Arun Sudhaman
Nov 27, 2008

Profile... Polite Englishman is a formidable sales machine

Mandarin Oriental's marketing chief, Michael Hobson, combines stability with an element of surprise.

Profile... Polite Englishman is a formidable sales machine
Michael Hobson is unlikely to be mistaken for a ballerina anytime soon. Yet, there he is, up on his tiptoes as he attempts to recreate Darcey Bussell’s famous pose from Mandarin Oriental’s now-iconic ‘She’s/he’s a fan’ brand campaign.

As the Hong Kong-based hotel chain’s chief marketing officer, Hobson’s affection for the campaign is unsurprising, particularly when you factor in the 14 years he has been with the company.

Still, the enthusiasm for a campaign that is hardly new is refreshing and, 60 minutes into the interview, his ability to spring into action at the drop of a hat is startling. It is also fitting, as it illustrates Mandarin Oriental’s marketing philosophy which, as Hobson tells it, combines stability with an element of surprise.

“Consistency is the very big issue, and we run it year after year without interruption,” explains Hobson of the campaign, which launched in 1999. “It is important, provided you keep yourselves fresh. We are not changing it in the short- and medium-term. ”

The campaign is the most visible component of a strategy that has established Mandarin Oriental as a global brand. For Hobson, it has become a critical part of the brand equity for a company which is often dwarfed by its larger competitors. “The best advertisement is to have a flag in the city,” he admits.

Perhaps the smartest decision the campaign made, beyond working with celebrity fans of the hotel, was to eschew the traditional preference for business magazines in favour of luxury titles.

“Many, including ourselves prior to the campaign, tended to focus only on running print campaigns in run-of-the-mill business titles,” says Hobson. “We didn’t think about high-end lifestyle publications, which sit on a coffee table and have a longer shelf-life. We felt they would also appeal more to female readers who, more often than not, make most decisions about holiday plans. And it’s a better place to be seen with other luxury brands, rather than seeing us as just another hotel chain.”

The campaign has paid off to such an extent that Mandarin Oriental now has gently to let down a regular stream of celebrities who seek starring roles in the ads. Hobson is typically discreet about their identities. This attitude is typical of a man who, like the hotel he works for, is exceedingly well-mannered.

Hobson’s obvious facility with people can probably be traced back to when he joined Diageo forerunner Grand Metropolitan as a sales trainee and found himself travelling the world at 21.

“You grew up very fast travelling alone to places like Nigeria, Sudan, Liberia and South America in the early 80s. You learnt how to look after yourself and how to deal with other cultures.” His eyes were further opened during a stint in Texas. “Being an Englishman was a great advantage because they love the British accent. I could sell anything and I did.”

It is Hobson’s ability to mesh brand-building and sales that has turned him into such a formidable marketer. “He’s a fantastic motivator of people and, over the years, has put together an awesome sales machine,” says Chris Jaques, Asia-Pacific CEO of M&C Saatchi, the firm’s creative agency.

Hobson’s role now involves selling a Mandarin Oriental brand that is growing at a rapid clip. Despite the economic uncertainty, the company does not anticipate scaling back its plans to open seven new hotels in 2009. Hobson is too polite to mention names, but clearly thinks other Asian chains eyeing global expansion will suffer more. “We can pretty much ride out any storm, providing we are creating value for our customers. There are a few brands that have been popping around in the past few years and we may see them struggling if they don’t have the critical mass, the reach or brand credibility.”

Hobson admits occupancy rates will drop in 2009, but believes that Mandarin Oriental, given the smaller footprint it possesses versus its competitors, will benefit from its “exclusivity”. “When you have more hotels you start to get the brand diluted,” he notes.

The company’s small size, however, can be a double-edged sword, particularly where marketing is concerned.

“I always can do with more people, budget and resources as we are often competing with brands that are perhaps three times bigger than our size.” he says. “We are not trying to be the biggest, but we would like to be the best.”

Michael Hobson’s CV

1994 Chief marketing officer, Mandarin Oriental
1992 VP sales and marketing, Omni Hotels Asia-Pacific
1987 Group director of marketing, Shangri-La International
1985 Director of sales and marketing, Grand Met Fung International Services
1978 Sales executive, Grand Metropolitan
Source:
Campaign China

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