Category: ideas | 想法 | 생각 | 考える

Ideas were at the at the heart of why I started this blog. One of the first posts that I wrote there being a sweet spot in the complexity of products based on the ideas of Dan Greer. I wrote about the first online election fought by Howard Dean, which now looks like a precursor to the Obama and Trump presidential bids.

I articulated a belief I still have in the benefits of USB thumb drives as the Thumb Drive Gospel. The odd rant about IT, a reflection on the power of loose social networks, thoughts on internet freedom – an idea that that I have come back to touch on numerous times over the years as the online environment has changed.

Many of the ideas that I discussed came from books like Kim and Mauborgne’s Blue Ocean Strategy.

I was able to provide an insider perspective on Brad Garlinghouse’s infamous Peanut Butter-gate debacle. It says a lot about the lack of leadership that Garlinghouse didn’t get fired for what was a power play. Garlinghouse has gone on to become CEO of Ripple.

I built on initial thoughts by Stephen Davies on the intersection between online and public relations with a particular focus on definition to try and come up with unifying ideas.

Or why thought leadership is a less useful idea than demonstrating authority of a particular subject.

I touched on various retailing ideas including the massive expansion in private label products with grades of ‘premiumness’.

I’ve also spent a good deal of time thinking about the role of technology to separate us from the hoi polloi. But this was about active choice rather than an algorithmic filter bubble.

Interpublic acquisition by Omnicom
Interpublic disclosure

I have worked at Interpublic twice during my career. Once at the very start of my career and more recently at McCann Health. I was never vested in Interpublic stock and I don’t own any Interpublic or Omnicom shares. This is not financial advice I am not telling you what you should do.

This post is not intended to be, and shall not constitute, an offer to buy or sell or the solicitation of an offer to buy or sell any securities, or a solicitation of any vote or approval, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction.

I am pointing out the bits in discussions that I found interesting, and some bits that I found deathly dull, but pertinent.

The shape of it

The acquisition would be done by issuing stock. It wouldn’t involve Omnicom’s cash reserves or raising debt to make the purchase. Following the deal, the new Omnicom would be owned by
- 60.6% of former existing Omnicom shareholders
- 39.4% of former Interpublic shareholders
Deal expected to close in the second half of 2025. Once it is closed Omnicom expected to get $750 million in cost savings over the following two years. Combined cashflow of more than $3 billion a year.

Investment analyst call

The investment analyst call was led by Omnicom’s John Wren and featured Phillippe Krakowsky. One of the main factors raised on the call by Wren was the reduction on debt to EBITDA of Omnicom from 2.5x to 2.1x. The combined organisation also had a more balanced maturity profile on debt.

The deal impacted scale in two ways:
- Efficiencies due to scale.
- Increased capacity to borrow and fund future purchases.
What was less clear from the call was the value to customers. Healthcare was cited as an area of opportunity as both businesses had a substantial healthcare marketing offering. But nothing on how to capitalise on the opportunity.

What I didn’t hear was how the combined business was going to get to 750 million of savings, but that they were confident that they could hit that number in two years after the deal closed.

I also didn’t hear a clear position on how the combined firm would deal with the drain of advertising revenue from marketing conglomerates and media companies to platforms. There was some lip service given to being able to better address generative AI related change as a larger group.

Finally there was no analysis, or consideration about how Omnicom and Interpublic would surpass their competitors innovation. Instead the focus was purely on existing combined size.

Shareholder value

At the time of the announcement, the deal was said to offer a premium in terms of value to Interpublic shareholders.

As for Omnicom shareholders, they claimed: The transaction will be accretive to adjusted earnings per share for both Omnicom and Interpublic shareholders.

Slow gains – which might make taking that money out of their existing shares and instead putting it in a S&P 500 tracker ETF seem more attractive.

Industry animal spirits (aka what people were saying in my feeds and op-eds)

The reaction on social platforms was shrill and overwhelmingly negative. The reasons given included:
- The inevitable job cuts.
- The internal preoccupation that comes from two large organisations coming together.
- The lack of clarity about unique benefit that the new company would provide.
- The two-year inward focus on consolidation would allow more innovative competitors (depending who you listened to this would be Accenture, Brandtech, Dentsu, Publicis, Stagwell) gain further ground.
Later on, the discussion moved on towards the reactionary nature of the discussion itself.

From within Interpublic itself, I heard concern about the future from people in different parts of the business. This was down to a lack of internal communication rather than anything specific in nature.

Left unchecked, it could be morale sapping and might encourage some of the best talent to leave for more stable environs.

Update: January 17, 2025 – Campaign magazine podcast. The most interesting argument made in the podcast was that the media buying and creative arms of Interpublic are seen as having little-to-no-value and that deal from Omnicom’s perspective was all about Interpublic’s data platform.

