6904 research paper guerrilla marketing in singapore
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Guerrilla Marketing in SingaporeTRANSCRIPT
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!School of Communication and Information !!!
Guerrilla Marketing in Singapore
Dennis Kom Wei Kheong, G1201023A Academic Supervisor: Assoc Professor Cherian George
ABSTRACT
There is a paradigm shift from traditional marketing to digital and interactive marketing with
the evolution of Internet, social media and telecommunication technologies in recent years.
While traditional media ethics require advertising messages to be clearly marked to avoid
misleading the consumers. The same may not be practiced for unconventional and aggressive
marketing techniques, such as guerrilla marketing. The increasing pressure to maximize the
advertising dollar spend may suggest the increasing adoption of guerrilla marketing in
Singapore. The inherent characteristics of guerrilla marketing are largely pivoted around the
elements of surprise and creativity, in order to impress consumers with deep and memorable
experiences, with ultimate goal to send the advertising message spiral. In most occasions, the
consumers are targeted when they are least expecting it. This inevitable raises the concern on
ethical issues such as lack of transparency where identify of the advertiser is hidden, inciting
fear, defacing property and causing public disorder.
The objective of this research paper is to investigate ethical issues relating to guerrilla
marketing campaigns there were recently executed in Singapore. The research methodology
is based on a qualitative approach through contextual analysis of online news media covering
these campaigns. The Singapore Code of Advertising Practice (SCAP) is adopted to provide
guidance, on how the recent campaigns may have deviated from the code of practice. The
end of the paper concludes with recommendations for marketing practitioners to better
manage their guerrilla marketing campaigns.
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INTRODUCTION
Singapore is ranked as one of the richest nations in the world with an average GDP per
capital of US$56,694 in 2012 (Forbes). Expectedly, the intensity of marketing activities
continue to increase, with consumers facing overwhelming and unsolicited advertising
messages for a wide range of products and services. To make the situation more challenging,
marketers are facing shrinking marketing budgets, yet expected to achieve better marketing
return of investment (MROI) during the economic downturn. This inevitably leads to the
exploration of high impact and low cost marketing technique such as guerrilla marketing.
The first part of the paper presents the evolution of guerrilla marketing, which was first
pioneered by Jay Conrad Levinson in 1984. The main objectives of guerrilla marketing are to
create unique and engaging experiences in unexpected environments, at a fractional cost of
the traditional marketing budget. Commonly known as “High Impact, Low Cost” marketing
strategies, the successful ingredients for guerrilla marketing are pivoted around creativity,
energy and place. Typical approach adopted by marketers included sample giveaways at hot
spots, interception of public to conduct flash mob, creating graffiti at hot spots and other
unconventional marketing techniques to create a deep and unforgettable impression.
The second part of the paper reviews the latest edition of SCAP, which was last
updated on Feb 2008. This Code is administered by the Advertising Standards Authority of
Singapore (ASAS), which adopted a self-regulation framework to promote high standard of
ethics in advertising. The motivation to review the code is to seek a basic understanding on
the ethical guidelines, and subsequently to adopt it for the evaluation of recent guerrilla
marketing campaigns that were executed in Singapore. This exercise is deemed essential, as
Singapore is a multicultural society with diversified cultural values. There is likelihood that
some marketing campaigns that are deemed acceptable in western societies may not be fit
well in Singapore, owing to the conservative Asian values.
The third part of the paper examines few recent marketing campaigns that had attracted
both positive and negative receptions in Singapore. The campaigns include the following:
1. A series of promotional activities as part of the pre-opening of a new flagship store in
Singapore by Abercrombie & Fitch (A&F)
