RECMA Global Billings report Definitive 2007 June 2008

Transcription

1 RECMA Global Billings report Definitive June INDONESIA METHODOLOGY AND KEY FACTS RECMA local investigation Sources / Methodology * last market investigation: July 2005 * RECMA met, at least once, all the networks local managing directors Buying billings *In Indonesia our billings estimates are based on Ad spend data Top 500 (TV, Magazines, Newspapers) which are gross expenditure figures (rate card). Discounts were applied to the gross figures total media : 35% (except for Unilever 75%) * We calculated the figures according to the agencies clients portfolio and the accounts moves reported by the agencies, i.e. Total billings part of the Top 500. * Exchange rate was applied : 1 US$ = 9.00 INDOR. KEY FACTS * Total market = 1 635m in / 10% growth over Market Share * The 11 networks handle about 35% of the total market value Market particularities Independent agencies from the international networks NEWS 07 / 08 Accounts moves to affect the billings 2008 * Pratama: in house media arm of Wings, Unilever s local competitor * Bhakti Media local media agency not surveyed yet * In November 2006, Havas Media announced Euro RSCG was terminating its media planning and buying joint venture with MindShare (Motivator) and launched MPG in Indonesia in Jan 07. Clients won by Motivator independently from Euro RSCG will stay with MindShare. * Announced by the Ministry of Communication and Information on 1 May, a new two-fold decree was voted: one part requires all locally aired ads to have been produced and directed locally, and with local talent; the second requires agencies to adhere to a strict "foreigner to local" employment ratio of 1:3. * In May, Interpublic merged Initiative and Universal operations in Indonesia under the helm of the Initiative office, rebranding the agency IPG Media, consisting of two units, Initiative and Universal McCann. * In June, Omnicom Media announced the creation of OMD Indonesia by rebranding of Media Direction. *Telkom (10$m) won by MindShare Lost by Euro RSCG (Dec. 07) *Smart Telecom (15$m) won by Starcom review (Sept.07) *Sampoerna (11$m) won by Initiative Lost by Maxus (Sept.07) *Bentoel Prima (19$m) won by Mediaedge:cia /ZenithOptimedia Lost by Universal McCann, Initiative

2 RECMA Global Billings report Definitive June 2008 Table 1- Indonesia Buying billings by BRAND RECMA defines a brand as a local offering having its own identity; client list and manager. Several brands can be part of a same network or independent agency. Rank Market Share Brands -part (or non part) of the networks with an unified management / organization groups -Independents Owner groups RECMA Buying Billings US$m (Based on the Top 500 advertisers) Nb. of Accounts * Growth rates 07 vs ,6% MindShare / GroupM WPP (a) -18% 2 6,4% Initiative / IPG Media Interpublic % 3 3,3% Starcom MediaVest / VivaKi Publicis % 4 2,8% MPG / Havas Media Havas 45 (b) 3 / / / 5 2,5% MAXUS / GroupM WPP / = 6 2% MediaCom / GroupM WWP % 7 1,9% Mediaedge:cia / GroupM WWP / x2 8 1,8% ZenithOptimedia / VivaKi Publicis % 9 1,6% Pratama (Unilever) Independent = 10 1,3% OMD (c) / Omnicom Media Gr. Omnicom na x4 11 1,2% Carat / Aegis Media Aegis % 12 0,3% Universal McCann (d) / IPG Media Interpublic % / / Arena not established Havas / / / / / / PHD not established Omnicom / / / / / / Vizeum not established Aegis / / / / A 36,7% Total 12 brands % B 63,3% Other independents / in-house //// +11% A+B 100% Total INDONESIA Buying billings (source Nielsen adquest Millenium Top 500) //// +10% The number of accounts incuded in the top 500 of identified advertisers, part of the Top Groups / Brands, handled by each agency. Often, there are several accounts / divisions for a same client (parent company). (a) In 2005, Mindshare Billings includes Mediaedge:cia and Maxus. (b) In November 2006, Havas Media announced Euro RSCG was terminating its media planning and buying joint venture with MindShare (Motivator) and launched MPG in Indonesia in Jan 07. Clients won by Motivator independently from Euro RSCG will stay with MindShare. (c) In June, Media Direction was rebranded OMD by Omnicom Media Group to add a new Network on the Indonesian market. (d) In May, Interpublic merged Initiative and Universal operations in Indonesia under the helm of the Initiative office, rebranding the agency IPG Media, consisting of two units, Initiative and Universal McCann.

