Leading public-relations agency 124 Communications yesterday announced a business restructuring after the entry of new partners led by Kunakorn Sethi, who now own a combined 17 per cent of the company.
Kunakorn is managing director of film-production house Prommitr Production. His group gradually bought up 124 Communications shares in the market until possessing the present 7.65 million shares.
"After acquiring a significant number of shares in 124 Communications, Kunakorn and his group approached us and said they wanted to be an active partner. They said their expertise in media production and marketing communications would help our business in the future, including its restructuring," said 124 CEO Nimitz Modrakee.
He said the restructuring would include establishing two subsidiaries - one to be in charge of public relations, and the other of media buying.
To be called 124 Communications Consulting and Work Heart, the two subsidiaries, each with registered capital of Bt5 million, will allow 124 Communications to provide its customers with a greater variety of services. Their establishment will foster transparency in operations, flexibility in the provision of services and elimination of possible conflicts, as well as address limitations to providing services.
Both 124 Communications Consulting and Work Heart will complete the registration process by next week.
The company has also approved a change in the par value of shares, from Bt1 apiece to 10 satang, while the total value of the registered capital remains unchanged at Bt45 million.
Reducing the par value in this way will increase the number of ordinary shares from 45 million to 450 million.
The company has also issued 22.5 million units of new warrants, to be offered to its existing shareholders, which will increase registered capital from Bt45 million to Bt67.5 million.
Nimitz said the restructuring would strengthen 124 Communications' business. 124 Communications will become the parent and fully own both subsidiaries.
"We expect setting up the two subsidiaries to have a positive effect on 124 Communications' performance this year," said Nimitz.
He will be the chairman of 124 Communications and CEO of 124 Communications Consulting, while Kunakorn will be chief operating officer of Work Heart.
Monday, August 31, 2009
Top housing fair invites all buyers
Fair at Siam Paragon will offer special promotions from September 11-20
To kick off the third quarter with a bang, the Thai Real Estate Association has organised a spectacular 10-day exhibition of quality homes at Siam Paragon.
Running from September 11 to 20 on the mezzanine floor of the mall, the event called "Thailand Exclusive Property Show" will assemble housing products, ranging from city condominiums to vacation homes.
More than 15 branded projects worth at least Bt10 million will take part in what is expected to be a mong the most awaited marketing events this year.
Visitors will be offered special prices as well as unbeatable promotional packages.
Booths will be set up at Siam Paragon's spacious Hall of Fame and Fashion Hall as large crowds are expected to turn up.
Kittipol Pramoj na Ayudhya, president of the Thai Real Estate Association, says this was a golden opportunity for homebuyers to check out what is available in the middle and upper segments of the market.
Participating companies will offer special discounts, free furnishings and home appliances as well as low mortgage rates.
Despite a prolonged uncertainty hanging over the past year, consumer confidence has gradually returned, says Kittipol.
Members of the association are largely optimistic that demand remains strong.
With a fair dose of incentives, they believe buyers should be tempted to invest in a dream home, says Vilailux general manager Teeravat Pipatdhitakul.
Teeravat will promote Phupatara, a luxury condominium in Rayong.
Another participant Dr Somchao Tanterdtham who heads NC Housing says recent bookings show a recovery may be underway.
"Sales during the last quarter have been surprisingly strong for us," he says.
"We shall take the opportunity and use the show to further enhance our share in the detached housing front.
Likewise, Sukit Triwanapong, managing director of Fine Home, also feels a gradual increase in enquiries signals buyers are coming back to shop for homes.
He says his company remains cautious about starting new projects but all that could change if sales pick up at the show.
Sukit will be launching a city condominium called The Fine on Soi Aree 4.
The 8-storey project that is being built on a 432-square-wah compound offers 79 units. Its smallest 48-square-metres unit will command a Bt3.7-million price tag.
Because the site is located near a BTS station, residents have an excellent option for commuting in a chaotic city, he says.
Lertmongkol Waravenuch, the association's vice president and secretary says more exhibitions are being considered as some members were unable to join the show because of time constraints.
They are still keen to take part in a similar event in coming months.
The organisers are expecting to book about Bt1 billion in sales. The Nation Group will be one of the key media backers for the show.
Lertmongkol says the venue is perfect as it is linked to the Skytrain's central station at Siam Square.
"To avoid traffic congestion, we recommend visitors take the BTS as it would save time and avoid being stuck in traffic," he says.
"We urge everyone to come. This is not an event you would want to miss."
"With a fair dose of incentives, members of the association believe buyers could be tempted to invest in a dream home.
To kick off the third quarter with a bang, the Thai Real Estate Association has organised a spectacular 10-day exhibition of quality homes at Siam Paragon.
Running from September 11 to 20 on the mezzanine floor of the mall, the event called "Thailand Exclusive Property Show" will assemble housing products, ranging from city condominiums to vacation homes.
More than 15 branded projects worth at least Bt10 million will take part in what is expected to be a mong the most awaited marketing events this year.
Visitors will be offered special prices as well as unbeatable promotional packages.
Booths will be set up at Siam Paragon's spacious Hall of Fame and Fashion Hall as large crowds are expected to turn up.
Kittipol Pramoj na Ayudhya, president of the Thai Real Estate Association, says this was a golden opportunity for homebuyers to check out what is available in the middle and upper segments of the market.
Participating companies will offer special discounts, free furnishings and home appliances as well as low mortgage rates.
Despite a prolonged uncertainty hanging over the past year, consumer confidence has gradually returned, says Kittipol.
Members of the association are largely optimistic that demand remains strong.
With a fair dose of incentives, they believe buyers should be tempted to invest in a dream home, says Vilailux general manager Teeravat Pipatdhitakul.
Teeravat will promote Phupatara, a luxury condominium in Rayong.
Another participant Dr Somchao Tanterdtham who heads NC Housing says recent bookings show a recovery may be underway.
"Sales during the last quarter have been surprisingly strong for us," he says.
"We shall take the opportunity and use the show to further enhance our share in the detached housing front.
Likewise, Sukit Triwanapong, managing director of Fine Home, also feels a gradual increase in enquiries signals buyers are coming back to shop for homes.
He says his company remains cautious about starting new projects but all that could change if sales pick up at the show.
Sukit will be launching a city condominium called The Fine on Soi Aree 4.
The 8-storey project that is being built on a 432-square-wah compound offers 79 units. Its smallest 48-square-metres unit will command a Bt3.7-million price tag.
Because the site is located near a BTS station, residents have an excellent option for commuting in a chaotic city, he says.
Lertmongkol Waravenuch, the association's vice president and secretary says more exhibitions are being considered as some members were unable to join the show because of time constraints.
They are still keen to take part in a similar event in coming months.
The organisers are expecting to book about Bt1 billion in sales. The Nation Group will be one of the key media backers for the show.
Lertmongkol says the venue is perfect as it is linked to the Skytrain's central station at Siam Square.
"To avoid traffic congestion, we recommend visitors take the BTS as it would save time and avoid being stuck in traffic," he says.
"We urge everyone to come. This is not an event you would want to miss."
"With a fair dose of incentives, members of the association believe buyers could be tempted to invest in a dream home.
Thursday, August 27, 2009
DISCOUNTS, NEW DEALS ON OFFER
Thailand's firstever insurance fair, Insurance Week, will offer discounts of up to 30 per cent on premiums, General Insurance Association president Jiraphant Asvatanakul said yesterday. At the fair - to be held from this coming Wednesday to Sunday at Impact Arena Muang Thong Thani - the association will promote products by designing them simply with convenient sales channels in an attempt to convince people to be more concerned about life protection.
It would like to see people hold only one card, recording all kinds of policies taken out by the insured. If this were legally possible, both consumers and insurance companies would share the benefits, he said.
Sara Lamsam, president of the Thai Life Assurance Association and Muang Thai Life Assurance's president, said lifeassurers would offer many specially priced products covering every category of customer.
Micro protection, an insurance policy for low-income earners is one of the products available at the fair.
Also on show will be a savings lifeassurance product with a premium of Bt300 a month, and a singlepremium product with protectionperiod options of three, five and 10 years with a return of 2 to 4 per cent, excluding tax benefits.
Products linked with investment - universal life or unitlinked - will be on offer at special rates, while there will also be a personal accident policy offered at a premium of Bt0.70 per day for an insured sum of Bt100,000.