2. A mascot deployed as part of new product launch for electric shaver by Philips Electronic
3. Acts staged at traffic junction to promote motor insurance by DBS.
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LITERATURE REVIEW
The Evolution of Guerilla Marketing
The term, guerilla marketing was founded by Jay Conrad Levinson in 1984. Widely known
as the father of guerilla marketing, Levinson defines “the soul and essence of guerilla
marketing as an advertising strategy that achieves conventional business goals, such as
profits and joy, with unconventional methods, such as investing energy instead of money”
The main objective of guerrilla marketing is to differentiate itself from traditional
marketing, through creation of unique and memorable experiences with the consumers. This
advertising strategy is originally tailor made for the small medium business (SMB), to
compete against the larger corporations that have well-established marketing resources. The
successful execution of guerrilla marketing is pivoted around the elements of time, energy
and creative, rather than utilizing big marketing budgets. To level out the playing field, SMB
were often reported to employ guerilla marketing, adopting unconventional methods to seek
maximum results from minimum resources. A few common examples include intercepting
consumers at unexpected locations, staging flash mob at prominent public areas, conducting
PR stunts, and other unconventional methods.
According to research by Hutter and Hoffmann (2011), the concept of guerrilla
marketing has evolved from a being competitor-orientated approach, to a customer-
orientated approach model over the recent years. This finding is well supported, and
coincides with the increasing adoption of guerrilla marketing by the multinational companies
(MNCs). With the evolution of society and technology modernization, the traditional way of
marketing has poised new challenges and limitations in reaching targeted audience, getting
the advertising message across effectively. Younger generations of consumers are typically
mobile, tech savvy and consume news through a wide variety of media channel. To put things
in a simple perspective, the traditional ways of advertising through mass media platforms
such as free-to-air TV and national newspapers is no longer the best vehicle, to getting the
message across. Free-to-air TV and national newspapers do not differentiate the consumers.
Essentially, the advertising message is broadcasted to all the people within a particular
community. It is deemed as non-intelligent, and often the marketers do not have good
visibility on who are the consumers that have received the message, the impression level
embedded, and also the level of buying interests. Moreover, advertising through free-to-air
TV and national newspapers are typically costly. Under such circumstance, this leads to the
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motivation of exploration and adoption of guerrilla marketing by marketers in MNCs, with
the aim to save cost by identifying market niches (Ries and Trout, 1986).
Despite the evolution from competitor-orientated to customer-orientated approach, the
fundamental principle of guerrilla marketing has not deviated. The principle is to launch
marketing campaigns that surprise the consumers with joy, hence creating a positive
experience associated with the brand. The ultimate goal is to send the advertising message
viral, by the consumers, who have received the positive experiences, to share with the
community through word of mouth or social media platform, and eventually to gather the
attention of mainstream media for free public coverage.
The Ethical Problems of Guerilla Marketing
The transition from traditional marketing to guerrilla marketing, results in a shift of
transparent to hidden approach in the execution of the marketing campaigns. The absence of
transparency in guerrilla marketing campaigns raises concerns on the issues of ethics and
social responsibility. To establish a common understanding on the advertising code from a
global perspective, the Code of Ethics by American Marketing Association (AMA) and
research paper from Heekeren and Boylan (2004), are reviewed and generalized as below.
• A sense of responsibility to the consumers and society
• Decency, honesty, and truth
• Avoidance of false and misleading advertising
• A sense of fair competition
• The protection and promotion of the reputation of the advertising industry.
Understandably, most guerrilla marketers are often caught in a dilemma on the
disclosure of marketing campaigns in advance, which is likely to negate the element of
surprise. Beside transparency, other ethical issues include the trespassing on private
properties, vandalism to public properties, and endangering public safety are commonly
raised.
Singapore Code of Advertising Practice
Pires and Stanton (2005) singled out there is an ethic gap between the marketer’s ethics and
the foreign countries which they wish to operate. In the context of globalization, there may be
implication to adopt a “one size fit all” approach in the execution of the global marketing
campaigns without taking the ethnic groups and culture diversity into consideration.
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Singapore is home to many MNCs that have established regional headquarter to
manage the business operations in Asia Pacific region. With a diverse cultures and religions,
it is imperative for marketers to acquire understanding of the local code of practice for
execution of global marketing campaign in Singapore.
