Good News for Good News and for 20 Minutes

Good News (GN), the magazine of the Swiss concert agency of the same name, will increase its circulation from the current 50000 to 350000 copies from March 2002.

Good News (GN), the magazine of the Swiss concert agency of the same name, will increase its circulation from the current 50000 to 350000 copies from March 2002 thanks to a cooperation with the commuter paper 20 Minuten. The content of the 48-page monthly magazine will be reduced to 24 pages and integrated into 20 Minuten on the last Friday of each month. 50,000 complete copies of GN will continue to be sent to subscribers and distributed at events, and both titles are also launching a combined advertising campaign. An advertisement in the GN total circulation is available at the national rate of 20 Minuten (1/1 page 4f, gross: 23,000 francs). If you only want to address GN subscribers, you pay 8200 francs (previously 10200 francs).
GN Managing Director André Béchir hopes that the collaboration will lead to significantly greater distribution, more subscribers and advertising revenue. Rolf Bollmann, publishing director of 20 Minuten, expects his paper to gain greater reader loyalty and access to GN advertising customers. An interesting fact: GN was previously printed by Ringier, but is now printed by the Vorarlberg printing company, which prints part of 20 Minuten (mk).

Fine to be a Swiss chick'n

Chick ’n’ More is expanding rapidly—even without traditional advertising

Chick 'n' More is expanding rapidly - even without traditional advertisingBy Luca Aloisi Chick 'n' More is the name of the fast food chain that has been conquering the Swiss market for almost two years. With its anglophile image, promising business plan and genuine products, the Swiss start-up trio seems to be guaranteed success. An ingenious idea that almost completely dispenses with traditional advertising in the communication mix.
While the expansion of the fast food giants, above all McDonald's, is stalling, a local gastronomy company is taking the fast food market by storm: Chick 'n' More (C'n'M). With an average of one new opening per month, the chain aims to operate around 50 branches in Switzerland within three years. The biggest obstacle in the business plan is not suitable locations, but the requirement to achieve consistency in quality and implementation with the teams. CEO Marc-Antoine Cornaz therefore does not rule out further expansion with partners across borders into German-speaking countries. Cornaz, former Development Director and member of the management board at the UK headquarters of Pepsico Restaurants Int. - Kentucky Fried Chicken and Pizza Hut - is joined on the management board by Martin Wieland, Metrociné Director, and Ivan Levy, Chef Body Shop, Switzerland.
The wait for the alternative is over
The stars are aligned: after cases of antibiotics and bacteria, mad cow scandals and foot-and-mouth disease, many Swiss people have lost their appetite for minced beef patties with gherkins and sesame buns. The white, lower-calorie chicken meat has benefited from this tarnished image.
However, this is not the only reason why C'n'M CEO Cornaz believes that the Swiss chicken fast food chain has good chances of success: On the one hand, fast food is the fastest growing segment in the European restaurant industry, in which there is still considerable growth potential, Cornaz knows. In addition, market penetration in the highly fragmented restaurant sector in continental Europe is still very low. If anyone can judge that, it's him.
The trained hotelier, who most recently worked in London as Market Manager for Kentucky Fried Chicken England and as Real Estate Manager for Tricon UK, has also gained a wealth of experience of the entire European fast food market. He knows what is important when launching and establishing a new restaurant brand in the local market. The investment company CommCept Trust is also convinced of this, which is why it is supporting the recently launched expansion.
In order to assess the market potential, the CEO relied on key considerations and market data that were decisive for the expansion: First of all, there is the rising purchasing power, the trend towards eating outside the home - transport and concept gastronomy has been recording annual sales increases of around 10 percent for some time - as well as the competition: the 12 largest restaurant brands manage less than 8 percent of all restaurant businesses with a sales share of around 15 percent. Finally, the willingness of many consumers to pay more for Swiss Natura chicken, the basis of the C'n'M menus, is also a factor. And among the market leaders, only McDonald's offers a focused range.
Cornaz then designed an innovative restaurant formula that is positioned in the upper quality and price range and has a highly flexible, efficient operating system. He also wants to achieve a competitive advantage by quickly gaining market share and good conversion capability, but above all by achieving a high level of customer satisfaction. The latter is based on brand recognition, high product continuity and a convincing value system.
"The first two locations proved this to us," says Cornaz, not without pride. In these branches, the company initially concentrated on product and price positioning. After all, the first C'n'M take-away in Bern's railroad station in 1999 had the hoped-for success and soon achieved an unexpectedly high level of customer loyalty, despite a nearby and cheaper chicken roaster. The competitor's sales hardly fell at all, suggesting that C'n'M had reached new, consciously consuming customer groups. The same was observed in Vevey, where C'n'M was able to capture a growing market share in direct competition with McDonald's.
No print campaign, no TV commercial and almost no posters
Accordingly, Cornaz wants to clearly distinguish and position the brand for not exactly cheap finger food through the USP of quality: Above all, the freshness of the ingredients and the high-quality processing are conveyed - the chicken here is not baked in the deep fryer, but grilled on the griddle.
And something else is different at C'n'M: publicity is not achieved via traditional communication channels or price, but directly at the location and locally in PR, above all in the form of a clearly defined corporate identity and behavior. New openings are also followed by sales promotion measures.
Cornaz expects that the international image and word of mouth will also help to build awareness. This communication mix makes sense for the target clientele - mainly a discerning adult and primarily female clientele who were waiting for an alternative to conventional fast food restaurants.
