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Leo Burnett India doubles revenues in 2 yrs; growth pegged at 25 pc

16-September-2011
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Leo Burnett India doubles revenues in 2 yrs; growth pegged at 25 pc

Leo Burnett is bullish on its performance in India. Along with acquiring new businesses, the agency has retained most of its businesses in the current financial year making the revenues from Indian operations double in less than 2 years. The agency is seeing a 25% growth this year in India as compared to its 12% growth otherwise in the Asia pacific region. Gaining a foothold in the activation business through strong play by Arc Worldwide, the agency is on the verge of acquiring a digital agency in India and also plans to invest in a shopper marketing specialist agency here, later this year or beginning of 2012.

The Leadership team from Leo Burnett comprising of Mark Tutssel, Global Chief Creative Officer, Leo Burnett Worldwide and Jarek Ziebinski, President, Asia Pacific was in Delhi for the IPC (Internal Product Committee) to review campaigns from various offices in India scoring the work based on humankind scale. Elated with the performance of the agency this year, Jarek said “We have seen a 25% growth and just 0.5% business loss. That means we have grown with every new business added, without anything going away from our hands, literally. Our growth is divided equally between organic and inorganic in terms of growing business with the existing clients and acquiring the new ones. It is heartening to know that we have increased business with our existing clients which confirm their faith in us.”

The next set of growth however will be from two main focus areas of Leo Burnett currently – Digital and Shopper marketing. Citing a reason for the same, Jarek added “While the advertising spends on traditional media are growing at a rate of 5%, for digital they are growing at 25%. Who wouldn’t want to invest in an area which is growing 5 times as compared to others? Shopper marketing too is gaining strong momentum in India. Clients want to invest more and more in the last point of sales. And we would like to have strong presence there too. We are about to finalize our digital agency and a decision on shopper marketing partnership should be taken by end of this year or early next year. These would be strategic partnerships and we are looking at players who have strong presence and expertise in these domains.” He also mentioned that half of the business for Leo Burnett will come from areas of digital, activation and shopper marketing in the next 3-4 years.

Alongside building capacities by acquisitions, Leo Burnett is also strengthening its team force rapidly. The agency has added 500 new resources in the last 20 months, informed Jarek.

As the Indian economy grows multi-fold in every sphere of business, for Jarek, Financial Services, Retail, Telecom, Automobile and FMCG are the areas of focus. “If an agency is strong with clients in these categories, that’s the best place to be in for any agency,” he concluded.
 

Tags Leo Burnett India Jarek Ziebinski Deepika Bhardwaj

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