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TapRoot & Dentsu will compete & collaborate

29-August-2012
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TapRoot & Dentsu will compete & collaborate

Amidst the list of suitors that were in conversation with Agnello Dias and Santosh Padhi, better known as Aggi and Paddy, to acquire the creative independent, the duo’s final vote went to Tokyo-based Dentsu Inc.

In conversation with exchange4media, Dias explained that from a TapRoot viewpoint, Dentsu was a great fit because of a similar thought process towards offer to clients and work culture. Dias said, “We believe that Dentsu is on the same page as us when it comes to what we offer to clients in terms of delivery and scale of operations. At a more human level, we thought there was a good vibe between us and the Dentsu Inc team. We had a very comfortable equation through the course of the conversation and by the end, it was clear that Dentsu was the ideal company for us to partner with.”

While media reports have been guesstimating various considerations as to the value of the deal, Dias dismissed them as wildly exaggerated speculation and nowhere close to the truth.

Road ahead: Growth maintained
According to the deal, the management of TapRoot would be the same, the independence of the company and the day-to-day operations also would not see any changes due to this decision. Nonetheless, Dias believes that for the TapRoot team, the development brings unprecedented opportunities of greater exposure to domains such as digital that Dentsu commands significant expertise in. They will also get a chance to collaborate and work with international colleagues.

From an agency point of view, however, Dias believes that the immediate road ahead would continue to be TapRoot maintaining the year-on-year growth it is witnessing. “As part of the continued independence,  we will grow operations at our steam and the momentum the agency has been seeing would be maintained. The Dentsu growth impetus will come as and when it has to but we don’t see any need to irrationally expand our operations for any reason,” said Dias.

Collaborate and compete
While TapRoot’s dealing is directly with Dentsu Inc, the development will see a relation between TapRoot India and Dentsu India operations. For now, there is no formal agreement on how the two companies would collaborate in India, given that TapRoot will maintain its independence but according to Dias there can be various opportunities where required. He said, “Most of the Dentsu groups operate independently and even for us there is no commitment or formal arrangement of working on Dentsu brands at the moment. If something would happen over a period of time, it would be on a case-to-case basis.

Can we expect TapRoot to compete against Dentsu in pitches? “Possible,” said Dias. And can the two be expected to collaborate for a pitch? "Not impossible,” replied Dias.

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