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BEIJING (Reuters) – Olympic sponsors are launching possibly the largest advertising and marketing campaign ever, aiming to etch their brands in the minds of a new generation of Chinese consumers for far beyond the upcoming Games.

The ads range from traditional print and TV to glitzy new on-line media, blanketing a vast country whose citizens place an extraordinarily high value on the Olympic ideal and presumably the companies that support it.

While the risk of a public relations backlash still looms as China finds itself at odds with much of the world on hot-button issues such as Tibet and Sudan, the hoped-for gains far outweigh any possible downside.

“On a global scale, I don’t think you are going to get this kind of investment again,” said Greg Paull, the head of R3, a Beijing-based media consultancy.

R3 — which counts sponsors Coca-Cola Co, Adidas, Yili and Lenovo Group as clients — says the benefits for companies will be enjoyed for years after the last athlete crosses the final finish line next month.

R3 reckons all advertisers in China will spend 19 percent more in 2008 than a year earlier to about $54.3 billion, for an “Olympic effect” of about $8.6 billion in additional spending.

In addition, Olympic sponsors alone will spend 21.8 billion yuan ($3.2 billion) this year, rising 52 percent from 2007, said Paull.

German sportswear maker Adidas, one of 11 national partners of the Beijing Games, is expecting its Olympic tieup to vault it past arch rival Nike Inc in the China market this year.

“Our marketing campaign for China is the largest we have ever done in a single country,” Erica Kerner, director of the Beijing Olympic program for Adidas, told Reuters.

“We see this as a marketing platform that will help us to achieve market leadership in China this year,” she said.

Adidas will use a 360-degree projection theatre to spread its “Together in 2008, Impossible is Nothing” slogan.

ECONOMICS TRUMPS POLITICS

Nike — which sponsors individual athletes and sports groups, but not the Olympics itself — is perhaps underestimating the fact that over 90 percent of Chinese view the Olympics, and companies associated with it, in a positive light.

China is the world’s fastest growing major economy and is seen by multinationals as a crucial market, success in which would give the winners a step up in the global battle for precious market share.

Adidas estimates China will become its second largest market after the United States by 2010, when its stores will grow to 6,300 from over 4,000 now, riding a sports and leisure boom.

But nothing in China comes easy, as Olympic backers found out earlier this year and again last month.

Organizers and sponsors of the Games were rattled when China’s harsh crackdown in Tibet touched off global anti-Chinese protests leading to talk of an Olympic boycott.

“That is a big challenge for all sponsors,” said Paull, the media consultant, referring to the political risks surrounding the Olympics.

“But it is also par for the course, part of doing business in this market,” said Paull.

Tibet is far from the only issue that could tarnish the Games for sponsors and China.

Beijing criticized the International Criminal Court last month after the court charged the president of key ally Sudan with genocide, adding to claims Beijing was only interested in protecting its oil investments in the poor African country.

Some Olympic athletes who have joined Team Darfur, an informal, 300-strong group created by former U.S. speed skater Joey Cheek to draw attention to Sudan, have said they may stage some form of protest while in Beijing.

The possibility foreign-based protestors or home-grown terrorists from Tibet or the restive region of Xinjiang could mar the Games, has prompted extraordinary security measures including emptying Beijing of migrant workers and tighter visa rules.

BIG BUSINESS

But the political backdrop is having little impact on advertisers who are taking advantage of the positive vibes to the pre-Olympic buildup in the capital. And cost is no object.

Coca-Cola is inviting 10,000 people to Beijing for the Games and will dazzle them with what is touted as the world’s largest overhead LCD screen, covering an entire outdoor plaza.

Half of Coke’s guest list are clients and employees from overseas, and another large contingent will be staff volunteers from China to help with its many hospitality events spread throughout Beijing.

“Our people are really excited to be here. It is a win-win,” said Christina Lau, Coke’s director of external affairs based in Beijing.

“We have selected employees who have demonstrated their passion and commitment to Coke and the Olympics,” she said.

Clickry Post Source Link

BEIJING (Reuters) – Olympic sponsors are launching possibly the largest advertising and marketing campaign ever, aiming to etch their brands in the minds of a new generation of Chinese consumers for far beyond the upcoming Games.

The ads range from traditional print and TV to glitzy new on-line media, blanketing a vast country whose citizens place an extraordinarily high value on the Olympic ideal and presumably the companies that support it.

While the risk of a public relations backlash still looms as China finds itself at odds with much of the world on hot-button issues such as Tibet and Sudan, the hoped-for gains far outweigh any possible downside.

“On a global scale, I don’t think you are going to get this kind of investment again,” said Greg Paull, the head of R3, a Beijing-based media consultancy.