Although the response is already very strong, particularly among early innovators, there is an "image hurdle" among women because they are not the primary fast food consumers. In brand communication, it is therefore important to achieve a balance between simple messages and the diverse content of C'n'M. "You always have to try to consciously and boldly break certain established industry rules," says Cornaz, referring to the extraordinary C'n'M positioning in the fast food and takeaway sector.
The communication style, which conveys the naturalness and core values of the new Swiss restaurant brand, is completely in tune with the genuine food. Above all, the main motif clearly reflects this message: fit, food, fast, whereby the alliteration is partly broken up visually and attractively by the product illustration of specialties such as the Deluxe Sandwich or the Salad Meal. While the Ideenhaus agency, Nuremberg and London, implemented the brand strategy in corporate design and claim and created the logo, into which they graphically projected the sandwich, the wave of fragrance, but also wellness, flame, poultry, naturalness and freshness, the Basel agency Schenk Müller Bider developed the means for the location-specific communication.
Authenticity, personality and passion are core brand values
Two steps should lead C'n'M to the hoped-for popularity and popularity: "Firstly, we try to generate a lot of trials, because this is the only way for customers to feel the clear difference. And secondly, if you want to build up a market, it is crucial that the necessary volume is achieved as quickly as possible. This is the only way to gain and defend market share and synergies," Cornaz is convinced.
From the first generation of stores, which proved the concept, the founders of the fast food chain practically only saved the product and the price positioning. Following market analysis and customer surveys, the go-ahead was given at the beginning of 2001 for rapid expansion and the emotional positioning of the brand to differentiate C'n'M from the usual grilled chicken.
In contrast to most fast food chains, which have the image of artificial junk food, customers attested to the authenticity of C'n'M's products. The personal service was also appreciated. However, there was a gap in perception in the emotional area of the target positioning matrix. Precisely because rational reasons for buying predominate in the targeted catering area and are decisive for providers, emotional stimuli are of great importance because this area is the most interesting economically.
Examples such as Häagen Dazs prove that price elasticity in this area is far greater than with competing products that are not positioned in the emotional segment. However, very few fast food chains still differentiate themselves through passion, lifestyle, eroticism and other associative worlds. C'n'M focuses on experience positioning and appeals to the need for vitality for emotional involvement. Cornaz says: "Vitality in the sense of wellness, i.e. simple, balanced and cozy food, time savings thanks to fast service, warm, cozy ambience in which people like to linger a little longer."
At the chicken chain, this philosophy of naturalness is not only reflected in the fresh chicken, the crispy bread developed by Hiestand, the baked potatoes or the unsweetened teas, but also in the comfortable seating, which is designed in such a way as to artificially increase customer circulation at fast food competitors.
The differentiating market entry has been thought through down to the last detail: even the usual tray, which requires a high level of juggling skill from the customer when shopping with fully loaded bags, has been replaced by a shopping basket at C'n'M. This has the additional advantage that "it also makes clearing up much easier", explains Cornaz. This has the additional advantage that "it also makes clearing up much easier", explains Cornaz. Conceptual particularities such as these reflect the natural, simple and original nature of chicken food.
There are many good concepts - few can be multiplied
In order to stay on track in the long term, brand rules have been defined: for example, only whole and fresh pieces of chicken with a declaration of origin are used, and the customer is served personally by the manager at the till. "The decisive moment in a restaurant is the one-minute customer contact, which rarely happens with the chef, even in a staffed restaurant," says Cornaz.
Alcohol is not served at C'n'M, nor is smoking permitted here. The standardized values make a strategic difference to the competition visible and are intended to increase brand recognition and minimize anonymity. "Even in fast food, where service is often underestimated, more than half of customer satisfaction is achieved precisely through this experience," Cornaz is convinced and includes cleanliness, service, the right selection, right bills and more.
30 to 35 percent of satisfaction is gained from the food itself, and the rest is based on the right value for money. "In the fast food sector, the motto is therefore: We're in the entertainment business, and by the way there is something to eat." After all, McDonald's also sells entertainment, says the CEO. He acquired this expertise at Tricon, which invested a lot of money in extensive studies. He planned the modular C'n'M system to be correspondingly flexible and efficient in order to deal with fluctuations better than other restaurant systems.
Technically and spatially, the absence of a large kitchen represents a significant advantage in terms of location, implementation and costs, which allows for high market penetration. C'n'M compensates for the mediocre frequencies that are possible in Switzerland in an international comparison and, in contrast, the high fixed costs - real estate and personnel - with a smaller space and personnel requirement. Not only that: "We have entered the market with a product that is in the higher price segment, partly because purchasing power is the only way to compensate for these frequency disadvantages," says Cornaz.
He sees the real trump card of his chain in its multiplicability. And as the people business factor comes into play with this restaurant model, he is convinced that C'n'M will benefit from the appeal of a dynamic, expansive brand. This applies to employees as well as suppliers, partners and stakeholders of all kinds.
The expansion plan was drawn up from the west and concentrated on smaller and medium-sized cities. Only with impressive volumes would it be possible to operate in more competitive markets such as Zurich. Under no circumstances did he want to cross-finance a store in a prime location with the cash flow from a few branches. So - the downer at the end - we will probably have to be a little patient until the first Zurich C'n'M restaurant opens its doors.

