Professional Documents
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LevantEdition
Edition••The
Themarketing
marketingand
andadvertising
advertisingresource
resource••November
November2017
2017--January
January2018
2018••Issue
IssueN°86•
N°86•communicateonline.me
communicateonline.me
IN OR OUT?
Where do production
houses stand in the
of content?
mobile-driven world
A MediaquestCorp publication
Egypt................... E£ 10 Lebanon ........L£ 5,000 Qatar ................... QR 15 Syria .................. S£ 100
Jordan ................... JD 4 Morocco ............DH 22 Saudi Arabia ........ SR 15 Tunisia ................ TD 2.5
Kuwait ................ KD 1.2 Oman ...............OR 1.5 Switzerland .......... SFR 8 U.A.E ...................DH 15
CONTENTS | NOVEMBER 2017/JANUARY 2018
Contents
COVER: Dusk or dawn... FEATURES
18 Is it the end or a new beginning for Lebanon’s big 11 Digital. What’s going on in the world of ad tech?
production houses? We explore.
28 Digital. Once again, advertisers are pulling out of
NEWS YouTube
04 Event. Beirut Creative Cluster launches Beirut 29 Digital. How Snapchat served every user HBO ads
Creative Roadshow on Black Friday
04 Research. Ericsson predicts 1 billion 5G 30 Digital. The impact of Black Friday on
subscriptions in 2023 Cyber Monday
04 Marketing. Philip Morris to manufacture products 32 Digital. How P&G’s Pritchard is helping the fight
in Lebanon against ad fraud
06 Launch. Sadeem launches the first competition for
Arab influencers PRODUCT REVIEW
34 Huawei Mate 10 Pro launches with impressive
SHORTS features and incomparable performance
08 What is Kwanko and how will it impact the region
DEPARTMENTS
INDUSTRY FOCUS: Banking 36 X-pert File. Mindshare’s TJ Lightwala sheds
24 An overview of the digital and mobile banking light on the workable model of innovation in
scene in Lebanon today’s industry
38 Media work. Mercedes-Benz’s “Grow Up”
campaign puts a twist on growing up
40 Work. A selection from the regional and
international creative scene
SENIOR JOURNALIST Zaira Lakhpatwala SENIOR SUB EDITOR Karthik Subramanian Published by: Medialeader FZ
ART DIRECTOR Jean-Christophe Nys ART MANAGER Sandy Farah RESPONSIBLE A Mediaquest Company
DIRECTOR Denise Mechantaf ADVERTISING Medialeader SAL, Afrah Plaza Center,
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CommunicateOnline Plaza Center (Pain d’Or bldg), Fouad Chehab boulevard, Dekwaneh, Beirut, Lebanon,
Communicate Online
@Communicatelvt Tel/Fax: + 961 1 492 801/2 FOUNDER Yasser Hawari Co-CEO Alexandre Hawari Co-CEO
Communicate Magazine Julien Hawari GENERAL MANAGER – DOTMENA Rosy Kachouh CREATIVE DIRECTOR
Aziz Kamel EDITORIAL DIRECTOR Elizabeth McGlynn HEAD OF FINANCE AND
Reproduction in whole or part of any matter appearing in Communicate Levant is prohibited by law without the prior written ACCOUNTING Girish Kumar HEAD OF CIRCULATION Harish Raghavan, h.raghavan@
approval of the publishers. Opinions expressed in Communicate Levant do not necessarily represent the views of the publish-
ers and editorial staff of the magazine. The publishers do not hold out any guarantee as to its accuracy, neither do they
mediaquestcorp.com KSA GM Walid Ramadan, walid@mediaquestcorp.com, Tel:
indemnify any loss arising through use of the information. All dollar prices ($) are US dollars, unless otherwise specified. +966 1 4194061 LEBANON GM Peggy El-Zyr, peggy@mediaquestcorp.com, Tel: +961
Printed by: Raidy Printing Group 1 492 801 NORTH AFRICA GM Manuel Dias, dias@arabies.com, Tel: +33 1 4766 46 00
Communicate Levant I 3
NOVEMBER 2017/JANUARY 2018 | LEBANON NEWS
4 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | LEBANON NEWS
Continued from page 4 The jury includes representatives Bank in Lebanon for 2017” award
from the Central Bank, Berytech, from the international institution The
sector, which is vital to the Lebanese Endeavor Lebanon, Kafalat, the Banker, in a big ceremony held at the
economy. It is also part of the current International Finance Corpora- Hilton Bankside Hotel, London, on
and future operations of PMI, dem- tion IFC, the Lebanese American 29/11/2017.
