TOKYO: Hakuhodo DY Holdings, an advertising giant created out of the integration of Hakuhodo, Daiko and Yomiko Advertising, is gearing to claim its position as the world's eight largest agency. Hakuhodo Inc. president Toshio Miyagawa will assume the presidency of Hakuhodo DY Holdings in October 2003.

Hakuhodo DY Holdings is also set to challenge Dentsu Inc.'s position as the leading ad agency as its combined operating revenues of more than one trillion yen will be about 70 per cent of Dentsu's total. Miyagawa has gone on record stating that the new behemoth would have both the quality and quantity to compete with Dentsu for domestic market leadership.

Miyagawa also added that a new company will be established to handle television and newspaper advertisements, while the three partners will cooperate in other areas.

The president of what would become the country's second largest ad agency, sees great potential in the middle-aged and elderly market. In 2000, he established an office to promote businesses targeted at older consumers. In the near future, the number of people aged 50 and over will account for more than half of the nation's population, according to him. Miyagawa said such people were very active and he would aspire to change the conventional image of elderly people.