Muse & Musse: Gabi Wettstein

Muse & Leisure: Gabi Wettstein What cultural event did you last attend? Gabi Wettstein: The premiere screening of the short documentary «Zeit-Frei» in the presence of the director and Pr

Muse & Musse Gabi Wettstein What was the last cultural event you attended?
Gabi Wettstein: The first screening of the short documentary "Zeit-Frei" in the presence of the director and protagonists.
What are you reading right now?
Wettstein: "Bellavista and Love" by Luciano de Crescenzo, because "Thus Spoke Bellavista" was already a feat and "The Art of Disorder" always accompanies me.
Which CD do you currently prefer to listen to?
Wettstein: Today Leonard Cohen's "Ten New Songs", song no. 1, yesterday Francis Cabrel, tomorrow Les Rita Mitsouko and again and again Bob Dylan.
Which movie would you most like to see again?
Wettstein: "Alexis Zorbas" - for me the most beautiful movie with an outstanding Anthony Quinn.
What TV show did you fall asleep during the other night?
Wettstein: I don't remember, I was asleep.
What is your latest discovery on the Internet?
Wettstein: www.factmonster.com/spot/rama dan1.html (in search of the beginning of Ramadan).
What could you never do without?
Wettstein: Turning night into day with good friends and good wine.
What do you do in a free minute?
Wettstein: Enjoy it and wait until it's over.
Love is...?
Wettstein: ...cannot be reduced to one answer.

Service: Print Media Planner

The 2002 Print Media Planner will be published on November 23—marking its 26th edition.

The Print Media Planner 2002 will be published for the 26th time on November 23.Service Print Media Planner It contains the latest detailed data on the Swiss press landscape, the results of the Mach Basic, MA Net and MA Comis 2001 studies and the latest VSW circulation data. It now also includes price information on TV, posters, radio, Internet, cinema and direct mailing. The planner can be obtained from bjung [email protected] or by calling 021 317 76 66.
Kobi's crime thriller Following Matthias Steinmann's debut novel, volumes 2 and 3 of the Lorenzini-Krimi series are now being published. The Bernese scene pub Lorenzini and the advertising agency Contexta want to give unknown crime writers the chance to be published. Volume 2, "Black Day", was written by 30-year-old Louis Hagedorn. Volume 3 is a new edition of the first work by Contexta co-owner Fritz Kobi. The book launch will take place on December 3 at 7 pm at the Restaurant Du Théatre in Bern.
18 PR Masters At the University of Lugano, 18 participants have completed the second MPR course and can now call themselves Master of Science in Communications Management. The successful candidates have an average of 14 years of professional experience in communications and most of them already hold management positions. The list of the new Masters of Science in Communications Management can be found at www.werbewoche.ch

More uncertain than ever

Cable network operators in Geneva and Lausanne against display of M6 advertising window

Cable network operators in Geneva and Lausanne oppose the M6 advertising windowBy Anita Vaucher The cable network operators in the two largest conurbations in western Switzerland, Geneva and Lausanne, are opposing the insertion of the planned M6 advertising window. Now its marketer IP Multimedia is putting pressure on the trade associations.
There is no end to the confusion surrounding the long-planned advertising window for French-speaking Switzerland on the French private TV station M6. What was still circulating as a rumor last week has now been confirmed: The two cable providers TeleGenève (Geneva) and Urbanet (Lausanne) have signaled that they want to do without the advertising window.
TeleGenève, which also operates the local station Léman Bleue, explains that broadcasting the advertising window is not financially interesting. In addition, the "program suisse" that M6 offers together with the Swiss advertising window is not significantly different from the French offering.
Therefore, the advertising window alone is not interesting for the viewers, said Michel Vieux of TeleGenève. And last but not least, according to the sibylline justification, one respects the position of the Federal Office of Communications (Bakom) and Télévision Suisse Romande (TSR), both of which had expressed vehement opposition to the advertising window.
The decision for or against the insertion of the advertising window in Neuchâtel, the third major catchment area in French-speaking Switzerland, is to be made in the next few days. André Vuillemez of the responsible cable network operator Video 2000 told WerbeWoche. If this decision is also negative, it will be a tight squeeze for the M6 advertising window.
IPM now seeks support from trade associations
Meanwhile, the advertising time marketer IP Multimedia (IPM) continues to make optimism and wants to wait for the official negotiation result of the cable companies of Western Switzerland with M6. Bakom in Biel is not up to date on the latest developments regarding the decisions of TeleGenève and Urbanet and is reportedly still waiting for the copy of the authorization for the advertising window, which the competent French authority has already granted to M6. According to IPM spokeswoman Bettina Singeisen, however, Bakom must have received this copy long ago.
According to Singeisen, IPM is now seeking the support of trade associations to put pressure on
the cable companies. After all, economic interests were at stake, she said. In addition, she said, the advertisers' demand for alternatives to TSR is a fact. "Viewers also benefit far more from advertising for products they can also buy in Switzerland," Singeisen stressed.

