Thursday, May 28, 2009

1,000 special art pieces to grace Burj Dubai

Pride of place in the iconic structure’s residential lobby will be an artwork featuring 196 bronze and brass alloy cymbals - representing the 196 countries of the world - suspended on titanium rods anchored at the bottom of two pools.

Visitors to the lobby will be able to hear a distinct timbre as the cymbals, which are plated with 18-carat gold, are struck by dripping water, intended to mimic the sound of water falling on leaves, Emaar said in a statement.

Emaar chairman Mohamed Alabbar handpicked ‘World Voices’, which was created by internationally-renowned Spanish artist Jaume Plensa to symbolise reeds in a lake.

The year-long selection process was led by the building’s US-based architect Skidmore, Owings & Merrill LLP (SOM), which approached international and Middle East artists to submit concepts for the centerpiece of the lobby more than a year ago. Plensa’s winning design was chosen from a shortlist of five.

“Art is central to the Burj Dubai project, not only as a visual statement but as a means to link cultures and communities,” said Alabbar. “Thousands of people from around the world have collaborated to achieve an iconic landmark, the world’s tallest building.”

The 1,000 art pieces will include a wide range of contemporary artists as well as museum-standard historic art recognising the Gulf’s unique heritage, said George Efstathiou, the managing partner for SOM leading the Burj Dubai team.

‘World Voices’ is Plensa’s largest permanent indoor installation and his first permanent commission in the Middle East.

Among his most famous works is the ‘Crown Fountain’ in Chicago, which comprises two 16-metre high towers, glass, stainless steel, LED screens, light, wood, granite and water.

He has also completed ‘Breathing’, a monument to fallen journalists at the BBC headquarters in London.

Standing at over 800 metres tall, Burj Dubai is at the centre of Downtown Burj Dubai, a 500-acre mega project Emaar is creating in the heart of Dubai. It is scheduled to open in September.

Top men resign from leading UAE architects

Despite the departures, a spokeswoman for US-based Burt Hill denied the firm’s Dubai operations were in crisis, and said new management had been appointed.

The firm, which also has an Abu Dhabi office, has worked on a number of projects across the UAE including MotorCity, Jebel Ali Village and several GEMS schools.
Director and former board member Haydar Hassan resigned within the past ten days, the spokeswoman confirmed on Thursday.

Hassan joined Burt Hill in the US 21 years ago and was integral in the firm launching its business in Dubai in 2003 to tap into the emirate’s emerging real estate market. It since opened another office in neighbouring Abu Dhabi.

Hassan’s departure came days after the resignation of principal Tomas Gulisek, who had been with the firm since 1995.

Harry T Gordon, chairman of the Dubai office and managing director of the Middle East and North Africa, had been appointed general manager of the Dubai and Abu Dhabi offices in their place, the spokeswoman said.

In January, Burt Hill announced 111 redundancies, representing 18 percent of its 611-strong workforce in Dubai, blaming the decision on the UAE’s real estate sector slowdown.

A slowdown in the Gulf state’s property market since the turn of the year has badly affected architecture practices, as projects are suspended and the number of new schemes being launched dries up.

But speaking from Burt Hill’s office in Philadelphia, the spokeswoman said no further job cuts were planned and that the Dubai office was “doing well.”

“These are incredible times and I don’t think anyone in the business world has dealt with the level of economic turmoil affecting the world. But Burt Hill is a strong firm that has been around 73 years and we’ve been through challenging times before,” she added.

The firm has ten offices across the US as well as an office in India.

Agency loyalty

Loyalty in the Middle East’s advertising industry can be a fickle mistress. In the past, the same client would employ creative and media buying agencies for years, helping them build brands and overseeing long-term campaigns. But these days appear to have gone. With ad budgets being squeezed, and growing demands for a higher return on investment for every dollar spent, the region’s marketing directors are rethinking their creative partnerships, and in some cases looking for cheaper alternatives.