Regarding Muang Thai Life Assurance's products, Sara said the company would launch a new healthrider product at the fair, providing insurance cover for four serious diseases.
If a policyholder falls ill from one of the specified diseases, they will receive Bt1 million. Moreover, they will be protected for another 10 years without paying any further premiums. If they later fall ill from another of the four listed diseases, the company will pay an additional Bt1 million.
However, disease and premium details are not yet available, as the product will be officially launched at the fair.
Chantra Purnariksha, secretarygeneral of the Office of Insurance Commission, said that besides cheap insurance products, visitors to Insurance Week would be able to gain extensive knowledge, as well as benefiting from activities involving the awarding of items such as free rice and sugar packs, plus a lucky draw for gold.
Job opportunities within the sector will be another feature, she said.
For example, the UKlang garage insurance association is hoping to recruit 5,000 technicians at the fair.
It would like to see people hold only one card, recording all kinds of policies taken out by the insured. If this were legally possible, both consumers and insurance companies would share the benefits, he said.
Sara Lamsam, president of the Thai Life Assurance Association and Muang Thai Life Assurance's president, said lifeassurers would offer many specially priced products covering every category of customer.
Micro protection, an insurance policy for low-income earners is one of the products available at the fair.
Also on show will be a savings lifeassurance product with a premium of Bt300 a month, and a singlepremium product with protectionperiod options of three, five and 10 years with a return of 2 to 4 per cent, excluding tax benefits.
Products linked with investment - universal life or unitlinked - will be on offer at special rates, while there will also be a personal accident policy offered at a premium of Bt0.70 per day for an insured sum of Bt100,000.
Regarding Muang Thai Life Assurance's products, Sara said the company would launch a new healthrider product at the fair, providing insurance cover for four serious diseases.
If a policyholder falls ill from one of the specified diseases, they will receive Bt1 million. Moreover, they will be protected for another 10 years without paying any further premiums. If they later fall ill from another of the four listed diseases, the company will pay an additional Bt1 million.
However, disease and premium details are not yet available, as the product will be officially launched at the fair.
Chantra Purnariksha, secretarygeneral of the Office of Insurance Commission, said that besides cheap insurance products, visitors to Insurance Week would be able to gain extensive knowledge, as well as benefiting from activities involving the awarding of items such as free rice and sugar packs, plus a lucky draw for gold.
Job opportunities within the sector will be another feature, she said.
For example, the UKlang garage insurance association is hoping to recruit 5,000 technicians at the fair.
Grammy projects H2 flat growth
GMM Grammy Plc, the country's largest entertainment company, says its secondhalf revenue and profit will remain on par with the same period last year due to the weak economy and strong competition.
Strong performance was difficult to achieve this year due to many negative factors. Renewed political unrest could result in Grammy's 2009 figures dipping below last year's, said director Sumeth Damrongchaitham.
Grammy reported a net profit of 470 million baht on revenue of 4.1 billion baht in the second half of 2008. Its 2009 first-half net profit was 323 million baht with revenue of 3.97 billion, compared to a net profit of 357 million baht and revenue of 3.6 billion in the same period last year.
"We see an increase in revenue in the second half but profit should remain on par with last year. We just want to keep building even if there is no profit. This results from high competition in the market," he said.
In the second quarter Grammy generated profit of 208 million baht on revenue of 2 billion, compared with profit of 257 million on revenue of 2 billion in the same period a year earlier.
Only its media business posted growth,increasing by 12% to 897 million baht.Movies declined furthest, dropping by 52% to 36 million baht, while music fell by 5% to 841 million baht.
"Event and digital businesses will be key drivers pushing Grammy to achieve its target this year," he said.
Events had the media segment's highest growth, rising by 65% to 380 million baht in the second quarter, while TV increased by 6% to 443 million baht,radio dropped by 25% to 139 million baht, and publishing declined by 11%to 55 million baht.
Grammy organised major events for both the private and public sectors.
The firm says its digital business exhibits strong growth potential from subscriptions for call melodies and ringtones for True, AIS and DTAC customers.
Grammy also plans to launch seven albums and at least 10 show-business products in the rest of the year. It expects second-half movie revenues to be higher than in the first six months as it will introduce three new films. The firm also expects revenue of about 100 million baht from satellite TV by year-end.
Grammy shares closed yesterday on the SET unchanged at 14 baht, in trade worth 1.03 million baht.
Strong performance was difficult to achieve this year due to many negative factors. Renewed political unrest could result in Grammy's 2009 figures dipping below last year's, said director Sumeth Damrongchaitham.
Grammy reported a net profit of 470 million baht on revenue of 4.1 billion baht in the second half of 2008. Its 2009 first-half net profit was 323 million baht with revenue of 3.97 billion, compared to a net profit of 357 million baht and revenue of 3.6 billion in the same period last year.
"We see an increase in revenue in the second half but profit should remain on par with last year. We just want to keep building even if there is no profit. This results from high competition in the market," he said.
In the second quarter Grammy generated profit of 208 million baht on revenue of 2 billion, compared with profit of 257 million on revenue of 2 billion in the same period a year earlier.
Only its media business posted growth,increasing by 12% to 897 million baht.Movies declined furthest, dropping by 52% to 36 million baht, while music fell by 5% to 841 million baht.
"Event and digital businesses will be key drivers pushing Grammy to achieve its target this year," he said.
Events had the media segment's highest growth, rising by 65% to 380 million baht in the second quarter, while TV increased by 6% to 443 million baht,radio dropped by 25% to 139 million baht, and publishing declined by 11%to 55 million baht.
Grammy organised major events for both the private and public sectors.
The firm says its digital business exhibits strong growth potential from subscriptions for call melodies and ringtones for True, AIS and DTAC customers.
Grammy also plans to launch seven albums and at least 10 show-business products in the rest of the year. It expects second-half movie revenues to be higher than in the first six months as it will introduce three new films. The firm also expects revenue of about 100 million baht from satellite TV by year-end.
Grammy shares closed yesterday on the SET unchanged at 14 baht, in trade worth 1.03 million baht.
Choosing the right tools for health messages
Most consumers know what is good for their health but not many are ready to sacrifice taste for nutritious value, revealed a recent study conducted by leading marketing and media research house Mindshare.
Mindshare's business planning director Varidda Voraakom said yesterday that the study on "Health and Wellness Trends" showed that Thai consumers, much like global consumers, were proactive in terms of health and wellbeing. In other words, people no longer wait to fall ill before taking action.
The survey was conducted on 2,000 respondents, aged between 15 and 65, living in Bangkok and its suburbs.
However, the study found that the respondents, divided into three groups, had different ideas when it came to health and wellness. The first group, aged between 15 and 24, know about the importance of being healthy but are not too serious about it. In other words, they prefer taste over nutrition and are much more interested in following the latest fashion trends.
The second group, between 25 and 34 years old, believe that mental and spiritual well-being is just as important as physical health, while the third group, comprised of parents with children aged between five and nine, want to be healthy and hang on to their youth.
Mindshare released the results of this study to producers and marketers in the health and wellness industry, and expects new products in line with Thai lifestyles to be launched next year.
Varidda said it was a challenge for companies interested in entering the health and wellness sector to come up with products and services that are in line with current lifestyle trends.
She advised that firms choose the right media tool to market their products. For instance, she said, products targeted at young people should be advertised via television, magazines and the Internet, while young parents prefer to consume information through online blogs, community sites, webboards and door-to-door advertising leaflets.
"Manufacturers should make their products appear more fashionable to tap youngsters, and launch more health products for young adults and modern parents," Varidda said.
Warin Tinprapa, another business planning director of Mindshare, added that young people were major consumers so producers should concentrate on developing health products to meet the needs of this group.
She noted that the current economic slowdown had only slightly affected health trends in Thailand, and that top-earners still spent a lot of attention to their health.
Besides, the global trend of exercise has persuaded Thai consumers to understand that that an active lifestyle does not just result in good physical health but also helps balance the state of mind.
Mindshare's business planning director Varidda Voraakom said yesterday that the study on "Health and Wellness Trends" showed that Thai consumers, much like global consumers, were proactive in terms of health and wellbeing. In other words, people no longer wait to fall ill before taking action.
