Presented by Richard Burger

April 27, 2006

My Global Marketing Adventure:

The Unexpected Career Path of an American PR Professional in Asia

My Global Marketing Adventure:

The Unexpected Career Path of an American PR Professional in Asia

AgendaAgenda

• Introductions and objectives

• My life in China: SARS and all its lessons

• My life in Taiwan

• The new world of marketing: Blogs

• Key learnings accumulated over 25 years

IntroductionsIntroductions

My Objectives TodayMy Objectives Today

• To share key learnings acquired over some 25 years in journalism and marketing, with focus on my areas of expertise:– Crisis management– Blogs

• To share some specific experiences I’ve had in Asia that changed my life– China and the SARS crisis: a case study in crisis control

• To give everyone a good sense of where marketing/PR is heading:– Blogs– Podcasts– Search Engines

• Graduated New York University with a Master’s in

Journalism, 1982

• Joined the New York Times as an Indexer/Editor, 1982

• Moved to Maryland to become a news reporter, 1985

• Worked in Washington, DC covering Congress, 1987

• Was recruited into the world of high technology

marketing, 1989

My CVMy CV

• Moved to Silicon Valley at start of Internet craze, 1995

• Joined a dot-com and traveled the world, 1999

• Watched as the bubble burst, moved to Hong Kong,

2000

• Next stop, Beijing –redefining the concept of culture

shock, 2002

• Returned to US, but my heart remains in Asia, 2004

• Returned to Asia for a new life in Taipei, 2005

My CV (continued)My CV (continued)

• Master’s in Journalism

• B.A. in German / Classical Music

• High School Majors: Spanish, History, English,

Music

• Childhood interests:

– Classical literature

– Violin playing

– European History

An Unlikely IT Marketer’s BackgroundAn Unlikely IT Marketer’s Background

We Never Know Where Life’s Paths May Lead UsWe Never Know Where Life’s Paths May Lead Us

• All our plans and dreams can change with a phone call

– Early hopes for a musical performance career dashed

– A call from a radio station, and a new life begins

– A call from a friend who started a software company changes

everything

• When the moment of truth arrives, consider carefully

– Where do I want to go with my life?

– This may look good in the short term, but does it get me closer

to my end goals or does it distract me?

Ketchum 凱旋先驅公關Ketchum 凱旋先驅公關• World’s top 10 PR consultancy, with Asia Pacific headquarters in

Hong Kong

• One of the strongest global networks in the industry and the second largest in Asia

• Member of the Omnicom Group: BBDO, DDB, Diversified Agency Services

• Ketchum was three-time winner of “Agency of the Year” Award by Inside PR in the US – 1996, 1997 & 1998; by PRWeek US for 2002

– Known for value-addedness, creativity, and global transparency– Committed to “Best Teams” and “Best Practices”

Ketchum NewscanKetchum Newscan

• Established in Hong Kong in 1980

• A business consultancy that specializes in communications

• Entered into partnership with Ketchum in 1995

• Staff of 160+

• Wholly owned offices in Hong Kong, Beijing, Shanghai, Guangzhou, Shenzhen, Chengdu and Taipei

• Extensive international client service experience with strong multi-cultural / multi-national teams

• Practices include Corporate ， Brand Marketing, Food & Nutrition and Technology, Healthcare

• Specialty services: Digital Business & Media Service, Broadcast Media Strategy, Design & Production

Award-winning team:

Ketchum Newscan had won major awards from the Asia PRWeek and China International PR Association over the years for clients’ programs implemented in Asia and Greater China.

Our valued clientsOur valued clients

Ketchum Newscan TaiwanKetchum Newscan Taiwan

The Taiwan Team The Taiwan Team • Established in Taiwan in

1991• 25 staff - bilingual

- resourceful- creative- young

• Globally linked

• Extensive international client service experience supported by local expertise

Ketchum Newscan Taiwan Con’tKetchum Newscan Taiwan Con’t

Management Team

• strategic counseling• corporate positioning• issues & crisis management• public affairs / government relations• community relations & sponsorships

• Marketing communications• Consumer & trade education• Sales promotion support• News product launches• Trade show & exhibition• Advertorial campaign• Joint promotions

• sales promotion support• educational briefing• new product launches• special events• joint promotions• sponsorship programs• trade shows & exhibitions• marketing support