Financial considerations are not the only cause of discontent. Years of working with the same client, on the same account, can lead to lethargy and a dearth of innovative ideas, strategies and creative execution.

“Large locally owned family businesses have a history of changing their advertising agency frequently,” says Vatche Keverian, chief executive officer for JWT’s Gulf operations. “The worst possible scenario is that they change annually,” he adds.

And it is not just locally owned enterprises that are prone to switching creative teams. In recent months Gillette has moved six of its product lines in the Middle East from Memac-Ogilvy to Leo Burnett. Media agency Starcom also recently lost Kellogg’s and United Sugar Company in Saudi Arabia to OMD.

“While we have witnessed some changes coming from the locally owned businesses, multinationals do also switch agencies when they feel they are not getting the level of service, or there is a better deal to be had with another agency,” says Ravi Rao, general manger at OMD.

Figures from JWT show that over a quarter (28%) of its clients stay with the ad agency for just two years or less, while only 13.1% would remain with it for between 10 and 19 years.

But ad and media executives are quick to point out that while there is undoubtedly some client churn, many remain happy and stay with an agency for years. They also argue that changing agency representation often can be detrimental to a brand and hamper its development by creating mixed messages for consumers.

“Local companies are realising that the relationship between a client and an agency is a partnership. The Middle East market is maturing and I would say the frequency of change has dropped dramatically in the last ten years. There is an old saying ‘before you change your agency, change your agency’. Try to affect change,” says Vatche.

Zeina Mouhawej, marketing manager from Masafi Mineral Water Co, says that a long and close working relationship with an agency is highly beneficial for a brand. Masafi, which spends 9% of its turnover on advertising, has been with Team Young & Rubicam and media agency Mediaedge:cia since 1999.

“We don’t have any intention to change our agency. We believe the relationship with an ad agency is like a marriage. The more you are with the person or the agency, the more you get to know them and they understand the brand. This is very healthy,” Mouhawej says.

For many international companies based in the Middle East, the decision on which agency represents them creatively is often taken out of their hands. Instead, it is dictated by head offices that negotiate an all encompassing agreement with a globally recognized network that can provide media buying, public relations and event management services.

Aside from securing favorable rates, multinationals are assured that the “corporate message” is the same in Riyadh, Tokyo, Johannesburg, Rio de Janeiro and New York. The level of investment and time spent building these relationships in this international network also fosters agency loyalty.

Microsoft Middle East uses Wunderman, part of The Holding Group, as its local creative agency, but instead of generating original work for Microsoft here, its existing international campaigns are localized.

“With advertising, multinationals tend to stick to one worldwide agency,” says Bahaa Issa, corporate communications manager, Microsoft Middle East.

“This means the same identity, concept and design is implemented internationally. What I do here is localize. Rather than using a Chinese face on an advert, for example, we would use an Arab face, and translate the text into Arabic. It means you have different executions across the world, but there is a common look and feel to the campaign,” he explains.

Many agency executives claim the alignment with an international network has helped to stabilize the market and create long lasting working relationships.

“In the past your advertisers were the family businesses. They were dealers of all the big brands and the big brands were the main advertisers in this region,” says Ramzi Raad, chairman and chief executive officer, TBWA/Raad.

“Advertising agencies were local with affiliations in some cases with the global network. However, the scene started to change a few years back and today you rarely find a truly independent agency. The name of the game is global alignment. And from our experience, these international clients will stay with an agency here for many years,” he adds.

Any marketing director will claim that advertising, whether it be creating the ad or buying newspaper space or TV and radio spots, is an expensive undertaking. And during cost-cutting drives, unwelcome attention is focused on how much an agency charges for its creative, planning and buying services.

“Cost is definitely an element to consider, but sometimes the cost can be justified if you receive excellent creative services,” says Mouhawej. “Marketers should look for the best rates available, but at the same time not compromise on quality.”