The survey was conducted on 2,000 respondents, aged between 15 and 65, living in Bangkok and its suburbs.
However, the study found that the respondents, divided into three groups, had different ideas when it came to health and wellness. The first group, aged between 15 and 24, know about the importance of being healthy but are not too serious about it. In other words, they prefer taste over nutrition and are much more interested in following the latest fashion trends.
The second group, between 25 and 34 years old, believe that mental and spiritual well-being is just as important as physical health, while the third group, comprised of parents with children aged between five and nine, want to be healthy and hang on to their youth.
Mindshare released the results of this study to producers and marketers in the health and wellness industry, and expects new products in line with Thai lifestyles to be launched next year.
Varidda said it was a challenge for companies interested in entering the health and wellness sector to come up with products and services that are in line with current lifestyle trends.
She advised that firms choose the right media tool to market their products. For instance, she said, products targeted at young people should be advertised via television, magazines and the Internet, while young parents prefer to consume information through online blogs, community sites, webboards and door-to-door advertising leaflets.
"Manufacturers should make their products appear more fashionable to tap youngsters, and launch more health products for young adults and modern parents," Varidda said.
Warin Tinprapa, another business planning director of Mindshare, added that young people were major consumers so producers should concentrate on developing health products to meet the needs of this group.
She noted that the current economic slowdown had only slightly affected health trends in Thailand, and that top-earners still spent a lot of attention to their health.
Besides, the global trend of exercise has persuaded Thai consumers to understand that that an active lifestyle does not just result in good physical health but also helps balance the state of mind.
MCOT pressing Bangkok Entertainment
MCOT and Bangkok Entertainment will meet next week to negotiate the concession renewal fee for TV Channel 3.
Bangkok Entertainment has offered Bt2 billion for the 10-year extension from 2010-2020, but MCOT considered the figure too low, MCOT chairman Surapon Nitikraipoj told the shareholders'meeting yesterday.
The concession will not be renewed until the fee is agreed upon, he said.
Bangkok Entertainment is a subsidiary of BEC World, the operator of Channel 3.
Surapon also told shareholders that MCOT recently amended True Visions' concession to allow the cable operator to air commercials for six minutes per hour. That is in line with the Broadcasting Act of 2008, which allows all cable TV stations to earn income from running commercials.
True Visions will pay MCOT 6.5 per cent of its commercial revenue.
MCOT also asked True Visions to pau compensation for showing commercials prior to the concession amendment as well as for delisting from the Stock Echange of Thailand.
True offered Bt79 million, but as MCOT was not satisfied, next week they will discuss the figure.
MCOT shareholders approved the appointment of Thanawat Wansom as the company's president. He will take office on September 1 and serve for four years. Thanawat's mission is mainly restructuring, as MCOT is earmarked to be a modern media company but the organisation remains a state enterprise.
Bangkok Entertainment has offered Bt2 billion for the 10-year extension from 2010-2020, but MCOT considered the figure too low, MCOT chairman Surapon Nitikraipoj told the shareholders'meeting yesterday.
The concession will not be renewed until the fee is agreed upon, he said.
Bangkok Entertainment is a subsidiary of BEC World, the operator of Channel 3.
Surapon also told shareholders that MCOT recently amended True Visions' concession to allow the cable operator to air commercials for six minutes per hour. That is in line with the Broadcasting Act of 2008, which allows all cable TV stations to earn income from running commercials.
True Visions will pay MCOT 6.5 per cent of its commercial revenue.
MCOT also asked True Visions to pau compensation for showing commercials prior to the concession amendment as well as for delisting from the Stock Echange of Thailand.
True offered Bt79 million, but as MCOT was not satisfied, next week they will discuss the figure.
MCOT shareholders approved the appointment of Thanawat Wansom as the company's president. He will take office on September 1 and serve for four years. Thanawat's mission is mainly restructuring, as MCOT is earmarked to be a modern media company but the organisation remains a state enterprise.
Wednesday, August 26, 2009
Ads target boat commuters
Autsawaarcha Co has obtained a concession from Chao Phraya Express Boat Co to manage advertising space on its commuter boats and piers along the Chao Phraya River, expecting revenues around 250-300 million baht a year.
Managing director Sean Goh said the company would manage ad space on four piers and 45 express and commuter boats for three years. It will pay fees of about 10 million baht a year to Chao Phraya Express Boat Co.
"Ads on express and commuter boats are new for Thai society and will add colour to the Chao Phraya River, which has at least 500,000 boat commuters a day," he said.
The ad banners and billboards on boats are classified as transit media.Amid the weak economy and high oil prices, more and more people have turned to use public transport to reduce their travel expenses.
According to The Nielsen Company,transit media have high potential and spending grew by 28.1% in the first seven months of this year while overall media spending fell 4.36%.
Autsawaarcha Co will invest 2 million baht to improve four boat piers and install ad banners and billboards, especially on boat roofs. An additional 10 million baht will be used to add TV screens on the boats and piers.
The five commuting boat routes to have ads are Tha Chang-Wat Rakhang,Tha Chang-Wang Lang, Tha Phra ChanWang Lang, Tha Phra Chan-Rod Fai and Thai Phra Chan-Pin Klao. The four piers are Tha Chang, Wang Lang, Tha Phra Chan and Tha Phra Arthit.
The company will offer four advertising packages costing between 70,000 and 90,000 baht per month to attract advertisers.
"If we can sell 50% of the ad space to customers, we can break even within six months of operation. We hope we can earn 250-300 million baht per year.We now have one customer and three potential ones are in talks," said Mr Goh.
Apart from the boat ad business, Autsawaarcha is interested in developing retail plazas near 10 boat piers owned by Chao Phraya Express Boat. The boat operator is now discussing with the Harbour Department a proposal to develop land near its piers, especially at Pak Kred, which is close to the new government centre on Chaeng Watthana Road and also draws heavy visitor traffic to the tourist island of Koh Kred.
Managing director Sean Goh said the company would manage ad space on four piers and 45 express and commuter boats for three years. It will pay fees of about 10 million baht a year to Chao Phraya Express Boat Co.
"Ads on express and commuter boats are new for Thai society and will add colour to the Chao Phraya River, which has at least 500,000 boat commuters a day," he said.
The ad banners and billboards on boats are classified as transit media.Amid the weak economy and high oil prices, more and more people have turned to use public transport to reduce their travel expenses.
According to The Nielsen Company,transit media have high potential and spending grew by 28.1% in the first seven months of this year while overall media spending fell 4.36%.
Autsawaarcha Co will invest 2 million baht to improve four boat piers and install ad banners and billboards, especially on boat roofs. An additional 10 million baht will be used to add TV screens on the boats and piers.
The five commuting boat routes to have ads are Tha Chang-Wat Rakhang,Tha Chang-Wang Lang, Tha Phra ChanWang Lang, Tha Phra Chan-Rod Fai and Thai Phra Chan-Pin Klao. The four piers are Tha Chang, Wang Lang, Tha Phra Chan and Tha Phra Arthit.
The company will offer four advertising packages costing between 70,000 and 90,000 baht per month to attract advertisers.
"If we can sell 50% of the ad space to customers, we can break even within six months of operation. We hope we can earn 250-300 million baht per year.We now have one customer and three potential ones are in talks," said Mr Goh.
Apart from the boat ad business, Autsawaarcha is interested in developing retail plazas near 10 boat piers owned by Chao Phraya Express Boat. The boat operator is now discussing with the Harbour Department a proposal to develop land near its piers, especially at Pak Kred, which is close to the new government centre on Chaeng Watthana Road and also draws heavy visitor traffic to the tourist island of Koh Kred.
Ad recovery boosts Nation Group's revenue
The Nation Multimedia Group expects its revenue to increase 10-15 per cent in the second half, over the Bt1.2 billion recorded in the first six months, thanks to recovering advertising revenue.
Chief executive Thanachai Santichaikul yesterday said the company was seeing signs of recovery in advertising revenue. Many large corporations had begun placing more ads in all of NMG's media channels.
"Our ad revenue showed its highest drop in January, when most firms stopped spending on advertising because they lacked confidence in the country's economy and political situation," he said.