What Ketchum Newscan, Taiwan Can OfferWhat Ketchum Newscan, Taiwan Can Offer

• Strategic counseling • News Bureau• Issue Management• Event Management• Brand Exposure Management• Media Relations• Market Intelligence• Industry Analysis

My Time in China: A Glimpse into the Psychology of an

Authoritarian State

My Time in China: A Glimpse into the Psychology of an

Authoritarian State

One Year in BeijingOne Year in Beijing

• Worked as Vice President of Ketchum

Newscan

• Was dazzled by the brilliance of China’s rising

star

• Was soon disillusioned by the unfairness,

corruption, censorship and poverty

• One incident left a permanent scar on my

memory of China: SARS

No Event of My Life Affected Me like SARSNo Event of My Life Affected Me like SARS

• Eyewitness to a step by step

descent into chaos

• Rare opportunity to watch

• trust in government

• disintegrate

• The best course in crisis management anyone

could ever experience

Was the SARS panic justified?Was the SARS panic justified?

• Total number of SARS deaths

worldwide as of September 10 (2003):

916

• Each year, the flu kills more than a

quarter-million people.– In 2001, 2,000+ died of flu in Madagascar

馬達加斯加 alone

What made SARS so frightening?What made SARS so frightening?

• No known cure

• Source is still uncertain

• High death rate

• New threat

• Many unknowns

Unknown vs. KnownUnknown vs. Known

Unknown:

• Ebola virus 伊波拉

病毒

• SARS

• Mad cow disease

狂牛症

Known:

• E coli 大腸桿菌

• Flu 流感

• Salmonella 沙門氏菌

A Brief Primer on Crisis ManagementA Brief Primer on Crisis Management

• Product risk– Customer/end-user

problem

• Social risk– Strike, redundancies

• Industrial risk– Plant accident

• Natural risk-- Earthquake, SARS

• Ecological risk– Pollution, disposal

• Malicious incident– Sabotage 蓄意破壞活動 ,

blackmail

• Mistake-- CEO makes controversial remark

• Corporate issue– Fraud, insider trading

• “Cyberterrorism”

The Two Key PhasesThe Two Key Phases

• Pre-publicity Phase– Insiders are aware of a brewing or potential crisis– Action can be taken to avert or soften the crisis– Those involved have a good degree of control over how the

situation evolves

• Acute Phase– Word is out and the sharks start circling– Ability to control the crisis is limited– Instead of controlling, the parties can only hope to

perform damage control

Five questions to ask during pre-publicity phaseFive questions to ask during pre-publicity phase

• If left unattended, is there a good chance it may escalate in intensity?

• Could it generate unwanted attention from outsiders – the news media, competitors, regulators?

• Might it interfere with normal business operations?• Could it make the company look bad and cause

shareholders to lose confidence?• Could it affect the bottom line?

• Acting too quickly

• Checking information too openly

• Focusing on the short term

• Underestimating the consequences

• Hiding in an ivory tower

• Reacting aggressively

Wrong Way to ReactWrong Way to React

• Analyzing the risk and potential consequences

• Assessing the situation carefully

• Taking an objective approach to the situation

• Knowing your limitations

Right Way to reactRight Way to react

China’s reaction to SARSChina’s reaction to SARS

• Denial / refusal to acknowledge the crisis– Silence over deaths in Guandong Province 廣

州 from November 2002 – January 2003

– Similar to China’s reaction to AIDS

– False promises

• “Guandong Province is now free of SARS”

– “Only a few cases in Beijing”

Ingredients for a perfect crisisIngredients for a perfect crisis

• Coverup:

– In March, China said there were

only 12 SARS cases in Beijing

– Government issued a strict

warning to Chinese media not

to report on SARS during Party Congress

– Lack of cooperation with WHO officials

(hiding patients in ambulances!)

The whistleblowerThe whistleblower

Time Asia 亞洲時報 , April 9:

A physician at Beijing's Chinese People's Liberation Army General Hospital (No. 301) says that at one Beijing hospital, 60 SARS patients have been admitted of whom seven have died. That indicates the number of patients infected with SARS in Beijing may be significantly higher than those totals made public by China's Ministry of Health. Last Thursday Chinese Minister of Health Zhang Wenkang announced that China's capital had seen just 12 cases of SARS of whom three had died.