Ready for the Fight

IAA Roundtable Gives NZZ am Sonntag and Facts the Upper Hand

IAA talk gives NZZ am Sonntag and Facts the better cardsBy Daniel Schifferle On the way to certain success (NZZ am Sonntag), a free rider (Facts) or on the way to the media graveyard (Weltwoche) - the IAA talk on the upcoming "battle of the weekly press" allocated risks and side effects. But there was agreement on only one thing: SonntagsZeitung, Weltwoche, Facts and even the NZZ Saturday edition will lose ground in the advertising market.
It is clear that with the launch of NZZ am Sonntag on March 17, 2002, certain other weekly titles such as SonntagsZeitung, Weltwoche and Facts will have to fear for readers and advertisers. But who will emerge stronger or weaker from the din of battle can only be debated for the time being. The IAA roundtable on the weekly press discussed a number of arguments, with the aim of making the new competitive situation a little more predictable.
The outcome of the battle for readers and advertisers next spring is quite foreseeable, if one believes the notes of media consultant René Grossenbacher (Publicom AG). Not only does the NZZ am Sonntag perform well, but Facts is also expected to benefit from the new environment. On the losing side, he sees the SonntagsZeitung (SoZ) and Weltwoche.
Grossenbacher based his forecasts on theses. An unexpected one: Facts would hardly suffer from the NZZ am Sonntag. On the contrary, the two even have what it takes to become the future power pack. "A perfect team for the stressed info elite". Facts provides entertainment-oriented access to the "must-read" material of the information elite. Before the more serious counterpart, NZZ am Sonntag, demands more reading time on the weekend.
Of banks, media alliances and discontinued models
Grossenbacher gave the new product from Falkenstrasse plenty of advance praise. He recalled not only the potent brand, which would be a strong godmother to the newspaper child. The media association with the St.Galler Tagblatt and the Bund also offered excellent opportunities for distribution and promotion. And that's not all: the other important factor, money, is not lacking either. "The NZZ is a bank that also publishes a newspaper," Grossenbacher said. The baby is sure to grow vigorously. The current climate is also favorable for the offspring of the NZZ, he said. "The end of the fun society and the good news situation - both could speak for the NZZ am Sonntag," he explained.
But of course the "booming" Sunday press is on the sunny side anyway, and the daily press is also strongly positioned, according to Grossenbacher. Not so the "struggling" political weekly press. Grossenbacher hardly allowed any rays of hope. Weltwoche is a discontinued model - because political weekly titles are more likely to be dispensed with. This is a thesis that media scientist Roger Blum had already put forward at the beginning of the year in WerbeWoche (WW 7/01).
Grossenbacher also interpreted the radical innovations and the move from newspaper to magazine as a bad sign for Weltwoche. "Such radical cures often herald death," he said.
But Grossenbacher also sees problems with the reader market ahead for the SoZ. The potential for switching, which he senses, is considerable: every seventh SoZ reader - that's no less than 106,000 - is also an NZZ reader. The NZZ subscribers among them will hardly expect to read two Sunday newspapers from next spring on, that is already clear. And because the NZZ am Sonntag comes free of charge anyway, the decision is already anticipated. The loser is the SoZ.
However, SoZ editor-in-chief Andreas Durisch defended his paper as a successful Sunday title - it would hardly have much to fear in the new environment. To this Ralph Büchi objected: "Why does SoZ nevertheless give away 33 percent or 49 francs of its subscription rate when it is so successful?" If the NZZ am Sonntag uses such blatant marketing methods as, for example, one year's free delivery to NZZ subscribers, then the SoZ must also do something, Durisch countered.
NZZ am Sonntag cannibalizes its own Saturday edition
There was agreement on the developments in the advertising market. Sunday is and remains a great day for advertising. With the NZZ am Sonntag, a market expansion in the advertising market would become reality. But not so lavishly that everyone can profit from it. "NZZ am Sonntag will absorb more ads than it generates," Grossenbacher predicted. "The others will have to dress warmly." Durisch expects slightly fewer advertisements. The company is now looking to talk to its customers.
Tobias Trevisan, Head of NZZ Publishing, also expected an expansion of the market, but at the same time predicted cut-throat competition. Trevisan made no secret of the fact that the Saturday edition of the NZZ itself would lose out. Of the two other Sunday titles, the SoZ in particular will have to give up advertisements.
"Weltwoche is Stalingrad easy".
But that is still comfortable compared to what is feared for Weltwoche. How do you feel on the way to the media graveyard, Büchi asked Weltwoche editor-in-chief Roger Köppel. "New content, new orientation, new form - aren't you expecting a bit much of your readers all at once, after they've already been confronted with plenty of change in recent years?"
Köppel says they only had two options: "Either to moderate a euthanasia program in the long term - or to improve something sustainably. We opted for the bolder step," he replied. But the forecasts for Weltwoche also generated gallows humor in him. At the time, he said, he told his colleagues at Tamedia, "Leaving Weltwoche is Stalingrad easy."
NZZ am Sonntag becomes "Switzerland's third free newspaper
But there were also some critical questions about the NZZ am Sonntag. Giving away the new newspaper for free for a whole year was a risky business, he said. "Will recipients be willing to pay the subscription price afterwards?" asked Büchi. Trevisan explained that price sensitivity among subscribers is not as high as is often thought. A study by the NZZ am Sonntag had shown this. Expressed in figures: Trevisan expects that 10 percent of NZZ readers will say no to the Sunday edition right at the start. Another 30 percent would do so a year later when they receive their bill. In other words, the NZZ am Sonntag assumes today that 60 percent of the free recipients can one day be turned into paying subscribers. A very optimistic estimate, everyone agreed.
One newspaper was absent from the IAA event: SonntagsBlick. It was not affected by the target reader groups addressed, and it also had only very few double readers with the NZZ. For once, therefore, the Ringier media company can only look on as the others wrest market share from each other.