The Singapore Code of Advertising Practice (SCAP) is established to promote ethical
advertising in Singapore. The code is self-regulatory and administered by the Advertising
Standards Authority of Singapore (ASAS). A quick review of the SCAP reflects the general
principles are aligned with international code of practices, with emphasis on honesty, truthful
presentation, decency, compliance with laws and regulations, not to incite fear and violence,
and non-denigration. International marketers should take note that additional guidelines are
applicable to address social values, in which compromise to social harmony, and causing
misunderstanding among the various religions are strictly prohibited. It is worthy to highlight
the SCAP does not restrict freedom of expression, as long as clarity is put in place, and it
does not mislead consumers. No specific guidelines are provided for emerging marketing
technique, including guerilla marketing.
The Consumers Association of Singapore (CASE) is a non-profit organization that is
established to protect the consumer interests and to serve as an industry watchdog to promote
fair and ethical trade practices. According to CASE, a total of 25,733 complaints were lodged
in 2012, of which 1765 cases were taken up by CASE for mediation. The top three common
disputes received by CASE in 2012 are from automobile, beauty and electrical & electronics
industry, representing 15%, 12% and 11% of the total complaints, respectively. No data is
available on the number of complaints lodged that are associated with guerrilla marketing
campaigns.
RESEARCH QUESTIONS
The guerilla marketing is still in early stage of development in Singapore, and not much
successful case studies were reported to date. It is essential for marketers to gain insight on
the current state of development for guerrilla marketing, in order to mitigate failure in future
executions. The research question that this study aim to gather insight, is as follows:
RQ – What are the concerns on ethical issues relating to guerrilla marketing in Singapore?
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METHODOLOGY
A qualitative research methodology is adopted in this research. Contextual analysis was
applied on popular and reputable online media sites covering news of recent guerrilla
marketing campaigns, for interpretation of the perception towards ethical issues relating to
guerrilla marketing. In addition, Internet search on social media platform in particular
Facebook and YouTube were conducted to detect the presence of viral, and expression of
opinions by members of the public on ethical issues. The three case studies on guerrilla
marketing campaigns are presented in the next section.
GURERILLA MARKETING CASE STUDIES
New Flagship Store by Abercrombie and Fitch
Abercrombie & Fitch Co. (A&F) is an international fashion retailer that is listed in the New
York Stock Exchange (NYSE: ANF). As part of the international business expansion plan
since 2006, a flagship store – Knightsbridge, was scheduled for opening in Singapore on 15
Dec 2011. Being the first store in Southeast region, a series of advertising campaign was
executed to buildup the brand aware and visibility. A giant billboard at the storefront
featuring a topless man with low-slung jeans was constructed on Jun 2011.
Figure 1: The Giant Billboard (Source of images: The Strait Times (left) and A&F Facebook page (right)
According to various reports form the Strait Times (ST), some members of the public
found the giant billboard to be lewd and inappropriate, and wrote to ST’ Forum urging it to
be taken down. This prompted the ASAS to review the advertisement, and subsequently it
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was decided that the advertisement was deemed to violate decency on 31 Aug 2011. The
ASAS proceeded to declare suspension of the advertisement on 12 Sep 2011, and the
billboard was eventually taken down by A&F. The decision made by ASAS immediately
triggered debates on the standard of creativity, with many people voicing displeasure and
urging the country to move beyond conservatism. The following are some opinions extracted
from leading news publications.
"It is probably the response of a vocal minority, a storm in a teacup, who would use any
occasion, however small, to raise the alarm," said Tan Ern Ser, an associate professor at the
National University of Singapore's sociology department. (Reuters, 15 Dec 2011)
“I am inclined not to agree that the ad is inappropriate,” said law student Navleen Kaur. “It is
ridiculous because it has been up for a while now, and no one really studies the ad when they
walk past it,” (The Wall Street Journal, 11 Sep 2011)
Penny Yap, 40, owner of an art and decor company, said: “It’s a half-naked man and it’s quite
an artistic shot. It’s not like it’s pornographic.” (The Strait Times, 29 Sep 2011)
Even before the talks on the giant billboard could subside, A&F created another media
buzz with the deployment of shirtless models during the opening of the store. These hunky
models were seemed greeting and taking pictures with the customers. The unconventional
reception had since gone viral in social media attracting thousand of comments. According to
a report by Reuter, women were seen touching the models on the chest or receiving friendly
hugs. One woman was even spotted piggyback on a model. An interview (TODAY Digital,
15 Dec 2011) with the crowd during the opening, to solicit for opinions on indecency
returned without any negative comment.