Any self-respecting investment banker worth their salt would be able to break the conglomerate down into constituent parts and sell it off (as what has happened with Interpublic agencies R/GA and Huge already).
- In the PR and social / influence sector Golin and Weber Collective would make natural groupings to be spun off and still with enough scale to compete on the global stage.
- From a creative agency perspective, it would be a similar situation with Mullen Lowe and McCann World Group.
- IPG Health looks like it had already been pre-packaged for private equity when it was carved away from its advertising groups and nominally has a full suite of offerings to provide the pharmaceutical sector clients.
- For bits of networks that you can’t sell. For instance if the purchaser doesn’t want to have an agency office in Malaysia (Malaysia is only in here hypothetically, in reality I have no idea why more global corporate headquarters aren’t located in the Cameron highlands); you can recoup some of your money by facilitating a management buyout. These are more common than you realise.
Instead the podcast participants think that clients are just all about first and third party data platforms. I would argue that’s a simplistic view that ignores:
- The relative complementary nature of the Interpublic and Omnicom networks in terms of product spread and geographical reach. In most markets, one or the other network has an appreciably stronger position. Where there is consolidation needed, this would most likely result in redundancies in the Asia Pacific and European regions.
- Client brands need for continued brand building and the current chaos in the major platforms pivoting to the new presidential administration’s direction.
- ‘Bad neighbourhoods’ for brand content will adversely affect the ability of brands to advertise or promote themselves effectively. It’s harder to build effective brand memory structures in what consumers are likely to perceive as a hateful, or hostile environment.
- Finally there is the the little acknowledged fact that social platform advertising is disproportionally supported by D2C marketing and varying forms of hucksterism from Temu to get-rich schemes. This isn’t the kind of businesses that fill up the client ranks of large marketing conglomerates like Omnicom and Interpublic.
What business thinking says

Harvard Business Review claims that 70 to 90 percent of mergers and acquisitions fail. By comparison, anywhere between 25 and 80 percent of large IT projects fail. 70 to 85 percent of new consumer product launches fail. TL;DR running a business is tough.

Secondly, Omnicom and Interpublic grew historically through acquisitions. Which would mean that they understand how to move a business forward and integrate their new acquisition.

The business model that marketing services conglomerates historically worked on was a mix of an arbitrage play, driving integration and efficiencies.

Arbitrage

Omnicom and Interpublic both relied on a few ways to gain an arbitrage benefit:
- Private companies are generally cheaper to buy than publicly listed firms. It’s a matter of economics, publicly listed firms list in a closer to perfect market. Secondly, buyout contracts to get the management to meet financial targets that facilitate either a faster financial payback or a cheaper price on the business.
- Larger companies like Omnicom can borrow money at more favourable terms than a small to medium-sized business. Larger companies that have lower levels of leverage will be able to get money in a more favourable format than more highly leveraged business of the same size.
Driving integration

Historically these groups take a light touch on integration for agencies where the capabilities are common to more than one agency, WHERE the acquired agency is hitting the ambitious financial targets set by the holding company. Integration in terms of integrated new business pitches and common selling of new products or capabilities.

This might be where the client is looking for an integrated solution. Or it might be where it makes sense to pool resources to deal with a new area like Amazon advertising and retail media or generative AI services.

Once a newly acquired business has become ‘part of the furniture’ and the founders have stepped away, you are more likely to see it become more deeply knitted into the holding group business fabric. This is likely to include common systems and processes: time-tracking software, HR and talent management software, accounting software, cloud services and productivity software.

Efficiencies

Sources of efficiencies overlap integration through standardisation and being able to buy in bulk. A second source of efficiency is consolidation of common business functions:
- Accounting / finance
- Business development
- Freelance staff pool
- Human resources and recruitment
- IT
- Knowledge management
- Legal services
Open questions

Both Omnicom and Interpublic have experience of integrating and spinning off parts of their businesses. What’s different about the Interpublic acquisition is that the scale involved is different from anything else that’s been undertaken in the sector.
- How will this be done successfully?
- What (additional) value is in the resulting business for clients?
ADWEEK polled marketers to better understand their attitude to the merger. On balance they weren’t supportive of the deal. Twice as many respondents were negative about the deal compared to those who felt positively about it. The good news was that almost 60 percent either hadn’t made their mind up or were on balance neutral. At this point I need to caveat the results with the note that there wasn’t a breakdown on the types of respondents in terms of their role and seniority.

But it implied that Omnicom had a serious communication job to be done convincing wider stakeholders on the merits of the deal.

The problem might be greater than telling a better story. By some estimates 60% of Interpublic and Omnicom scopes of work are allegedly already understaffed – if true, likely putting customer satisfaction at risk. And that’s before the reduction in headcount to match the need for cost savings.