"There we stay"

Michael Ringier on his media activities in Eastern Europe

Michael Ringier on his media activities in Eastern EuropeRingier's international business, particularly in Eastern Europe, is growing rapidly. According to publisher Michael Ringier, it could soon become at least as important for Switzerland's largest media group as the Swiss market.Ringier's international business is currently extremely dynamic. What is the background to this development?
Michael Ringier: Firstly, we were one of the first to invest there ten years ago. As a result, we have a very good starting position today. Secondly, these markets are now consolidating, as has been the case for us over the last 20 to 30 years. Now there are only two, three, maybe four large publishers in the newspaper and magazine business in each country. However, opportunities have now arisen to take over or invest in a few more publications. And we have seized this opportunity.
In recent years, Ringier has repeatedly invested in companies abroad and then waited until the partner exits. That's what happened in the Czech Republic and Slovakia, and it could also happen in Romania and Hungary. Is this Ringier's strategy?
Ringier: It is true that we entered into strategic partnerships, partly out of the necessity of not having to take all the risk as a family business. But our intention was always very clear: these countries are part of our future, that's where we're staying, that's an investment in the next 50 years. And that has paid off. Our respective partners, on the other hand, sometimes had different intentions or changed their minds, which is why we were always able to take over 100 percent of the business. However, the new partnership with Gruner + Jahr is now also a publishing partnership that we have to develop further.
So you are not speculating that Gruner + Jahr will soon exit the company?
Ringier: No, that's not the opinion, but you can't rule it out either.
Ringier is not active in Poland. Are there reasons for this?
Ringier: We were active there, but we got in too late. Poland is the largest of the Eastern European countries, so it was also the most interesting for other publishers. We therefore saw our opportunities in the smaller countries, where there was less competition at the beginning. We later gave up our commitment in Poland - and also one in Bulgaria - because we couldn't invest in all six countries at the same time.
Last year, the Eastern European business accounted for 12.9 percent of Ringier's total turnover. How is it developing?
Ringier: We will be involved in around CHF 200 million in sales next year. But you have to take a long-term view: All these countries will become members of the EU in the next few years, and that will bring more legal certainty, growth and profit prospects. That's why I'm convinced that this business will be hugely important for Ringier in ten years' time.
What proportion of total sales?
Ringier: If growth continues at this rate, an increase to 30 to 50 percent is absolutely conceivable in the next 10 to 15 years.
Ringier already has a dominant position in some markets, and the range of other interesting titles is probably limited. How much leeway do you still have?
Ringier: There are individual titles that would still be of interest to us, but prices have also risen enormously. On the one hand, that's nice because it also says something about the value of our own business, but on the other hand it imposes certain limits on us. However, there is still a lot of potential in Romania because this market is still not very consolidated. In Hungary, on the other hand, I can hardly touch anything new in the newspaper business for political reasons, but there are still opportunities in the magazine business.
This year, the Eastern European business will be in the black overall. Are there countries where this is not yet the case?
Ringier: No, in our operating business we are in the black everywhere. However, if you add the depreciation and amortization resulting from our relatively expensive acquisitions, the picture is somewhat different.
Operationally black - does this also apply to next year?
Ringier: We hope so, the economy remains uncertain. In Eastern Europe, however, it has proven to be relatively stable. But it remains to be seen whether it will stay that way.
How does Ringier pay for these investments in Eastern Europe?
Europe and Asia?
Ringier: As always in this company, we financed these investments from our self-generated cash flow. However, as I said, we also entered into some partnerships to reduce the risk. Nothing will change in this respect. Interview: Markus Knöpfli
New investments in the Czech Republic

