Subhash Kamath, CEO, Bates India
<p align=justify>“Bates did well on existing business last year. Some excellent campaigns were created on brands like Nokia, Tata AIG, Indian Airlines, Hamam, Anandabazar Patrika, etc. And all these brands are doing exceedingly well in the marketplace.”
“Bates did well on existing business last year. Some excellent campaigns were created on brands like Nokia, Tata AIG, Indian Airlines, Hamam, Anandabazar Patrika, etc. And all these brands are doing exceedingly well in the marketplace.”
Subhash Kamath took charge of Bates India as CEO, at a time, when the company was reeling under the loss of Rajiv Agarwal. Kamath has always placed equal importance on strategy and creative and has always believed in the ‘fun’ of advertising.
In conversation with Noor Fathima Warsia of exchange4media, Kamath speaks about the future plan of Bates and the present state of affairs of the advertising industry per se. Excerpts
Q. India is still in a state where leading advertising agencies are MNCs. Do you see the situation change to a status where Indian agencies would be serious contenders in the field?
I don't know if that's possible anymore. At least, not if you want to achieve a certain size. You need to have a global outlook and being part of an international network is critical. It helps in the strategies you create for the brand, the inputs that go into creative, improving on the processes of running the business, even in managing long-term careers for your own people. But the important thing is to still retain your local identity as far as the communication is concerned. We must remain relevant and connected to the Indian consumer, no matter how international we become.
Q. Where do we see Bates India headed for?
To becoming the most happening agency in the future, where people have great fun doing great work.
Q. Have you induced any change to address this?
Not yet. The basic team is very much in place, but a lot has been planned for the near future. Some key recruitments are underway. We've strengthened Mumbai, by inducting Rana Barua as Vice President to take charge of both existing and new business initiatives. And we should be finalising our Kolkata branch head soon as well.
Q. Surely there are some drawbacks as well of the change.
Sure, all that has happened is not for the better. People don't seem to have as much fun anymore. Everyone seems so serious. The industry's become more officious and painfully corporate. It's like the MBA's have taken over. Everyone's more achievement and result oriented, more designation and salary driven, but also less passionate. Nobody seems to want to change the world anymore, as long as this month's numbers are delivered.
Q. How would you describe Bates strategy towards acquiring growth? Where do you see growth coming for the agency?
I see four specific areas for growth. First would be organic growth from existing businesses. We're being given additional assignments on the merit of good work done in the past. Second through new business wins and third would be in the area of marketing services. Our brand, 141 Worldwide, is one of the most successful marketing services groups in the world. And with most clients now preferring a through-the-line approach to brand building than just the conventional advertising one, I see 141 playing a very important role in driving our growth. Last would be through merger and acquisitions.
Q. What kind of merger and acquisitions?
I'm afraid you'll have to wait for more details on that, till we're ready to talk about it.
Q. You have spent 18 years in advertising. How has the industry evolved over the years?
Tremendously, I'd say. First of all, clients have changed and so have their expectations from the agency. We have evolved from being mere suppliers of creative to working as actual marketing and business partners to our clients. Today, at least with the more professional companies, you are more involved in business strategy, product portfolio planning, brand architecture planning, etc, not just pure advertising.
Consequently, our remuneration has changed from being pure commission earning to fee and incentive based structures, that are often linked to business performance.
The creative product is no longer the same. Print is no longer the main medium it used to be and neither is television. So more film ideas and more scripts are being created everyday than print ads. Even the print ads now are with more visual ideas, almost "poster-ish." In a way it's sad, as I sometimes long for a beautifully written piece of copy, like the kind Christopher D'Rozario or Alok Nanda or Freddie Birdy used to write. You just don't see that kind of "written word" anymore. But the television commercials are far more exciting now.
The strategic thinking and overall approach to brands has evolved. We used to search for USPs in those days; that is dead now. Today, it's about finding the right "context" for the brand idea, be it cultural, social or even anthropological. So the kind of "insight mining" you do is no longer within the category or competitive framework only. You have to explore the overall environment of the consumer as well.
Also, it's no longer just an advertising agency anymore. It's now a marketing communications business: Media neutral thinking, marketing services, activation, CRM, Internet solutions, promotions. All have become a critical part of the services required by clients. So the larger agencies have changed the way they do business.
Q. What are the basic ingredients of any successful campaign?
Genuine consumer connection, a clear-cut brand idea and a very refreshing execution
Q. Experts point time and again that the Indian advertising industry is not delivering even 10 per cent of its potential. What’s your view on that?
I don’t know really. I'm still discovering my own potential everyday. Same is the case with the industry. As long as we've the balls to question the obvious, as long as we've the passion to try and 'break-through', we'll always create something new. This business has evolved hugely over the last decade. We're doing a lot more now, and doing it better. I suppose the experts would've said the same thing 10 years ago as well. Because, you see, it's an on-going thing. There'll always be so much more to achieve!
Q. How different are your duties at Bates from Ambience?
To begin with, the two agencies are totally different from each
other in terms of structure and culture and are at different stages of growth and consolidation. My responsibilities here are far more independent, more macro and holistic. As CEO, I am ultimately responsible for the overall performance of the company and its vision. This means business growth, profitability, quality of creative and strategic product, people, etc. At Ambience, I was one part of the overall senior management structure that was driving things.
Second, Bates Asia, and consequently the Indian operations as well, is really at a stage of relaunching a new identity, a new vision and overall, a new way of life. This means new processes, new planning techniques and creative renaissance. So, I'm getting to do a lot of exciting stuff that I've never done before.
Lastly, from a purely operational point of view, Bates has multiple offices across the country, while Ambience was primarily Mumbai based. Spearheading a company like this is quite different from single office operations.
Q. How do you rate the performance of Bates vis-à-vis competition?
Bates did well on existing business last year. Some excellent campaigns were created on brands like Nokia, Tata AIG, Indian Airlines, Hamam, AnandabazarPatrika, etc. And all these brands are doing exceedingly well in the marketplace. On the flip side, however, the initial uncertainty around the Cordiant group until WPP bought over, and the fact that there was no CEO in place for many months, had an effect on the agency. There was hardly any focus last year on new business, which, in today's environment, is absolutely critical. Neither were planned investments made into infrastructure, talent or gaining industry recognition in terms of creative awards, etc. So overall, the performance has been decent, I'd say, but rather reticent and non-aggressive, compared to competition.
Q. If you had to change one aspect about the field, what would it be?
Throw out all the egoistic, insincere posturers and hire only genuine, passionate people.