Lack of responsivenessLack of responsiveness

Time Asia 亞洲時報 , April 8, 2003:

The old man was very sick and died two days after entering the

hospital. In the process of treating him 10 doctors and nurses

were infected with SARS. His wife was admitted soon afterward

and also died. Only at this time did officials from the Ministry of

Health call a meeting of hospital leaders to inform them that

Beijing now had cases of this disease, but that in order to

ensure stability as the nation's two annual legislative assemblies

got underway, hospital officials were forbidden to publicize what

they'd learned about SARS.

Still, the leaders opt for denialStill, the leaders opt for denial

CCTV-9 大陸中央電視台 , April 9, 2003:

“Thanks to the efforts of the

central government, SARS is

now under control and no longer

a risk to the general public."

China loses all credibilityChina loses all credibility

Washington Post 華盛頓郵報 , April 23:

Until Saturday, China's government reported only 37

cases of SARS in the capital. On Saturday, that

number increased tenfold. Today, the government

listed the toll in Beijing at 693 infected and 35

dead.

Government criticizedGovernment criticized

NY Times 紐約時報 , April 23:

Health experts warned that hundreds more cases of severe acute respiratory syndrome appeared inevitable as the government belatedly struggles to contain an epidemic it had tried to conceal until several days ago.

“Beijing lost the entire month of March in the fight against SARS, and now this is the consequence,” said Henk Bekedam, chief of the World Health Organization 世界衛生組織 office here.

Government loses control of situationGovernment loses control of situation

• Deceptive tactics strip away

government’s credibility

• Rumors begin to run rampant

• Public has no official source of

information that can be trusted –

result is sheer chaos

ChaosChaos

Panic ensues– Shops flooded as people

rush to buy staple goods

– Desperate citizens turn

to “cures” based on

superstition

– Beijing becomes a city

under siege

Government forced to actGovernment forced to act

• Unprecedented live press conferences on all Chinese TV networks

• Health Minister and Mayor of Beijing fired• Huge awareness campaign launched• Schools are closed, travel to countryside is

banned• City is disinfected, restaurants shut down• Mass quarantines imposed

Costs of delay are hugeCosts of delay are huge

• Decade of image-building erased overnight• Credibility in tatters• China is focus of humiliating global press

campaign• Restoring the faith of the people will take years• Government shake-out

Two Asian countries do it rightTwo Asian countries do it right

• Singapore

• Vietnam

Both countries take a hands-on approachBoth countries take a hands-on approach

• Acknowledge SARS crisis and take swift action:

– Nationwide education campaign

– Schools closed, even before WHO

– Thermometers for all schoolchildren

– SARS TV channel with local celebrities

– Leaflets distributed to all households

– All public areas scrubbed, disinfected

– Screenings are ENFORCED

SARS and the WebSARS and the Web

• Singapore employs the

Web as major educational

tool:

– Most government sites

include dedicated SARS

sections

– MOH sets up

comprehensive site

dedicated to SARS

Closing the crisisClosing the crisis

• Singapore’s OK campaign

• Reminders to remain vigilant

• Speeches from highest

government officials

• Parades and celebrations

following recovery

A Quick Note on PR in ChinaA Quick Note on PR in China

• Like everything in China, it is very

different from anywhere else:– “Transportation allowance”

– The obligatory gift

– The advertorial

– Charging per character

– The average Chinese employee

My New Life in TaiwanMy New Life in Taiwan

A Whole New Adventure in PRA Whole New Adventure in PR

• For the first time, managing non-IT

accounts like McDonald’s, FedEx • My first step into healthcare • Being a real jingli• Making things happen:

– American Chamber of Commerce 美僑商會Blogging Presentation…then HK Hutchison-Whampoa 和記黃埔集團… .now here…

The Project Closest to My HeartThe Project Closest to My Heart

• Pharmaceutical firm Merck 台灣默克藥廠introduces Erbitux, a treatment for colorectal

cancer 大腸直腸癌• My introduction to the strange world of

Taiwanese doctors

• Working with cancer patients

• Creating a video with them

The Brave New World of MarketingThe Brave New World of Marketing

Global Media Evolution

Traditional media giving way to host of new tools and techniques that give “power of the press” directly to individuals

What is Personalized Media?What is Personalized Media?

• Reaching individuals with the right message at the right time in the format and through the medium they have selected.

What are we talking about?What are we talking about?

