Zenith Gets Some Moxie -- Actually, All Of It: Deal Fuels Digital Expansion

In a bid to expand its digital media capabilities beyond its core media planning and buying services, Zenith Media has acquired Moxie Interactive, a full-service interactive agency that will become an integral part of Zenith's operations. The move, which triples Zenith's digital media organization to 155 people, also propels the media shop into some uncharted territory, including creative services. It also puts Zenith on a more equal digital footing with sister Publicis network Starcom MediaVest Group, giving it comparable capabilities to its Starcom IP unit.

Publicis, meanwhile, now is in a position to rival the digital market positions of Omnicom, WPP Group, and Aegis Group--all of which have invested heavily in growing or acquiring interactive agencies.

The acquisition of Moxie--a highly regarded Atlanta-based interactive shop with a strong creative reputation--is also a major victory for Tim Jones, who made Zenith's digital expansion his key goal when he took over the helm of its U.S. operations a year ago following the departure of Rich Hamilton.

"I don't know where this would put us, in terms of market share, but it is substantial," boasts Jones, adding: "It's a transformational deal."

It also couldn't have been a better-timed deal. The acquisition comes as Zenith was expanding its homegrown digital operations, which are headquartered in its San Francisco offices under Andy Sims--who joined Zenith as director of interactive services after running SF Interactive, and serving as a partner of its parent shop Butler, Shine, Stern & Partners. But Zenith's digital nexus will shift to Atlanta, where it will report up to Moxie Founder-CEO Kris Zagoria. While the plan is for Moxie to continue operating with its own identity and as a separate organization, it will simultaneously integrate with all of Zenith's digital media units nationwide.

Under Zagoria's management, Zenith plans to expand more rapidly into new media platforms including PC-based, mobile, online, digital out-of-home media, and interactive TV.

"It's not just about online planning and buying, but about having a unique capability in search engine marketing, viral marketing, email marketing, and having a much more sophisticated solution that is wedded to technology," says Jones, noting that the focus of those strategies may be just as much on branding as it is on direct response and CRM-based campaigns.

"It's about using all four screens," he says, "TV, the PC, mobile and out-of-home marketing."

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