by Matthew Jones

When Don Coleman set out to start his own advertising agency in 1988, he became an early pioneer in establishing what has become one of the biggest trends in marketing – the multicultural marketing agency.

Today, more than 16 years later, Don Coleman & Associates, a venture that started out as a one-man show, has grown to an industry leader, with five-offices, $325 million in annual billing (2003) and more than 150 employees.  To account for its broad multicultural focus, the agency’s name was changed to GlobalHue in 2002; but the driving passion remains the same.  According to Black Enterprise Magazine, it’s the largest multicultural-focused agency in the country.

Don Coleman has long held a vision of what his own shop would eventually become.  That vision took root while he was with Campbell-Ewald, where he worked on the Chevrolet account.  Later, Coleman moved to Burrell Advertising – the defining Black-owned agency of our time, which was founded by industry icon Tom Burrell.  There, he learned more about the inner workings of building and running an agency.  After three years there, he was ready to open his own doors.

However, much has changed since Don Coleman first created his shop.  Ethnic marketing is no longer viewed solely in terms of Black and White.  America has an expanding Hispanic market, and its Asian market has seen a healthy 16 percent explosion, according to GlobalHue.

One person who has seen multicultural marketing evolve from a mere business concentration to an industry standard is Allen Pugh, GlobalHue’s Executive Vice President, Director of Client Services.  Pugh is a veteran businessman with 18 years of experience in marketing, sales, management and advertising. In his current capacity, Mr. Pugh is responsible for the overall management and growth of all of the agency’s accounts, including DaimlerChrysler, American Airlines, The Gambrinus Co., Microsoft Corporation, Verizon Wireless, and the U.S. Navy.

Pugh told diversityinbusiness.com that his agency was quick to recognize the need to expand its services beyond just the African American market.  “Society today is totally multicultural.  (Hispanics and Asians), that’s where the bulk of the growth is,” declared Pugh.

Setting the Stage and Standing Apart

The GlobalHue agency has certainly kept up with these changes.  Prior to changing its name, the agency acquired two major organizations in the multicultural arena, making it not only the largest player in the game, but the most versatile.  First, was the merger with Montemayor y Asociados, a Hispanic agency out of San Antonio, TX, in 2000.  Two years later, they purchased Innovasia Advertising, a leading Asian marketing firm.  Innovasia Advertising was forced to resign the General Motors account because GlobalHue represents Daimler-Chrysler.

Rapid growth has been as much art as it has been science for the GlobalHue agency.  Rather than continuously pushing to increase billings, top management has concentrated on growing and maturing as an organization.  The intent is always to serve existing clients better.

“We have to have the processes and procedures in place to give our clients A-plus work,” explained Pugh.  “We’ve been focusing on that.”

That focus has served them well, as they represent a virtual who’s-who list of major clients, including Johnson & Johnson, the Internal Revenue Service, and Blue Cross/Blue Shield of Florida, to name a few.

GlobalHue takes a highly disciplined approach to its work, starting with a detailed look into the target’s psychographic profile, and building a strategy around that.  Numbers and information are key.

“Many ethnic agencies are talking the talk – saying ‘just because I’m African-American, or Hispanic, or Asian, you should follow my direction,” said Pugh.  “Absolutely, you need diverse people (on the marketing team), but you can’t just talk it.  You need research.  You have to get out there, into the community.  (You have to ask smart questions.)  What are the insights that move (the target)?  Where do you reach them?”

GlobalHue relies on a great deal of research to provide its clients with effective solutions.  According to Pugh, they were among the first agencies to work with psychographic studies from Yankelovich – one of the leading marketing research firms.  That research broke ethnic groups down into sub-groups for more accurate targeting.

“(Ethnic markets) are not one monolithic group,” added Pugh.  “You have to break and segment those groups to figure out who they are.”

Much of GlobalHue’s approach revolves around reaching the target while they are in culture.  “You’re in culture when you’re around your friends,” said Pugh, of people’s tendencies to show more of themselves, ethnically speaking, when they are among their own people.  “There are certain things that you do when you’re in that moment.  That’s the time (GlobalHue) can put out that message.”

The concept touches on an interesting phenomenon.  Many minority professionals adapt their personalities to match their environment at work.  “At work, you’re not as focused on your culture as you are when you’re with your own people,” continued Pugh.  “That’s why (GlobalHue has) offices in the community.  We’re in the major hubs.  We have people on the ground.”

This grass-roots approach is a far cry from what Pugh calls checking the box, which is a way of describing the practice of some marketers who say they’re reaching out to ethnic markets, but do so with minimal efforts and expenditures.

