NZZ Folio on the topic of sponsoring

In Switzerland, 600 to 700 million francs are spent annually on sponsorship. In its latest issue, NZZ Folio explores this topic and asks: «Who pays whom, how much, and for what?»

Business donations linked to quid pro quo are increasingly permeating almost all areas of life, including science and health, the media and top gastronomy. "We may welcome this because much of what sponsors finance would be unaffordable for most people. However, the creeping commercialization of society can also be critically questioned because, although sponsors like to advertise themselves, there is often a lack of transparency regarding services and benefits in return," writes NZZ-Folio editor Andreas Heller in the editorial. The magazine attempts to lift the veil and shows "how sponsors operate, how they exert influence and change our lives. "

The current issue of the monthly magazine includes an interview with Red Bull boss Dietrich Mateschitz. The energy drink manufacturer invests around 600 million euros a year in event and sports marketing. Other articles deal with sponsorship in wrestling and football. In addition, an illustration using the example of Didier Cuche shows which sponsors pay what in the ski circus. There are also articles on film sponsorship and sponsors in the cultural and scientific sectors. The article "Scenes from a marriage" also shows that sponsorship partnerships are similar to interpersonal relationships: "What begins as an ideal pairing regularly ends in expensive divorces."

To the edition: Nzzfolio.ch.

 

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Swiss Cup gives SSF good ratings

Last Thursday, the Swiss sports channel SSF aired a live broadcast of the Swiss Cup quarterfinal match between FC Biel and defending champion FC Basel. Up to 68,000 people watched the game on SSF.

This gave the channel a peak market share of 7.1 percent among the target group of 15-49 year-olds, as SSF writes in a press release. As many as 50,000 people were in front of their TV sets at the same time when FC Wohlens met Zurich Grasshoppers in the round of 16. Program director Claudia Lässer is delighted: "The success shows that SSF has a high-quality product in its program with the Challenge League.
 

Rod: Presented the spring of Yes or No for Manor

«Wild Romance» is the theme of Yes or No's spring fashion collection. The Zurich-based agency Rod Kommunikation has developed a campaign for Manor's in-house fashion label.

The leitmotif "Against normal," which was introduced in the fall of 2010, was reinterpreted and implemented for various channels, including ads, social media activities, and an app for iPhone that allows users to take pictures of themselves in vintage look and true to the campaign motto.

App Store: http://itunes.apple.com/ch/app/yes-or-no-foto/id418298587?mt=8 and Facebook: www.facebook.com/yesorno.
 
 

Community managers are what the country needs

Social media is becoming increasingly important and is replacing traditional media. If we are to believe those who are already using it, advertising on Facebook is set to take off in Switzerland as well.

As with the advent of search engine marketing, however, social media marketing is a new playground where traditional advertising knowledge is often of no help. Says Markus Gabriel, owner and creative director of the crossover agency Angelink AG, which specializes in online and social media marketing: "Viewing Facebook as a classic advertising medium is about as relevant as viewing a television as a sound carrier. Companies should see Facebook primarily as a trust-building dialog and a viral promotion platform, not as a parking lot for advertising messages."

The hype surrounding social media is gripping more and more companies, and it should not be forgotten that professional social media use is still in its infancy. After all, it has already become clear that those who first see the reach on Facebook and other social networks with a conventional understanding of advertising and place ads accordingly are often quickly disappointed. After all, people who are on Facebook want to communicate with friends, and impersonal push advertising is about as frowned upon as when the vacuum cleaner salesman shows up at the regulars' table.

Companies must therefore strive to become part of the social environment of the intended target group. The first step and basis for this is a dedicated fan page that functions like a homepage on a social network platform. According to a study conducted by the American market research company Nielsen in April 2010, purchase intentions are four times greater when a homepage is used (8 %) than when this is not the case (2 %). But a company's own presence on a social network must not be static, but must encourage interaction. This is where the new discipline of community management comes into play, which cannot simply be equated with forum moderation. There is still a lot of experience and corresponding competence to be built up here (corresponding courses are currently sprouting up everywhere). If these are lacking, even large brands have a presence, but only reach a relatively meager fan base. Advertising campaigns can now be based on this and are then often very successful. However, anyone who wants to increase their fan base with advertising on a social network will also be disappointed by such number-crunching. After all, it is easier to interact with (a few) real fans than with many purchased ones. In online marketing, reach is increasingly less relevant; instead, qualitative key figures are in demand. These are only just beginning to emerge, especially in social networks. Just as regular customers are important in business, social networks are all about strong connections, which can be seen, for example, in frequent and regular visits by fans to the Facebook page.

