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Sunday, July 02, 2006

INTERVIEW: SUBHASH KAMATH

More ads reflect mass culture today than ever before

Subhash Kamath, CEO, Bates India, part of the WPP Group Plc, is a very busy man. To strengthen Bates India’s operations, Kamath is inducting red-hot talent, setting new benchmarks and processes and, over all else, trying to nurture an atmosphere where creativity can flourish. “This is really the focus for all of us, starting from the very top,” says Kamath. “We’re investing a lot more this year in talent and training,” he adds. Kamath stepped into advertising in 1987 when he joined Ogilvy & Mather India. “Never looked back since then; I think I took to this business like a fish to water,” he avers. After O&M, Kamath worked with Grey and Ambience Publicis for the next 15 years. Last year, he joined Bates as CEO.

How would you describe your experience so far? What were the challenges you encountered after the management restructuring last year?

The Bates experience has been exhilarating and exhausting at the same time. A CEO’s job is a huge challenge, and honestly, nothing in the past 20 years actually prepared me for this. Especially, when it comes to merging two companies like Bates and Enterprise to form a new entity, it’s a totally different ball game and one is forced to focus on many different aspects of management, not just advertising. More so, when you have to do it without a proper HR department in place. The past 15 months have been quite a roller coaster ride, really.

What are the key changes that you’ve brought into Bates India?

A whole lot has changed. Bates Enterprise is a completely new agency as far as I’m concerned, albeit built on the strong foundations of two organisations—Bates and Enterprise Nexus. The management structure has changed, our client profile has changed, the leadership has changed and even our geographic spread is not the same anymore. A new vision is being put into place, new strategic tools are being introduced and our philosophy and culture is fast evolving to be more future-focused and competitive. “Leveraging Change” is at the heart of our positioning in the market, starting with our organisation.

The merger is almost over. How do you plan to beef up your operations?

Well, the fundamentals are all there. So it’s really about becoming better at what we do. The starting point, therefore, is the product. And by that I mean both the strategic and creative solutions we bring to the table. Our work has to speak for itself and be respected by all. It’s as simple as that.

Tell us about the performance of your specialised units—such as 141—in India. Will you bring in other specialised units from the WPP stable?

141 was launched in Kolkata about two years back and then in Delhi last year. Mumbai and Bangalore have kicked off now. We’ve done reasonably well, built a very talented and committed team, done some good work for ITC, Nokia, Shell, Airtel etc. Many more clients are showing interest in us. Over the next few years, I see 141 playing a very critical role in the group’s growth. To jump-start that process, we’re looking at an acquisition as well in this space. We’re in advanced stages of discussion, so I can’t talk about it now; but if all goes well, we’ll be able to announce that in a couple of months.

Do you think Indian companies will switch over to fee-based remuneration system in line with international trends?

That’s already a reality in India today. Without getting into numbers, a large part of our business is already fee based. I personally believe it’s a good thing for the industry. It makes the agency-client relationship more honest and accountable, though in the initial stages, it’ll seem like less revenue when compared to a commission structure. In the long run, however, it’s a better process to follow. Clients and agencies have to understand the real implications and demands of such a system and be very, very clear on what the deliverables are. Only then, can a transparent fee system work.

Do you think Indian agencies can build global brands?

Of course, we can! We have the talent and the intellectual strength to do so. I truly believe India’s time has come, and that our talent will be recognised and respected on the world stage.

Of course, we still have a lot to do and improve, but I’m far more positive about it today than I was, say, 10 years ago. When you see what companies like Infosys, Wipro or people like Laxmi Mittal etc are doing, you cannot help but feel inspired about Indian companies being able to successfully create global brands. The next 10-15 years will really show what we can or cannot do. I only hope that we can develop the visionary attitude for it, and not be bogged down by our internal problems.

Sweeping changes are taking place in India’s advertising sector. What have been the major changes that you have seen in this industry in the last decade or so?

Our creative product has changed totally. It’s so proudly Indian now—not ‘English-oriented’ as it used to be. We’re creating fantastic original work in the regional languages today, not translating from English as we used to. Also, more and more work is reflecting mass popular culture today, unlike the past when advertising used to be slightly elitist.

As consumers, we’re proudly wearing our Indianness on our sleeves, aren’t we? So, it’s not just the message that counts now, but the cultural context in which the message is placed that really connects with consumers. Strategic planning, as a specialist discipline, has evolved a lot.

We’re no longer looking merely at product- or category-led insights. We’re doing far more work in uncovering larger changes in society and how to leverage them for our brands. Consequently, we’ve changed from being just creative ‘suppliers’ to becoming true brand partners for our clients. The focus is no longer on just creating campaigns; it’s now on total solutions for brands. So, a 360-degree way of looking at brands is much more in demand now than ever before.

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