Digitas Keeps Growing As Publicis Pulls In A China Shop

Further expanding its digital footprint worldwide, Publicis Groupe announced plans to acquire Communication Central Group, China's largest independent interactive marketing agency, for an undisclosed sum. Upon closing, the privately owned CCG will be rebranded Digitas Greater China.

With 200 employees in Shanghai, Hong Kong, Beijing and Shenzhen, CCG serves as a full-service agency with expertise spanning from creative to technology integration.

Digitas--which Publicis bought earlier this year for $1.3 billion--will also be launching Prodigious Greater China, which extends the geographic borders of the first-in-market, stand-alone production company focused on pairing innovation in technology and execution.

Under the new structure, CCG CEO and founder Neil Runcieman will become president and managing director of Digitas Greater China. David Kenny, Chairman and CEO of Digitas, is now charged with the global expansion of the Digitas agency brand, and is also a member of the executive committee of Publicis Groupe, where he leads the Groupe's overall digital and interactive strategy.

"Digitas and CCG have worked together for the past several years, and have found an excellent match in corporate cultures," said Kenny. "This step is a dramatic footprint for Digitas in Asia."

Digitas Greater China will continue to service all of CCG's existing clients--including Philips, Unilever, Bank of China (Hong Kong), Intel, HSBC Investments, Hang Seng Bank, Hongkong Land, China Eastern Airlines (Shanghai), Nippon Paint, and Hitachi Global Storage Technologies--as well as Digitas clients with footprints in China.

The agency's move into China continues its global expansion.

In June, Publicis announced plans to buy a 49% stake in French digital shop Business Interactif for $182 million. Business Interactif, which has about 270 employees, operates in three areas: search engine optimization, email marketing, and a core agency business with lots of luxury products.

"This move brings Digitas one step closer to delivering our promise to clients of having best-in-class digital capabilities around the world," Kenny said. "The multinational client base suits Digitas' strategy to build the first truly global interactive agency network."

Earlier this year, Kenny said he expected Digitas to grow by 40% to 50% in the next two years, and was expecting to open offices within the next 18 months in the top eight to 10 markets worldwide through organic growth and acquisition.

To accelerate this effort, Digitas recently snagged Unilever's vice president of global media Alan Rutherford to be CEO of Digitas Global, a new division charged with leading the agency's expansion into new markets worldwide.

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