onstrating its innovative role with its University, the Lebanese League For the occasion, The Banker
approach and substantial investment for Women in Business LLWB and “commended BLOM Bank on its
in research and development to offer BLC Bank, as well as male and performance not only for the strong
distinctive products. female entrepreneurs. financials that it had achieved, but also Kids as the season premiere of The
The Brilliant Lebanese Awards for the banking and financial initiatives Voice Kids, aired on MBC on Saturday
S I EVENTS are one of the most important services that it had consistently delivered.” It 2nd of December. Season 4 of The
provided by BLC Bank to SMEs and added that “the award, which is the Voice Arabia will be aired in 2018.
BLC Bank acknowledges business businesswomen. They are part of a longest-running of its kind in the world, Commenting on the partnership,
innovators during its sixth Brilliant 360 degree approach, which lies on 4 reflects the wise management and sound Marwan Haidamous, Managing Di-
Lebanese Awards pillars: financing, advisory, training business model of the Bank.” rector of Renault Middle East said,
Beirut. On Thursday, December and exposure. “With a completely renewed model
7th, BLC Bank showed its com- line-up, including SUVs, electric
mitment to support small businesses Noise PR Firm Honors Lebanese vehicles, city cars and sedans, which
and entrepreneurs with the launch Media in its End-of-year Gathering have all been rigorously tested right
of its 6th edition of the Brilliant Beirut. Noise PR Firm invited a select here in the region to meet the needs
Lebanese Awards. crowd of media to its annual gath- of our Middle Eastern customers,
ering at Stereo Kitchen in Pasteur Renault is stepping into the spotlight
Street-Gemmayzeh. with this bold marketing campaign.
The firm’s event attracted more Mr. Saad Azhari, Chairman and “The Voice attracts some of the
than 150 media representatives and General Manager of BLOM BANK, world’s biggest brands as sponsors,
figures, representing the whole array thanked The Banker for the prestigious and having Renault alongside those
of Lebanese online, print, broadcast award and commented in turn that global household names is a sig-
outlets and channels, as well as media “the award represents the financial nificant sign of our intent to take
Mr. Nadim Kassar announced representation firms. community’s appreciation of the ef- our brand where it deserves to be
the launch of a new category related In this festive and friendly at- forts that BLOM Bank’s management in the Middle East.”
to e-business. He also highlighted mosphere, Noise PR Firm extended and employees give in offering the To celebrate its partnership with
the importance of this sector in the its wishes to the media for a Merry best and latest banking and financial The Voice, Renault has created an
knowledge of economy. Any business Christmas and a prosperous New Year. services to their clients, in a climate innovative new TV commercial
activity based on digital or innovative still characterized by difficult operat- inspired by its Multi-Sense® sys-
technologies is eligible for this category. ing circumstances in Lebanon and tem, which will be aired during the
Out of 15 candidates this year, the region.” weekly shows.
George El Aily - Spectronite won
the Business of the Year category. I ADVERTISING I OUR BAD
As for the Woman Entrepreneur of
the Year title, it was awarded to Nada Renault Middle East is Proud Spon- In the digital map released with the
Ghazal – Nada G .The two winners sor of The Voice Arabia and The September issue, we wrongly listed
received a cash prize of $30,000 each. Voice Kids Denstu Aegis Network Lebanon un-
The People’s Choice Award went to BLOM BANK Receives award from Beirut. Renault Middle East has an- der Denstu Aegis Network as Carat.
Mohamad Ali Beydoun – L’Art-Qui- The Banker nounced that it is the proud sponsor Also Triangle listing was missing.
Tecte, who won a $ 5,000 cash prize. Beirut. BLOM Bank won the “Best of The Voice Arabia and The Voice We regret the errors.
6 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | SHORTS
COMPANY CULTURE
8 I Communicate Levant
DIGITAL | NOVEMBER 2017/JANUARY 2018
Tech that
What’s going on in the world of adtech and martech?
by Zaira Lakhpatwala
Communicate Levant I 11
NOVEMBER 2017/JANUARY 2018 | DIGITAL
nology solu-
Adtech is an Adtech vendors provide tech
umbrella term por t the ma nag ement and
a set of tech tions which sup
nologies des for execution of paid media activiti
es. This
to help adver igned tha t req uires a
audiences,
tisers target
key is the type of marketing
. For exa mp le, social
del
and measure iver messages company to pay to play
digital adver ted ads on Fac ebo ok, Search
ing perform tis- ads like promo
disp ads
lay
ance. That Engine Marketing (SEM) and
; but you can
belong to the field of ad tech
planning has said,
become a cr
part of adte ucial tfor ms (DS Ps) and
ch’s value. also put Demand Sid e Pla
- PU JA PA lla of ad tech.
managing
N N UM, Ad Servers under the umbre
director, B ing direct or -
M ENA lis - DIRK HE NKE, manag
emerging markets, Cri teo
FROM MARTECH?