NMG expects to generate more than Bt2 billion in revenue this year. However, jt is still lower than last year, when the group took in Bt3 billion. NMG's first-half advertising revenue fell 26.58 per cent to Bt652 million, from Bt888 million in the same period last year. Revenue from the group's publishing business showed the highest drop, 36 per cent, while income from broadcasting and new media business increased 11 per cent.
Despite the fall, advertising revenue from the company's publishing business contributed 69 per cent of its first-half revenue. Ad revenue is expected to improve in the second half, to a level that is 15-20 per cent below last year's second half. An improvement of that magnitude would leave full year ad revenue 20-25-per-cent down from last year, Thanachai said.
Revenue from the group's broadcasting business, consisting of radio and television, rose 16 per cent year on year in the first half. This will likely increase continuously in the second half, because of two new television programmes the Nation Broadcasting Corporation (NBC) has produced for Channel 11.
Television revenue is targeted to increase 25 per cent from last year.
Thanachai said the group's second-half operating costs were also expected to decline slightly, mainly because of lower paper costs.
Meanwhile, the company is planning to list its two subsidiaries - Nation International Edutainment and NBC - on the Market for Alternative Investment in the fourth quarter. It will consider market sentiment a major factor influencing the listing.
If the two subsidiaries list as planned, NMG will book special revenue from selling part of its existing shareholdings in initial public offerings.
"We're trying to turn the company to profit in the second half after booking a net loss of Bt110 million in the first six months," Thanachai said.
Chief executive Thanachai Santichaikul yesterday said the company was seeing signs of recovery in advertising revenue. Many large corporations had begun placing more ads in all of NMG's media channels.
"Our ad revenue showed its highest drop in January, when most firms stopped spending on advertising because they lacked confidence in the country's economy and political situation," he said.
NMG expects to generate more than Bt2 billion in revenue this year. However, jt is still lower than last year, when the group took in Bt3 billion. NMG's first-half advertising revenue fell 26.58 per cent to Bt652 million, from Bt888 million in the same period last year. Revenue from the group's publishing business showed the highest drop, 36 per cent, while income from broadcasting and new media business increased 11 per cent.
Despite the fall, advertising revenue from the company's publishing business contributed 69 per cent of its first-half revenue. Ad revenue is expected to improve in the second half, to a level that is 15-20 per cent below last year's second half. An improvement of that magnitude would leave full year ad revenue 20-25-per-cent down from last year, Thanachai said.
Revenue from the group's broadcasting business, consisting of radio and television, rose 16 per cent year on year in the first half. This will likely increase continuously in the second half, because of two new television programmes the Nation Broadcasting Corporation (NBC) has produced for Channel 11.
Television revenue is targeted to increase 25 per cent from last year.
Thanachai said the group's second-half operating costs were also expected to decline slightly, mainly because of lower paper costs.
Meanwhile, the company is planning to list its two subsidiaries - Nation International Edutainment and NBC - on the Market for Alternative Investment in the fourth quarter. It will consider market sentiment a major factor influencing the listing.
If the two subsidiaries list as planned, NMG will book special revenue from selling part of its existing shareholdings in initial public offerings.
"We're trying to turn the company to profit in the second half after booking a net loss of Bt110 million in the first six months," Thanachai said.
Tuesday, August 25, 2009
RS invests in bus ads
RS In-Store Media, a subsidiary of RS, has invested Bt15 million in its "One Stop Shop" marketing strategy to penetrate the bus-ad market, with targeted annual revenue of Bt15 million.
Vinualuck Sorat, managing director of RS In-Store, said the company saw a new marketing opportunity from the heavy traffic in Bangkok and decided to invest Bt15 million to enter the bus media business with ads that include both sound and vision.
The company has two types of promotional media. The first is a full sticker that wraps all around the bus, and a smaller one that is attached to the back. The second is called in-bus media, which are 4x19-inch LCD TV screens over window panels.
The company is confident that its foray into bus advertising will be successful, especially with the advent of installing LCD screens.
The bus-ad project has been running since mid-July and the company expects to have completed installing the system in 49 buses by next month, Vinualuck said.
Bus advertising will directly reach between 5 million to 6 million passengers per day.
"The company expects the bus-ad strategy to generate revenue of between Bt15 million and Bt18 million this year," he said.
For the first half of 2009, RS In-Store reached 40 per cent of its target revenue of Bt145 million and generated 6 per cent of the revenue of all companies under the RS banner.
"Despite the economic slowdown this year the company is confident people will continue to spend. Modern-trade media and bus advertising are still the marketing tools chosen by most brands because they directly attract attention and promote sales," Vinualuck said.
Vinualuck Sorat, managing director of RS In-Store, said the company saw a new marketing opportunity from the heavy traffic in Bangkok and decided to invest Bt15 million to enter the bus media business with ads that include both sound and vision.
The company has two types of promotional media. The first is a full sticker that wraps all around the bus, and a smaller one that is attached to the back. The second is called in-bus media, which are 4x19-inch LCD TV screens over window panels.
The company is confident that its foray into bus advertising will be successful, especially with the advent of installing LCD screens.
The bus-ad project has been running since mid-July and the company expects to have completed installing the system in 49 buses by next month, Vinualuck said.
Bus advertising will directly reach between 5 million to 6 million passengers per day.
"The company expects the bus-ad strategy to generate revenue of between Bt15 million and Bt18 million this year," he said.
For the first half of 2009, RS In-Store reached 40 per cent of its target revenue of Bt145 million and generated 6 per cent of the revenue of all companies under the RS banner.
"Despite the economic slowdown this year the company is confident people will continue to spend. Modern-trade media and bus advertising are still the marketing tools chosen by most brands because they directly attract attention and promote sales," Vinualuck said.
Govt spending brightens Index outlook
Event organiser Index Creative Village said government spending on several projects and the private sector's plan to hold marketing events during the fourth quarter will help boost the events industry growth to 10 per cent this year.
Index co-chief executive officer Kreingkrai Kanjanapokin said yesterday that the industry would only have grown 5 per cent without such spending.
The company's recorded revenue in the first seven months was Bt909 million, up by 54 per cent year on year. He said part of this growth was due to state agencies' spending on events. For instance, this year Index secured deals from the Prime Minister's Office to promote the "I Love Thailand" and "Strong Thailand" campaigns.
It also secured a deal from the Commerce Ministry to promote the Thailand pavilion at the World Expo 2010 in China.
"All state agencies are rushing to spend on events in order to publicise their performance. Moreover, the type-A (H1N1) flu has prompted several state agencies to hold flu-prevention campaigns," he said.
Prime Minister Abhisit Vejjajiva yesterday announced that the government was moving ahead with its investment budget under the "Strong Thailand" economic stimulus package to boost the country's economy. Abhisit said he believes the country's gross domestic product growth will start becoming positive in the fourth quarter.
Kreingkrai said the company projected this year's revenue at Bt1.56 billion, a 22 per cent increase from last year. The rate of growth might even climb to 30 per cent, if there are no new serious political problems.
The proportion of government projects won by Index has risen to 60 per cent this year from the 30 per cent in previous years, while projects won from the private sector have dropped to 40 per cent from 70 per cent.
However, Kreingkrai said private businesses such as automobile, consumer products and beverage firms were planning to spend on marketing campaigns for the fourth quarter.
Index has also recently decided to use the Internet as a marketing tool, by developing a community homepage where its corporate customers can interact and share their experiences.
Index co-chief executive officer Kreingkrai Kanjanapokin said yesterday that the industry would only have grown 5 per cent without such spending.
The company's recorded revenue in the first seven months was Bt909 million, up by 54 per cent year on year. He said part of this growth was due to state agencies' spending on events. For instance, this year Index secured deals from the Prime Minister's Office to promote the "I Love Thailand" and "Strong Thailand" campaigns.
It also secured a deal from the Commerce Ministry to promote the Thailand pavilion at the World Expo 2010 in China.
"All state agencies are rushing to spend on events in order to publicise their performance. Moreover, the type-A (H1N1) flu has prompted several state agencies to hold flu-prevention campaigns," he said.
Prime Minister Abhisit Vejjajiva yesterday announced that the government was moving ahead with its investment budget under the "Strong Thailand" economic stimulus package to boost the country's economy. Abhisit said he believes the country's gross domestic product growth will start becoming positive in the fourth quarter.
