Pecsi Billboard in Buenos Aires

Have a Pecsi: BBDO Argentina tweaked the venerable brand to suit local market tongues and tastes.

The 1985 New Coke launch taught soft drink makers and marketers the risks inherent in tampering with the real thing. Amazing then, that PepsiCo green-lighted a Buenos Aires ad agency’s proposal last year to actually change the name of their world-famous brand. The idea? Like Nike and Levi’s, Pepsi is one of those U.S. brand names that often proves problematic for native Spanish speakers. In Argentina, the pronunciation usually sounds more like “Pecsi,” so the creative minds at BBDO Argentina reasoned, why not change the name to suit local tongues and tastes? The gamble paid off. The “Pecsi” campaign, which brought the brand closer to Argentine consumers, was just awarded the Grand Prize at the Wave Festival, the most competitive showcase of Latin American advertising creativity. Another top prize went to Argentina’s Del Campo Nazca Saatchi & Saatchi for their successful Chocolatometer campaign for Cadbury. The creative spots feature a chocolate meter mirroring female emotional reactions to romantic situations. While positive stimulation raises the chocolate bar repeatedly, a George Costanza-like gaffe on the part of the male ultimately leaves the Chocolatometer empty. The tagline: A Man Will Never Be As Good As A Whole Cadbury. Perhaps another sign of global ad spend recovery, AdAge says there were 40% more entries at this year’s Wave Festival which just wrapped up in Rio. (Full article)

Starbucks Argentina on Facebook

Companies like Starbucks Argentina are taking the bold first steps in BA business social media.

While Facebook, Twitter and corporate blogs are de riguer social media tools for U.S. brands, the phenomenon is a relatively nascent one in Argentina according to an in-depth article by Florencia Radici for Cronista. It’s hard to pinpoint whether the Web 2.0 reluctance is motivated by fear of losing control of the message or the heavily flawed assumption that what they, Compañía X, have to say is more important than what consumers of  Compañía X have to say and share with fellow users and potential Compañía X converts. Yet major Argentine brands with hundreds of outlets and millions of customers either have no social media exposure or only a handful of followers on sites like Twitter. In fact, Argentina doesn’t even show up in Twitter’s global ranking on Alexa, while other Latin American countries account for a sizable percentage of the microblog’s traffic: Brazil (3.2%), Mexico (1.5%) and Venezuela (0.7%…thanks to El Loco Chávez, the Ashton Kutcher of Caracas.) Fortunately Radici says some BA companies are biting the social bala and engaging with customers via blogs and social networks. Many of these companies like Starbucks Argentina, Officenet Staples and IBM have U.S. ties and managers previously baptized in the waters of social media. Despite a slow start, Radici says BA companies are starting to warm to the idea of online customer engagement, and she points to two recent examples of BA2.0 brilliance include Nike runners twittering in the October 10K and Park Hyatt guests twittering with the concierge. (Full story in Spanish)

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Source: Arcos Dorados S.A.

Source: Arcos Dorados S.A.

Bloomberg is reporting that Buenos Aires-based Arcos Dorados, owner of the license to operate McDonald’s restaurants in Argentina and several other Latin American countries, will tap international debt markets and issue $450 million in 10 year bonds this week. Bank of America Merrill Lynch and Morgan Stanley will manage what Bloomberg calls “the first Argentine corporate bond sale in international markets in almost two years.” The transaction is a positive signal for the largest restaurant operator in Latin America as well as for other Argentine companies whose borrowing costs have fallen considerably this year thanks to diminished country risk. With more than 1,750 locations in 19 countries, Arcos Dorados reported net revenue of over $3.5 billion in 2008. While Arcos Dorados is targeting porteño coffee lovers with the recently launched McCafé concept (Story), the McDonald’s Argentina facebook page promotes new menu innovations like the McFlurry Cadbury and the Doble McNífica. Me encanta.

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