• Blogs/Online Communities

• Search Engine Optimization (SEO)

• RSS (Really Simple Syndication)

• Podcasting

• Mobile Marketing

Podcasting

• Podcasts are audio blogs, really

• Over 30% of MP3 player owners have downloaded a podcast

• Over a half of MP3 player owners 18-28 have downloadeda podcast

Podcasting’s & PR – Future?

• Apple’s new iTunes 4.9 &Odeo.com are theTipping Point

• Top podcast topics?

– Tech, movies, sports,repurposed radio/tv

• Just you wait until thewi-fi iPod...

Keys to SuccessMake it compelling

Give the audience a reason to “stay tuned” initially and

continue downloading new episodes over time

Make it useful Don’t talk for the sake of talking, impart company, product

or employee-related info that can be used

Make it pertinent Know your audience; the right format, the right information

Keep it current Develop a calendar and schedule and stay with it

Podcasting

Mobile Marketing Stats

• 350 billion text messages are exchanged,every month

• 1.4 billion mobile phone subscribers in the world, 3 billion by 2010

• MM provides the best channel to reach core13-25 year olds who don’t read or watch TV

• Mobile responses currently outperform any other media (response rates 5-10%)

The Brand In The Hand

• You thought the wi-fi iPod ideas were exciting, MM proximity marketing has even more potential

• The mobile phone is the ubiquitous information appliance

• Question: Will consumers give uppersonal information to gainaccess to these new features?

• “Web logs” first appeared in 1997

• Originally they were simply lists of

links

• Like a captain’s log, they showed the

various pages early Web surfers

visited

• Early blogs were all self-programmed

by their owners and read by a small

group of early adopters to the Internet

Web + Log = BLOGWeb + Log = BLOG

Blog CharacteristicsBlog Characteristics

• Chronological: Each post is timed and dated (most recent entries first)

• Frequently updated • Authentic, unedited voice• Attribution of all sources• Informal, conversational tone• Interactive, either via comments

or email• Lots of links (the more links you

offer, the more readers will come back to your blog)

Rise of the BlogsRise of the Blogs

• In 2000-01, new tools like Blogger.com and Movable

Type made it fast and easy to publish content online –

for free. No need to know anything about HTML.

• Leading blog advocates like “Instapundit” made

blogging a household word in America, advocating it as “the new

medium” and ‘the great equalizer,” making every citizen a potential

journalist.

• With the World Trade Center attacks, blogs soared in popularity as

a place for people to express grief and outrage

• Stage was set for blogging to become a major force in

communications

Uniqueness of BlogsUniqueness of Blogs

• Unlimited reach, but no editor or controls• Everyone becomes a journalist• Easy to find thanks to search tools• Dynamic content thanks to comments and hyperlinking• Extremely easy (and cheap) to set up and launch• Good blogs develop into loyal communities that listen carefully to

the advice of the blogger• People trust bloggers, as “ordinary people,” more than they trust

professional journalists

In other words, bloggers are the new influencers, with greater potential power than traditional media

Primary Uses for Blogs in PR/MarketingPrimary Uses for Blogs in PR/Marketing

• Blog monitoring

• Business blogging

• Blogger relations

Blogs Are Altering the PR LandscapeBlogs Are Altering the PR Landscape

• Instantaneous news (and instant crises)• Wider audiences

– With RSS, easier access to news– 30K+ created a day

• Influencers– Blogs have made it easier to publish and created a

whole new breed of influencers• Blogs must be included in communications mix

Before BloggersBefore Bloggers

Advertising/Marketing Public

Relations

Your CompanyYour Company

Customer/End User

Customer/End User

Journalists/InfluencersJournalists/Influencers

After BloggersAfter Bloggers

MarketingMedia Relations

Your CompanyYour Company

Customer/End User

Customer/End User

Journalists/InfluencersJournalists/Influencers

BloggersBloggers

Bloggers are becoming the new criticsBloggers are becoming the new critics

What is a Corporate Blog?What is a Corporate Blog?

