Sao paulo: Ogilvy & Mather Brazil announces its acquisitionof a 70% stake of Foster, a digital production agency. Founded in 1994 and headquartered in Sao Paulo, Foster currently relies on 60 professionals serving clients such as Bayer, Danone, Goodyear, Hospital Sírio-Libanês, Marfrig, Merial, among others. The agency vows to keep its independence and activities under the Foster brand. “The acquisition of a digital agency operating in the dynamic and competitive Brazilian market is central to WPP Group’s strategic expansion into this region, especially into countries in full growth, such as Brazil,” says WPP.
To Sérgio Amado, president of Ogilvy Group Brazil, the acquisition is a further step of the company towards digital advancement. “We have been investing in this field for years, which turned Ogilvy into one of the leading agencies in the digital market in our country,” remarks the executive. “Belonging to the greatest communication group in the world is an important step towards the future of our company, promoting advanced training to its professionals, continual improvement of services to our clients, and expansion of the Foster model into all Latin America,” says the founder of the agency, Elaine Coimbra.
This acquisition of a digital agency in the dynamic Brazilian market is central to WPP’s overall strategy of expanding its capabilities in the digital, direct and interactive disciplines and strengthening its presence in faster-growing markets. WPP’s digital revenues currently total around US$ 4.8 billion, representing over 30% of the Group’s total revenue of US$16 billion. WPP has set a target of 35-40% of revenue derived from digital in the next five years. Collectively the Group employs over 5,000 people (including associates) in Brazil, WPP’s eighth-largest market, generating revenues of US$ 800 million.