In the Middle East and North Africa (MENA) region, it is rare to see large scale ad agencies collaborate with startups.
The general perception is that agencies and advertising holding companies are better known for acquiring startups, than collaborating or creating any working relationship with them.
Addressing what makes the relationship difficult and what the solution can be Jad Hindy, Regional Head of Innovations, FP7/MENA, took the stage at the recently concluded Step Conference 2016. “There is a resistance debate between agencies and startups. Agencies acquire startups but when we start working together, we see huge differences in culture and the language we speak among various other issues.”
The solution, according to Mr Hindy is collaboration. He said, “The aim should not be of acquisition but collaboration. Collaboration is the only thing that will do the miracle between agencies and startups.”
In a bid to find solution to this disparity, FP7/MENA has launched FP7/START, a platform that can foster growth for startups. “We want to be a facilitator. We are trying to create a platform for collaboration with startups as they have smart ideas and people. We want our ideas and business solutions to be richer by going to these young startups and to facilitate them, to help them to grow. What we get in return is a richer product. That is a good enough deal for us,” said Tarek Miknas, CEO, FP7/MENA.
Reiterating that collaboration was a better route than acquisition, Mr Miknas observed, “When you collaborating, you can achieve much more than when you acquire – acquisition is limiting. It’s the cultural elements; the minute a startup has to start creating reports, and tell us where they will be financially tomorrow, there is a chance they lose the magic of what a startup should be all about.”
To better work with startups, FP7/MENA has tied up with The Indus Entrepreneurs (TiE), a global network of entrepreneurs. “Our attempt is to create an amiable environment for startups to work and create virtual cycle of wealth and prosperity. FP7/MENA has come to terms with the fact that large organizations face difficulty while working with startups because of complex processes. We want to harness this relation and be a bridge. Our idea is to help them work with startups and foster this core relationship,” commented Prashant Gulati, President, TiE.