Figure 2: The Shirtless Models (Source of images: A&F Facebook page (left) and Reuter (right)
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The Bear Hunt by Philips
Figure 3: The Bear Stunt (Source of image: TSLA)
Philips Electronics had engaged a social media agency, The Little Secret Agency (TSLA) to
launch a new electric shaver. As part of three phases of the guerrilla campaign, the first phase
involved the launch of a video footage, featuring a man in a bear mascot. According to
TSLA, the video went viral, with more than 1 million viewership in less than 48 hours. At the
same instance, the video sent residents living around the vicinity of Ulu Pandan in panic. It
also triggered a team of people from the zoo, animal protection group and police force, to
search for the non-existent bear. Philips Electronics subsequently apologized and scrapped
the campaign. The video went on to attract international interest and debate. CNN quoted the
incident as one of the “7 stories that changed Singapore in 2010” on 23 Dec 2010. Another
leading news agency, The Daily Beast, quoted “At least the bear wasn’t chewing gum” on 14
Oct 2010. While there is no qualm that Philips Electronics had achieved the publicity
objective. The brand reputation, however, suffered a setback, judging from the responses
from the netizens who were accusing Philips to be socially irresponsible. (Stomp, Oct 2010)
DriveShield by DBS
Figure 3: DriveShield (Source of image: DBS)
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DriveShield is a motor insurance product that is underwritten by MSI Insurance (Singapore)
and distributed by DBS. To raise it awareness, DBS decided to adopt guerrilla marketing by
taking the promotions to the road. A series of short performances, covering 4 key scenarios –
floods, bumps, road rage and car theft, were staged at traffic junction or pedestrian crossing,
to communicate these unexpected scenarios in a hilarious ways, and to promote the domain
name. These short performances were recorded and subsequently uploaded on YouTube for
public viewing and sharing. A check on the metrics for the views should the floods, bumps,
road rage and car theft attracted views of 50k, 24k, 72k and 44k, respectively. Judging on the
statistic of views, the element of viral has not taken effect. The DriveShield guerrilla
marketing campaign received a Singapore Creative Circle Awards 2012: Bronze-Outdoor.
FINDINGS
In the first case study, A&F is clearly pushing the envelope of the advertising industry in
term of decency. The fact that ASAS requested A&F to take down the giant billboard even
thought the permit was granted earlier, may suggest some grey areas in the guide for decency.
It also reflects the existence of minority groups who are conservative in nature, due to
cultural and religious values. The deployment of the shirtless model for greeting customers
during the store opening is widely regarded as first of it kind in Singapore. Judging from
reports covered by leading news agencies, and experiences shared in social media, the
campaign appears to be well received by the younger generations who thought it is refreshing
and creative.
In the second case study on new shaver by Philips Electronic, the mascot, which was
mistaken as the real bear, has clearly violated the code of practice. From ethical point of
view, the video featuring the bear spotted at Ulu Pandan had incited fear to the public. The
residents were expressing concerns on their safety, when they got to know a bear roaming
around the vicinity. Other violations against the code include misrepresentation and non-
disclosure of identify. Specifically, how can consumers correlate a bear with a new electric
shaver? Last, the advertising campaign had resulted in wastage of public manpower
resources. A team of staff from the zoo, animal wildlife protection and police force were
mobilized to search for the non-existent bear. Despite that the campaign had achieved wide
news coverage at both local and international levels, the damage to the company reputation
had also taken into effect. This is evidence judging from the negative responses from the
netizens in the forum of STOMP, which were calling to boycott products from Philips.
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The last case study on the promotion of motor insurance by DBS bank does not appear
to violate the code of practice by SCAP. The products are communicated in a concise and
comic manner, through a series of short performances that depicts the needs of having motor
insurance. The various video clips posted on YouTube show the expressions of the targeted
audiences were surprise and happy, finding the short performances entertaining. Note,
however, the videos were produced by the professional, and may be inclined to portray the
positive experiences only. Despite the short performances were staged at the traffic junctions
while halt, there is still a possibility that motorists coming from the opposite direction might
be distracted from the performances, and hence causing accident.