Kreingkrai said the company projected this year's revenue at Bt1.56 billion, a 22 per cent increase from last year. The rate of growth might even climb to 30 per cent, if there are no new serious political problems.
The proportion of government projects won by Index has risen to 60 per cent this year from the 30 per cent in previous years, while projects won from the private sector have dropped to 40 per cent from 70 per cent.
However, Kreingkrai said private businesses such as automobile, consumer products and beverage firms were planning to spend on marketing campaigns for the fourth quarter.
Index has also recently decided to use the Internet as a marketing tool, by developing a community homepage where its corporate customers can interact and share their experiences.
Organiser upbeat over 4th Medical Fair Thailand
Messe Dusseldorf Asia expects the 4th Medical Fair Thailand, a biennial event, will generate more business than the US$50 million (Bt1.7 billion) in the previous edition, due mainly to rising global demand for health care despite the world economic crisis.
"I can't estimate the exact figure of trading value during the fair this year, but I hope the number will be higher than last time," said Gernot Ringling, managing director of Messe Dusseldorf Asia.
Messe Dusseldorf Asia is a regional branch of Messe Dusselorf, one of the world's leading trade fair organisers.
"I've talked with many people in the medical industry in Southeast Asia, including in medical hubs like Thailand, and know that there is demand to develop and upgrade the facilities and medical technology of hospitals. This is because the medical sector is still a sunshine industry, which has had less of an impact from the global crisis," he said.
The 4th Medical Fair Thailand, an international exhibition covering hospitals, diagnostics, pharmaceuticals, medical and rehabilitation equipment and supplies, will be held on September 16-18 at the Queen Sirikit National Convention Centre.
Ringling said Messe Dusseldorf was confident about organising the fair in Thailand because it believes in the country's potential as a regional medical hub. "Thailand's medical industry has grown very fast in the last 10 years not only in the region, but also in the world market.
Thailand in 2004 generated revenue of $2 billion from foreign patients. I expect the value to increase to $4.4 billion by 2012," he said.
He added that it was very interesting that Singapore - Thailand's competitor in becoming the main medical regional hub - had started to promote itself as a world medical destination before the Kingdom, but that Thailand had gained more recognition as a hub and attracted more foreign patients.
Singapore can attract patients from neighbouring countries such as Indonesia, while Thailand is the medical destination for Middle Eastern countries.
Messe Dusseldorf Asia has a regional office in Singapore and also organises medical fairs in the country.
"I believe that the advantages of Thailand's medical industry are pricing, which is more reasonable, and good service in medical treatment," said Ringling.
Some 250 exhibitors will be participating in the 4th Medical Fair Thailand, slightly higher than in 2007. However, the number of visitors is expected to be 5,000 per day, a sharp rise from 4,000 daily two years ago.
Among the many highlights of the latest medical technology on show will be a wireless wheelchair controller using Bluetooth, as well as advanced respiratory equipment.
"I can't estimate the exact figure of trading value during the fair this year, but I hope the number will be higher than last time," said Gernot Ringling, managing director of Messe Dusseldorf Asia.
Messe Dusseldorf Asia is a regional branch of Messe Dusselorf, one of the world's leading trade fair organisers.
"I've talked with many people in the medical industry in Southeast Asia, including in medical hubs like Thailand, and know that there is demand to develop and upgrade the facilities and medical technology of hospitals. This is because the medical sector is still a sunshine industry, which has had less of an impact from the global crisis," he said.
The 4th Medical Fair Thailand, an international exhibition covering hospitals, diagnostics, pharmaceuticals, medical and rehabilitation equipment and supplies, will be held on September 16-18 at the Queen Sirikit National Convention Centre.
Ringling said Messe Dusseldorf was confident about organising the fair in Thailand because it believes in the country's potential as a regional medical hub. "Thailand's medical industry has grown very fast in the last 10 years not only in the region, but also in the world market.
Thailand in 2004 generated revenue of $2 billion from foreign patients. I expect the value to increase to $4.4 billion by 2012," he said.
He added that it was very interesting that Singapore - Thailand's competitor in becoming the main medical regional hub - had started to promote itself as a world medical destination before the Kingdom, but that Thailand had gained more recognition as a hub and attracted more foreign patients.
Singapore can attract patients from neighbouring countries such as Indonesia, while Thailand is the medical destination for Middle Eastern countries.
Messe Dusseldorf Asia has a regional office in Singapore and also organises medical fairs in the country.
"I believe that the advantages of Thailand's medical industry are pricing, which is more reasonable, and good service in medical treatment," said Ringling.
Some 250 exhibitors will be participating in the 4th Medical Fair Thailand, slightly higher than in 2007. However, the number of visitors is expected to be 5,000 per day, a sharp rise from 4,000 daily two years ago.
Among the many highlights of the latest medical technology on show will be a wireless wheelchair controller using Bluetooth, as well as advanced respiratory equipment.
Monday, August 24, 2009
GROUPS AGAINST MAJOR TOBACCO EVENT
Anti-smoking groups hit out yesterday at news that the tobacco industry plans to stage a major conference in Bangkok, saying the move would have an adverse impact on efforts to limit smoking.
Action Smoking and Health Foundation and its allies said they opposed Tabinfo Asia 2009 being held in Thailand.
"We should not be silent over this event as they [the tobacco industry] will be doing something bad for our country," secretary general of the Association, Dr Prakit Watheesathokkij said. "We need to disclose what they will doing here."
He spoke at a seminar titled "Warning about new threats from the tobacco industry", held by the Tobacco Control Research and Knowledge Management Centre yesterday (and today) in Bangkok.
Tabinfo Asia 2009 is the tobacco industry's biggest event. It will be held at Impact Arena Exhibition Centre in Nonthaburi from November 11 to 13. Over 2,000 people from 100 tobacco companies are due to attend.
Asia and Australia have 57 per cent of the international tobacco market. This year's event will highlight how to do business in countries where ads for tobacco products are banned. Attendees will also discuss new tactics and new innovations to develop a nicotine delivery system, artificial flavouring and strategies to create a "society" of smokers and people doing business online via Twitter.
Prakit said: "Even though they do not target general people to attend the event, these are the methods they are trying to use to inform the public that cigarettes are general products which can be shown at the exhibition. Indeed, this product kills over five million people around the world per year."
He said tobacco companies would also display their new cigarette packs and allow those who go to smoke inside the exhibition hall, despite the fact Thai law banned the display of cigarettes in all kind of places and only allowed people to smoke in specific areas.
The WHO Framework Convention on Tobacco Control, signed by 168 countries and legally binding in 165 countries, also prohibits governments and officials around the world which sign the convention from being involved in activities organised by tobacco companies, as it could cause conflicts of interest and signal an acceptance to tobacco industries.
Prakit also warned Thailand Tobacco Monopoly, which will have staff at the event, to stop the organiser holding the exhibition as multinational tobacco companies could attend and it could boost smoking.
The event was held in Brazil last year and met with protests by local people, which caused the organiser to scale down plans from a big exhibition to a small-scale function instead.
About 30,000 Malaysians protested at the event when it was held there in 2005.
"We will not stop them from organising such an event but we can tell the public about the new tactics they will use to try to lure people to smoke cigarettes," Prakit said.
Anti-smoking groups had set up a special committee to watch and monitor moves by the tobacco industry.
Public Health Minister Witthaya Kaewparadai said he would ask the Department of Disease Control to team up with the Department of Excise to study the event to see if it will violate Thai laws.
Action Smoking and Health Foundation and its allies said they opposed Tabinfo Asia 2009 being held in Thailand.
"We should not be silent over this event as they [the tobacco industry] will be doing something bad for our country," secretary general of the Association, Dr Prakit Watheesathokkij said. "We need to disclose what they will doing here."
He spoke at a seminar titled "Warning about new threats from the tobacco industry", held by the Tobacco Control Research and Knowledge Management Centre yesterday (and today) in Bangkok.
Tabinfo Asia 2009 is the tobacco industry's biggest event. It will be held at Impact Arena Exhibition Centre in Nonthaburi from November 11 to 13. Over 2,000 people from 100 tobacco companies are due to attend.
Asia and Australia have 57 per cent of the international tobacco market. This year's event will highlight how to do business in countries where ads for tobacco products are banned. Attendees will also discuss new tactics and new innovations to develop a nicotine delivery system, artificial flavouring and strategies to create a "society" of smokers and people doing business online via Twitter.