More information

Omnicom to Acquire Interpublic Group to Create Premier Marketing and Sales Company – Omnicom Group Inc. Newsroom

Omnicom SEC filings – Omnicom Group Inc. Investor Relations

IPG Mediabrands To Lay Off 103 Staffers | AdWeek – this is fast, if related to the Omnicom acquisition announcement

Things to Consider During Blackout and Quiet Periods | Gilmartin Group

CAGR S&P500 calculator

Don’t Make This Common M&A Mistake | Harvard Business Review

More Marketers Disapprove of Omnicom Acquiring IPG Than Approve | AdWeek

3 Main Reasons Why Big Technology Projects Fail – & Why Many Companies Should Just Never Do Them | Forbes

The Merger Mystery: Why Spend Ever More on Mergers When so Many Fail? by Geoff Meeks and J. Gay Meeks

Most new products fail: Implicit sensory testing can help beat the odds | Food Navigator Europe
January 12, 2025
Japan Re-Emerges + more things

Japan Re-Emerges

Japan Re-Emerges is Ulrike Schaede’s riposte to the neo-liberalist dogma that Japan is done. Since the bubble era finished, corporate Japan has been reinventing itself and building blue ocean strategies to stand up and out against the rise of China and South Korea. Schade has turned this journey into a book, Japan Re-Emerges. This interview was conducted at the Foreign Correspondents Club of Japan.

Going back to neo-liberal doctrine, Japan Re-Emerges offers a way out of the terminal societal and economic death role that many middle powers like the United Kingdom and Germany are currently undergoing – if they have the leadership who can make it happen. I’ll let you know how I get on with Schade’s book.

The Detroit of Asia

Thailand earned its name as the Detroit of Asia thanks to factories assembling vehicles like the Toyota Hi-lux and manufacturing a wide range of car parts. Nikkei put together a film on how Chinese electric vehicle makers have entered Thailand poaching staff, expertise and market share from Japanese manufacturers representing an existential risk of non-Chinese businesses and threatening how Japan Re-emerges.

Futurama

General Motors was a large conglomerate in the 1960s. This seems to be based on footage made at the New York World Fair of 1964/65. This Futurama exhibition was a homage to a similar one done at the 1939 world fair. The themes of the exhibition at the time reflect big societal concerns including overpopulation and creating adequate food. The seabed was seen as an equally momentous destination as space. Deep sea exploration was post-war phenomenon and the first submarine that had gone under the north pole did so only six years previously.

The space and modernist themed architecture feels like it’s from a different universe to our current world. Despite M Hubert King warning about peak oil in 1956, concerns about energy seemed premature at the time when nuclear power seemed to have so many uses and man was actively exploring outer space implying a technological solution was possible for everything. Out of this World as a film builds on the Futurama work done by General Motors as a cohesive vision of the future. While the Ford Motor Company still uses futurists, General Motors subsequent history is one of missed future opportunities, from the German, Japanese and Korean ‘invasions’, its futuristic EV1 car project to efforts in autonomous driving efforts.

Cadillac racing

At first I thought that the idea of a Cadillac racing programme was an oxymoron. As a European my idea of a Cadillac is the black armoured land barge that ferries the US president around, or its historic civilian equivalents that represented mid-century luxury prior to the German invasion of the U.S. car market. So I was curious when I came across No Perfect Formula.

What was more interesting about this film for me was that it was part of a wider trend. While Liberty Media’s Drive To Survive series looked to bolster its Formula One motorsports franchise, manufacturers like Cadillac and Porsche have been producing their own feature-length content and publishing it on YouTube – disintermediating brand partnership type deals with the likes of Netflix or Amazon Prime in favour of YouTube. This makes sense when one thinks about YouTube in terms of raw reach.

Where I think it gets more interesting is what is says about the value of the latent endorsement of a partner media brand and what this will mean for the likes of BBC Worldwide and non-subscriber revenue streams for streaming platforms.

January 5, 2025
Revenge on society + more stuff
Revenge on society

China has had a number of ‘lone wolf’ attacks on the public all of which had a common theme of ‘revenge on society’. It might be that the perpetrator had economic setbacks or a sense of being wronged by a government decision that set them on this direction.

The profiles of the attackers are often middle-aged men. The revenge on society attacks all seem to be driven by people who feel that they have little to lose. While attacks that meet the revenge on society profile have been documented at least as far back as 2004. There seems to have been an acceleration in the occurrence of revenge on society attacks in 2024. Unlike Uighur related incidents of 2013 and 2014, there isn’t a particular group that China can suppress to reduce the incidents easily. Revenge on society attacks are more likely to be dealt with using mass-population surveillance and reporting a la Minority Report’s preventative crime approach and raised security.