Because Ringier's tabloid Blesk has increased its circulation in the Czech Republic by 61 percent to 330000 copies over the past five years, the Group has now purchased a second printing plant in Prague. At the same time, Ringier has acquired a 51 percent stake in the sports daily Cesko-slovensky Sport (circulation: 60,000 copies). Just a week ago, Ringier also announced a joint venture with Gruner + Jahr in Hungary, the Czech Republic and Slovakia (WW 42/01). In Romania, however, the two groups are still going their separate ways.

Ringier still wants Martin Kall, Tamedia must wait

The Ringier Group's current fiscal year has been «unsatisfactory,» publisher Michael Ringier said Tuesday at a press conference.

The current financial year of the Ringier Group is "not satisfactory," publisher Michael Ringier said at a media conference on Tuesday.Specifically, he expects a profit of between 30 and 35 million francs. Last year, Ringier achieved a record profit of 50.4 million francs. Sales for 2001 are expected to be 1.1 billion francs, about 10 percent more than in 2000.The newspaper business is more or less stable. SonntagsBlick had slightly increased its circulation, Blick had been able to maintain it. The decline in advertising was limited. Cash, on the other hand, had not had a good year. No decision has yet been made on a new editor-in-chief.
Martin Kall's successor on Ringier's Group Executive Board will be announced on Dec. 17, Ringier said. Kall, head of the Europe and Magazines division at Ringier, will succeed Tamedia Group CEO Michel M. Favre. However, Kall still has to integrate Ringier's new Eastern European acquisitions (see page 24) into the Group, which is why the move to Tamedia is unlikely to take place before the summer of 2002, Michael Ringier said. (mk)

"There's always a risk involved in sponsoring athletes"

