In this exclusive interview with Maya Chams, regional director of marketing and media of the Rotana Group, ArabAd finds out how the rapidly expanding Arab Satellite TV network, Rotana, through the vision and innovation of its chairman, Prince Alwaleed Bin Talal, is set to become the gateway to the Arabic culture, catering to all ages, genders and tastes.
ArabAd: Could you describe, in your opinion, what makes Rotana different from other Arab Satellite TV channels?
Maya Chams: First, from a strategic point of view, Rotana is not just another Arab Satellite TV network: it's a gateway to the Arabic culture that caters to all ages, genders and tastes.
Our power stems from the fact that we have a vision, a mission and a leader. We know where we are, and we certainly know where we're going: We have an eye set on the future from all angles (in terms of technological advancements, programming, content, value added services, financial resources, etc...).
This is what makes Rotana so undeniably powerful. Our aim is to break the cultural barriers of the Arab world and export our cultural heritage to the world. In a nutshell, we are building a bridge between East and West. We are proud of our culture and we know the value of our legacy, so why not share it... We will soon be entering every single Arabic-speaking household in the world.
Second, from a corporate point of view, Rotana is not just a TV network. Rotana is the biggest and most powerful music production house in the MENA region, and owner of the biggest Arabic film library in the world. Adding to that, we have a multiplicity of subsidiary units that complement the core business entity, comprising a radio network, a feature film production unit, an international festivals department, a regional theme cafe, a state of the art website and e-shop, etc... So basically, Rotana distinguishes and differentiates itself from others with its 'Content' and 'Variety'. What we offer our audience and consumers is top of the notch quality content, exclusive to us, with an unbeatable variety.
With regards to the Satellite TV network, Rotana channels have positioned themselves, in a record-breaking period of time, among the top five Arabic Satellite channels (Launch date, October 2003: Rotana Mousica immediately gained a 23.5 percent share among 12 already established competitors). Although our channels are thematic, free to air, yet our ratings are competing with the general audience FTA channels.
This amazing phenomenon is what drives us to further enlarge our audience share, by segmenting our target in a professional way, catering to specific audiences, in a time where 'channel loyalty' has shifted to 'programme loyalty'. Our ratings are the proof that our content and programming strategy are serving the market needs, thanks to the efforts of the most professional teams in the region, headed by Michel el-Murr for the musical channels, and Dr. Hala Sarhan for the movies channels.
AA: How would you introduce Rotana to someone who has never seen it before?
MC: I would say: 'Get ready to be amazed'!
Rotana has grown so fast and so big that it leaves you speechless. It is a magical world of entertainment that has put 'Arabic Entertainment' specifically on the international scene amongst the big players, and as an Arab myself, I am proud of working in such a huge company that is contributing to opening up my culture to the world, regardless of all the bumps we are facing on the way. To summarise Rotana, I would call it a 'catalyst of change' this is a beautiful line that our agency, Fortune Promoseven, has created.
AA: From your database, could you describe the categories of the Arab Viewership?
MC: The biggest audience share we have comes certainly from the Kingdom of Saudi Arabia (70 percent of total GCC), with 60 percent of the population below 19 years of age and 75 percent of nationals having access to satellite. With 20 million households owning a TV set in the region, and exposed to more than 700 channels, you can imagine the market situation.
Our audience is adequately segmented between our main channels: Rotana Mousica's viewership is mainly the 15-24 age group the 15-19 age group represents 16 percent, and the 20-24 age group represents 13 percent whereas the 20-29 age group represents 10 percent. Rotana Clip's target age group is mainly the 15-19 bracket.
Rotana Cinema's target age group is slightly higher, mostly 24-40+ with main female viewership leading in the 25-35 age category. As for Rotana Khalijiyya, the dominating age group is 15-29, with very promising ratings for a channel that is only one year old. Rotana Tarab and Rotana Zaman's target age group is much higher (40+). With regards to the gender split, the share is even.
AA: How developed is the TV market in the MENA compared to the rest of the world?
