Carlsberg to regroup China and HK account

<p>HONG KONG: Carlsberg has put its multi-million dollar Hong Kong and </p><p>China account up for pitch in a bid to consolidate with one agency. </p><p><BR><BR> </p><p>The beer brand presently uses three agencies - M&C Saatchi for thematic </p><p>branding work in Hong Kong, BBDO for tactical and below-the-line </p><p>assignments also in Hong Kong, and TBWA in China. </p><p><BR><BR> </p><p>A number of agencies are vying for the account, but it is believed that </p><p>Saatchi & Saatchi and Grey are the front-runners. </p><p><BR><BR> </p><p>Carlsberg - which has used a number of agencies in the past including </p><p>Bozell, now FCB, and Leo Burnett - sold its northern China operation to </p><p>Tsingtao last year in order to focus its energy and resources on the </p><p>major markets of Hong Kong, Guangzhou and Shanghai. </p><p><BR><BR> </p><p>Carlsberg's Hong Kong marketing manager, Wendy So, said the move to </p><p>consolidate the account with one agency was the result of a narrowing of </p><p>the demographic gap between Hong Kong and southern China. </p><p><BR><BR> </p><p>"There are increasing similarities between the two, especially between </p><p>Hong Kong and Guangzhou so looking for cross-boundary synergies makes </p><p>sense right now. </p><p><BR><BR> </p><p>"You can appreciate the speed at which China has opened up and </p><p>developed, particularly in recent years," So said. </p><p><BR><BR> </p><p>One of the catalysts for change, So added, was the departure of Spencer </p><p>Wong, M&C creative head, last year for a film director's position at </p><p>Another Factory. </p><p><BR><BR> </p><p>So described Wong as "the driving force behind the brand". </p><p><BR><BR> </p><p>M&C's Hong Kong chief executive officer Ian Thubron said the parting of </p><p>ways with Carlsberg after three years on the account was amicable, </p><p>reflecting the fact that the agency doesn't have offices in China. </p><p><BR><BR> </p><p>"We had a good relationship with them during the time we worked on the </p><p>account. But their communications needs have changed geographically so </p><p>we mutually agreed not to pursue the relationship any further," he </p><p>said. </p><p><BR><BR> </p><p>The move to consolidate is seen as an attempt to gain maximum </p><p>effectiveness and efficiency amid an intensifying beer war. </p><p><BR><BR> </p><p>Carlsberg is among the top three beer brands in Hong Kong after San </p><p>Miguel and Heineken, however, its market share is believed to havefallen </p><p>to just 10 per cent. </p><p><BR><BR> </p><p>San Miguel is the market leader in Hong Kong, followed by Heineken, with </p><p>Carlsberg in third spot. </p><p><BR><BR> </p><p>However, So said that because of new entrants, other major beer brands </p><p>have also experienced a fall in their market share. </p><p><BR><BR> </p><p>"Because of escalating competition, marketing activities have shifted </p><p>from focusing on image advertising, which was the norm in the '80s and </p><p>'90s, to trade marketing, that is, sending out very specialised people </p><p>to outlets in order to try to find ways of selling more Carlsberg. </p><p>Everyone is doing that now," So said. </p><p><BR><BR> </p><p>Meanwhile, no change is expected in media, which continues to be handled </p><p>by Zenith. </p><p><BR><BR> </p>