Raising security against revenge on society attacks requires a mix of infrastructure investment like bollards

A Suzhou school bus was attacked by a knife-wielding attacker looking to kill and maim Japanese children. He killed the school bus attendant who defended the children from his attack.

September 18th saw a 10-year old Japanese child was stabbed to death by a 44 year-old man. Anti-Japanese sentiment is fanned by Chinese government rhetoric and a constant barrage of content on Chinese media. The attack happened in Shenzhen, across the border from Hong Kong.

On September 31th, 3 were killed and 15 injured by a revenge on society attacker in a Shanghai branch of Walmart. He had been arrested by police who said that he was angry due to a personal financial dispute.

The following day on October 1st, while most were celebrating China’s national day holiday – Chinese man conducted a revenge on society attack in Zurich, Switzerland. He attacked and injured three children near a daycare centre. He was a postgraduate student who publicly expressed extremist nationalist views.

A 60-year old man convicted of previous attacks stabbed two students and one woman outside a primary school in Guangzhou on October 8th.

On October 28th, a 50 year old man attacked and injured three children and two adults in Beijing in an attack that had all the hallmarks of revenge on society.

A revenge on society attack on November 11th killed 35 people and injured 43 more because the 62-year old attacker was unhappy with his divorce settlement. The Chinese government attempted a news blackout of the incident. The incident happened in Zhuhai, a city just across the border from Macau.

On November 16th, a Wuxi third level education college was the site of an revenge on society incident that killed eight people with a knife attack and 17 others injured. A 21 year old male was detained.

On November 19th, the 39 year-old perpetrator drove into students arriving at a primary school in Changde. He was eventually stopped and beaten by a crowd until being taken into custody by the police.

Words of the Week: “Revenge on Society” Attacks Lead to Government Monitoring of “Individuals With ‘Four Lacks and Five Frustrations’” (四无五失人员, sìwú wǔshī rényuán) | China Digital Times

Consumer behaviour

How many toys is too many? | Vox – One reader told Vox recently that her family was “absolutely drowning in toys.” And while adults have been complaining about kids’ junk for generations (please see my father’s fruitless search for my brother’s one-inch-long toy wrench in Los Angeles International Airport circa 1992), many millennial and Gen X parents have the sense that something is different now — that kids have more toys than in past decades, and that they seem to arrive in ways Randall describes as “unintentional” and Parents Are Stressed About Playtime. Their Anxiety Is a Goldmine. – WSJ – same as it ever was

Could shifting beauty standards have predicted Trump’s win? | Dazed

Economics

Putin’s «Deathonomics» – Riddle Russia – the Kremlin seriously expects a positive economic outcome from the creation of a high-salaried contract army. If we assume that the number of mobilised and contract-based soldiers ranges from 400,000 to 450,000, then their minimum total allowance will amount to approx. 1 trillion roubles a year. The government will have to allocate about the same amount for compensations in case of killed or wounded soldiers, even if there are 50,000 or 100,000 such people in a year. These sums represent nearly 10% of pre-war federal spending, and some people are already predicting the emergence of a social group of «the young rich» and even making plans for how this money will contribute to long-term investment programmes. – Deathonomics is allowing the Russian government to shape its population pyramid to reduce the burden of the aging population on the economy.

The costs of maritime supply chain disruptions: The case of the Suez Canal blockage by the ‘Ever Given’ megaship – ScienceDirect

Endless business closures, through the eyes of a Chinese consumer | Following the Yuan

Ideas

If an alien could speak, could we understand it? – Leeds Trinity University Research Portal

How These Men Left the Manosphere — and Why Some May Never | Teen Vogue – “The more you shame people for what they’re espousing, the more they’re driven underground deeper into online communities who welcome them with open arms and say, ‘this is where you belong. If those people don’t understand you, they’re just a bunch of triggered snowflakes or whatever,’” Miller-Idriss says. Another tactic, she says, is to point out the commercialization of the manosphere in which everything is for sale including courses, supplements, and crypto-currencies. Pointing out the profit motive of these influencers can be effective, Miller-Idriss says.

That’s part of what got Tom out of the manosphere, which he says he fell into when he was 27, after leaving the Army and finding himself “stuck trying to look for work consistently, having basically no social support, having no options other than to just work, pay bills, work, pay bills, in an increasingly difficult world to do that.” He was lonely, he says, and the influencers he followed had some pretty good talking points, he thought: men were more affected by things like incarceration rates, workplace death and injury rates, and mental health and no one was taking it seriously.