MC: The recent uncontrollable boom in satellite channels in the MENA created a chaos, which I am sure, is only temporary: I think that many of them will not be able to continue the race. And to make things more challenging, there are two undeniable facts: first, the considerable increase in the number of thematic channels, and second the power of terrestrial channels in many countries in the region.
The top 10 satellite channels dropped in share of audience from 88 percent in 2002, to 64 percent in 2004, to the benefit of thematic channels. And facing the growing fragmentation of audiences and the launch of dozens of stations in the past few years, broadcasters are finally adopting real marketing strategies to promote their channels and programmes. This positive move is a push for the professionals in the industry, and a setback for the numerous amateurs. This is a good sign for the overall market situation.
But on a larger scale, the life cycle of Arabic satellite channels is 28 percent lower than international satellites. Between 1992 and 2004, the consolidated expenditure growth exceeded 20,602 percent [206 times more than the first year. Source: ArabAd Volume 15, May 2005). But the reality is very far from being pleasant. All reliable research sources set the Total Advertising Expenditure Per Capita in KSA at an average varying between US$20 and US$30 for the total population (23 million).
However, overall pan-Arab media considerations set the 2004 Advertising Expenditure Per Capita in KSA at an average of US$27 (Total population). So the obvious question is that, since the Total Expenditure by Capita does not exceed US$27, then why did the pan-Arab Expenditure Per Capita (Saudi Share) TV only, amount to US$77? This is definitely due to the abundant generosity in deals granted by TVs in the region.
The Per Capita Yearly Pan-Arab TV Growth (Saudi Share) was 23.89 percent in 2003 and 43.63 percent in 2004. The Per Capita Yearly USA TV Growth was 0.67 percent in 2003 and 11.29 percent in 2004. But guess who makes more money? So with such a situation currently at hand, the market is not very promising, compared to the rest of the world.
AA: Which country in the region provides you with the biggest challenge, and why?
MC: Two countries: The Kingdom of Saudi Arabia and Egypt.
With regards to KSA, the challenge is socio-cultural. Knowing that it is the most attractive market for advertisers, and my main target as Head of Marketing in a Saudi company, yet, the cultural paradox is very challenging because many existing restrictions clash with an emerging generation of remarkable Saudi teenagers, very aware and very familiar with international trends, very demanding because they enjoy a broad vision and extensive knowledge of the international entertainment industry, and their willingness to open up their culture to the world is unparalleled (keeping in mind that more than half of the population is below 19 years of age, which makes the future of KSA very promising from a socio-cultural point of view).
Yet, the challenge imposes itself with regards to the various restrictions we are facing in terms of 'promoting' Rotana activities, content and programmes on Saudi grounds. For example, we produce two layouts for each advertisement (one of which abides by Saudi advertising norms); we have a slight difficulty in conducting household visits for research purposes; we cannot host star-search auditions; etc... these are the most challenging obstacles, but our motto in Rotana is: 'The bigger the challenge, the greater the motivation'.
As for Egypt, the challenge is more complex. With over 72 million Egyptians, low satellite penetration and high piracy, Rotana's challenge is to simply position itself in that market. Our main movie channel Rotana Cinema has positioned itself in less than a year, as a market leader with 19 percent share, and with the highest ratings percentage among the free to air satellite channels. We are now concentrating on sustaining that growth, but also on gaining market share with regards to the musical channels and albums.
AA: In the presence of various satellite TV channels, how do you attract advertisers to promote their products on your channels? What edge do you have over other channels that make advertisers want to buy time slots?
MC: As I previously mentioned, the numerous channels emerging haphazardly do not represent any challenge to us. Our main strength and edge over our competitors is our 'Content' (and this is what facilitates RMS's task in selling time slots Headed by Nezar Nagro).
