The Rs 23,000-crore Indian advertising industry appears to be in for some exciting times. If last year agencies were cautious, choosing to scale down their plans, this year it is quite the opposite.
In the past month, at least four agencies — Mudra, Publicis, Dentsu and Madison — have decided to expand their horizons by either launching new entities (such as Dentsu, which launched its fourth full-service agency) or entering into new partnerships (such as Madison, which partnered the UK-based creative hot shop, BMB) or refurbishing or consolidating existing arms. Much of this activity is on the back of increased consumer and advertiser spending, say experts.
By some estimates, the ad industry is slated to grow by 10-12 per cent this year. Last year, the growth was two-three per cent, they say.
So, agency honchos are optimistic about prospects this year. Take Mudra, for instance. The Anil-Ambani-controlled agency has gone in for a new look, replacing the roundel that surrounded the symbol of the hands with a brush stroke. “This is the 30th year of our existence,” says Madhukar Kamath, managing director and chief executive officer, Mudra Group. “What better occasion to launch a new brand identity that allows us to move into the future with a new perspective.”
The Mudra Group, he says, is now positioned as a marketing services communication firm, with four distinct entities. “Mudra India is a branding and communications agency; DDB Mudra is an influence and behaviour change agency; Mudra MAX an integrated engagementand& experience marketing firm and Ignite Mudra is a partnership for entrepreneurs,” he says. Each unit, Kamath says, has a symbol denoting it. “The quote mark is a symbol of conversation for Mudra India; the degree symbol denotes influence for DDB Mudra; the forward mark symbolises maximal impact for Mudra MAX; and the ‘on’ button symbolises a spark of ideas for Ignite Mudra.”
Adding: “I am bullish about the advertising industry, and what it can do for agencies. I think the signs are all there.”
This optimism is shared by Nakul Chopra, chief executive officer, Publicis, South Asia. “I won’t classify it as unbridled optimism,” Chopra says. “The growth is back, yes, but there is an undertone of caution to it. Advertising agencies are asking, How much can I accelerate my rate of growth? Which is a good sign.”
