Saudi Arabian advertising wars go viral as broadcasters up their game for Ramadan

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Khulud Abu Homos, executive VP – programme and creative services, OSN. (Supplied)
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Updated 07 May 2018
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Saudi Arabian advertising wars go viral as broadcasters up their game for Ramadan

  • Advertising pundits in the Middle East are hoping that the month of Ramadan will give a boost to what has so far been a lackluster year for the industry
  • According to a report from Google Think, Ramadan viewership on YouTube over the past three years has increased threefold

LONDON: Advertising pundits in the Middle East are hoping that the month of Ramadan will give a boost to what has so far been a lackluster year for the industry. Overall GCC ad spends have plummeted with an estimated 25 percent regional drop from 2016 to 2017 alone, data from Ipsos Stat showed.
Ramadan has traditionally been peak season for broadcasters, but a volatile regional economy, the introduction of VAT levies and a rise in digital consumption have compounded uncertainty in the industry, experts said.
According to a report from Google Think, Ramadan viewership on YouTube over the past three years has increased threefold in comparison to TV, while TV viewership remained flat.
Some major GCC advertisers are not spending on TV at all this Ramadan, which represents a sea change for traditional advertisers. “All in all, TV — especially Arabic TV — will see some ads but this Ramadan marks a significant moment in budgets shifting to digital,” Zaira Lakhpatwala, managing editor, Communicate, told Arab News.
Austyn Allison, editor of Campaign Middle East, said the advertising market is “leveling out.”
“Brands are spreading their budgets more evenly throughout the year, and they are also moving them away from television,” he said.
According to Allison, TV stations are “sitting planning their Ramadan grids right now,” trying not to give too much away to the competition and hoping that their Ramadan shows will catch more audience than their competitors.

 

 Allison said: “While they (TV stations) wait, they will have their fingers crossed that spend booms like it did five years ago as advertisers discover budgets down the back of the sofa. I suspect though that while there will be a bit of a rise, Ramadan has now ceased to be the month that saves the year.”
Wissam Najjar, regional managing director at media agency OMD, said he has witnessed a “delayed start” in advertising investments this year, with advertisers moving more budgets into the coming months, “particularly to focus on Ramadan and the FIFA World Cup, in which the highest number of Arab teams are competing at the same time.”
Najjar told Arab News: “Following the introduction of new taxes such as VAT, there has been a slow start to the year in Q1 and Q2. That said, Egypt has experienced a better beginning to 2018 than Gulf countries and there is better economic news on the horizon with rising oil prices. In Saudi Arabia specifically, the mood is lifting thanks to the reforms and the busy entertainment calendar. The expansionary budget will also boost both optimism and consumption.”
Najjar added: “This Ramadan will see the launch of a new TV channel, SBC. Together with other leading channels, such as MBC and some of the Egyptian stations, they will have an interesting line-up of programs to entertain audiences during Ramadan. We hope Ramadan will act as a turning point this year, marking the beginning of the upward trend in investments.”
Khulud Abu Homos, CEO of Dubai-based content and media agency Arab Format Lab, is also hoping this year’s Ramadan period will act as a “light at the end of the tunnel” for the industry.
“Call me an optimist, but I strongly believe that the market is going up from here. For the first time in three years of cuts in advertising budgets, I believe that this Ramadan will see a rise in spending. Saudi Arabia, and the UAE in particular, will be spending substantially on campaigns that explain the changes their governments are making in their interactions with citizens. Also, I believe that YouTube viewership and advertising will play a much bigger role this Ramadan,” Abu Homos told Arab News.
As the Holy Month approaches, competition between rival broadcasters is heating up.


The teaser campaign for a new Saudi culture channel to be launched for Ramadan has stirred up particular controversy.
The campaign centered on the Arabic word “ghasb,” meaning “force,” which began appearing in April on advertising boards, TV, radio and social media outlets with no further explanation.
It was revealed last month to be all about a new TV channel, SBC, owned by state-owned Saudi Broadcasting Corporation. The key hashtag associated with the channel, due to go live at the start of Ramadan next week, is “Ghasb Tehebaha” which translates as “you’re forced to love it” or “you have to love it.”
Reactions to the campaign on social media were mixed; while some were intrigued by the branding, others were less impressed.
“As for force, the time of coercion is over,” said another.
SBC’s campaign last week prompted a clever response from rival broadcaster Rotana, the Arab world’s largest entertainment company.
A counter advert, promoted earlier this month on Rotana Khaleejia’s official Twitter account, ran with the slogan “Alhob mu Ghasb”, meaning “Love is not Forced.”
“This is the beginning of the war of advertising between Saudi TV and Rotana,” tweeted Dr. Obaid Saad Alabdali, a former university professor and commentator on marketing culture in the Arab world.
“Could this be the beginning of allowing comparative advertising in the Saudi market?”
One of the main figures behind SBC is Dawood Al-Sharian, formerly anchor of the popular MBC show “Al-Thamina.” The show attracted a huge Saudi audience thanks to Al-Sharian’s hard-hitting presenting style, tackling hot-button issues such as unemployment and extremism. He was appointed as head of SBC in November.
SBC’s Ramadan line-up includes “Awalem Khafeya” (Invisible Worlds), starring legendary Egyptian actor Adel Imam, “Bedoon Filter” (Without Filter), starring Saudi actor Abdullah Al-Sadhan, and “Share Chat,” starring Hassan Usseiri, Fayes Al-Malky and Rashid Al-Shamrany.