Christoph J. Walther

Experts are certain: Facebook will cut off the water from the classic media

Werbewoche asked social media practitioners in Switzerland about their experiences with advertising on Facebook and the corresponding future prospects: Regula Fecker (Rod Kommunikation AG, Zurich), Sven Beichler (mySwissChocolate AG), Markus Gabriel (Angelink AG Crossover Agentur, Zurich), Andrea Iltgen (xeit gmbh), Sandra Albisser (SocialCom GmbH) and Stefania Misteli (Valora Management AG).

Click here for the answers.

This article is from the current print edition of Werbewoche.

(Image: Keystone)
 

Denner: Let the machines start

Denner is pleased with the decision by the St. Gallen Commercial Court. In an advertisement, the discount retailer is calling on its customers to start their machines.

The motif draws attention to the resumption of production and promises "Denner coffee capsules will soon be available again!".

Read more: Denner may sell capsules for Nespresso machines again. 

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(The advertisement appeared in Blick am Abend on March 7).
 

Turkey: Journalists and a Controversial Author Arrested in Turkey

Following the arrest of two prominent journalists in Turkey, four other media representatives and an author controversial for his anti-Semitic views were taken into custody on Monday. The prosecutor’s office rejected the accusation that the arrests were an attack on press freedom in Turkey.

Author Yalcin Kücük and four employees of the government-critical website «Oda TV» are accused of membership in a terrorist organization, according to reports by Turkish television stations and news websites. The public prosecutor’s office rejected the accusation that the arrests were an attack on press freedom in Turkey. Last week, two journalists, Nedim Sener and Ahmet Sik, were arrested on suspicion of belonging to the alleged right-wing secret society Ergenekon. According to the prosecutor’s office, Ergenekon was planning to overthrow the government of Prime Minister Recep Tayyip Erdogan.

Critics of the government: Witch hunt

Erdogan's critics are calling it a witch hunt against government critics. They believe that Sener and Sik were arrested because of their criticism of the police. In recent days, journalists in several cities across Turkey have protested against the actions of the police and the judiciary. President Abdullah Gül also expressed concern. Criticism also came from the EU and human rights organizations.

Prosecutor Zekeriya Öz, who has been leading the Ergenekon investigation since 2007, stated, however, that the arrests of Sener and Sik had nothing to do with their journalistic work. He said he could not publicly disclose the reasons due to the ongoing investigation. While in the past those arrested on suspicion of involvement in Ergenekon were primarily military personnel and academics, Öz’s investigations have recently focused increasingly on media representatives.

The director of «Oda TV,» Soner Yalcin, had already been arrested several weeks ago. The author Kücük, who has now also been arrested, had previously been held in temporary custody. According to media reports, Öz considers him a leading member of Ergenekon. Kücük, a nationalist and opponent of the EU, had caused a stir in recent years with claims, among other things, that Turkey was being infiltrated by Jews. (sda) 

Customer wins for Unikat, The House Agency and PEPR

In addition to Advico Young & Rubicam, three other agencies reported an increase in clients on Monday: the Küsnacht-based agency Unikat, The House Agency, and PEPR Peter Eberhard Public Relations.

Unique can expand its customer portfolio with two new names. On the one hand, the "Anzeiger der Stadt Kloten" has joined. The other communications mandate concerns Bertschi AG in Reinach, which is in the process of setting up customer-friendly collection points under the name "Recycling-Paradies". Unikat was selected by both clients for a new integrated overall appearance.

The House Agency wins the online marketing tender of CSS Insurance. The agency founded in January 2011 has prevailed over several competitors and will be in charge of CSS Versicherung's online marketing measures. The first measures will be launched in the spring.

The agency led by owner Peter Eberhard PEPR has been working for some time for the listed company Starrag Heckert, headquartered in Rorschacherberg, a supplier of precision machine tools. The mandate mainly comprises support in media relations and financial market communications.

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Last but not least: is everyone gaga now?

A bizarre story from England: a London café has created a new type of ice cream made from breast milk and named it "Baby Gaga". Gaga - even the US singer Lady Gaga thinks so and urges the café operators to find a name for the unusual variety that no longer resembles her own name.

"Baby Gaga" has been around since the end of February. The ice cream was served by a waitress whose blonde wig and provocative outfit were reminiscent of Lady Gaga. Despite hefty prices - the 15 women who had their milk pumped for it wanted to be compensated - "Baby Gaga" was sold out after just a few hours. However, not only the US singer but also the London authorities became aware of the breast milk ice cream. "Baby Gaga" is now being analyzed in the laboratory. Until the results are available, the variety will no longer be produced. Nevertheless, the café operators have taken up the fight against the pop star. The ingenious to absurd arguments can be found on the café's blog: Blog.theicecreamists.com.

 

NZZ Group: 35.3 million francs profit

The NZZ Media Group posted a profit of 35.3 million Swiss francs for the 2010 fiscal year. The main reasons cited for the significantly improved result compared with the previous year are a sharp reduction in operating expenses and increased revenue across nearly all revenue segments.