Ralph P. Sauser, ATAG Asset Management AG, on the sponsorship of Roger Federer

Ralph P. Sauser, ATAG Asset Management AG, on sponsoring Roger FedererThe Swiss asset management company ATAG Asset Management AG recently started advertising with Roger Federer. Ralph P. Sauser, member of the Executive Board and responsible for marketing, explains how much the Federer account costs and where and when the series of ads featuring him will be placed. Ralph P. Sauser, how did you come across Roger Federer?
Ralph P. Sauser: We had been looking around for a suitable individual athlete for our sponsorship and advertising purposes for a long time. When we were informed that Roger Federer was looking for new partners, we didn't think twice.
How long does his contract last?
Sauser: Three years plus option for further cooperation.
What does the collaboration with Roger Federer involve?
Sauser: As a financial services company, we are allowed to advertise exclusively with Roger Federer. He is also available to us for at least five customer events per year.
You recently launched a series of advertisements with him. Will other advertising variants follow?
Sauser: For the time being, we are concentrating on advertising in the print media. However, we have designed various versions of the current Federer campaign with our advertising agency.
Where do you plan the advertisements?
Sauser: In various newspapers and magazines, but only in Switzerland for the time being. This is mainly during major tournaments and especially when he puts himself in the limelight.
What do you expect to gain from this?
Sauser: First and foremost, we want to further increase the level of awareness of ATAG Asset Management in the market and hope to gain new contacts and opportunities through our presence in the world of top-class sport.
There are also other sports personalities in Switzerland.
Sauser: Yes and no. Roger Federer is an ideal fit for our company.
What do you like so much about him?
Sauser: He stands for talent, know-how, perseverance and an absolute will to perform - factors that also apply to us.
All well and good. But didn't his price also play a role? As an up-and-coming tennis player, he will hardly have been as expensive as an established top player.
Sauser: Yes and no. Of course he fits better into our advertising budget than a Formula 1 driver. But the price wasn't the deciding factor. It was more important to us that he suited our company and our employees.
Using a tennis player as a figurehead also requires courage. Aren't you worried that it might backfire? After all, tennis players don't exactly have the best reputation when it comes to handling money and choosing their financial advisors.
Sauser: You always take a risk when sponsoring athletes. We believe that the risk with Roger Federer is as small as possible. Especially as we advise Roger Federer on financial matters and can therefore be sure that he won't make any mistakes in this area.
You won't find many potential clients in tennis. Does it make sense for an upper-class asset management company to sponsor a tennis player?
Sauser: Yes, after all, with Roger Federer's involvement we not only want to win new individual customers, but also further establish our name in the market.
Wouldn't there be more ideal sports for this? Golf, fencing or curling, for example?
Sauser: We are already active in this segment.
Yes, with small commitments. For some time now, you have sponsored the women's national degen team, the Olympic fencer and economics student Marcel Fischer and the Bernese curling team CC Bern. But they will hardly be as expensive as Roger Federer.
Sauser: No. But they are still an important part of our market presence.
How big is the Roger Federer sponsorship budget?
Sauser: In successful years, all payments together can amount to half a million.
And how much money do you spend in total on sponsoring athletes?
Sauser: Just under 700,000 francs. That corresponds to around a third of our total advertising budget of 2 million.
Could it be that you will also sponsor soccer or ice hockey players one day?
Sauser: No. With the curling and fencing team as well as Marcel Fischer and Roger Federer, we have an ideal mix.
Do you also sponsor cultural events?
Sauser: Yes. And we want to expand our cultural commitment even further.
In which direction?
Sauser: We plan to buy tickets for concerts and exhibition events or entire occasions and invite our customers to attend.
Advertising with an individual athlete involves a risk. Have you made sure that Roger Federer doesn't do anything to harm you?
Sauser: For example?
That he insults fans, smashes the bat or makes racist remarks.
Sauser: We don't have a clause in the contract that prohibits him from doing that and gives us the option of sanctions. But we expect Roger Federer to know how to behave.
Is his contract at least performance-related?
Sauser: Yes, very much so. The amount consists of a basic lump sum and various performance-related components. The business cooperation between Roger Federer and AAM is also an important component. However, whether Federer is ranked in the top 3 or top 20 does play a financial role, but we mainly value his likeable appearance and great performances on the court.
As a wealth advisory firm, you are constantly evaluating new shares. How high do you estimate the intrinsic value of the Federer "share"?
Sauser: As a top. If he had shares, we would certainly put them on our buy list.
How do you invest Federer's money?
Sauser: Just as we did with
do the same for all other customers:
An individual portfolio is put together. His money is invested in shares and equity funds as well as bonds and other customized products.
Interview: Annelies Friedli

Tamedia takes a wrong turn with Radio 24

New power pool is legally impossible and tactically clumsy

New power pool is legally impossible and tactically clumsyThe new owner Tamedia makes few changes at Radio 24, but commits its first blunder: The new power pool with Radio Zürisee is not welcomed by the leader pool partners. In addition, it could play into the hands of competitor Radio Z.Radio 24 gets a new evening show: "Downtown" replaces the previous "Top". "Downtown" is a wide-ranging show with tips on going out, trends, lifestyle, live sports reports, gossip and new CDs. Otherwise, however, almost everything remains the same under editor-in-chief Peter Brunner.
Advertising sales are a different story. Although Radio 24 remains with Belcom, which has been integrated into Tamedia, Richi Gasser has now taken the reins and replaced Christian Stärkle. Christian Stärkle is still assisting Belcom in an advisory capacity. The sales team continues to consist of Tina E. Habegger, Urs Güntensperger, Rolf Niederhäuser and the marketing team of Urs Arnold and Flurin Schüpfer.
In its advertising rates, Radio 24 has now also taken into account the third primetime at 5 p.m., as identified by Radiocontrol. On weekdays, the station's morning primetime (8 to 9 a.m.) will cost 34 francs; from 12 to 2 p.m. and from 5 to 6 p.m., the price will rise to 32 francs. In national sales, Gasser plans to rely on Radiotele, cover media and spot promotion in the future. "Radio should market itself professionally, neutral intermediaries do that better," he says. On the other hand, he doesn't want to "push" IP Multimedia, Radio Z's marketer.
Radio 24's cross-media strategy, which has so far been communicated only quietly or not at all, is being better publicized. On the one hand, the station is cooperating with Tele Züri (see text box above), and on the other, it is continuing its fledgling cooperation with the commuter newspaper 20 Minuten. A two-year contract was signed for the so-called power package. Two versions with sub-variants are offered - in each case spots combined with print ads.
Tamedia back at Radio Zürisee through the back door
For the time being, Gasser does not want to join either the City Pool or Pool 2000 in the radio pool sector. "We've done very well on our own so far," he says. At the end of the year, the pool with Radio 105, which had hardly been used, will be dissolved. In Zurich, on the other hand, Radio 24 wants to expand its position and has launched the new Powerpool (net daily reach: 447200 listeners in the first half of 2001) with Radio Zürisee, which will start on January 1, 2002.
Whether this will happen is questionable. Radio Zürisee is already in the leader pool with the radios Top and Grischa and, according to the agreement, may not participate in any other national pool. Top and Grischa have already intervened in writing with Radio Zürisee. "We still have to have a discussion there," confirms Heinz Gantenbein of Radio Zürisee. But he is confident. The leader pool is an offer for the national solution, while the liaison with Radio 24 is aimed at the local and regional market, he says.
Top boss Günter Heuberger vehemently disagrees. A combination with Radio 24 could not have a purely regional character, he says. He knows that the new pool is not directed against Top or Grischa, says the Top boss. "It is primarily directed against Radio Z."
Still, Heuberger won't tolerate the emerging power pool. "The legal basis is clear." But how does Tamedia see the situation? Jürg Wildberger, responsible for Radio 24 there, waves it off. He says that Radio Zürisee will have to sort this out for itself.
Astonishing, really, because until recently Tamedia still had a stake in Radio Zürisee, so it knows the contract with the leader pool. And Heuberger finds Tamedia's approach clumsy for yet another reason. Why, he wonders, is the media group launching this Powerpool "quick fix" now of all times? Before the end of the year, the Federal Council will decide on the territorial extensions requested by Radios 24, Z and Argovia. Radio 24 could now suddenly find itself at a disadvantage. The reason: The Competition Commission had only granted the Belcom takeover to Tamedia if the latter sold its stake in Radio Zürisee in return. This was out of concern that Tamedia would become too powerful in the Zurich advertising market with both radios. Now, Tamedia has parted ways with Radio Zürisee - and the two radios are linked up again after all. "Tamedia is thus playing into the hands of Radio Z," warns Heuberger in view of the upcoming territorial decision. Markus Knöpfli