HOW IS IT DIFFERENT
12 I Communicate Levant
DIGITAL | NOVEMBER 2017/JANUARY 2018
One of the key challenges in the MENA market at the moment is the reluctance to further adopt mobile as the primary marketing tool. Despite the
fact that smartphones are hugely popular in MENA, marketers still display a preference to more traditional forms of advertising. Over time, we expect
to see a rebalancing toward mobile as it’s given the priority it deserves.
From a client and agency perspective, there are concerns from advertisers over brand safety. There are three key components to brand safety: (1)
seeing ads alongside appropriate content, (2) viewability and (3) making sure they are seen by real people. The responsibility for this lies on all sides,
but primarily with vendors and agencies to allay the concerns of the brand. To achieve this, transparency is crucial, as it helps brands understand where
their ads are being served. Transparency itself is another crucial challenge, as brands need to understand how their budget is being spent and what their
investment is getting them.” - PUJA PANNUM
User habits are rapidly changing with smartphones being the core facilitator. These habits can be activities ranging from looking up news, checking
social media, shopping online, offline and across devices. Changing habits mean changing expectations, and today’s shoppers expect nothing less than
an outstanding user experience across all devices and channels, including offline. Retailers and brands must deliver seamless and relevant shopping
experiences across all devices and channels, which is a huge challenge that requires new strategies. In this respect, giants like Amazon and Alibaba have
a head start on how to organize and apply data at scale to understand the shopper, reach them, and inspire them to buy. The vast majority of commerce
companies can’t cope with this.” - DIRK HENKE
Communicate Levant I 13
NOVEMBER 2017/JANUARY 2018 | DIGITAL
One big challenge we face is education. People – be it in agencies, client-side or the market as a whole – have difficulties understanding the sole
purpose of adtech and its simplicity in the advertising world. They do understand the efficiency behind it, but the market is too traditional today to shift
its whole strategy around ‘MAdTech’.” - NADER BITAR
14 I Communicate Levant
DIGITAL | NOVEMBER 2017/JANUARY 2018
he
e efficient. T
Within the locatio
be co m e sm ar ter and mor rol. A dt ech
nies will and cont
n sphere, we’ve
Adtech compa ore efficiency, transparency come more user-
seen a big shift in
2017 toward cost-pe
visit (CPV) metrics r- t needs m
. From a geolocatio
n media marke all three and
they will be ore effective
perspective, it’ll be
es ar e pr ov id ing
te r ad servers, m
really interesting to co m pa ni
can look forw
ard to sm ar which exist in
see how location
services may start friendly. We cu rr en ci es of advertising, ” options
converge with othe to
ar te r D SP s, and new ar ket to look at “other
r techs such as AI an SSPs, sm want th e m panies and
the IoT. As technolo
gies such as AI, AR
d
U S an d E ur ope. Ideally, I in at ed by th e big tech com I advise
the e dom it.
VR and IoT develo / idering we ar t at the end of
that we haven’t ev
p over time, solutio
ns out there, cons da rk tu nn el, but there is ligh available, which will
en begun to imag that’s it. We ar
e in a d innovations nies.”