Keverian adds: “The rule of thumb is better talent will give you better results, that’s why better talent costs more, and that’s why better agencies cost more.”

Rao claims clients that are serious about getting their message across to consumers rarely spend time arguing over costs. “I think a large number of big clients who are keen on media don’t look at cost as the primary reasons to change their agency,” he says. “It is a factor for change, but is not, nor should it be, the primary reason for change.”

When a client and ad agency work together for many years, there are also concerns that lethargy and boredem can set in, stifling creativity. “Sometimes, if you have an agency that has been working on your account for a certain period of time, they can run out of innovative and creative ideas,” says Issa. “You need a fresh mind, a mind that is not polluted with the brand itself.”

However, it is a charge that the industry rebukes. “Our business relies heavily on creative thinking, and yes you are at risk of repeating yourself or slowing down and sitting on your laurels,” says Raad. “This is where change will become necessary. It is only agencies that keep rejuvenating themselves and keep challenging themselves that survive. If you don’t change, the market will change you.”

But advertising agencies are keen to stress the positives of clients remaining loyal. Building brand equity, a deep understanding of the product and its target audience are regularly touted as justification for continued cooperation by agency heads.

“You need time to understand consumer behavior in relation to the brand. Brands have to be nurtured, and to nurture something you have got to give it time,” says Nirmal Diwadkar, chief operating officer, Lowe & Partners Middle East and North Africa.

“There are occasions when clients do switch agency overnight, but as I look at them, I don’t think they have built themselves much brand equity. As the market matures, clients will realize that they need to give their agency at least two or three years.”

An emerging tactic being employed by many advertisers is regularly putting their creative and media buying accounts out to tender. The intention may not be to appoint a new agency, but rather to see what other ideas are out there, keep their existing team on its toes, and bring down fees.

“There are certain types of companies that will have a pitch every year or two. There are pitches that always happen and you normally know which accounts they will be. They help to tighten the agency, otherwise there is a tendency to relax. Pitches help an agency become much sharper and give better delivery to the client,” says Rao.

“The tender culture is more prevalent in the Middle East region, probably because the market is not mature enough. It is still a young industry and there are many local organizations that are not advertising-savvy themselves, or lack experience in true brand-building,” adds Diwadkar.

But, according to Raad, while there are benefits for both clients and agencies to regularly review their relationships, some unscrupulous advertisers take advantage of the tendering process.

“This system is professionally used, but at the same time, in this part of the world, it is also abused. International clients normally have a set pattern, where they will call a review every two or three years. It is at this point an agency will have to capitalise on its experience to retain the business. It is a challenging game, but an interesting one,” he says.

“The same system is abused when we start looking at local advertisers, from Saudi Arabia in particular. We have seen a trend of clients calling for a review, they look at the ideas and then these ideas get stolen. This is a sad reality,’ Raad continues.

However, Keverian suggests that self-assured agencies, which are confident about their creativity, should not fear the tendering process. “Certain clients, in particular government clients, will normally restrict a creative contract for two years. But if you have built a good relationship with a client, and have a good track record, then even if there is a review that agency should be in a position to win the business again,” he says.

“If a relationship is not working, then both clients and agencies agree the best course of action is to sever the relationship quickly, in the best interests of the brand. “If a company is investing in the wrong agency, then they should leave quickly,” says Mouhawej. “There is no point in trying to maintain a relationship if its has broken down or is irreversibly damaged.”

This sentiment is echoed by Rao. “There may eventually come a point when it is time to call it a day, whether that be from the client or agency’s perspective. It does happen from time to time, and the best way to deal with it is to accept it, move on and learn any lessons that need to be learnt,” he says.

Domino's chooses 3 Points ad agency

Saudi-based advertising agency 3 Points has announced that it has won the contract to become Dominos Pizza's advertising agency in the Middle East. The company launched the 'roll it and eat it in Italian' campaign as a beginning of their cooperation.