AgTalk | On a profitable growth path: MSLGROUP's Jaideep Shergill

India’s leading strategic communications and engagement company and the flagship of Publicis Groupe, Hanmer MSL, was rechristened as MSL India a couple of months back. The group includes two national agencies - MSL India and 20:20 MSL, as well as two specialty offerings, 20:20 Social and MSLGROUP Creative+.

Declared “The Agency of The Year” of the year 2012 by the Indian Public Relations Council, over the years MSL India has really evolved as a solid brand offering a unique mix of local insights, relationships and expertise as well as world-class strategic communications practices tailored to the India market.

Going forward, MSL will be focusing on cultivating strong communications professional talent, strategic communications services, and the integration of social content and creative to form comprehensive solutions for both local and international clients. And leading the MSL India’s charge Jaideep Shergill, CEO and an industry veteran of nearly 20 years. He has known MSL India inside out being one of the founding members of erstwhile Hanmer PR and being one of the first employees since 2000.

A task master to the core, Jaideep has been instrumental in transforming MSL India from being a small company with a handful of employees into a leading multinational catering to specialty communications services viz. creative, corporate reputation, crisis management, event management, financial communications, social media and strategic public relations. In his current role, he is directly responsible for growth in the Indian market by giving strategic direction by evaluating the public relations business and consulting with clients. Under his dynamic leadership, Hanmer MSL has seen phenomenal growth both in terms of revenue and market penetration by strategic mergers & acquisitions.

A Management Graduate with a master's degree in International Business; Jaideep is a key member of the Asia Leadership team, and also a member of the India Board for MSLGROUP.

In an exclusive interview, Jaideep Shergill shared his thoughts with Adgully on varied aspects. We got to know the mind of this extremely talented head honcho and came back highly impressed. Present below is the transcript of the talk.

Adgully: Can you share your thoughts on the growth and current status of the PR industry in India today

Jaideep Shergill: Public relations in India has grown fairly as an important strategic and creative discipline. While the industry still continues to be looked at quantatively in terms of number of news clippings, there is a lot of good stuff happening at the same time. This has increased the importance of PR in the market. In the face of increasingly blurring boundaries between communication channels, the role of PR agencies in helping brands gain and sustain share-of-mind, has accentuated over time. On the flip side I would say that we still have some major concerns in terms of what is not working. This includes skilled talent, ability to scale on what we can deliver to the client, moving up the value chain and the ability to add value.

AG: While you mentioned some concerns, can you elaborate on the same a bit more?

JS: I feel many still continue to view PR as a discrete communication – as and when required. Not many are familiar with the fact that the business of PR is changing. No longer is it about media relations. Most people do not understand the importance of strategic PR. Things are moving very slowly as compared to plethora of opportunities that exists.  A key role of the PR and communications industry is to promote ideas and markets and shift perceptions of products, people or politics. Yet as an industry we face a perception deficit.

Next finding quality professionals and retaining them is a concern. On the one hand, talent is in short supply on the other good talent gets rapidly snapped up by corporate communications departments.

Lastly, the fee structure. It is a fiercely competitive market out there and price undercutting is rampant.  Like any service industry, and especially where the entry barriers are non existent, we too have to constantly face pricing pressure.

AG: What is the growth forecast for the industry going ahead?

JS: Most people are saying the industry will grow at more than 20 per cent annually but there are no official figures to back it up. Though this is possible there is lot churn happening & will happen going up. Though the industry will grow, growth will not happen across the board. Current estimates place the PR industry to be of a size of $ 200 million. The global PR market is several billion dollars. If the Indian economy continues to grow between 7-8 per cent, one should expect this market to reflect that growth in the next 3-5 years.

AG: With a lot of MNC agencies now present in India, what do you feel is the road ahead for Indian PR agencies and their prospects in a competitive scenario?

JS: I would say that there is place for everybody. We have to go a long way to grow so in that sense there is no problem. The overall market is small and will grow as India grows. I think we are just scratching the surface and you will see public relations in India growing significantly over the next decade.  However with the presence of MNCs, Indian players will face lot of challenges. They will have to raise their bar, not just media relations but a more consultative, strategic role. Another challenge for them will be to find relevance in the age of digital media and shorten the learning curve.

AG: What according to you are the ingredients for success as a firm in the industry? How do you measure success?

