Publicis Groupe has acquired Beijing-based Longtuo, a digital
will be part of the Groupe-owned Razorfish network and will
be named Razorfish Longtuo China.
acquisition of Longtuo will give Publicis Groupe more commanding
clout in China's e-Commerce market, which Forrester projects
to be a $94.6 billion business in 2012. eMarketer estimates
the market to grow at more than 92 per cent annually for the
next three years and forecasts China to become the world's
largest e-Commerce marketplace by 2015.
acquisition of Longtuo is another step towards Publicis Groupe's
objective to double its size in the Chinese market between
2010 and 2013. This is part of an overall strategy of strongly
boosting revenue derived from emerging economies and from
the digital sector.
has eCommerce expertise in creative, customer acquisition,
marketing solutions and measurement tools.
This is the fourth agency that the Publicis Groupe has acquired
in china over the past four months, the other three being
UBS (February 2012), King Harvests (March 2012) and Luminous
(March 2012). Since 2010, the Groupe has acquired W&K
(April 2010) G4 (July 2010) Eastwei Relations (November 2010),
Interactive Communications Ltd (February 2011), Dreams (May
2011), Genedigi (June 2011), Wangfan (November 2011), and
Gomye (November 2011).
was founded in 2000 and today it employs 200 people across
its three offices in Beijing, Shanghai and Guangzhou. The
addition of Longtuo will more than double the size of Razorfish
in China, which currently employs 130 people and provides
e-Commerce services to clients such as Converse, Hertz, and
digital marketing firm has on its roster of clients brands
like 360buy, Kohler, Masamaso, Taobao and Yves Rocher. Longtuo
has also done work for Renaulton on a contract basis providing
website development and content management, as well as traffic
measurement and analysis.
Groupe COO and Publicis Groupe China chairman Jean-Yves Naouri
said, "China has the potential to become the world's
largest e-Commerce market very swiftly, outstripping even
the United States. This acquisition means we're now perfectly
positioned to offer our clients first-in-class local expertise.
The Groupe is accelerating our drive to meet our ambitious
targets for growth in China."
CEO and founding partner Su Yi will serve as managing director
of Razorfish Longtuo China, and will report to Razorfish Asia
Pacific president and Razorfish Greater China executive chairman
Longtuo acquisition establishes Razorfish as a Chinese leader
in digital marketing services. By integrating Longtuo with
Razorfish, we are expanding the e-Commerce services we deliver
to our multinational clients, while providing all local and
global marketers a comprehensive offer and proprietary tools
that extend across the entire e-Commerce consumer journey,"
said Razorfish CEO and member of the VivaKi board of directors
alignment of Longtuo and Razorfish in China combines two growing
concerns to create a market leading e-Commerce partner for
a rapidly expanding roster of clients. We are thrilled to
leverage the scale and clout of Publicis Groupe to build a
stronger proposition for our clients," said SU Yi.