Not only do we provide the latest high quality content, but we also own first-airing rights, in a musical market where Rotana has an 80 percent share and represents the majority of the top selling artists and super stars, and owns the largest Arabic film library in the world. So basically, when you watch Rotana Mousica, you are guaranteed the latest musical videos of the top-selling artists in the Arab world exclusively, as well as a powerful prime time segment that features programs only Rotana can host. For example: The X Factor is a talent-search format backed up by the largest leading musical production company in the Middle East and North Africa: this resulted in more than 50,000 participants attending the auditions, and a spectacular ratings increase from the first episode!
Another program that only Rotana can implement is Maa Hobbi: who can host a weekly album-signing episode for more than 100 artists? And with regards to Rotana Cinema, the combination is perfect between the charisma of Hala Sarhan (leading lady of the Egyptian media scene) and the biggest Arabic movie library in the world, with monthly exclusive first-run blockbusters.
And recently, Rotana Khalijiyya won the golden award in Bahrain's 'Programmes Production Festival' for the best show in the entire GCC (featuring a duo between the two biggest super stars of the Gulf: Once again, this is another show that only Rotana can execute because it owns the channels and produces the stars).
Not to mention the numerous awards Ahmad Nagro has won with regards to 'Best Musical Video Production'.
So basically, when advertisers buy time slots on our channels, they know they're spending their money wisely.
AA: What plans does Rotana have for 2006?
MC: So many! I won't spoil the surprise.
AA: Do you feel that Arab satellite channels affect positively the image of the Arabs in the Western world?
MC: Some do. We at Rotana, work very hard at upgrading the image of our culture's icons, and export them to the West, making sure they are internationally marketable, and yet genuinely representative of everything we stand for. We have a very high sense of cultural responsibility, and we are very careful about how we portray our stars and hosts. The Rotana network is now airing in many parts of the western world, and this is the basis of our new endeavor in making sure the image we export is worthy of our culture.
AA: Did you find any difficulties in marketing Rotana, and what are the challenges you have faced?
MC: No one takes on such a huge responsibility without a load of difficulties, especially when you're introducing the magical word: 'Change'. But I must admit that two factors have made my endeavor much easier: first, the support of our Chairman Prince Alwaleed Bin Talal whose colossal aspirations for Rotana are at the core of our motivation and the binding force behind the strong team spirit in the group; the second positive factor is the market shift: we are currently feeling the need for change, and regardless of any socio-cultural resistance, the market is bound to move to a higher level of expectations in terms of 'demand'.
This is why I enjoy my work so much: the more I invest time and energy in marketing the Rotana business entities, the more I feel the prompt and positive market response.
The challenges are not abundant. I am blessed with a regional team of marketing and media experts whose devotion, loyalty and level of performance have exceeded my expectations. Their skills and drive make it much easier for us, as a Team, to overcome any challenges in the multifaceted entertainment industry.
Other unavoidable challenges are faced on a daily basis with regards to the markets: Rotana produces a diversity of content (for radio, TV, press...) that should suit more than 20 markets at the same time, for populations that vary in taste and culture, but who have a common denominator: the Arabic-language. The challenge is to know how to market this content in a way that suits them all, taking into consideration that we sell that same content in countries where consumers still purchase cassettes, as well as in countries where consumers purchase digital content.
AA: What is Rotana's relationship with the artists it represents?
MC: To tell you the truth, before I joined Rotana, I used to read all sorts of articles that portrayed very contradictory opinions about Rotana artists and Rotana management (some were very good, others were bad). I have now been in the group for over a year, and I can confirm that no artist in the world is treated with more respect, value and consideration than in Rotana... and this is mutual.
Our artists always refer to Rotana as their 'family'... this association is extremely valuable to us, and we always make sure to sustain it. Rotana has one of the most professional Talents Management departments (headed by Salem el-Hindi) in the MENA region, formed by a team of dedicated managers who work very closely with the Marketing Department, in the sole purpose of protecting more than 120 artists' best interest, offering them as much exposure as we can.
