JWT’s XM Asia acquires Indonesia’s leading digital ad agency
14 March 2012
SINGAPORE, MARCH 12, 2012 — XM Asia Pacific Pte Ltd has acquired PT. Magnivate Group, Indonesia’s leading digital and social media marketing agency, a move that will extend XM’s reach into one of Asia’s largest and most dynamic advertising markets.
Magnivate, which will be renamed XM Gravity, has developed internet, mobile and social media campaigns for a notable roster of global and local clients, including Danone, Unilever, Frisian Flag, Samsung and Indofood. The company was started in 2008, and currently manages over 3 million brand fans for its clients on Facebook and Twitter.
Magnivate’s unaudited revenues for the year ended December 31, 2011 were approximately IDR 16 billion. The company’s founding partner, Kevin Mintaraga, will remain on as CEO.
“This acquisition will give XM Asia a big-bang entry into one of the world’s most important growth markets,” said Paul Soon, CEO of XM Asia Pacific. “Magnivate is by far the most recognized and sought-after partner to work with in Indonesia. We are thrilled to join forces with Kevin and his team.
XM Asia is headquartered in Singapore, where it is one of the largest digital ad agencies, and also has operations in Malaysia. XM Asia plans to leverage its strength and extend its reach across Asia. The acquisition of Magnivate, which was done through a JWT subsidiary, is an important part of that regional expansion plan.
Soon will work closely with Mintaraga to further strengthen Magnivate’s consumer experience, marketing technology and analytics offerings, and move the company’s already-impressive suite of social media marketing solutions up the curve. Magnivate also has a digital public relations practice, which helps brands track, engage and respond to consumer comments on social media, and a digital media buying business.
“We’ve worked on several projects with XM and have a strong working relationship with Paul. I see this tie up as an opportunity to combine our expertise and grow our market leadership across all areas of our business,” said Mintaraga.
Indonesia is one of the largest social media markets in the world, and is Facebook’s third largest market, after the U.S. and India. While PC ownership is still in the growth phase, millions of Indonesians use their mobile phones to access social media sites. The penetration rate of both mobile phones and 3G in Indonesia is extremely high, and outstrips both China and India. Indonesia is also one of the fastest-growing advertising markets. The country will be the fifth largest contributor of new advertising expenditure in the world this year, according to MindShare.
“This deal gives JWT and XM an important foothold in one of the most exciting segments of one of the most important advertising markets in the world,” said Michael Maedel, President of JWT Asia Pacific. “Digital is a big priority for us. We will continue to build out XM Asia’s reach and presence across Asia over the coming months.”
Born in 1995, XM Asia (www.xm-asia.com) is one of Asia’s first and largest digital agencies. XM has created effective, innovative and award-winning strategies for companies across Southeast Asia for over 16 years, and continues to serve as a pioneer in the digital marketing space.
The agency’s mantra is to deliver optimized digital experiences and strategies that enable their clients to build deeper consumer conversations with maximum ROI.
To accomplish this, XM delivers a full range of proven digital marketing and technology consulting services. These range from business intelligence to platform development, consumer insights to user experience, rich internet application development to social media management, as well as data analytics and channel optimization.
XM clients across the region include Ford, MasterCard, HP, Economic Development Board of Singapore and the Singapore Tourism Board. XM Asia is Adobe’s first and only business partner in Asia.
XM Asia is a JWT company, and part of the WPP group.
About JWT APAC
JWT opened their first offices in Asia Pacific in 1929. JWT APAC, headquartered in Singapore, has more than 3,000 employees spread across 18 countries.
Not only are we recognized as one of the largest and most experienced agencies in APAC, but also one of the most creative. In 2011, we captured Mainland China’s first Cannes Grand Prix Lion and first Grand LIA at the London International Awards. We were also named the number 3 Network Agency of the Year at Spikes Asia. Our long history of firsts continues with Lo Sheung Yan, China Chairman and Northeast Asia ECD, being appointed as Cannes Lions first ever Jury President from China.
In addition to working with JWT’s prestigious multinational clients, JWT APAC works with some of Asia’s largest brands including Haier, Indosat, Bharti Airtel and Korea Ginseng & Tobacco.
JWT is the world’s best-known marketing communications brand. Headquartered in New York, JWT is a true global network with more than 200 offices in over 90 countries employing nearly 10,000 marketing professionals.
JWT consistently ranks among the top agency networks in the world and continues its dominant presence in the industry by staying on the leading edge—from producing the first-ever TV commercial in 1939 to developing award-winning branded content for brands such as Smirnoff, Macy’s, Ford and HSBC.
JWT’s pioneering spirit enables the agency to forge deep relationships with clients including Bayer, Bloomberg, Cadbury, Diageo, DTC, Ford, HSBC, Johnson & Johnson, Kellogg’s, Kimberly-Clark, Kraft, Nestlé, Nokia, Rolex, Royal Caribbean, Schick, Shell, Unilever, Vodafone and many others. JWT’s parent company is WPP (NASDAQ: WPPGY).
Asia Pacific Director of Corporate Communications