Three years ago, Patrick Walldén sold of the majority of his 165 employee agency to a real estate billionaire looking to diversify his portfolio. Arena group was formed when Patrick created Engage, a new lead agency, and combined it with leftovers from his previous company: Kobama, a digital production agency; and Parapix, a film company. Engage works on building engagement within companies . . . and between companies and their customers . . . .to build brand loyalty. Patrick describes Arena as “where brands meet target groups and interact with them in some positive way.”
Rob met up with Patrick at the 2019 South by Southwest Conference in Austin, TX. The two discussed some of the differences and similarities between marketing in Scandinavia and in the USA—the most notable difference being the difference in market size. Arena does work with some large clients. Patrick describes Arena as an activation and communication agency which provides experiential marketing content and event marketing – theater blended with brands and events. A lot of what Arena delivers is product-based.
When Scandinavian Airlines faced constant pressure from discount airlines, Arena helped them establish House of Scandinavia, a physical and digital “bonding platform” where Scandinavian Airlines’ frequent flyers can interact with the company. The focus is on “all things Scandinavian” – food, innovation, and such trademark Scandinavian values as equality and diversity.
Arena creates big brand pavilions for such companies as Volvo and Ericsson in telecommunications. Before social media, it was difficult to get an ROI on huge event marketing platforms. Patrick believes that Social media spin provides the leverage that now makes these big events profitable.
Originally, people thought social media and digitalization would eliminate the need for physical interaction. Au contraire, Patrick claims. Social media actually drives the need to meet more in real life.
No longer are the high-priced marketing experiences targeted to VIPs. Social media has exploded the number stakeholders or influencers that can leverage this type of marketing campaign. So, business to business marketing is becoming more “personal,” – much of it is becoming business to individual or business to person.
How does Arena measure campaign impact? Patrick emphasizes the importance of setting clear targets from the beginning, knowing what you are trying to achieve, and knowing what you could lose. You not only need to know what you need to measure . . . but how you will measure it. If you don’t think it through from the beginning, you may be forced into “faking it” by clever post-campaign KPI placement.
Patrick has found the huge explosion of skilled gig freelancers in the past 10 years has greatly reduced the need for having a large permanent staff . . . agencies can now expand quickly to meet the demands of a large project . . . and easily reduce staff when the project is complete. He feels flexibility and the ability to quickly adapt will become increasingly essential for agency survival.