• A blog that is directly associated with a specific business

• A tool for adding a human voice and face to your corporate Web site

• Can be used for internal communications as well as external

• Reflects the interests of the company and appeals to its target audiences (investors, partners, employees, consumers)

The Corporate Blog AgendaThe Corporate Blog Agenda

• To promote yourself, your company, or (typically)

both at the same time

• To influence the thinking of people inside and

outside your organization

• To communicate directly with customers and staff

• Offers “deep thoughts” on industry issues

Corporate Blogs as PR ToolsCorporate Blogs as PR Tools

• Instant, personalized communication with customers, employees, industry watchers, media and the general public

• Enhance thought leadership and visibility• Offer perspective on industry trends• Dialogue with customers, influencers via comments• Improve customer loyalty and motivate

brand ambassadors/evangelists• Add conversational tone to Web site

• Increase keyword ranks on search engines

Should Your Company Start a Blog?Should Your Company Start a Blog?

• Who would be responsible for daily posts?

• Who would track coverage?

• Who would handle spam?

• Do they understand the commitment required?

• Do they understand a PR agency cannot do the blogging for them?

Richard Edelman’s BlogRichard Edelman’s Blog

• Very personal / passionate

• Highly distinctive voice

• Free of jargon or hype

• Comments on topical issues

• Offers “deep thoughts” on industry issues

Asian Castings (Yangmei Jian)asiancastings.blogspot.com/

Asian Castings (Yangmei Jian)asiancastings.blogspot.com/

• Highly focused – castings for bicycle parts• Source of industry knowledge and tips• A gathering place for industry members in Asia

Asian CastingsAsian Castings

• Praises others

in the industry

• Offers tips to

colleagues on

where to find

the best local

tool maker

• Photos add

intimacy and

color

Frank C. T. Hsieh’s Blog (wretch.cc/blog/FrankCTHsieh)Frank C. T. Hsieh’s Blog (wretch.cc/blog/FrankCTHsieh)

An authentic voice from a former Premier

Simple format adopted from existing blogger template

Background: Sentimental “pottery flute” 陶笛 music played by Frank Hsieh runs through the blog all the time

Seasonal greetings & comments on some current issues with sense of humor or gently sarcastic at times

TechnoratiTechnorati

• Technorati currently tracks 10 million blogs and more than 1 billion links

• One of the more popular search engines, used by reporters and firms to track information for articles

• Keeps your fingers on the pulse of the “blogosphere”

CyberterrorismCyberterrorism

A single blogger lights the fuseA single blogger lights the fuse

Feels Like a Scam

Zip.ca: Worst Customer Service

Award

Lost DVDs Again!

"ZIP" as in "zero" service

Google Results for “Zip.ca”Google Results for “Zip.ca”

Bottom LineBottom Line

• Blogs aren’t going away, but it’s increasingly difficult to get your voice heard

• Every marketing professional should be familiar with blogs, and should be checking Technorati on a daily basis

• To really get a feel for what blogs are about, you should start your own blog– Write about what you do everyday, and about

things your comfortable discussing

Key LearningsKey Learnings

“Dare to Use Your Imagination”“Dare to Use Your Imagination”

• The keyword is “Dare”– Using your imagination

requires risk– Most people are afraid of

truly original thinking, and are quick to dismiss it as stupid or impractical

– It’s very easy to talk yourself out of doing the creative thing – resist this impulse!

Nothing that You Learn Is a WasteNothing that You Learn Is a Waste

• A good marketing person is a vast repository of information on multiple subjects– Read the newspapers and stay current– Be curious and ask questions– “People skills” are at the heart of PR and

marketing – the more knowledgeable you are, the better your people skills can be

– You may be surprised how skills you don’t value now can benefit you in the future

Be Extraordinary Be Extraordinary

• The competition for jobs and wealth is intense, and it’s only getting worse– Don’t hide the talents that make you

extraordinary– Surprise people: Under-promise, over-deliver– Think of what you can do to transform that

which is ordinary into something extraordinary

My Golden Rule:Follow Your BlissMy Golden Rule:Follow Your Bliss

• BILL MOYERS: Do you ever have the sense ofbeing helped by hidden hands?

JOSEPH CAMPBELL 喬瑟夫‧坎伯 : All the time. It is miraculous.

I even have a superstition that has grown on me as a result of invisible hands coming all the time - namely, that if you do follow your bliss you put yourself on a kind of track that has been there all the while, waiting for you, and the life that you ought to be living is the one you are living. When you can see that, you begin to meet people who are in your field of bliss, and they open doors to you. I say, follow your bliss and don't be afraid, and doors will open where you didn't know they were going to be.

Thank You!Thank You!

Any comments or questions?