3 RECMA Global Billings report Definitive June 2008 Table 2- Indonesia Buying billings by NETWORK RECMA defines a network as a media agency having established offices in Americas, Europe and Asia-Pacific, with a uniform brand identity and international coordination resources. Several brands can be part of a same network or independent agency. Rank Market Share Media Networks -incl. Brands Owner groups RECMA Buying Billings US$m (Based on the Top 500 advertisers) Growth rates 07 vs ,6% MindShare WPP (a) -18% 2 6,4% Initiative Interpublic % 3 3,3% Starcom MediaVest SMG Publicis % 4 2,8% MPG Media Planning Havas 45 / / / 5 2,5% MAXUS WPP na = 6 2% MediaCom WWP % 7 1,9% Mediaedge:cia WWP / x2 8 1,8% ZenithOptimedia Publicis % 9 1,3% OMD Omnicom 21 5 na x4 10 1,2% Carat Aegis % 11 0,3% Universal McCann Interpublic % / / Arena not established Havas / / / / / / PHD not established Omnicom / / / / / / Vizeum not established Aegis / / / / A 35,1% Total 11 networks % B 64,9% A+B 100% Non-part of the networks/independents / In-house //// +11% 1,6% of which Pratama Independent = Total INDONESIA buying billings (based on Nielsen Top 500) //// +10%

4 RECMA Global Billings report Definitive June 2008 Owner groups Rank Table 3- Indonesia Buying billings by GROUP of networks Market Share This ranking excludes all non-network agencies or independents Organization Groups Media networks incl. Brands RECMA Buying Billings US$m (Based on the Top 500 advertisers) WPP plc 1 18% GroupM % 5 2,5% MAXUS na = Growth rates 07 vs % MediaCom % 7 1,9% Mediaedge:cia / x2 1 11,6% MindShare % Interpublic Inc 2 6.7% IPG Mediabrands % 2 6,4% Initiative % 11 0,3% Universal McCann % Publicis SA 3 5.1% VivaKi % 3 3,3% Starcom MediaVest SMG % 7 1,8% ZenithOptimedia % Havas SA 4 2.8% Havas Media 45 / / / / / Arena not established / / / / 4 2,8% MPG Media Planning 45 / / / Omnicom Inc 5 1.3% Omnicom Media Group 21 5 na x4 9 1,3% OMD 21 5 na x4 / / PHD not established / / / / Aegis plc 6 1,2% Aegis Media % 10 1,2% Carat % / / Vizeum not established / / / / A 35,1% TOTAL 6 Groups % B 64,9% Independents / in-house //// +11% A+B 100% TOTAL INDONESIA Buying billings (based on Nielsen Top 500) //// +10%

5 RECMA Global Billings report Definitive June 2008 Indonesia Comments by agency (1) Group M / WPP MAXUS Managing Director: Henny Minarti Number of identified clients for the billings calculation: 7 Major organic growth 07 vs. 06: Pfizer Indonesia (+x3), Unicharm (+75%), HSBC (+31%) MediaCom Managing Director: Vina Yustiana Number of identified clients for the billings calculation: 4 Major organic growth 07 vs. 06: Bank NISP (+171%), ICI(+89%), Danone (+57%) Mediaedge:cia Managing Director: Intan Sukmawati Number of identified clients for the billings calculation: 11 Major organic growth 07 vs. 06: Arnott s (+210%), Bentoel (+30%), Citibank (+30%) MindShare Managing Director: Henny Minarti Number of identified clients for the billings calculation: 10 Major organic growth 07 vs. 06: Mattel (x3); GlaxoSmithKline (+46%) Aegis Media Carat Managing Director: Achjuman Achjadi Number of identified clients for the billings calculation: 5 Major organic growth 07 vs. 06: Tempo (+29%) IPG Mediabrands Managing Director: Ram Subramaniam Initiative Number of identified clients for the billings calculation: 10 Major organic growth 07 vs. 06: Telkomsel (+34%), Coca Cola (+14%), J&J (+73%) Universal McCann Number of identified clients for the billings calculation: 2 Major organic growth 07 vs. 06: Intel security (+116%) Excelcom (+73%)

6 RECMA Global Billings report Definitive June 2008 Indonesia Comments by agency (2) Publicis / VivaKi Starcom Managing Director: Ravi Bhaya Number of identified clients for the billings calculation: 15 Major organic growth 07 vs. 06: Malaysia Airlines (+33%), Bristol Myers Squibb (+25%) ZenithOptimedia Chief Executive: Partha Kabi Number of identified clients for the billings calculation: 13 Major organic growth 07 vs. 06: Mobile8 Telecom (+37%), Bentoel (+30%) Omnicom Media Group OMD Managing Director: Wiwiek Siswanti Number of identified clients for the billings calculation: 12 Major organic growth 07 vs. 06: Quaker Oats (+32%), Adira (+31%) Havas Media MPG Managing Director: Adrian Kusnadi Number of identified clients for the billings calculation: 3 Major organic growth 07 vs. 06: Telkom (+32%) Independent agencies Pratama : in house media arm of Wings, Unilever s local competitor Major organic growth 07 vs. 06: Unilever (+7.5%)