“The more you shame people for what they’re espousing, the more they’re driven underground deeper into online communities who welcome them with open arms.” Pasha Dashtgard, an assistant professor at the Polarization & Extremism Research and Innovation Lab, says this is a common entry point. “They start their conversations with, ‘men are in crisis and no one’s talking about it. It’s like, that’s true, men are in crisis and we should be talking about it… [but] that opens up, ideologically, the door for them to be like ‘and now, here are the solutions’ and it’s this horrible, toxic nonsense.” But after after a couple months in the manosphere, Tom realized that, while men’s health is a serious subject, he wouldn’t find the answers he was looking for in the manosphere, which was overrun by what he calls “grifters, frauds, or sort of religious zealots.” Now, Tom says he doesn’t actively use the label ‘feminist’ but “considers it part of my worldview.”

Indonesia

Indonesia rejects Apple’s $100 million investment offer | Techxplore

Luxury

From Edition to Ritz Carlton, how global luxury hotels are localizing their strategies amid expansion | Jing Daily – interesting comment on staff as ‘intelligence agent’

Marketing

Is there a future for personalisation? | WARC – Right person, right place, right time: for over a decade this idea has been an ideal in advertising. But an alternative point of view is that personalisation is self-defeating because advertisers chase a moving target when they are unable to prove return on investment.

Patagonia’s Restructuring Has Led to Employee Fallout – Business Insider – Patagonia’s historic worker commitment is less well known than it’s sustainability credentials which probably explains why recent moves haven’t led to the kind of brand dissonance amongst consumers that the likes of Bud Light or Nike experienced.

Jaguar rebrand

Jaguar’s teaser campaign for its rebrand and new vehicle model prompted immediate feedback. I am not clear on what the ask was by the marketing team, so have kept an open mind. Here offered without comment are some of the related commentary:
Media

Baidu Q3 2024 earnings| CNBC – the interesting bits in here are static online marketing business revenue and increasing AI / cloud services business

AI-Powered Buzzfeed Ads Suggest You Buy Hat of Man Who Died by Suicide

The Rise, Fall, and (Slight) Rise of DVDs. A Statistical Analysis

Online

How a 15-Year-Old Gamer Became the Patron Saint of the Internet | WIRED

The Fantasy of Cozy Tech | The New Yorker – cozy gaming came from COVID and Animal Crossing – gaming and cute

Let’s check in on MrBeast – by Taylor Lorenz – User Mag

Retailing

Ted Baker relaunches website in the UK – Retail Gazette

Security

China’s Surveillance State Is Selling Citizen Data as a Side Hustle | WIRED

Philippines recruits civilian tech talent to fend off cyber attacks – Rest of World

How Silicon Valley is prepping for War – by Michael Spencer

Software

Apple Working on ‘LLM Siri’ for 2026 Launch – MacRumors

HarperCollins Confirms It Has a Deal to Sell Authors’ Work to AI Company

Style

Streetwear Has Lost Its Popularity. Is That a Good Thing? | HighSnobriety – if it kills drop queues I’ll be happy

Technology

Qualcomm – Falling Behind or Laying in Wait? | Digits to Dollars

Telecoms

I Don’t Own a Cellphone. Can This Privacy-Focused Network Change That?

Web-of-no-web

Meta brings certain AI features to Ray-Ban Meta glasses in Europe | TechCrunch

Receiver enables dead reckoning when GPS/GNSS fails | EE News
December 8, 2024
November 2024 newsletter
November 2024 newsletter introduction

Welcome to my November 2024 newsletter, this newsletter marks my 16th issue. 16 is a low power of two which saw it used in weighing light objects in several cultures. For instance in the British Imperial system of weights 16 ounces were in one pound. This lived on far longer with British drug dealers who looked to sell cannabis in ‘teenths’ (16ths) or eighths of an ounce. Prior to decimal being implemented in China 16 taels or liǎng equalled one catty or jin. Chinese Taoists counted on their finger times and joints of the fingers with a the tip of the thumb, so 16 can be counted on each hand.

The highlight of November was meeting up for brunch with Calvin who I used to work with in Hong Kong and collaborate with on occasion for projects going in-or-out of China. He was passing through London on his way to Web Congress in Lisbon, supporting one of the burgeoning number of start-ups coming out of Shanghai.

New reader?

If this is the first newsletter, welcome! You can find my regular writings here and more about me here.