yet will emerge.” ine
s to lo ok at the industry an e than the big tech compa
all part ie ss m uc h m or
- PU JA PANN UM their busine
help leverage
TAR
- N AD E R B I
of adtech,
role in the future
d offline are
pi vo ta l
dustr y as online an
Data play s a
an d th e wh ol e in
retail agined. The vast
most would’ve im
ant disadvantage to
r th an
rs are at a signific
m er gi ng fa ste
majority of retaile en it comes to data
– both, in
il gi an ts wh
the glob al re ta e it accessible
m e an d their ability to mak
term s of vo lu will be essential
ive sales. Hence, it
and actionable to dr e and offline data,
ve access to onlin
in the future to ha
Agencies need to
channels, become centers
m atc h th em across devices and integration of ad of excellence, w
the abili ty to valuable insights technologies such
tech and mar tech hich successfully
bi lit ies to turn them into as ar tificial intelli
, along with the drive the
analy tic ca pa execute on them. ladder up to the gence and predic
layering of vario
ing technology to overarching sent tive ROAS engine
us other
and machine learn th the blurring im en t of driving effic s that
might be coping wi
far, is purely
to delivering bette
The biggest need h, so iency. This boils
mmerce. Adtec
r ar t, better scienc
d of fli ne co down
an
e and better outc
of onlin e nally run siloed
we can look forw
ard to: omes. [With this
ile retailers traditio • The crux of da
activities. To meet
e, wh in mind],
lin ta and technolo
online and offline
se d on on
focu coupled with A gy: Integrated pr
approaches of their rs, retailers must rtific
which will really ial Intelligence is going to be
edictive ROAS m
today’s omnishoppe a really exciting
odeling
the expectations of at help them transform the w sp
look for solutio th encies work. It w ace,
ns
d vice versa.”
os an d the guesswork ou ay clients and ag
audiences offline an
break up th es e sil t of deciding whi
es s th eir on lin e they should buy ch product they ill take
addr • Further buying
against and mes
saging they shou
should suppor t,
audience
- D IR K HEN KE consolidation: Pr ld relay.
etc.). More media ogrammatic Ever
channels will even ything (TV, Out
will help scale au tually join the m door,
tomation, efficie arket-making fold
• More transpar ncy and ROAS. , which
ency and validat
join the push for ion: More transpa
quality and mor rency as more pu
in the market. M e validation as te blishers
ore tech players ch players decide
particularly exci offering on-targ to jump
ted about. et reach is one
All in all, the adte that I am
grow. But, as it cu ch an d m ar te ch space is much-ne
rrently stands, th eded and is only
lack of transpare ere remains a fair going to
ncy and as ex-Car amount of confus
at boss Mar tin Ca ion and
New York, “Whe ss said at Adver tis
re there’s confus
ion, there’s oppo ing Week
rtunities to mak
e money.”
Communicate Levant I 15
NOVEMBER 2017/JANUARY 2018 | DIGITAL
At the moment, an important debate about fraud and viewability is playing out in an ad tech ecosystem – an ecosystem that's
increasingly being called a duopoly. But these topics won't be left for Google and Facebook to solve. Very soon, blockchain technol-
ogy will disrupt the duopoly and, more importantly, usher in a new marketplace that is more transparent and accountable, and therefore
less prone to fraud.
WHAT IS BLOCKCHAIN?
Best known as the technology that powers cryptocurrencies like bitcoin, blockchain allows strangers to transact with trust by creating an immutable ledger
for record-keeping and distribution functions. Already, blockchain is disrupting finance, corporate governance and healthcare. As that disruption spreads,
the blockchain "trust machine" will give the buy- and sell-side counterparties greater power by granting them the ability to audit the transaction chain.
16 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | COVER STORY
© Getty Images
18 I Communicate Levant
COVER STORY | NOVEMBER 2017/JANUARY 2018
Dusk or dawn...
Is mobile technology killing or reviving production houses? by Salam Rasheed
Communicate Levant I 19
NOVEMBER 2017/JANUARY 2018 | COVER STORY
EFFECT OF MOBILE. Mobile devices, particularly “After all, it easy or not, we need brains
smartphones, have not only affected the volume before means. And unfortunately, we have more
and method of content consumption, but also means than brains,” adds Harb.
that of content production.
Lately, several flagship phones can shoot
video and capture audio with advanced formats REACTION OF CLIENTS. Clients working with
and ultra-high definition at a frame rate that can production houses are confused and concerned.
reach 960 frames per second. “This is quickly The confusion comes from the difference in
blurring the boundaries between professional the form of production and purpose of online
and amateur content in the creative sector,” says content. From the production houses’ point of
Nayla Mabsout, producer at The Council. view, there is a need for online content to be
“The whole emergence of new camera devices distinguished as such from the clients’ side. The
at low cost with high quality outcome – 2K to one size fits all strategy cannot work anymore.
