Local agencies compete with MNCs in OCBC creative pitch as incumbent McCann bows out
OCBC Bank is in the process of evaluating agencies in its hunt for a new advertising agency partner, with a number of local independents in the running for the large regional account.
Ogilvy is among the network agencies to have been shortlisted for the business that was previously handled by McCann, while The Secret Little Agency and GOVT are among the independent players involved in the process, Mumbrella understands.
Kelvin Wong, VP of group corporate communications, OCBC Bank, declined to say which agencies have been shortlisted, but confirmed that a mixture of network and local agencies have been invited to pitch.
He said in a statement: “We invited a mix of network agencies and local independent agencies earlier this month to participate in this pitch and are in the process of evaluating them.”
“In our search for a new creative agency, we are looking for one that understands our brand values and objectives, helping us further strengthen the OCBC brand,” he said.
Industry observers close to the pitch suggested that local agencies would struggle to produce the scope of work need on such a large account, and may need to partner with a bigger shop to win the business. Others suggested that OCBC is either looking for an increasingly local flavour in its advertising, or wants to work with more cost effective partners.
Presentations are to take place mid-September. The winner will work alongside OCBC’s media agency of record, GroupM’s Maxus.
McCann has declined to repitch for the business, and the agency has restructured a number of jobs to adjust to the account loss.
In a statement shared with Mumbrella this morning, the agency said: “Discussions are taking place with OCBC team members. McCann remains the creative partner of OCBC until the end of the year, so there will be few immediate changes. We are working to transition people to other parts of the business, where possible.”
Rumours are circulating that the account loss could mean the agency’s CEO, Robert Doswell, would be relieved of the top job. McCann stated that Doswell, who took the CEO role in 2014, “remains within McCann Worldgroup.” Doswell is regional MD of production hub Craft Worldwide as well as Singapore CEO.
I dont think its too much work for a local company to handle….just bs being circulated by the big agencies.
Ocbc ads have always been crap….and nothings gonna change….the local agencies mentioned are terrible too….looks like ocbc is still gonna get crap…but cheaper crap.
ReplyAnyone can churn crap…cheaply.
ReplyBut only big agencies have the deeper pockets to keep hiring replacements for the high staff turnover to service these big bad accounts.
And once the bank leaves, which they always do, the unwanted staff are relocated, reassigned or resigned.
Small shops will get wiped out if a client of that size loses a repitch.
Never a bigger agency. Only a better one.
ReplyHope they don’t pick the cheapest one.
“Small shops will get wiped out if a client of that size loses a repitch.”
Seen it happen at big agencies too.
Ever since the big agencies started investing all their care and attention into showcase scam ads, real work on all clients has suffered. As a result, many clients question why they have to suffer crap work done by poorly paid juniors and billed at senior rates.
ReplyWell, we have seen people get asked to leave these so-called big agencies when they lose sizeable accounts anyway. Look on the bright side people, finally there are independent agencies giving these big boys something else to worry about, and perhaps finally, clients are also trusting indie agencies enough to give them an opportunity to pitch for their businesses. This can only be good for anyone who has been thinking about settting up their own shop.
But most importantly, at least there won’t be any further “taking for granted” that these accounts are only meant to be worked on by the big boys! If you want to kill scam, this could be the best possible way! How else is one to do scam when you have no million dollar accounts to pay for their salaries?
ReplyMcCann cut their own throat. Rob D should stick with the budget stuff production. He’s good at that. Singaporeans with money will always care more about cash, car, condo, credit and food. So the last campaign was Crap. The workload is certainly not beyond a local agency like WILD (Ng Kheejin).
When you look at the work coming out of McCann London, New York & Melbourne. Then you look at McCann Singapore and Asia. Perhaps they need a new head of recruitment?
ReplyAgreed.
For over 20 years, big singapore agencies have made a disproportionately high investment in scam, awards points and CB creative rankings. A recruitment policy based on the latter has created a situation where most of these agencies are now staffed at the top with scammers. They have created a generation of creative directors who are happy with mediocre solutions for real briefs. Their passion is only activated by scam projects and “doing good”.
Look at any real ad these days and you will never be able to guess if its done by a big agency or a small one.
Scam ads are easy peasy because they are almost always the product of one person’s thinking. To build a creative reputation similar to the one enjoyed by agencies like euro betc paris or adam and eve london or 72 and sunny, every department in the agency has to contribute to the highest standards…that needs investment in the right leadership, approach and culture. It even means picking your clients wisely.
If your agency can only do a decent scam but produce dross on paying clients, it will catch up with you one day….for many it already has.
Replyheard that all mccann employees under the ocbc payroll were “invited” to a letter… so it doesn’t matter whether you’re in a big agency or not, the door is still shown to you when an account of that sized gets moved. at least they had more than 4 years on it, or did those profits go to cannes?
