Euro Shock" survey: Peter Frey
Werbewoche survey on economic developments following the «euro shock» and its impact on the communications and advertising industries: Peter Frey, Managing Director, cR Advertising Agency
The current strength of the franc has advantages and disadvantages. Advantage: Our cross-border employees (Germany/France) earn a lot more, do not suffer from the otherwise "frozen" wages and are therefore (even) less fluctuating. The more unpleasant: customers want supplier offers from abroad and become unfaithful to the principles that purchasing is done where the money is earned. There is also already an increase in entire projects being awarded to foreign (low-cost) agencies. In general, economic pressure is causing clients to review their budgets and then cut them. Experience shows that a recession, which cannot be ruled out, leads to cost-cutting measures, which are usually felt first by marketing budgets and then by the media. Our industry is therefore affected by the euro exchange rate. It requires a lot of creativity from the agencies to master this crisis and to keep the jobs.