JS: In our industry, success is driven by what we can deliver. We need to change that perception. In fact there are 100 ways to measure success. Some clients understand, some do not.  Some of the key ingredients to measure success are creativity - because it is creativity that separates firms in the changing ideas of communication. We need to know whether our clients are relatively satisfied, have we delivered value to them, internally how happy are our employees. Do we offer them opportunities for professional growth and personal success?  Do they love coming to work? 

AG: Where do we stand vis-a-vis PR agencies in the west?

JS: The gap is narrowing definitely. Public relations until recently has largely been equated to media relations. Thanks to the entry of international PR firms, there is a clear and deliberate shift to bring in a more professional, data-driven approach to everything that was earlier very hazy. In terms of our ability, we can handle a number of things as well as anyone. But the gap will remain in one sense or the other. If we can evolve quickly, we can be very close to the west. In the west, PR agencies are consultative and strategic. They offer clients integrated communications, backed up with serious measurement of output and outcomes.

AG: The issue of poor delivery versus promises is one main problems of the industry and clients have little faith/trust in PR companies. How do you feel this problem can be resolved?

JS: It is not just client’s problem but agency problem. Three things need to be done. First agencies don’t get paid enough so they can’t deliver as per expectations. This needs to change. Second, there is no proper mechanism to evaluate output. And third, we need to shift from traditional PR that is essentially media relations to the state of the art digital PR and stuff like that. I also feel that clients view PR & communications as a cost not an investment- even when a campaign is very successful. Still we often need to find answer to the question of what the campaign has done for the business.

AG: Can you tell us about your journey so far and the factors responsible for your success?

JS: It has been a wonderful journey so far for me. I have not had a single boring moment.  I love what I do…it is my success mantra. The communications industry is a fast evolving business and dynamic. It is very important to keep up with the changing times. Further young people who are entering the industry and those who have not too have different expectations that have to be addressed. They are very fast and want rapid growth as opposed to my generation who have been in the industry for over 20 years and grown gradually. The ability to look at new forms of communications outside the traditional media relations is important for success. Otherwise one will be left behind. So I would rather say having an open minded approach at all times is required. Next is the ability to survive in changing times and taking the right decisions.

AG: What advice will you give to youngsters planning to enter the profession?

JS: I think youngsters should know that the PR industry is a lot wider than in the past and they should gauge this well. Think where one wants to be - lifestyle PR, healthcare PR, financial PR, leadership profiling, crisis management, digital and social media, strategic planning, and mainstream consumer PR. Any job is important so come with an open mind and readiness to face challenging situations. At times there are long working hours like in any other industry but overall professional agencies have better work culture. Overall I would say, be prepared to work hard, be honest with yourself and those around you. Proving that you are quietly and efficiently effective will take you a long way. The rest will follow.

AG: Where is MSL India placed today and where do you see the road ahead. What are your plans in entering new practice areas?

JS: We are definately in the top 3. I think in the past five years, we’ve really grown as an organization and produced some outstanding work. Our relations with clients have strengthened over the years, making us the most trusted integrated communications and engagement agency in India. We have chosen steady, profitable growth and invested considerably in best practices and training, as the industry has evolved. MSL  India is today a significant contributor to the group’s overall India revenue.  We study the trends that are impacting our clients and we structure our business to address them.

MSL India’s strength lies in the fact that we are open to changing times, accepting newer designs, people engagement, specialized communications and ability to deliver better. We’ve invested in infrastructure, for example our new office in Mumbai, which is now home to MSL India, 20:20 MSL and MSLGROUP Creative+. We aim to grow stronger in public affairs and digital PR. I would sum up by saying that we recognize that the world is changing at an unprecedented pace, and we intend to stay ahead of the curve for at least the next decade.

AG: How has been the year 2012 given the tough economic scenario? And what about 2013?

JS: Though I’m happy with the growth in 2012 and it’s been a good year it could have been better. But if one looks at the year 2009-10 when there was a global slowdown that was really bad & long, 2012 was certainly better.  I am optimistic about 2013 and this year, we’re expecting to surpass industry growth rate.

AG: Any major trend emerging in the next year or next couple of years that you can visualize?  

JS: Yes getting more professional, manage better and attract good talent, besides move from media relations to digital PR.