ReplyBatey, a local agency before it got bought over and ruined by WPP, did great work for OCBC
ReplyJust a thinly disguised ploy to get cheaper rates and arm twist some poor agency to dropping their pants. When KCC realises this is a stupid idea and she can’t get the quality of work at the pace she needs and the bank looks bad – guess what – she’ll go back to a network. Just a matter of time. A decision like this affects a bank’s reputation and I can see DBS laughing all the way as its a dumb call and it won’t work out. Look at what happens when you park work with a smaller shop – Bank of Singapore appalling ads and TVCs courtesy of M&C Saatchi – her lackeys from Y&R? Goodbye OCBC. You know it’s bad when even POSB work looks better than yours.
ReplyYou gotta be a private banking customer to dig the M&C Saatchi Bank of Singapore work.
ReplyClearly you’re not in that category.
Yes, unfortunately I only use Swiss banks, I don’t think local banks measure up in the private banking sector and BOS wouldn’t even scrape the barrel. At some point in the future, what most of us have said above will be seem prophetic. OCBC doesn’t hold a candle to what DBS/POSB or even UOB does (as local banks) and most of it is due to the fact that it’s ruled by the Empress Dowager. LTK is smart but has zero power, so good luck to more bad work coming from them.
ReplyTo be honest OCBC doesn’t need a creative agency….they don’t even know what creative or strategic means…..their needs will be well served by the kind of setup agencies use to service a retail account like Courts and the telcos. Lots of juniors on 2K a month is the way to go.
Reply@Dill totally agree with you. they should have called Oliver (the production shop that does all the sweat work for Courts) or something like that. cheap fast = what OCBC needs anyway. Let’s not try to bullshit that they want creativity here or “local understanding” they are a bank…they want CHEAP and FAST.
ReplyThe logic is unassailable.
Any business/individual that charges a premium has to justify it.
Why are people willing to pay a premium for a Hermes handbag over one by Guess?
MNC ad agencies are way more expensive than local ones.
So the question is …is the premium justified? In my opinion…no.
Their work shows nothing that differentiates them from the small fry…nothing.
They are too busy and fixated on winning awards for scam but the real work is indistinguishable from mediocre.
Their business strategy is to hire the cheapest inexperienced creatives for peanuts and exploit them….while crookedly charging their time out to unsuspecting clients at seniors rates.
Watch out for the ones that brag about how young their workforce is….a sure sign that you are dealing with a dodgy agency.
ReplySome of the points raised in the comments are valid for advertising and media as an industry. I don’t see the point of personal attacks while people mask their real identities – we do not need more trolls.
Coming back to the point, OCBC retail product (digital banking, mobile banking) have panned out well, and their service is much better than that of a DBS (the never ending lines at DBS ATMs and branches).
I don’t think it’s a matter of fast & cheap (fast is critical for any brand – if you cannot match today’s pace then don’t bother being in the business). I also don’t see any reason why we think they (Ocbc) are in it to play “cheap” – unless the team from McCann is commenting and sharing their insights.
Say no! If you don’t value your work, your time, your team – then why should others?
Walk out if the business does not make sense. I don’t see why advertising and media need to continue the cycle of always dropping fees in Asia – learn from the big consultancies and play a new game.
Reply@Sid I think the notion of consumer banks not needing “cheap” is delusional. Anyone who has worked with any one of the big 3 knows that it is a firm criteria in assessments.
ReplyAnd yes, fast is a given. There’s also called a thing such as “client who only wants cheap/good AND fast” so I don’t think it has anything to do with ad agencies (large or small) disrespecting the work they do. If you know the business and the hours/stress/demands, you would know that people must really love their work to even bother wanting to do this. The bankers get paid a lot more than the ad people they berate. Learn from the big consultancies? Is this a joke? How many are tanking (and only bolstered by Daddy in UK?) and dropping their pants to retain clients? Last place anyone wants to “learn from” – the networks have no idea on how to run a business in Singapore (save for DDB). Reality check dude.
even the network media agencies are cutting their rates down to that of the local small shop.
ReplyWord is that Ogilvy is tipped to win this but Govt is a close second. Ogilvy is a safer choice. OCBC is going to regret going small with this.
Reply@lo&Lower, I did not say that “consumer” banks don’t want cheaper (Most, always do). The procurement and marketing team KPI is factored on “cost” saving. I was very specific to this comment stream on local agency vs global agency and anonymous troll-like comments from a few.
From the Singapore side, have had my fair share of experience with local banks and after a point, you need to learn to say “no” and hold your ground. If you win the rat race – you are still left a rat. I don’t buy the looser attitude that we “need” to lower price to continue to be in business. It’s that crappy thinking from most agencies the keep’s the circle going.
A lot of clients still seek “fair” [read low] cost for all the “value” that agencies bring to the table. Of course, this isn’t acceptable and I do not claim to have a solution to get out of this loop.
But it’s a given that we can learn a few things from the consultants and build stronger ties with the c-suite and get access to deeper business data. If we really talk about agencies of the future – then only the ones who are a strategic business partner will make the cut. Hopefully, this will open alternate revenue streams and a new horizon.
ReplyGOVT got it. Ogilvy is reeling from the embarrassment.
ReplyHave your say