Prakit said: "Even though they do not target general people to attend the event, these are the methods they are trying to use to inform the public that cigarettes are general products which can be shown at the exhibition. Indeed, this product kills over five million people around the world per year."
He said tobacco companies would also display their new cigarette packs and allow those who go to smoke inside the exhibition hall, despite the fact Thai law banned the display of cigarettes in all kind of places and only allowed people to smoke in specific areas.
The WHO Framework Convention on Tobacco Control, signed by 168 countries and legally binding in 165 countries, also prohibits governments and officials around the world which sign the convention from being involved in activities organised by tobacco companies, as it could cause conflicts of interest and signal an acceptance to tobacco industries.
Prakit also warned Thailand Tobacco Monopoly, which will have staff at the event, to stop the organiser holding the exhibition as multinational tobacco companies could attend and it could boost smoking.
The event was held in Brazil last year and met with protests by local people, which caused the organiser to scale down plans from a big exhibition to a small-scale function instead.
About 30,000 Malaysians protested at the event when it was held there in 2005.
"We will not stop them from organising such an event but we can tell the public about the new tactics they will use to try to lure people to smoke cigarettes," Prakit said.
Anti-smoking groups had set up a special committee to watch and monitor moves by the tobacco industry.
Public Health Minister Witthaya Kaewparadai said he would ask the Department of Disease Control to team up with the Department of Excise to study the event to see if it will violate Thai laws.
Friday, August 21, 2009
Panasonic rides 'Avatar' 3-D craze
Panasonic Corp has signed onTitanic director James Cameron and his upcoming film in an advertising blitz for its TVs equipped with 3-D technology,both sides said yesterday.
The deal between the major Japanese electronics maker and Twentieth Century Fox Film Corp's Avatar - the first major Hollywood 3-D release that's not animation - comes as competition heats up in flat-panel TVs that show threedimensional images, or stereoscopic vision.
To watch 3-D TVs, viewers must wear special glasses that block vision in one eye and then the other as the TVs switch rapidly between images for each eye to create an illusion of depth.
Panasonic is planning to start selling 3-D TVs next year. Rivals, including Sony Corp, which has its own movie division,and Samsung Electronics Co of South Korea have shown prototypes and may offer similar products.
The problem is the scarcity of content to view in 3-D. Sceptics say a number of Blu-ray discs of appealing 3-D movies must come out for 3-D TVs to catch on.
Several animation films are already being shown in theatres in 3-D, but Avatar , set for release on Dec 18, will be the first major non-animation film debuting worldwide in both 2-D and 3-D.
"I believe 3-D is how we will experience movies, gaming and computing in the near future.3-D is not something you watch. It's a reality you feel you could step into," Cameron said on video.
"Panasonic is hoping its collaboration with Cameron will give it an edge in brand image as a 3-D leader as well as in obtaining suggestions for technological improvements for home TVs," said general manager Masayuki Kozuka.
"We want to get global interest rolling,"he told the Associated Press."For people to want to watch 3-D at home, the movie has to be a blockbuster."
Panasonic plans to have several trailervans driving around in the US and Europe next month with large-screen 3-D TVs inside showing Avatar . In Japan, footage from "Avatar"-a science-fiction Pocahontas -like romance set in a futuristic jungle inhabited by creatures evoca-tive of Cameron's Aliens - will appear in ads for 3-D TVs.
Details on the 3-D Blu-ray release of Avatar for TVs have not been set.
The deal between the major Japanese electronics maker and Twentieth Century Fox Film Corp's Avatar - the first major Hollywood 3-D release that's not animation - comes as competition heats up in flat-panel TVs that show threedimensional images, or stereoscopic vision.
To watch 3-D TVs, viewers must wear special glasses that block vision in one eye and then the other as the TVs switch rapidly between images for each eye to create an illusion of depth.
Panasonic is planning to start selling 3-D TVs next year. Rivals, including Sony Corp, which has its own movie division,and Samsung Electronics Co of South Korea have shown prototypes and may offer similar products.
The problem is the scarcity of content to view in 3-D. Sceptics say a number of Blu-ray discs of appealing 3-D movies must come out for 3-D TVs to catch on.
Several animation films are already being shown in theatres in 3-D, but Avatar , set for release on Dec 18, will be the first major non-animation film debuting worldwide in both 2-D and 3-D.
"I believe 3-D is how we will experience movies, gaming and computing in the near future.3-D is not something you watch. It's a reality you feel you could step into," Cameron said on video.
"Panasonic is hoping its collaboration with Cameron will give it an edge in brand image as a 3-D leader as well as in obtaining suggestions for technological improvements for home TVs," said general manager Masayuki Kozuka.
"We want to get global interest rolling,"he told the Associated Press."For people to want to watch 3-D at home, the movie has to be a blockbuster."
Panasonic plans to have several trailervans driving around in the US and Europe next month with large-screen 3-D TVs inside showing Avatar . In Japan, footage from "Avatar"-a science-fiction Pocahontas -like romance set in a futuristic jungle inhabited by creatures evoca-tive of Cameron's Aliens - will appear in ads for 3-D TVs.
Details on the 3-D Blu-ray release of Avatar for TVs have not been set.
Potter-style ads to get run in US magazine
The moving-picture newspapers out of the Harry Potter movies are being conjured up for real in the United States.
Thousands of readers in New York and Los Angeles are to be able to see a video ad in mid-September when they leaf through the magazine Entertainment Weekly .The US television network CBS Corp is paying to insert wafer-thin videoscreens into the entertainment publication to promote its new season of TV series launching in the autumn, its marketing chief George Schweitzer announced on Wednesday, reports said.
The 2.7-mm-thick screens have a diagonal width of 5cm and mini-speakers and were developed by Los-Angelesbased Americhip Inc.
They play when their page in the magazine is turned, much like greeting cards that play music when someone opens them.
They are to play clips of new and returning TV series and an advertisement for PepsiCo Inc, which is helping fund the promotion.
CBS refused to say how much the campaign would cost.
Thousands of readers in New York and Los Angeles are to be able to see a video ad in mid-September when they leaf through the magazine Entertainment Weekly .The US television network CBS Corp is paying to insert wafer-thin videoscreens into the entertainment publication to promote its new season of TV series launching in the autumn, its marketing chief George Schweitzer announced on Wednesday, reports said.
The 2.7-mm-thick screens have a diagonal width of 5cm and mini-speakers and were developed by Los-Angelesbased Americhip Inc.
They play when their page in the magazine is turned, much like greeting cards that play music when someone opens them.
They are to play clips of new and returning TV series and an advertisement for PepsiCo Inc, which is helping fund the promotion.
CBS refused to say how much the campaign would cost.
Mutual fund sector swells
The size of the mutual fund industry could grow to 20% of gross domestic product by the year-end, as public understanding of funds and personal investment has continued to grow.
Voravan Tarapoom, the president of the Association of Investment Management Companies, said total assets under management stood at 1.756 trillion baht, or 16.9% of GDP, in July.
"The industry has continued to grow steadily over the past several years. In 1993, when the industry started, assets under management were 205.99 billion baht, or 6.7% of GDP. As of the end of last year, assets were 1.533 trillion baht,or 19% of GDP," she said at the opening of a fund exhibition yesterday.
Mutual fund assets as a percentage of bank deposits has also increased, to 21.8% at the end of 2008 compared with a low of 2.4% in 1997 at the height of the Asian economic crisis.
Low interest rates, market deregulation and greater public understanding of fund investment has helped increase the fund industry, as have tax incentives for contributions to long-term equity and retirement mutual funds.
Mrs Voravan, also the managing dir-ector of BBL Asset Management, said 65.2% of total fund assets were held in fixed-income funds, with equity funds accounting for another 17.3%.
Foreign investment funds have become a popular asset class, as investors diversify risk by investing in overseas stocks, bonds and commodities.
The fund industry continues to have strong growth potential, Ms Voravan said. The AIMC expects net assets as a percent of GDP to reach 20% by the end of the year, with assets equal to 24% to 26% of bank deposits.
Mrs Voravan cautioned investors in local stocks to be wary of shortterm corrections, as the main index has already risen by 40% since the beginning of the year. The SET index yesterday closed at 640.98 points, up 9.7, in trade worth 19.77 billion baht.