This new joint effort is resulting in many positive outcomes that are strengthening the bond between Rotana and its artists: together, we make sure that each album produced is sustained by a powerful concept, adequate image building, and strategic media planning, thus ensuring a maximized growth potential and added exposure to each artist: we believe in the potential of all the artists we represent with no exception, but it is up to each one of them to materialise these intentions.
We have also established the first international standard A&R department in the MENA region. We are applying the worldwide norms that enable the company to professionally build a valuable repertoire, all the while consolidating the image-building of its most valuable product: the artist. We have finally been able to put together a team of art directors, image builders, photographers, make-up artists and stylists who all look in the same direction and who all have one common focus: Change. The outcome, till now, is more than satisfactory, and the artists are gradually following the trend.
AA: What is Rotana's diversification policy? What does it include? Rotana Radio, Rotana Cafe...?
MC: Based on very accurate and extensive research, the Business Development Department (headed by Firas Khashman) presents to the board members, presided by Prince Alwaleed Bin Talal, new projects it deems in line with our growth path. The board evaluates the proposal and, after the chairman's approval, the business development director assigns the teams who will follow-up on the implementation.
Rotana will soon be launching a new regional theme caf, with the first location opening soon in Beirut (down town area, parliament square), followed by Damascus, Cairo, Dubai... Rotana Cafe is one of the most impressive outlets in the region, distinguishing itself with a very modern and inviting decoration, with all the facilities needed to watch the latest exclusive Rotana productions, a myriad of tailor made merchandise items featuring our super stars with the most hip designs, and a varied menu comprising a delicious variety of international and local dishes to suit all tastes... adding to the fact that Rotana stars will be signing their albums and hosting their PR events among the fans. So basically, what makes Rotana Cafe so exceptional is the element of surprise: you can never know which star might come in, at any given time!
Rotana Radio is another new concept that's part of our diversification policy, and a logical addition to the ever-growing Rotana Group. It is a regional radio network that will cover the entire MENA region, airing the latest exclusive Rotana releases (thus, airing exclusive content for over 80 percent of the market). We have already launched the first Rotana Radios in Jordan and Syria, and we will soon be launching others in the Gulf and in Lebanon. It is understood that this practice will be extended to cover other countries in the world that have considerable population of Arab communities, such as the United States, Australia and Europe.
Another new project we are launching soon is the Rotana E-shop, part of the newly revamped, state of the art website (www.Rotana.net), aiming at reaching the Arab populations spread throughout the world, by giving them instant access to purchase the latest Rotana productions and releases (music and film).
Many new ambitious projects are on the agenda, all in line with our strategy of growth, and all aiming at promoting and strengthening the Arabic Music and Film Industry, all the while reaching-out to the Arabs in all the continents.
AA: Why did Prince Alwaleed Bin Talal buy LBC's satellite channel? What are his plans for the channel?
MC: His Royal Highness is a man with a vision. His acquisitions precede general assumptions, and his ambition grows beyond the region. He looks at the Middle East from a large-scale perspective and acts accordingly.
With time, you will understand his sharp tactical moves.
AA: Who will handle LBC Sat's promotion and advertising sales in the region? Will he appoint a media house or will he create an in-house "Regie"?
MC: When you work for Prince Alwaleed Bin Talal, you learn to keep all your options open. No further comment.
AA: How challenging is it for a young Lebanese woman to head the Marketing, Media and Press Department of such a big Saudi company? What's hardest: the fact that you're a woman or that the company's Saudi?
MC: We, at Rotana, are working very hard to break the cultural barriers between all the countries in the MENA region, especially that our field of expertise relies on providing the best Arabic music and film productions, and to my knowledge, music has no borders... for that reason, I don't see myself as a 'Lebanese' working for a 'Saudi' company. I see myself as an advertiser of various talents, eager to export my Arabic culture to the world, eager to meet the vision I share with our leader, and ambitious enough to break some barriers, no matter how difficult it will be, just to get the message through.
The fact that I'm a woman working for a Saudi company is only to my advantage. The Saudi people are very respectful and protective of women, and this gives me a high sense of security and stability in my work environment.
© ArabAd 2006
