Miles Young (pictured), Ogilvy chairman, said that despite the chance of recession in the US, he expected 2008 to be a good year for the industry, thanks largely to the upcoming Beijing Olympics and the US elections.
He added that while the industry was anxious, clients were not cutting ad budgets as yet. “My worry is more general,” Young said. “High inflation in Asia, including 14.5 per cent in Vietnam, is driving the cost of material and food up.”
Michael Birkin, Omnicom Asia-Pacific CEO, stressed that if the US went into recession, Asia would not be immune. “In five years, when China and India’s domestic consumption increases, we might be (immune).
But if the US is in recession, then 2009 will be awkward,” he said. “What’s important and critical is to use (a slowdown) as an opportunity.”