“There’s a right way to go about multicultural marketing,” said Pugh.  “You can’t just create a mass message ad, and then turn it into a Hispanic ad by putting a Hispanic face on it.  What you do for the general market does not necessarily work for multicultural marketing.”

“There are differences,” continued Pugh.  “We are who we are, and we react to things differently.  You have to have separate programs to reach us.”

The differences, according to Pugh, are not just operational, but also structural.  “There has to be someone accountable (for reaching emerging markets).   You need your own budget.  You have to be able to buy your own media.”

This accountability and autonomy has been a big part of GlobalHue’s success over the years.  “This is how we can best reach the consumer,” Pugh added.  “We can get a better return on (the client’s) dollar because we’re fully engaged.  Clients can see the opportunity.  The purchasing power of these groups is off the charts.  Clients understand that there is opportunity.”

Opportunity has been the key ingredient to the GlobalHue approach, for the agencies and its clients alike.  As the general market changes, different doors of opportunity open up.  However, ‘general market’ is not a term you will hear Pugh use often.  He feels it is a misnomer, given the complexities of the American population.

“I don’t like the term ‘general market,’” explained Pugh.  “There’s a Caucasian market, an African-American market, an Asian market (and so on).  But there’s not really a general market.  Not any more.”

If there is no general market, then that fact is certainly reflected in the staff at GlobalHue.  There is no one color, culture or even language that overshadows another.  “You walk into our office, and it looks like the United Nations,” said Pugh.  “We speak multiple languages, we’re from various places around the world…but we all work together.”

Thus, the name GlobalHue.

The Hue of Allen Pugh

Pugh’s professional history is almost as diverse as the staff at his agency.  Having held just about every marketing post from distribution to sales to client service, he is in a unique position to understand every aspect of his agency’s business– and his clients’.

Early in his career, Pugh worked for Don Lee Distributing, first in a sales post, then in management.  There, he was able to learn first hand the challenges of bringing a product to market, engaging the consumer, nurturing a brand and image, and ultimately building a team to bring that product to the consumer.

“The whole process fascinated me,” said Pugh of his distribution experience.  “I went from distribution to working as a brand manager.  That’s where I learned how to take a product through the (marketing) funnel.”

Following his work at Don Lee Distributing, Pugh went on to work on the agency side of the industry with Campbell-Ewald.  “I’ve been throughout the system,” said Pugh.  “When a (car) dealer or distributor from the client comes to me with an issue, I understand their environment.  When a brand manager has an issue, I’ve been there.”

Pugh’s understanding of multiple facets of his clients’ businesses not only help him provide excellent strategic counsel, it also helps him bring a calming effect to tense and sometimes demanding situations.  That’s a trait that Pugh considers to be among his most valuable.

“I don’t stop and waste time worrying about the past,” explained Pugh.  “I just want to know how do we make it better, and how do we move forward.”

Pugh grew up in Norfolk, Virginia.  Despite what many people might think, Norfolk has always been a relatively diverse area, according to Pugh.  Centered heavily around the military base, people from all walks of life have lived in or traveled through Norfolk.  Pugh, as a result, has always been accustomed to being surrounded by people of diverse cultures and races.

However, Norfolk could be a difficult place, particularly for a mother trying to raise a child by herself, as Pugh’s mother did.  She instilled in him a sense of drive, and the notion that he could do anything he set his mind to.

“She was a key force in who I am today,” said Pugh of his strong, independent mother.  “She taught me that if you believe it, you work hard at it, then you can achieve it.  That’s my life’s motto.  You’ll have peaks and valleys.  You have to survive the valleys, and enjoy the peaks.  (My mother) was my strength.”

Pugh’s mother recently passed away, but she would be among the first to declare that her son had given her much to be proud of.  He has worked successfully for multiple clients over the years, and has distinguished himself in several areas in a highly competitive industry.  He is an executive vice president (EVP) of one of the most prestigious multicultural firms in the world.  His agency has been named Agency of the Year, twice in the last five years by Black Enterprise.

Still according to Pugh, the best is yet to come.  He doesn’t see other multicultural firms as his only competition.  He strives to lead his agency to the top of the industry.

“We’re a new breed of agency, with aggressive, intelligent young people,” Pugh said.  “We are the most professional marketing agency in the industry.”  From a marketing standpoint, Pugh is confident about the future.  “We will be a group to be reckoned with in the next 10 years,” he declared.

With leading global clients and annual billings north of $300 million, GlobalHue is a force to be reckoned with today.

The End