R3 — which counts sponsors Coca-Cola Co, Adidas, Yili and Lenovo Group as clients — says the benefits for companies will be enjoyed for years after the last athlete crosses the final finish line next month.

R3 reckons all advertisers in China will spend 19 percent more in 2008 than a year earlier to about $54.3 billion, for an “Olympic effect” of about $8.6 billion in additional spending.

In addition, Olympic sponsors alone will spend 21.8 billion yuan ($3.2 billion) this year, rising 52 percent from 2007, said Paull.

German sportswear maker Adidas, one of 11 national partners of the Beijing Games, is expecting its Olympic tieup to vault it past arch rival Nike Inc in the China market this year.

“Our marketing campaign for China is the largest we have ever done in a single country,” Erica Kerner, director of the Beijing Olympic program for Adidas, told Reuters.

“We see this as a marketing platform that will help us to achieve market leadership in China this year,” she said.

Adidas will use a 360-degree projection theatre to spread its “Together in 2008, Impossible is Nothing” slogan.

ECONOMICS TRUMPS POLITICS

Nike — which sponsors individual athletes and sports groups, but not the Olympics itself — is perhaps underestimating the fact that over 90 percent of Chinese view the Olympics, and companies associated with it, in a positive light.

China is the world’s fastest growing major economy and is seen by multinationals as a crucial market, success in which would give the winners a step up in the global battle for precious market share.

Adidas estimates China will become its second largest market after the United States by 2010, when its stores will grow to 6,300 from over 4,000 now, riding a sports and leisure boom.

But nothing in China comes easy, as Olympic backers found out earlier this year and again last month.

Organizers and sponsors of the Games were rattled when China’s harsh crackdown in Tibet touched off global anti-Chinese protests leading to talk of an Olympic boycott.

“That is a big challenge for all sponsors,” said Paull, the media consultant, referring to the political risks surrounding the Olympics.

“But it is also par for the course, part of doing business in this market,” said Paull.

Tibet is far from the only issue that could tarnish the Games for sponsors and China.

Beijing criticized the International Criminal Court last month after the court charged the president of key ally Sudan with genocide, adding to claims Beijing was only interested in protecting its oil investments in the poor African country.

Some Olympic athletes who have joined Team Darfur, an informal, 300-strong group created by former U.S. speed skater Joey Cheek to draw attention to Sudan, have said they may stage some form of protest while in Beijing.

The possibility foreign-based protestors or home-grown terrorists from Tibet or the restive region of Xinjiang could mar the Games, has prompted extraordinary security measures including emptying Beijing of migrant workers and tighter visa rules.

BIG BUSINESS

But the political backdrop is having little impact on advertisers who are taking advantage of the positive vibes to the pre-Olympic buildup in the capital. And cost is no object.

Coca-Cola is inviting 10,000 people to Beijing for the Games and will dazzle them with what is touted as the world’s largest overhead LCD screen, covering an entire outdoor plaza.

Half of Coke’s guest list are clients and employees from overseas, and another large contingent will be staff volunteers from China to help with its many hospitality events spread throughout Beijing.

“Our people are really excited to be here. It is a win-win,” said Christina Lau, Coke’s director of external affairs based in Beijing.

“We have selected employees who have demonstrated their passion and commitment to Coke and the Olympics,” she said.

Clickry Post Source Link

China Photos/Getty Images

The recently opened Terminal 3 at Beijing Capital International Airport was designed and completed in record time for the Summer Olympics. It can handle 50 million passengers a year. More Photos >

BEIJING — Beijing airport’s new Terminal 3 — twice the size of the Pentagon — is the largest building in the world.

Adorned with the colors of imperial China and a roof that evokes the scales of a dragon, the massive glass- and steel-sheathed structure, designed by the renowned British architect Norman Foster, cost $3.8 billion and can handle more than 50 million passengers a year. The developers call it the “most advanced airport building in the world,” and say it was completed in less than four years, a timetable some believed impossible.

It opened in late February with little fanfare, but also without the kind of glitches that plagued the new $8.7 billion terminal at Heathrow in London, a project that took six years to complete.

This is the image China would like to project as it hosts the Olympic Games this summer — a confident rising power constructing dazzling monuments exemplifying its rapid progress and its audacious ambition.

While much of the world has focused on protests trailing the Olympic torch, China’s poor human rights record, its pollution, product safety and child labor scandals, workers here have been putting the finishing touches on one of the biggest building programs the world has ever seen.

Beijing hopes to overcome these negatives, and the dark sides of its roaring economy, by emphasizing its ability to upgrade and modernize, at least when it comes to buildings and infrastructure projects. The main Olympic stadium, nicknamed the Bird’s Nest, is already widely admired for its striking appearance and its use of an unusual steel mesh exterior. The nearby National Aquatics Center, known as the Water Cube, is a translucent blue bubble that glows in the dark.