Things I’ve written.
- Ghost Signs – how legacy signage allows us to peer back into history, camcorders having their ‘lomography’ moment and much more.
- Layers of the future – or how innovation doesn’t exist in a fully-formed world, but instead exists within layers of progress over time.
- Presidential election beliefs – amongst the autopsies of the campaign that have been discussed, one of the things that struck me was the role of presidential election beliefs that have wrong-footed analysis
- Klad & more stuff – a Russian pioneered integration of dark web markets and concealed ‘Amazon locker’ type infrastructure to deliver a new approach to drug dealing. Other items include bottlenecks in gadget manufacturing, internet maturity and more.
Books that I have read.
- Dead Calm by Charles Williams – the early 1960s crime novel packs a lot into the story. Trauma, mental illness, murder and intrigue on the high seas. Dead Calm was later made into a film and relocated from the Indian Ocean to the Pacific Ocean.
- Jipi and the paranoid chip by Neal Stephenson. A short story that fits into the Cryptonomicon universe of Stephenson’s books – shares the story of Jipi a former flight attendant who works for Mindshare Management Associates Inc. – an agency that distracts tourists to Manila from the rapid construction work taking place during a China-like economic miracle. Because of her personality, Jipi has to track down errant AI powered car alarms fitted with plastic explosives that were designed to deter thieves, but AI happened. If you’ve ever had to write prompts, you’ll likely appreciate it.
Things I have been inspired by.

The fame game

Irish rally driver Rosemary Smith, had the skills but never did get the fame. Smith even got behind the wheel of a Renault formula 1 car to get a test drive at 79 years of age.

I am by no means a sports addict but even in my psyche I know the names and reputations of several famous sports stars across hurling, gaelic football, motorsports rugby league and even soccer. Sid Lee and Appino have raised the issue of how this fame gap is bridged in women’s sports drive into long term mainstream success. Where is the women’s sport equivalent of Stig Blomqvist, Arnold Palmer or Michael Jordan who are hailed in a similar way? Want to know more, reach out to Rory Natkiel.

Yes, Christmas really is getting earlier

My local supermarket started to sell mince pies right after the August bank holiday this year. It had Christmas decorations for sale before the Halloween ones. Christmas seems to be coming earlier this year. The Guardian researched how Christmas was arriving earlier each year, from charting music to mince pies and Christmas puddings going on sale. This year lo-fi girl had their first Christmas soundtrac k up on November 4th. If you want a change from the Spotify Christmas list, try this old mix from former streetwear boutique The Hideout.

WARC noted how companies like John Lewis with dedicated Christmas campaigns look to gain a first-mover advantage to aid the talkability around their campaign and gain the full benefit from their emotion driven campaign bedding in and building new memory structures.

WARC predicted that Christmas advertising spend would rise 7.8% to over £10.5 billion. Big growth for search, online display and out of home compared to last year. The biggest losers including TV, direct mail, magazine and print news media.

Things I have watched.

Famous Hong Kong cinema film director Johnnie To criticised Hong Kong’s national security regulation in an interview for the BBC’s Chinese language service. With that in mind, I thought it prudent to buy up as much of his back catalogue as possible because the classics amongst them may be harder to get hold of in the future.

PTU – PTU starts in a similar way to Akira Kurosawa’s Stray Dog with a policeman losing their duty weapon. However that’s where the parallels finish. In Stray Dog the young detective looking for his gun feel empathy at the end with the criminal who used his weapon. The moral being two-fold – crime starts with a few wrong choices, but are still human. In order to deliver law, over time the policeman needs to become less empathetic, losing a bit of their humanity. PTU on the other hand shows how police blurred the line between the law and crime with extra-legal methods to solve crime. It also highlights the complex relationships between criminal gangs and the police. To keeps the tension going with PTU throughout the film. The ambiguity between police and criminals would not be allowed in future Hong Kong films thanks to the National Security laws that have come into force.

Election – The literal Cantonese title for this film is ‘Black Society’ – which as a term covers all kinds of organised crime groups. Two members of the Wo Lin Shing are up for election become leader (aka chairman or dragonhead) of the organised crime group. It’s a common trope in Hong Kong cinema that these elections happen on a regular basis. Wo Lin Shing is a stand-in name of the very real Wo Shing Wo – a group that have a side hustle doing wet work for the Beijing forces at work in the city.

The film focuses on the election and immediate fallout. Lok runs a more rational campaign, whereas Big-D runs a showy campaign offering money for votes. The elders appoint Lok and Big-D tries to steal the symbol of power. To moves the tension and action on at a rate of knots. It features many of the heavyweights of Hong Kong cinema including Simon Lam, Louis Koo, ‘Big’ Tony Leung, former policeman Nick Cheung and Lam Suet.

Not a Johnnie To production, but I have been enjoying Detective Chinatown on Amazon Prime. The show is similar to the BBC show Sherlock and CSI in the way its plot devices and how its story arcs work. It has been interesting to watch for a number of reasons. The series was produced for Chinese streaming platform iQiyi – think Chinese Netflix. The series is based in Bangkok, Thailand. The senior Thai police representative is portrayed as dramatic, volatile and religious in nature – interesting stereotyping by the Chinese production team. The plot line has a very supernatural aspect to it, which is generally considered to be a no-no with Chinese censors. I am curious to see where they take the show.

