As a recruiter, and like most business managers, I like to follow trends and identify the warm spots around the globe before they actually escalate to a blinding hot flash.
A blinding hot flash, you may say?
Not dissimilar to a blog or feral marketing on YouTube when a link is passed on to one, then two to several, then to hundreds of recipients, a new product or service can be launched exponentially within minutes, if it’s executed with precision.
With over 75,000 new food and drink products launched around the world every year ranging from true innovation, real added value products and wacky ideas to line extensions and tertiary products, there is no shortage of how to promote them.
This is just one market sector by example, well before we consider the electronics, computer and technology markets and all others known to man or beast.

So what’s that got to do with us in the broadcasting community? 

The hot spots for broadcasters seeking advertising revenue are those territories, products and services exhibiting an extraordinary amount of activity in hoo-ha (technical term for sales and marketing).
For me it’s staff requirements whether it be contract or permanent, there’s going to be an increased need for talent to broadcast the advertiser’s message.

So where are the next ‘Hoo-ha’ Geographical hot spots?

According to the ‘International Congress and Convention Association’ the world’s economy reflected an increase of 15% of promotional activity in 2007 over 2006.
USA and Germany held 1st and 2nd place respectively and Spain in 3rd place which is surprising as they were in 5th place the previous year.
Other noticeable changes were Japan (from 12th place to 6th place), Brazil (an outsider of the top 10 is in 8th), Not surprising is Beijing (13th to 8th) but one to watch is Taipei ranked 40th in 2006 is now 18th, and Madrid from 19th to 10th position! Singapore remains unchanged in the top 5, and Australia? 13th place in 2007.
Cities in the top 20?Vienna (no.1), Berlin (2.etc), Singapore, Paris, Barcelona, Budapest, Lisbon, Beijing, Amsterdam, Madrid, Copenhagen, Prague, Hong Kong, Seoul, Stockholm, Bangkok, London, Taipei, Kuala Lumpur, Istanbul and Brussels (shared spot)
We could speak about revenue in terms of the 2007 Fortune 500 but their expenditure is through global interests, so hotspots are difficult to pinpoint with the majority of top 10 companies being US based. (FYI Wal-Mart is No.1 with $11B USD profits)
Not only that, most top performers are influenced by ‘Sector Rotation’ (Certain sectors of business profit more in certain stages of an economic cycle).

So where are the industry hot spots?

There is however a strong forecast for M&A (mergers and acquisitions) for the remainder of 2008 into 2009 and beyond, particularly for the advanced materials and composites industry developing products for the aviation, automotive, Technology, and well …every other sector.
This covers (but not limited to) light but strong materials for improved weight and temperature efficiencies as well fracture energy (toughness). In terms of professional broadcast equipment there are significant product changes ahead in the assembled product, complimented by improved hi-end software. More robust and lighter equipment that’s suited to all climates.
In the airline industry Boeing is gearing up for projected delivery schedules for the composites-intensive Boeing 787 and Airbus A380 due to the world’s aging aircraft. The Middle East and Asia will lead demand for commercial aircraft throughout 2008 and into the coming decades. (Middle Eastern carriers were responsible for about 19 percent of global aircraft orders in 2007, and traffic is expected to grow disproportionately in both regions.)
Automotive is also seen to be a key market but more so from the component supplier.
As global oil fluctuations are reflected in increased fuel prices, new vehicles sales have dropped, so manufacturers are heavily committed to improving their market position by both fuel efficiency and improved advances in technology that will attract new consumers.
Component manufacturers with foresight are proving to be a valued business partner to the automotive industry.
The aerospace and defence sector is undergoing a shift driven by new commercial and defense platforms, from vehicular and aircraft supply to hand held equipment and provisions.
The replenishment of goods as a result of war shows no decrease, and Government budgets remain globally committed.
Through improved telecommunications and digital advancements the aerospace industry is also in a position of growth.  Some M&A’s will occur with well established and proven telecommunication providers within the Asia Pacific region. Growth in this sector should be evident by the last quarter of 2008.

Summary

So, the geographical hotspots are Spain, Beijing (ok that was obvious), Japan, Taipei or generally Saudi, Germany and the USA. There appears to be continued or accelerated growth within these corridors.
Market hotspots are high end technology manufacturers (including professional broadcast equipment), airline and automotive related industries, with additional but significant investment made in composite technology. Later in the year some key Telco’s will emerge with a new image to portray.
For executives seeking increased advertising dollars or production / post related businesses with interest in TVCs or corporate packages, these ‘Hot Spots’ may just hold the answer.
Most of the ‘Hot Spots’ are currently displaying a growth pattern that is far ahead of consumer awareness, with the second half on 2008 set to influence the start of how you manage your business into 2009.

Karl Jansson
Managing Consultant
Broadcast Technology
Beilby
Level 9, 255 George St
Sydney NSW 2000

e: karl.jansson@beilby.com.au
w: www.beilby.com.au