital media - media that uses computer-based digital data including digital television, internet sites and newspapers, mobile phones, and video games
sponsorship marketing - a way to build brand awareness through an investment in an organization or an event (ie party, festival, concert) with a built in consumer market (See Wikipedia on ambush marketing)
subsidiaries - smaller companies that a larger company owns
outdoor media - outdoor advertising randing from billboards to large public video displays
new establishments - new companies that are set up
acquisitions - already existing companies that are bought
media accounts - a client company of a media company and all the advertising that it purchases through the company
encompasses - includes
billboards - large signs with ads typically found in high traffic areas such as alongside busy roads (See Wikipedia)
Bluetooth - a secure way to connect and exchange information using short-range radio between devices such as mobile phones, laptops, personal computers, printers, digital cameras, and video game consoles (See Wikipedia)
spanning A, B, C, and D - including A, B, C, and D
transit advertising - advertising in buses, sky train, and subway
in-store media - advertising inside the store, such as special displays or posters
spending was flat - did not change (no increase, no decrease)
Nielsen Media Research - the most famous marketing research company in the world, the Nielsen ratings were the first TV popularity ratings used by advertisers (See Wikipedia)
year-on-year - compared to the same time or month last year
emerging area - an area that is becoming more important
consumers were fragmented -
advertisers reach targets - the people who the ads were made to reach actually see the ad
promising - likely to succeed in the future
conventional - the ordinary way of doing something (that has usually been used for a long time)
conventional media -
change the landscape of - completely change into something new, transform
X integrated with Y - X combined with tightly with Y (X operates with Y or becomes a part of Y)
brainy opinions - expert opinions on issues
general content - the same news that every newspaper is covering, mostly poltics with some economics and law