Useful tools.

Mac keyboard shortcuts

Alongside David Pogue’s Missing Manual series of reference books for each version of macOS, MacMost’s videos are a great resource for the Mac user. MacMost now have a free downloadable table of Mac keyboard shortcuts.

AI-powered diagram creation

Ever sat in front of a blank Keynote or PowerPoint slide and wondered how to represent something? I am across the Napkin AI which takes your written text describing something and renders it into a diagram. I don’t use these diagrams as the finished product, but as an inspiration for me then to artwork together in Keynote, OmniGraffle or PowerPoint. You can output from Napkin AI as a PNG file. At the moment it’s free to use as a beta product.

Woznim

Woznim allows you to record the names of people and where you met them to try and aid in recall of of them if you run into them again. It reminds me of Foursquare and social bookmarking. Foursquare because of its where 2.0 location based data and social bookmarking because if you develop the Woznim habit it could be life-changing, but if it doesn’t gel with you it’ll be dropped as a service in no time. At the moment it’s an iPhone-only app.

Bluesky

Bluesky has been having a moment as another tranche of social media users follow The Guardian’s lead to leave Twitter and need a micro-blogging service. Bluesky has got a good deal of attention because of its starter packs and list features. Whether Bluesky will continue to grow into a vibrant post-Twitter place isn’t certain yet. But if you are going to use Bluesky then these two tools might help:
- Bluesky tools directory. There is a surprisingly rich set of tools available rather like ‘golden age’ era Twitter.
- Starter packs. Starter packs are a set of curated recommended accounts to follow based around interests. This site has a large directory of them covering everything from professional interests to sports passions.
The sales pitch.

I am now taking bookings for strategic engagements from January 2025 onwards; or discussions on permanent roles. Contact me here.

More on what I have done here.

The End.

Ok this is the end of my November 2024 newsletter, I hope to see you all back here again in a month. Be excellent to each other and onward into the Christmas season and the rush to complete projects before clients disappear on holiday.

Don’t forget to share, comment and subscribe!

Let me know if you have any recommendations to be featured in forthcoming issues.
November 27, 2024
Klad + more stuff

Klad

Klad is a new trends in illegal drug distribution. Klad sprang out of the online anonymity of the darknet. Breaking Klad: Russia’s Dead Drop Drug Revolution | Global Initiative goes into detail about how the Klad system works. Klad seems to be the narcotics equivalent of an Amazon locker. The customer pays the money via a dark web service and is directed to a concealed geocache with their product in it. These caches are refreshed by low level network members whose soul role is to service the klad network.

Understanding Russia’s darknet markets and the logistics systems underpinning it offers insight into the future of drug trafficking (and other crimes) worldwide.

Klad is likely to be further complicated by the tight linkage between the Russian state and international organised crime groups.

China

Blackpink’s Lisa ignites controversy on Chinese socials with cabaret performance | Jing Daily – an old article but shows the tension of feminist and male-centric themes, modern mindset versus tradition.

Consumer behaviour

The Future of Men from TEDWomen 2017 – by Jack Myers

Climate emotions, thoughts, and plans among US adolescents and young adults: a cross-sectional descriptive survey and analysis by political party identification and self-reported exposure to severe weather events – The Lancet Planetary Health – more data supporting the idea of climate despair – poor mental health related to concerns about climate change.

The Game Theory of Democracy – The New York Times – Adam Przeworski developed a theory that democracy is best understood as a game, one in which the players pursue power and resolve conflicts through elections rather than brute force. Democracies thrive when politicians believe they are better off playing by the rules of that game — even when they lose elections as it maximises their self-interest over time. It works when the stakes of power remain relatively low, so that people don’t fear electoral defeat so much that they seek other methods reversing it. Winners of elections need to act with restraint. They can’t make life miserable for the losers, or foreclose the possibility that future elections would allow the losers to win. But recent years suggest that even “working” democracies can be far more fragile than was once believed; Przeworski doesn’t see an obvious way to protect it from being weakened further.

Using F-word at work is no sacking offence in the north, rules judge | The Times – As rude as the comment was, the so-called f-word had become commonplace “in the public sphere” — and that was particularly the case in the north of England. “Mong” is a derogatory term for someone with a learning disability, especially related to Down’s syndrome, and is also used as a synonym for “idiot”. Shergill was hearing a claim from Robert Ogden, who was said to have made the jibe during an office discussion about doughnuts and losing weight. His colleague was said to have felt “violated and shocked” by the remark and was left in tears before reporting Ogden to bosses, who eventually sacked him. Ogden is now in line for compensation after the judge ruled that his “lawless and toxic” office was rife with similar comments.

