Company focus: Fifth Ring Energy Marketing

To show your competitive advantage, you have to be able to articulate your differences. What’s more, if you really do believe that you bring added value, then you have to be able to show how, and this starts with how you manage your brand and your messages. Who you know still matters; but perhaps more than ever, it’s who you don’t know, and who doesn’t know you that is of greatest importance.  And don’t just think about customers.

Other critical stakeholder groups include recruitment and suppler/alliance. If you can’t build relationships with new recruits or potential partners, because they are not aware of who you are and what you do, then your growth ambitions will be restricted. This is especially true of the oil and gas industry, with its highly mobile and truly international workforce.

How does the Middle East differ from other regions when it comes to marketing an oil and gas company?

The major differences from say, Europe or North America are not necessarily cultural as you might imagine, but rather more to do with the nature of the market. Europeans and Americans, whether they are buyers or sellers in the oil and gas supply chain, are used to international contracts and international sourcing. Yes, there are the major players at operator and contractor level, but even the smallest technology companies or specialist service businesses will be used to dealing overseas.

For the Middle East, as a generalisation, there is less history in this respect. However, two things are happening:  firstly there is a growing awareness globally of the national oil companies, as opposed to the international oil companies as being the key target clients.

International businesses who have been courting them have indeed actually moved HQs as well as setting up local offices in the Middle East to be closer to the NOCs. This means that international competition is now right on the doorstep of the indigenous local players, who traditionally might have had pretty solid relationships with the NOCs.  As a result, higher levels of sophistication are required when it comes to messaging and brand management.

The second key factor is that these Middle Eastern companies are now realising that their market opportunities now extend globally, and through a mix of strategies, including acquisition, they are now competing on the home turf of the Europeans and Americans. Of course, to do this successfully, all elements of the marketing mix must be handled with the right levels of sophistication. Strategic longer-term thinking has now come to marketing, where traditionally satisfying tactical needs was sufficient.
 
How is the market for the companies you represent at the moment?

Things have changed in the last few weeks. Nobody is saying that the recession is over, but with a combination of rising oil price, some opening of bankers’ wallets and a return to longer term thinking and planning, things are on the up.

Enquiries are increasing; decision-making times are reducing.  There is still a need for the quick and the low cost, but things are improving.
 
Have you seen a drop in business due to the current slowdown?

We did see a drop in business, primarily amongst those clients who see marketing communication expenditure as discretionary. For those that see it as a vital investment in terms of brand and business value creation, then although budgets were reduced, spend and intent was still there.

When times are tight, it’s the move of market share that matters, and to make this happen, targeted marketing communication aligned with business development is essential.

Any success stories?

Many. One specific client recently went from being an unknown regional player to having a global presence in less than 18 months, to such an extent that it was sold for 5 times its original value in that time.
 
Fifth Ring Integrated Corporate Communications has been in business since 1991 and employs over 70 people in 5 offices across the world, including Dubai, Houston and Abu Dhabi.