DISCUSSION
The review of the three case studies validates the potential ethical issues that can arise from
guerrilla marketing. The case of A&P pushing the envelope of decency reflects the targeted
audience segment that the fashion retailer is pursuing, which are the younger generations
below 30 years old. Pretty faces and sex sell! From a commercial perspective, there is little
dispute that the marketers in A&F have made the right business decision, to connect with the
targeted audience. On the ethical issue, there is, however concerns on whether the marketers
from A&F had done sufficient due diligent to anticipate the response from the ethnic groups.
The semi-nudity is deemed to be offensive to certain religion such as the Muslim.
On the deployment of shirtless model during the store opening, the positive response
from the younger generations suggests they are more liberal. As cited by M. Thiyagarajan, a
senior lecturer at Singapore Polytechnic's business school (Reuters, 15 Dec 2011), "I think as
a society we have moved to a different level. We are far more accepting of such things. The
spread of the internet, education and overseas travel as factors that have helped open minds
in Singapore.” The interview conducted by TODAY on 15 Dec 2011 reaffirm the social
evolution is taking place among the younger generations. However, there are some concerns
on ethical issue when models were spotted taken pictures with very younger children.
Without proper guidance, these young children may pick up the wrong values, and think it is
fine to expose their bodies in public.
The second case in which a mascot was mistaken as a bear clearly demonstrated the
negative effect (Prévot) when things went wrong. It attests that advertising inciting fear factor
can lead to both anxiety and public disorder. A detailed analysis on the 148 comments (with
85k views) posted in the forum of STOMP, clearly show the negative effect had taken place,
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with many blaming the Philips for causing the public nuisance, urging for heavy penalty to be
imposed, and to the extreme of boycott Philips’s products.
The last case on the promotion of motor insurance appears to have minimum issues
relating to ethical issues. The selling proposition is clear and delivered in a comic way. The
identity of the advertiser was displayed clearly with DBS bank’s logo. The only concern is
the short performances at the traffic junction, might cause distraction to the motorists driving
from the opposite direction. No data is available on how many new customers have signed up
the motor insurance. Judging from the view statistics of the four videos posted on YouTube,
the maximum view of 72k may suggest the full impact of guerrilla marketing did not realize.
The fact this guerrilla marketing campaign received the bronze awards may suggest that it
meets most of the criterions of the industry practices, despite the video clips did not go viral.
Through the review and discussion of the case studies presented, it is imperative to
recognize that the advertising industry will continue to evolve due to the market dynamic,
social evolution and technology modernization. A balance approach must be adopted to
maintain the business objectives and creative strategies of guerilla marketing, without
comprising the ethics.
CONCLUSION
With the paradigm shift of traditional marketing to digital and interactive marketing,
the adoption of guerrilla marketing is expected to gain foothold in both small medium
business as well as global and international companies. The drivers can be attributed to the
fact that consumers not trusting advertising much of the time (Snyder, 2011), shrinking
marketing budgets due to increasing competitions, and technology modernization that allows
consumers to avoid advertisement.
According to Thales Teixeira (2009) who had analyzed thousand of reactions to many
advertisements, the approach to keeping viewers involved depends largely on two emotions:
joy and surprise. Guerrilla marketing can provide the companies the competitive edge to
differentiate itself from the noisy market place, and drive the brand equity to the next level
through positive effect (Prévot). Contrary, the brand equity can experience negative impact if
guerrilla marketing is executed poorly. The advertisements that incite fear, mislead the
consumers, causing public disorder and compromise safety are likely to be rejected by the
majority of the consumers in Singapore. Marketers must be mindful of ethical issues while
exploring new creative ways to connect with the consumers. It is recommended that
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marketers should conduct internal review and audit, to ensure that ethical issues are
addressed, so as to maintain the reputation of the advertising industry.