Design

Ideas We Love: Re.Uniqlo Studio

Energy

Norway’s electric car sales set new world record | VoA

Finance

Inside Goldman Sachs’ years-long power struggle over its China venture FT – Goldman Sachs had their face ripped off and they are still enthusiastic about the Chinese market. Senior executives gave themselves bonuses while the business shelled out a billion dollars for very little. In addition, looking at market timing it’s unlikely Goldman Sachs will realistically get the kind of returns their shareholders would want ever.

FMCG

Starbucks needs to cut the crap from its brand positioning | MarketingWeek – Starbucks is more than coffee. It does have brand appeal. But it’s more basic than its highfalutin mission would have you believe. It’s a combination of being in the right places to answer the right category needs at the right time, with a small but not unimportant wedge of American quality and efficient delivery.

There is plenty of brand equity in Starbucks, it’s just apparent that Starbucks never actually worked out what it was. Professor Dolly Parton has the best definition for positioning: find out who you are and do it on purpose. To use her analogy, Starbucks never got to first base never mind second.

Yes, Starbucks grew under Schultz’s second tenure. He was an exceptional leader twice over. However, there was a vacuity within the brand that was palpable when you entered its stores. The commoditisation of Starbucks that Schultz spotted so brilliantly continued, offset by other excellent decisions that kept it growing.

The brand’s nonsensical mission statement did not harm it. It did not lose the company money. But its fundamental stupidness and overreach meant that the potential benefits of a more prosaic, practical, accurate position were missed. A problem deferred. Contrast with Why am I optimistic about Starbucks China ☕ | Following the Yuan

Gadgets

Why has the Internet of Things failed? « Pete Warden’s blog

Interesting video by The Verge that covers how supply chains are crippling cassette players and compact disc players. Bottle necks include magnetic heads, cassette mechanisms (one factory in China makes a bad dupe of an old Japanese company design), laser pick-ups and compact disc mechanisms have a similar problem. The programme also misses out that the likes of Dolby Labs no longer licence their noise reduction technology.

Health

Telehealth’s GLP-1 ‘gold rush’ is powered by these medical groups | STAT News

Hispanics and Mental Health: Gaming as a Pathway to Self-Care | Ideas Exchange by Klick Health

Hong Kong moves to restrict business use of medical terms such as ‘treatment’, ‘clinical’ | South China Morning Post – Under the planned ban, which has already been added to the Private Healthcare Facilities Ordinance but not yet enforced, premises other than licensed healthcare facilities or exempted clinics would not be allowed to use terms such as “clinical”, “healthcare”, “medical”, “treatment” and “therapeutic”. Currently, it is not uncommon to see such descriptions used in non-medical settings. An online check by the Post found a gym claiming it could offer “targeted pain treatment” with a procedure called myofascial release. Another centre also claimed to treat various pain conditions “commonly seen in the city” by stretch therapy.

Hong Kong

Trump, Harris both like ‘poison’ for Beijing, says former top US envoy to Hong Kong | South China Morning Post – while the story leads on Kurt Tong being the former US consul general – you could rewrite the precise of the article as head of strategic advisory firm advises Hong Kong to employ advocacy tactics to detoxify Hong Kong government reputation in Washington (presumably including lobbying and think tanks).

Innovation

Watching Nintendo think out loud about radar and music (Interconnected)

Marketing

Great video hosted by Kantar featuring Mark Ritson on the benefits of consistency in brand building. I can’t embed here, you have to go to YouTube to watch it.

Huddle 001 – Is strategy sick? – Outside Perspective

Media

OnlyFans Has Paid $20 Billion to Creators Since 2016, CEO Says | Variety

Retailing

Asos CEO ‘not worried’ about Vinted or Shein despite mounting losses | Retail Gazette – interesting. I wonder how the brand building work is going? I have seen lots of ads, but they’ve felt disjointed and flat

John Lewis partners with Klarna for ‘buy now pay later’ option – Retail Gazette – the middle class now need the digital equivalent of ‘lay away’ – not a great economic indicator

Security

Chinese Group Accused of Hacking Singtel in Telecom Attacks – Bloomberg

Software

Split mixed tracks with LANDR Stems | SOS – this is huge

Style

Kizik Hires Nike Footwear Veteran Andreas Harlow as SVP of Design – Footwear News – moving prior to the new CEO Harlow was responsible for design of the Jordan line of footwear, but makes sense when you read my John Donahue and Nike related post.

Technology

She Built a Microcomputer Empire From Her Suburban Home | Every

Telecoms

Interesting article on the state of the internet. It looks as if the network might be maturing: Is the (US) Internet Really Slowing? – On my Om

November 20, 2024