And east of the main Olympic arenas, construction is winding down on the new headquarters of the country’s main state television network, China Central Television, or CCTV.

That $700 million building, designed by Rem Koolhaas, consists of two interlocking Z-shaped towers that rise 767 feet and may be the world’s largest and most expensive media headquarters.

New York has the Chrysler Building, Grand Central and the Guggenheim Museum; Paris has the Louvre and the Pompidou Center; now Beijing is determined to build its own architectural icons.

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At least two people have died in fresh protests in a Tibetan part of western China, reports said on Tuesday, as authorities made arrests in Tibet’s capital Lhasa in an effort to reassert control over the restive region.
State media said one police officer was killed and the exiled Tibetan Centre for Human Rights and Democracy reported one Tibetan protester shot dead and another critically hurt after unrest in Sichuan’s Ganzi (Garze) Tibetan Prefecture.
“The police were forced to fire warning shots, and dispersed the lawless mobsters,” the brief Xinhua news agency report said, without mentioning any deaths of protesters, who it said attacked with rocks and knives.
The latest news of unrest and arrests comes after protesters seeking to put pressure on China tried to disrupt the Beijing Olympic Games torch-lighting ceremony in Greece, an act that Chinese Foreign Ministry spokesman Qin Gang called “disgraceful”.
French President Nicolas Sarkozy urged China on Tuesday to show responsibility over the unrest and refused to rule out a possible boycott of the Beijing Olympic Games.
“I don’t close the door to any option, but I think it’s more prudent to reserve my responses to concrete developments in the situation,” Sarkozy said, when asked about a possible boycott.
In Washington, White House spokeswoman Dana Perino, reacting to Sarkozy’s remarks on the Olympics, said there was no change in Bush’s plans to attend the Games.
“We believe that China should respect minority cultures — particularly in this case, the Tibetan culture — and we want to make sure that there is freedom of the press and international access to the area,” Perino said. Continued…

Nicolas Sarkozy, the President of France, has led a chorus of European criticism over China’s actions in Tibet, refusing to rule out a boycott of the Olympic Games opening ceremony.
Simon Heffer: Does Gordon Brown need Nicolas Sarkozy?
Richard Spencer: China is blind to the hostility it can arouse
Richard Spencer: The Olympics were already political

Tibet groups abroad say a protester was shot dead when police responded by ‘firing indiscriminately’
“I don’t close the door to any option. I want dialogue to begin and I will graduate my response according to the response given by Chinese authorities,” Mr Sarkozy said.
Until yesterday, Western governments had been measured in their response to two weeks of unrest in Tibet, mostly rejecting any possibility of an Olympics boycott.
But days of strident attacks on the Dalai Lama, the Tibetan spiritual leader, by Beijing; an uncompromising security response inside Tibet, and the publicity gained by anti-China protesters abroad have generated a fiercer response.
Britain also criticised Beijing, with an annual report by the Foreign Office highlighting Beijing’s “violation” of human rights in Tibet. David Miliband, the Foreign Secretary, said worldwide concern about the situation in Tibet was “justified and proper”.
“There needs to be mutual respect between all communities and sustained dialogue between the Dalai Lama and the Chinese authorities,” he said.
In its first collective statement, the European Union demanded that China stop using force against peaceful protesters, while also calling on demonstrators to “desist from violence”.
“The EU stresses the importance it attaches to the right of freedom of expression and peaceful protest,” it said at the United Nations in Geneva.
Germany also urged dialogue between China and the Dalai Lama. A spokesman said Chancellor Angela Merkel was prepared “at any time” to repeat her meeting last year with the Dalai Lama, which plunged relations between Beijing and Berlin into an unexpected freeze.
At the weekend, the Chinese government accused the Dalai Lama of being behind rioting in Lhasa, which left 19 dead, and of conspiring with Muslim terrorists to sabotage the Olympic Games.
A government spokesman said a protest by free speech campaigners at the lighting of the Olympic torch in Greece was “shameful and unpopular”.
The spokesman added: “We also believe that competent authorities in countries through which the torch relay will pass have the obligation to ensure a smooth relay.”
This suggests that China expects host countries, including Britain, to react vigorously to prevent protests.
Today, in a public relations fightback, Beijing will take a small, carefully selected group of foreign journalists to Lhasa to present its side of the story.
The government confirmed that a policeman was killed by rioters in a Tibetan area of Sichuan province on Monday.
Tibet groups abroad say a protester was shot dead when police responded by “firing indiscriminately”.

Posted on: March 18, 2008

Posted on: March 18, 2008


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