Posted on by Admin
Subscribe to our Telegram channel for the latest updates in the marketing and advertising scene
DAN’s CEO touts the importance of digital transformation
17 May
A shift
towards disruptive technologies within the advertising marketplace requires a
rethink by the big players to be more dynamic, nimble and agile.
We sat down
for a chat with Ashish Bhasin, CEO for the Greater South of Dentsu Aegis
Network and delved into the intricacies of this brave new world.
He feels
that there is a dramatic shift happening within the advertising marketplace
these days. The digital onslaught is forcing many advertising agencies and
marketers to rethink their strategies going forward.
Dentsu
Aegis Network (DAN) is one of those of companies which was founded on the need
to go down the digital route in a big way.
Bhasin is
of the opinion that digital transformation is now the de facto standard for
advertising agencies and marketers to stay ahead of the curve in this day and
age.
He believes
a lot of growth will come out of this region. India, Indonesia, Thailand,
Vietnam, Malaysia, Philippines, Myanmar, Cambodia and Laos all come together in
a huge population base that exceeds 2 billion.
“All the
economies are hustling and bustling, showing tremendous growth, and it’s
exciting…of course, there are a whole raft of challenges that come with it
too,” he said.
He said
that outsiders may look at this markets as being in total chaos, but there are
great opportunities in these marketplaces.
In terms of
technological advancements such as 5G and the Internet of Things (IOT), he
feels that technology is an enabler, and there are two kinds of technology that
are at play here.
“You have
the first type of technology that permeates the life of a consumer, such as
social media platforms; and there are other technologies like Augmented Reality
(AR), Virtual Reality (VR) and others like 5G and IOT that have huge potential
but are still relatively niche,” he explains.
“You’ve got
to hedge your bets on what’s going to be more likely to succeed in the near
future,” he added.
Bhasin
feels that the success and failure of advertising agencies will also be
determined by who can hold the client’s hands while navigating this tumultuous
period of digital transformation, because that’s where the future is heading.
“Some
clients fear digital transformation, akin to a ‘deer in the headlights’
scenario, where some are just woefully underprepared for this new digital age,”
he added.
The ones
who have future-proofed their business are also doing much better financially
than others who have lagged behind in this digital era.
“One thing
that I can safely say is that clients in 2019 cannot afford to think that it’s
business as usual, because there is no such thing as business as usual in this
rapidly evolving marketplace,” he said.
In terms of
the Malaysian advertising marketplace, Bhasin feels that it’s a reasonably
evolved market, and there is definitely a digital thrust that has been evident
in the last few years.
“I think
traditional media, like in many other countries, will come under pressure, and
times are changing and consumer consumption habits are evolving as well,” he
added.
He believes
that print companies need to evolve rapidly, digitize their content to avoid
being left behind, and prepare to cater to consumers that want their fill of
the news immediately.
“Making print, TV and digital work in a
synergized manner will be far better than having a scenario where traditional
mediums have to battle with digital channels for airtime and exposure,” he
explains.
He feels
that advertising agencies, media owners and marketers need to have a holistic
approach to branding and communication strategies to ensure brands get it right
for the consumer’s benefit.
In a
related development recently, Sir Martin Sorrel revealed that his new venture,
S4 Capital, will focus on content creation, first-party data and programmatic
advertising to gain an edge in the marketplace.
He also
said that “clients don’t care where the talent comes from”, they just want
“results”. Furthermore, he feels that holding companies need to morph into service
companies, like McKinsey & Co.
Interestingly,
he feels that the DAN is “best positioned to accomplish this shift”. Sorrell is
of the opinion that the management of individual agencies need to collaborate
to best serve the clients.
Bhasin
agrees with Sorrell’s assessment of DAN in this regard. In terms of holding
companies morphing into service companies, he doesn’t think that needs to
happen.
“Nonetheless,
one of the biggest problems with agencies over the years were the creation of
silos, and this made it very difficult for clients to manage their
relationships and business concerns,” he expands.
In this
regard, DAN’s current approach is the most focused and future proof model that
has a single profit and loss reporting structure that what clients are looking
for in an agency.
In the case
of DAN Malaysia, its CEO, Nicky Lim, has the flexibility to pull required
talent from disparate divisions to come together in a seamless manner that is
agile enough to meet customer requirements.
“Being born
in the digital era, DAN has a huge advantage as compared to its competitors in
the marketplace, and this puts us in good stead for the future,” he concludes.
We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we will assume that you are happy with it.OkNoPrivacy Policy