Raise the value of the graphic

Izet Sheshivari Wins the 11th SGV Scholarship Award for 2001

Izet Sheshivari wins 11th SGV Promotion Prize 2001At a ceremony held at LakeSide, Zurich, the 11th Promotion Prize of the Swiss Graphic Designers Association (SGV) was awarded to Izet Sheshivari for his project work on the theme of contact. The newly qualified graphic designer graduated from the Ecole des arts décoratifs Genève. The award, worth 12,000 Swiss francs, is presented by the SGV in collaboration with the Swiss Schools of Design, the OPET (Federal Office for Professional Education and Technology) and the examination boards of the nine examination regions of Basel, Bern/Biel, Geneva, Jura, Lucerne, St.Gallen, Ticino, Vaud and Zurich.
The students with the best thesis from each examination region are invited to the award ceremony. No thesis was submitted from the Jura region this year.
By presenting the award, the organizers hope to "positively influence design ethics, investigate and highlight trends, set accents and standards, and achieve an appreciation of the graphic design profession."
Thoughtful from the ground up and filled with creative potential
The jury based its decision on the fact that Izet Sheshivari had chosen the conceptual language in such a way that it was in line with the theme. From a technical point of view, the work lacked polish, but the content was presented in a novel way and was characterized by originality.
In addition, the work was well thought out and the connection between the idea and the realized implementation was convincing. The solution fulfilled all selection criteria to such a high degree that the jury decided to promote Sheshivari's artistic potential.
The project works of all participants are on display at LakeSide, Zurich, until November 23. A brochure on the 2001 sponsorship award can be requested at [email protected]. Ernst Weber

Fresh snow united

Mountain Radio Stations Form a Special-Interest Group

Bergradios form special interest poolBy Markus Knöpfli The radios Rottu, BeO, Central and Grischa/Piz have launched an advertising offer with a new pool that is primarily intended to benefit the tourism industry. It is therefore called Tourism Pool.
The pool can be booked immediately; officially, the advertising platform will not start until December 1, in time for the winter season in the mountain regions. The clearinghouse is at Radiotele as well as Radio Berner Oberland (BeO). BeO broadcasting manager Martin Muerner is the initiator of the new pool.
According to radio control data for the first half of 2001, the four Bergradios have a combined daily net reach of 473000 listeners. According to Muerner, this audience could be particularly interesting for the tourism industry. "We don't compete with other pools with the special interest product," says Muerner, who is also head of Pool 2000.
But he sees another target audience: the many out-of-town guests, who are at most only partially surveyed by Radiocontrol. Because many of these guests do not understand German, the four Bergradios are planning English-language broadcasts that are to be made known to vacationers by means of brochures in hotels and parahotels - following the example of Radio BeO, which has long been doing this on a daily basis. Joint competitions as well as events at sporting events are to increase the attractiveness of the pool. The price, however, has not yet been determined.
Jürg Schmid, Director of Switzerland Tourism, reacted positively. The new pool offers "a fantastic opportunity to serve guests with relevant tourist information," he said. He also promised "many ideas and cooperations".
On the other hand, Bruno Oetterli, Managing Director of Radiotele, is cautiously optimistic. "The product will have to assert itself in the market," he says. In view of the "respectable performance" of the four radios compared to the (advertising-free) DRS stations, however, the tourism pool could "certainly be interesting" for individual customers.
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