"Since the potential to benefit from further upside gains is quite narrow,cost averaging is one good way to help reduce the risk from market volatility,"she said.
Cost averaging involves investing a set sum at regular intervals, regardless of the market price. Over time, the strategy helps average out the overall cost of investments, smoothing the impact of short-term gains and losses.
Mrs Voravan said investors concerned about risk should consider property funds as a long-term investment option. Yields can reach 8% per year,with values backed by collateral assets.
Voravan Tarapoom, the president of the Association of Investment Management Companies, said total assets under management stood at 1.756 trillion baht, or 16.9% of GDP, in July.
"The industry has continued to grow steadily over the past several years. In 1993, when the industry started, assets under management were 205.99 billion baht, or 6.7% of GDP. As of the end of last year, assets were 1.533 trillion baht,or 19% of GDP," she said at the opening of a fund exhibition yesterday.
Mutual fund assets as a percentage of bank deposits has also increased, to 21.8% at the end of 2008 compared with a low of 2.4% in 1997 at the height of the Asian economic crisis.
Low interest rates, market deregulation and greater public understanding of fund investment has helped increase the fund industry, as have tax incentives for contributions to long-term equity and retirement mutual funds.
Mrs Voravan, also the managing dir-ector of BBL Asset Management, said 65.2% of total fund assets were held in fixed-income funds, with equity funds accounting for another 17.3%.
Foreign investment funds have become a popular asset class, as investors diversify risk by investing in overseas stocks, bonds and commodities.
The fund industry continues to have strong growth potential, Ms Voravan said. The AIMC expects net assets as a percent of GDP to reach 20% by the end of the year, with assets equal to 24% to 26% of bank deposits.
Mrs Voravan cautioned investors in local stocks to be wary of shortterm corrections, as the main index has already risen by 40% since the beginning of the year. The SET index yesterday closed at 640.98 points, up 9.7, in trade worth 19.77 billion baht.
"Since the potential to benefit from further upside gains is quite narrow,cost averaging is one good way to help reduce the risk from market volatility,"she said.
Cost averaging involves investing a set sum at regular intervals, regardless of the market price. Over time, the strategy helps average out the overall cost of investments, smoothing the impact of short-term gains and losses.
Mrs Voravan said investors concerned about risk should consider property funds as a long-term investment option. Yields can reach 8% per year,with values backed by collateral assets.
Hidden ads on TV up for talks
Media authorities are meeting on Monday to impose a code of conduct on "hidden" advertising in television, a move that is believed will have a minimal impact on the advertising industry.
Witthawat Chaipranee, chairman of the Advertising Association of Thailand, said most TV producers do not really benefit from these hidden ads.
"Though some benefit, particularly those involved in prime-time programming, the gain is less than 1 per cent of the total advertising revenue of Bt90 billion per annum. Even if the government put these hidden ads under control, it would not affect the industry," Witthawat said at the association's annual meeting yesterday.
He told the association that on Monday the Consumer Production Board, chaired by PM's Office Minister Satit Wongnongtaey, will meet with all related agencies, including the association, to take care of hidden ads after academics filed a complaint that hidden ads were taking unfair advantage of consumers.
Witthawat admitted that the number of hidden ads were increasing, especially in programmes like talk shows, news talks, game shows and sitcoms, where actors are often shown using or eating particular products.
However, he said things like a photo of a product or a logo that appear without any mention of the product's quality or brand are acceptable. Product placement is popular among some programmes that fail to win high ratings.
"The hidden ads give a lifeline to these programmes, particularly children's programmes that have few sponsors. Meanwhile, hidden ads are uncommon in prime-time programmes, but are increasing as producers see this as a way to make additional profit. All parties need to brainstorm on this issue and see how they can control these ads," Witthawat said.
On Monday, the association will propose that the placement of products that are not mentioned or commented upon in the show cannot be considered hidden ads. Moreover, it will propose that an extra time slot be allotted for the advertisement of tie-in products over and above the 12.5 minutes per hour generally allowed.
The new rules on product placement will be imposed on product manufacturers, programme producers, TV stations and ad agencies.
Witthawat Chaipranee, chairman of the Advertising Association of Thailand, said most TV producers do not really benefit from these hidden ads.
"Though some benefit, particularly those involved in prime-time programming, the gain is less than 1 per cent of the total advertising revenue of Bt90 billion per annum. Even if the government put these hidden ads under control, it would not affect the industry," Witthawat said at the association's annual meeting yesterday.
He told the association that on Monday the Consumer Production Board, chaired by PM's Office Minister Satit Wongnongtaey, will meet with all related agencies, including the association, to take care of hidden ads after academics filed a complaint that hidden ads were taking unfair advantage of consumers.
Witthawat admitted that the number of hidden ads were increasing, especially in programmes like talk shows, news talks, game shows and sitcoms, where actors are often shown using or eating particular products.
However, he said things like a photo of a product or a logo that appear without any mention of the product's quality or brand are acceptable. Product placement is popular among some programmes that fail to win high ratings.
"The hidden ads give a lifeline to these programmes, particularly children's programmes that have few sponsors. Meanwhile, hidden ads are uncommon in prime-time programmes, but are increasing as producers see this as a way to make additional profit. All parties need to brainstorm on this issue and see how they can control these ads," Witthawat said.
On Monday, the association will propose that the placement of products that are not mentioned or commented upon in the show cannot be considered hidden ads. Moreover, it will propose that an extra time slot be allotted for the advertisement of tie-in products over and above the 12.5 minutes per hour generally allowed.
The new rules on product placement will be imposed on product manufacturers, programme producers, TV stations and ad agencies.
Thursday, August 20, 2009
AQUA SEEKS STAKES IN VN, LAO MEDIA PROVIDERS
Aqua Corp, an integrated-media provider, is in talks with several media providers in Vietnam and Laos about acquiring stakes in their companies this year as part of a plan to expand within Asean.
Managing director Jariya Nuksorn yesterday said Aqua wanted to enter the media business in Vietnam and Laos because of the high growth potential in those countries, where there are few providers at present.
Besides, it would like to diversify risk from operating its business solely in the home market.
Aqua is talking with up to four Vietnamese media firms and two in Laos about stake acquisitions. It might invest in more than one company in each country, she added.
Aqua estimates an investment value of US$1 million-$2 million (Bt34 million-Bt68 million) per company. Jariya said the best scenario would be to acquire stakes in existing businesses, as the regulations for establishing new media companies in the two countries are quite complex.
"We will choose companies that let us reach break even within three years. And it is better if those companies are partly acquired by the government, or even private firms that have good connections with state agencies, as we will then have more chance to win projects," she said.
Aqua expects overseas business to contribute 20 per cent of its revenue next year.
Jariya said the company planned to raise funds from the Thai stock market so that it could expand into other Asean countries.
It will launch an initial public offering of about 85 million shares in the Stock Exchange of Thailand, for which it will submit a filing to the Securities and Exchange Commission as soon as possible.
"We need about Bt300 million to Bt400 million for business expansion both domestically and overseas," she said.
Aqua Corp was previously known as JR Deal, a leading billboard media provider. It was recently rebranded after Thai company Sunshine Corp, which has invested in many businesses, acquired a 40-per-cent stake in the company and increased its registered capital to Bt339 million.
It has also established three subsidiaries to turn it into an integrated media provider: Aqua Point, which is a provider of rooftop and tri-vision advertising; Aqua Television, which is a producer of TV programmes; and Aqua Communication, which is a public relations, marketing consultancy and event-organising unit.
Aqua Corp holds nearly 100 per cent of Aqua Point and Aqua Communication, and 40 per cent of Aqua Television.
Jariya expects the company's revenue this year to grow by 50 per cent from Bt278 million last year, thanks to the income from its subsidiaries. It generated revenue of Bt170 million in the first half.
Managing director Jariya Nuksorn yesterday said Aqua wanted to enter the media business in Vietnam and Laos because of the high growth potential in those countries, where there are few providers at present.
Besides, it would like to diversify risk from operating its business solely in the home market.
Aqua is talking with up to four Vietnamese media firms and two in Laos about stake acquisitions. It might invest in more than one company in each country, she added.