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Regional advertising spend fell by a quarter last year.


European Parliament adopts copyright reform in blow to big technology firms

Updated 32 min 24 sec ago
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European Parliament adopts copyright reform in blow to big technology firms

STRASBOURG: The European Parliament on Tuesday adopted copyright reforms championed by news publishers and the media business, in defiance of the tech giants that lobbied against it.
Despite an intense debate inside and outside of the Strasbourg chamber, MEPs ended up passing the draft law with 348 votes in favor, 274 against, and 36 abstentions.
European lawmakers were sharply divided, with both sides subjected to some of the most intense rival lobbying the EU has ever seen from tech giants, media firms, content creators and online freedom activists.
The culmination of a process that began in 2016, the revamp to European copyright legislation was seen as urgently needed, not having been updated since 2001, before the birth of YouTube or Facebook.
The reform was loudly backed by media companies and artists, who want to secure revenue from web platforms that allow users to distribute their content.
But it was strongly opposed by Internet freedom activists and by Silicon Valley, especially Google, which makes huge profits from the advertising generated alongside the content it hosts.
After the vote, a Google spokesperson warned that the reform “will still lead to legal uncertainty and will hurt Europe’s creative and digital economies.”
The final days before the vote were marked by marches and media stunts, including tens of thousands of people protesting in Germany on Saturday under the slogan “Save the Internet.”
There were similar protests in Austria, Poland and Portugal, while major Polish newspapers on Monday printed blank front pages in an appeal that MEPs adopt the reform.
“I know there are lots of fears about what users can do or not — now we have clear guarantees for freedom of speech, teaching and online creativity,” Commission vice president Andrus Ansip said after the vote.
Germany was at the heart of the anti-reform movement, led by Julia Reda, a 32-year-old Pirate Party MEP who spearheaded a campaign against two of the law’s provisions that have become flashpoints in the debate.
Reda said the vote marked a “dark day for Internet freedom” and decried that MEPs refused, albeit narrowly, to modify the text before the final vote.
For Reda and her supporters the main worry was Article 13, which aims to strengthen the bargaining power of rights holders with platforms such as YouTube, Facebook and Soundcloud, which use their content.
Under the reform, European law for the first time would hold platforms legally responsible for enforcing copyright, requiring them to check everything that their users post to prevent infringement.
Reda and her supporters warned that Article 13 would require platforms to install expensive content filters that would automatically and often erroneously delete content from the web.
Speaking after the vote, Reda told AFP that she still hoped the German government would bow to public pressure and demand changes to the law before it is formally adopted.
After that, seen by most observers as a formality, member states will have two years to transpose the EU directive into their own legislation.
“I think what the ultimate result will be that the Internet will become more like cable television,” Reda told AFP.
“That generally there is going to be less diversity of online platforms because the risk of running a platform legally will become much higher.”
Backers of the law, led by MEP Axel Voss, answered that filters are not a requirement but they do not explain how companies can comply with Article 13 without them.
The second article advocated the creation of a “neighboring right” to copyright for news media.
This is designed to enable news companies to demand payment when their output is used by information aggregators like Google News or social networks such as Facebook.
Major publishers including AFP have pushed hard for the reform, seeing it as an urgent remedy to safeguard quality journalism and the plummeting earnings of traditional media companies.
The reform, if properly implemented by member states “can help to maintain journalism in the field, which all evidence shows is still the best way to combat misinformation,” said AFP CEO Fabrice Fries.
But opponents have called it a “link tax” that will stifle discourse on the Internet and pay only big media companies, with no real benefits for journalists or news gatherers.
The reform is staunchly backed by France and several other member states, but some countries may decide to use the flexibility built into the reform that allows a loose interpretation of the rules.