In a dynamic market where consumers have their own media to generate content expressing their likes and dislikes on products and services, Matt Seiler, global chief executive officer of IPG Mediabrands, suggested that his company banked on digital innovat
In a short interview with Seiler on the 28th-floor head office of IPG Mediabrands Thailand, he told The Nation he was surprised with the success of the firm’s Bangkok unit in terms of innovation.
"Thailand’s unit is still the most innovative. Initiative is so strong here in the Kingdom, UM is growing rapidly as well. The growth in Thailand is extremely strong and the innovation that comes from here is what the rest of our group are looking at," he said.
Initiative and UM are key divisions of IPG Mediabrands.
Wannee Ruttanaphon, chairwoman of IPG Mediabrands Thailand, and her team did great jobs, he suggested.
"I would like to see [them] myself and spend time with them and bring some experiences back to my team at headquarters," he said.
Seiler pointed to Initiative’s "Million Reasons to Believe in Thailand" campaign as a good example of innovation.
This campaign won two Gold Lions at the Cannes Festival of Creativity in the media category for Best Use of Integration Marketing for Fast Moving Consumer Goods.
The campaign for Coca-Cola aimed to boost confidence and move the country forward from the flood crisis in 2011.
Content creation is a strong driver in society, in Thailand and elsewhere on the planet, Seiler said. Video consumption is continuing to surge because of the rise of Internet users.
This trend is very important for media agencies to get involved with, he remarked.
To capitalise on this trend, this year IPG Mediabrands has created a global production capability.
"So we bought a company in India, called Interactive Avenues, India’s largest independent full-service digital agency, and joined Airborne, a creative agency in Australia, and joined Cubo, a Brazil-based digital agency," he explained.
As well, last month IPG Mediabrands became a partner with TubeMogul, a leading programmatic-video advertising company. Having this partnership, the company will able to allow clients to access and invest in high-quality, targeted digital video.
The non-exclusive partnership will extend IPG Mediabrands programme-buying capabilities into the United Kingdom, Japan and Australia, for clients in those markets.
Seiler confirmed that his Thai clients would also experience this cutting-edge service soon.
The CEO is moving the agency-client relationship to a pay-for-performance model linking compensation directly to clients’ sales growth.
"Now more than half of our clients pay us based on performance. We champion that around the world, and we are much farther along with [this] model than anybody else by far," he said.
The client can measure success based on market share, awareness level, or sales growth.