NADIM SHARTOUNY. 6K – is affecting the production of content, as “There should be a distinct split, from the
Managing director at The Council you can now shoot full fledged productions us- client’s end, as to the way online content should
ing minimal gear versus what used to be done,” be dealt with process-wise and cost-wise in com-
adds Barakat. parison to the different way we should deal with
However, it’s not all rosy and easy because full fledged corporate campaigns that requires
the ease of production is affecting the quality more budget and more time and hence a different
of the content produced. “Undoubtedly, there production process all together,” suggests Barakat.
are many great things that have been produced Clients’ concerns also stem from questioning
but much more bad, useless, and illiterate things the effectiveness of online content, and manag-
are taking credit because of how easily we can ing budgets. “Nevertheless, a client or anyone
be present online, due to our mobile and its else, is learning to adapt by making mistakes
features,” says Harb. But, the availability of this and learning from it in order to be better. Not
NAYLA MABSOUT. technology doesn’t justify the popularity and everyone, but only those who will have the bal-
Producer at The Council admiration behind online content. ance and stay fair, will live,” says Harb.
20 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | COVER STORY
The desire to create something extraordinary partnership rather than a customer/supplier re-
for clients is an important factor in the strategy lationship,” he says.
set for production.
“We think this will result in a healthy com-
petition where both clients and agencies are BUDGET CHANGES. There’s no doubt that the eco-
thriving to create higher quality animations nomic crisis has led to the reduction of budgets.
and visual content,” says Ali Kays, creative But unfortunately, and perhaps more importantly,
director at The Council. “The change in budgets comes from competitors
offering 100 of the same product compared to
tens offered a few years ago,” says Harb. Barakat
IN-HOUSE AGENCIES. A solution adopted by adds, “The same client that used to pay a certain
agencies to relinquish the cost of working with amount for a corporate TV commercial previously
external parties is in-house production houses. wants to produce the same quality today but pay
As a strategic benefit, in-house operations ensure 30 to 40 percent less.”
fast activity and coordination. Moreover, cost Tailoring content as per the clients’ needs re-
can be easily controlled and included in the mains the best way to achieve successful campaigns
overall cost to the client. and establish effective branding in the produc-
But, the sustainability of this model is still tion field. But, with changing agency structures,
questioned. “Honestly, it’s up to viewers and consumer behavior and production methods, the
client to judge the quality and outcome from future is more unpredictable than ever before. This
those in-house agencies/production houses and issue is only exacerbated by tech giants such as
see if they can replace traditional production Google and Facebook creating – and frequently
houses,” says Barakat. altering – content formats as per their own rules.
However, when it comes to animation and So the key for clients, agencies, and production
design, Shartouny foresees more collaboration houses is flexibility and adaptation. As Harb puts
ALI KAYS. between agencies and animation studios. “This it, “Everything is changing and as long as we cater,
Creative director at The Council makes the whole experience feel more like a clients won't mind. We need to wait.”
22 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | BANKING
Looking in
An overview of mobile banking in Lebanon by Salam Rasheed
24 I Communicate Levant
BANKING | NOVEMBER 2017/JANUARY 2018
Communicate Levant I 25
NOVEMBER 2017/JANUARY 2018 | DIGITAL
Ban again?
YouTube’s new ad boycott not likely to hurt any more than the last by George Slefo
28 I Communicate Levant
DIGITAL | NOVEMBER 2017/JANUARY 2018
Oh snap!
Snapchat spends Black Friday serving HBO ads to every user on its service by Garett Sloane
Communicate Levant I 29
NOVEMBER 2017/JANUARY 2018 | DIGITAL
30 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | DIGITAL
Fraud fighting
How P&G’s Pritchard helped fuel TAG’s fight against ad fraud by George Slefo
32 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | PRODUCT REVIEW
Huawei redefines
smartphone intelligence
Huawei’s exciting AI-enabled Mate 10 Pro
INTELLIGENTLY POWERFUL. The Mate 10 Pro
packs a 4000 mAh battery, which is larger than
most flagship smartphones in the market, operated
by smart power-saving technologies. The device
features HUAWEI SuperCharge technology, us-
ing a 4.5V/5A low-voltage fast charging solution.
This technology is the world’s first fast charging
technology certified by TÜV Rheinland. With
the Mate 10 Pro, users can charge their devices
fast and enjoy their phone for longer periods of
time with advanced battery technologies from
Huawei. A 30-minute charge powers the battery
from 1 percent to 58 percent.
34 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | X-PERT FILE
36 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | MEDIA WORK
Grow up
Mercedes Benz’s new campaign puts a spin on growing up
38 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | INTERNATIONAL WORK
40 I Communicate Levant
NOVEMBER 2017/JANUARY 2018 | INTERNATIONAL WORK
42 I Communicate Levant