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REFERENCES
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Guilherme D. Pires and P.John Stanton. Ethnic Marketing – Accepting the Challenge of Cultural Diversity, Thomson Learning, First Edition 2005
Jay Conrad Levinson, Jeannie Levinson (2011). Guerrilla Remix Marketing – The Best of Guerrilla Marketing, Entrepreneur Press Jie Chen, 2011. Explore Guerrilla Marketing Potentials for Trade Show, University of Nevada, Las Vegas
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Ries,A. and J. Trout. Marketing Warefare. McGraw-Hill
Singapore Code of Advertising Practice (3rd Edition), Feb 2008
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Susca, M. , Creasy, C. P., Davenport, J. D., Debes, J. A. and Schmidt, E. L. , 2008. "Going Guerilla: Exploring the Relationship Between Media Consumption, Covert Marketing Tactics and Attitude Toward the Ad" Paper presented at the annual meeting of the NCA 94th Annual Convention, San Diego, CA
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ONLINE NEWS REFERENCES
Charlene Fang (14 Oct 2010). CNN Travel. Singapore bear stunt goes awry. Retrieved Apr 15, 2013, from http://travel.cnn.com/singapore/life/bear-709649 Eveline Danubrata (15 Dec 2011). Reuters. Six-pack hunks: more than Singapore can bare? Retrieved Apr 15, 2013, from http://www.reuters.com/assets/print?aid=USTRE7BE0BP20111215 Huang Lijie, Ng Kai Ling & Jessica Lim (29 Dec 2011). The Strait Times Indonesia. Abercrombie & Fitch Advertisement Causes a Stir in Singapore. Retrieved Apr 15, 2013, from http://www.thejakartaglobe.com/home/abercrombie-fitch-advertisement-causes-a-stir-in-singapore/468437 Joy Fang (18 Oct 2010). AsiaOne. Bear stunt: take it with a pinch of salt. Retrieved Apr 15, 2013, from http://www.asiaone.com/print/News/AsiaOne%2BNews/Singapore/Story/A1Story20101018-242794.html Shibani Mahtani (30 Sep 2011). The Wall Street Journal. Abercrombie & Fitch Tests Taste Limits in Singapore. Retrieved Apr 15, 2013, from http://blogs.wsj.com/searealtime/2011/09/30/abercrombie-fitch-tests-taste-limits-in-singapore/tab/print/ undefined. (14 Oct 2010). BBC News Asia Pacific. Philips 'wild bear' stunt sparks Singapore search. Retrieved Apr 15, 2013, from http://www.bbc.co.uk/news/world-asia-pacific-11539338?print=true undefined. (14 Oct 2010). CNN Travel. mrbrown: A close shave for the guy in the bear outfit. Retrieved Apr 15, 2013, http://travel.cnn.com/singapore/life/say-what-mrbrown/mrbrown-bears-all-612678 undefined. (29 Sep 2011). CNN Travel. Abercrombie & Fitch is too sexy for Singapore. Retrieved Apr 15, 2013, from http://travel.cnn.com/singapore/shop/abercrombie-fitch-too-sexy-singapore-833818 Today Digital (9 Dec 2011). Abercrombie and Fitch 'Topless Greeters' on Orchard Road. Retrieved Apr 15, 2013, from http://www.youtube.com/watch?v=E7k6Do-9cFA&feature=channel_video_title Today Digital (15 Dec 2011). Abercrombie & Fitch Opening in Singapore: Indecent, or in heaven? Retrieved Apr 15, 2013, from http://www.youtube.com/watch?v=YN0SPUObYGA TSLA. Vimeo. Bear! Retrieved Apr 15, 2013, from https://vimeo.com/21745514 YouTube (15 Oct 2010). The Mr. Brown Show: Run Bear Bear Run (Music Video) Retrieved Apr 15, 2013, from http://www.youtube.com/watch?v=IElJVO9j4-k YouTube (18 Feb 2012). Abercrombie & Fitch Singapore Store - Opening Day Video (The Main Event) Retrieved Apr 15, 2013, from http://www.youtube.com/watch?v=GU8Ba80nujA&feature=endscreen !