The 2010 financial year brought the "expected turnaround" for the NZZ Media Group, according to the company. On the one hand, the economic recovery in the media industry from the fall of 2010 had a positive impact on sales, the company wrote in a statement. On the other hand, the restructuring of the Group initiated in 2009 took full effect in the year under review. At the operating result (Ebit) level, a profit of 47.2 million Swiss francs was achieved, exceeding the previous year's result by 43.5 million Swiss francs. The Ebit margin was 9.1 percent compared to 0.8 percent in the previous year. Following a loss of 3.1 million Swiss francs in the previous year, the Group result of 35.3 million Swiss francs also shows the significant improvement in the Group's results. The Board of Directors proposes to the Annual General Meeting that a dividend of 2000 Swiss francs per share be paid for the 2010 financial year.

Total operating income increased by 4.8 percent year-on-year to 518.4 million Swiss francs, the statement added. Advertising revenues showed a slight recovery in the second half of the year and amounted to 193.5 million Swiss francs (+ 5.3 percent), also thanks to new acquisitions. Subscription and retail revenues increased by 4.2 percent to 151.7 million Swiss francs. In an industry environment characterized by production overcapacity, print revenues remained virtually at the previous year's level at 73.7 million Swiss francs. Income from electronic media rose by 18.7 percent to 46.8 million Swiss francs. According to the press release, the significant increase is the result of consistently improved sales in all sub-segments (radio, television, classifieds, online). Other revenues improved by CHF 1.9 million year-on-year to a total of CHF 53.8 million. Thanks to synergy effects and cost-cutting measures, total operating expenses were reduced by CHF 4.0 million to CHF 471.2 million. This is reflected in the increase in operating profit (EBIT) from 3.7 to 47.2 million Swiss francs. Cash flow from operating activities doubled from 36.3 to 74.4 million Swiss francs. The equity ratio increased from 68.2 percent to 69.2 percent. Despite acquisitions, the Group's headcount remained constant at 1607 full-time positions (previous year 1608).

Business Division Neue Zürcher Zeitung

In the Neue Zürcher business unit, sales rose by CHF 6.6 million to CHF 194.4 million. At CHF 86.7 million, advertising sales were CHF 1.2 million higher than in the previous year. According to the press release, income from subscription and single-unit sales rose by a pleasing 2.2 million Swiss francs to 74.2 million Swiss francs. Operating expenses including depreciation were reduced by 13.3 to 173.2 million francs. The operating result (Ebit) improved from CHF 1.3 million in the previous year to CHF 21.2 million.

Business Division FPH Freie Presse Holding

In the FPH Freie Presse Holding business unit, sales rose by CHF 19.4 million to CHF 327.7 million. Here, too, advertising sales recovered. It rose by 8.5 million to 106.8 million Swiss francs. FPH includes the holdings in regional publishers such as Neue Luzerner Zeitung, St.Galler Tagblatt, Radio Pilatus, FM1, Tele 1 and Tele Ostschweiz.

(Image: Keystone)
 

SRG: Will Viktor Baumeler be the new Chairman of the Board of Directors?

SRG Board of Directors Chairman Jean-Bernard Münch’s term expires at the end of the year. According to the newspaper *Sonntag*, Viktor Baumeler has a good chance of succeeding him.

Although Jean-Bernard Münch has not yet made a binding statement about when he intends to step down as SRG Chairman, Sonntag writes. However, everything indicates that it will be at the end of 2011. Several people close to Viktor Baumeler, a member of the SRG Board of Directors with a declared interest in the presidency, have confirmed that the 62-year-old is currently lobbying on his own behalf. The newspaper concludes from the fact that he has withdrawn from the nomination committee, which is making the first soundings in the search for a new president, that he is seeking the office - after all, as a committee member he could not nominate himself.
 

Jump in profits for Tagblatt Medien Group

The Tagblatt Medien Group in St. Gallen posted a net income of 6.982 million Swiss francs last year.

This is more than three times as much as in the previous year, as the St. Galler Tagblatt writes in its Saturday edition, according to SDA. In 2010, around 44 million francs worth of advertisements were sold, seven percent more than in the crisis year of 2009. The Tagblatt Medien Group, which belongs to the NZZ media group, also benefited from a low paper price. Tagblatt CEO Daniel Ehrat expects an even higher profit for the current year.

The Tagblatt Medien Group includes the print media St. Galler Tagblatt, Thurgauer Zeitung, Anzeiger, Textil Revue, Smash, Toggenburger Nachrichten, Neuer Anzeiger Sulgen, Werdenberger & Obertoggenburger and Schweizer Soldat.

The Group is also active in the electronic media and online with the television station Tele Ostschweiz, FM1 radio and the Ostjob.ch Internet job exchange. The Tagblatt Medien Group employed 544 people at the end of the year. (SDA)
 

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