Aqua estimates an investment value of US$1 million-$2 million (Bt34 million-Bt68 million) per company. Jariya said the best scenario would be to acquire stakes in existing businesses, as the regulations for establishing new media companies in the two countries are quite complex.
"We will choose companies that let us reach break even within three years. And it is better if those companies are partly acquired by the government, or even private firms that have good connections with state agencies, as we will then have more chance to win projects," she said.
Aqua expects overseas business to contribute 20 per cent of its revenue next year.
Jariya said the company planned to raise funds from the Thai stock market so that it could expand into other Asean countries.
It will launch an initial public offering of about 85 million shares in the Stock Exchange of Thailand, for which it will submit a filing to the Securities and Exchange Commission as soon as possible.
"We need about Bt300 million to Bt400 million for business expansion both domestically and overseas," she said.
Aqua Corp was previously known as JR Deal, a leading billboard media provider. It was recently rebranded after Thai company Sunshine Corp, which has invested in many businesses, acquired a 40-per-cent stake in the company and increased its registered capital to Bt339 million.
It has also established three subsidiaries to turn it into an integrated media provider: Aqua Point, which is a provider of rooftop and tri-vision advertising; Aqua Television, which is a producer of TV programmes; and Aqua Communication, which is a public relations, marketing consultancy and event-organising unit.
Aqua Corp holds nearly 100 per cent of Aqua Point and Aqua Communication, and 40 per cent of Aqua Television.
Jariya expects the company's revenue this year to grow by 50 per cent from Bt278 million last year, thanks to the income from its subsidiaries. It generated revenue of Bt170 million in the first half.
TCEB sees B12bn in 2010 revenue
The Thailand Convention & Exhibition Bureau (TCEB) expects the exhibition industry will generate revenue of at least 12 billion baht next year due to the improving economy and consumer confidence.
This year, the industry is projected to attract 100,000 visitors to 200 events and generate revenue between 7.5 billion to 10 billion baht if the economy picks up later this year.
Supawan Teerarat, the TCEB exhibition director and acting president, said it has further adjusted its marketing strategy for a higher level of integration and marketing coverage. The new plan provides stronger support for business professionals in the exhibition industry.
It also plans to expand in the Asian market, particularly China, India, Japan and Korea,because it sees room to grow in these short-haul markets under current economic conditions.
The TCEB will continue extensive roadshow activities that emphasise business matching to open up new markets for Thai entrepreneurs to meet potential trade partners. Online networking and digital database will be incorporated into the overall strategic plan, said Ms Supawan.
She added that a recent survey among exhibition figures found that 60% relied on online for information, direct marketing, event promotion and business operation. Only 30% relied exclusively on conventional sources of information.
The TCEB is therefore confident its online strategy is a cost-effective means to reach its global targets. It also plans to co-operate with the private sector and other government agencies in order to drive long-term sustainable growth in the exhibition industry.
The bureau has formed alliances with three strategic partners, including the Bangkok Metropolitan Administration (BMA), the Department of Export Promotion and the Thai Exhibition Association to drive industry growth and co-
petitiveness.
According to BMA Deputy Governor Taya Teepsuwan,the collaboration between the TCEB and the BMA on the Bangkok Exhibition City of Asean campaign will help to spur the exhibition business.In fact, the BMA has ambitious plans to develop Bangkok into a Green MegaCity that can meet this demand, combining convenience and aesthetic considerations in an urban setting.
Ms Taya said the BMA also planned to promote the tourism industry under the Bangkok Smiles campaigns consisting of dining, healthiness, tourism and hospitality.
The BMA set a budget of around 200 million baht for these activities next year,up from 150 million this year. Because of negative factors, it revised its prediction for international tourist arrivals from 11 million to eight million this year while 26 million Thai tourists are expected this year. The BMA projects tourism will generate at least 260 billion baht of country revenue this year.
This year, the industry is projected to attract 100,000 visitors to 200 events and generate revenue between 7.5 billion to 10 billion baht if the economy picks up later this year.
Supawan Teerarat, the TCEB exhibition director and acting president, said it has further adjusted its marketing strategy for a higher level of integration and marketing coverage. The new plan provides stronger support for business professionals in the exhibition industry.
It also plans to expand in the Asian market, particularly China, India, Japan and Korea,because it sees room to grow in these short-haul markets under current economic conditions.
The TCEB will continue extensive roadshow activities that emphasise business matching to open up new markets for Thai entrepreneurs to meet potential trade partners. Online networking and digital database will be incorporated into the overall strategic plan, said Ms Supawan.
She added that a recent survey among exhibition figures found that 60% relied on online for information, direct marketing, event promotion and business operation. Only 30% relied exclusively on conventional sources of information.
The TCEB is therefore confident its online strategy is a cost-effective means to reach its global targets. It also plans to co-operate with the private sector and other government agencies in order to drive long-term sustainable growth in the exhibition industry.
The bureau has formed alliances with three strategic partners, including the Bangkok Metropolitan Administration (BMA), the Department of Export Promotion and the Thai Exhibition Association to drive industry growth and co-
petitiveness.
According to BMA Deputy Governor Taya Teepsuwan,the collaboration between the TCEB and the BMA on the Bangkok Exhibition City of Asean campaign will help to spur the exhibition business.In fact, the BMA has ambitious plans to develop Bangkok into a Green MegaCity that can meet this demand, combining convenience and aesthetic considerations in an urban setting.
Ms Taya said the BMA also planned to promote the tourism industry under the Bangkok Smiles campaigns consisting of dining, healthiness, tourism and hospitality.
The BMA set a budget of around 200 million baht for these activities next year,up from 150 million this year. Because of negative factors, it revised its prediction for international tourist arrivals from 11 million to eight million this year while 26 million Thai tourists are expected this year. The BMA projects tourism will generate at least 260 billion baht of country revenue this year.
MICE sector bounces back
After the disastrous fallout from the brief closure of Suvarnabhumi Airport late last year, the MICE industry is rebounding with 378 international events held here this year generating more than Bt7.1 billion in revenue.
And 76 events are committed from 2010-2014 worth Bt5.6 billion, according to a Thailand Convention and Exhibition Bureau (TCEB) report.
Supawan Teerarat, TCEB's exhibition director and acting president, said yesterday the MICE (meeting, incentive, convention and exhibition) industry has contributed Bt278 billion to the country in the six years since the TCEB's inception.
Highlighted international events for the next five years are the UNICITY Global Convention in 2010, the 38th annual meeting of the TunNelling and Underground Space Association, the World Pilot Association meeting in 2011, the Rotary annual meeting in 2012, the 25th Asian International Stamp Exhibition in 2010 and the World Stamp Exhibition in 2013.
For the domestic market, the bureau this year is continuing with the "Meet in Thailand, Prosperous Thailand" project to help revive the economy.
The campaign is aimed at promoting and supporting both the public and private sectors to organise meetings and seminars in the country, spreading income within the economic system.
TCEB expects more than 8 million participants and Bt24 billion in revenue.
TCEB is also developing some cities such as Phuket and Chiang Mai into MICE cities after succeeding in teaming up with Pattaya City to jointly develop marketing, infrastructure and human resources in preparation for the growing MICE market in the future.
And 76 events are committed from 2010-2014 worth Bt5.6 billion, according to a Thailand Convention and Exhibition Bureau (TCEB) report.
Supawan Teerarat, TCEB's exhibition director and acting president, said yesterday the MICE (meeting, incentive, convention and exhibition) industry has contributed Bt278 billion to the country in the six years since the TCEB's inception.
Highlighted international events for the next five years are the UNICITY Global Convention in 2010, the 38th annual meeting of the TunNelling and Underground Space Association, the World Pilot Association meeting in 2011, the Rotary annual meeting in 2012, the 25th Asian International Stamp Exhibition in 2010 and the World Stamp Exhibition in 2013.
For the domestic market, the bureau this year is continuing with the "Meet in Thailand, Prosperous Thailand" project to help revive the economy.
The campaign is aimed at promoting and supporting both the public and private sectors to organise meetings and seminars in the country, spreading income within the economic system.
TCEB expects more than 8 million participants and Bt24 billion in revenue.
TCEB is also developing some cities such as Phuket and Chiang Mai into MICE cities after succeeding in teaming up with Pattaya City to jointly develop marketing, infrastructure and human resources in preparation for the growing MICE market in the future.
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