MAM
Mobile advertising drives M&C Saatchi growth for 2011
MUMBAI: Even as industry pundits predict that digital and mobile advertising is the mantra for the future, mobile advertising and social media marketing services helped M&C Saatchi to more than double its pre-tax profits last year.
The mobile group has contributed 15-20 per cent of M&C Saatchi’s UK profits, doing work for brands including the O2 arena and Speedo.
Advertising spending on mobile devices leapt by 157 per cent last year to ?203.2m in the UK, according to figures published on Tuesday by the Internet Advertising Bureau and PwC.
Revenues rose 22 per cent to ?153.1m in the year ended 31 December with pre-tax profits jumping from ?7.8 million in 2010 to ?16 million.
The Financial Times quoted M&C Saatchi chief executive David Kershaw as having said: “2012 has started well. We see pretty good growth. We are looking at double-digit earnings growth next year and going into 2013.”
In 2010 M&C Saatchi acquired Inside Mobile, an agency dedicated to creating applications and other forms of smartphone marketing.
Much of M&C Saatchi’s mobile revenues are coming from existing clients. “There’s an inverse relationship between client knowledge and agency margin,” Kershaw told FT. “At the moment, client understanding of mobile is in the foothills, which means there’s a greater dependence on experts. There is not an oversupply of experts yet, which means you get a healthy margin. The next two or three years should be very healthy.”
The agency’s newer international offices in South Africa, the US and Latin America also contributed to the boost as they became profitable.
M&C Saatchi was hit by some big client losses particularly in Australasia but won in other fast-growing areas, such as mobile.
Brands
Axis Bank named Official Banking Partner of DP World PGTI
Partnership supports all tournaments this season to grow professional golf in India.
MUMBAI: Axis Bank just teed up a hole-in-one partnership because when a bank sponsors golf’s biggest swing in India, even the fairways feel more financially secure. Axis Bank has been appointed Official Banking Partner of the DP World Professional Golf Tour of India (DP World PGTI), strengthening its commitment to sporting excellence and community engagement while backing the growth of professional golf across the country.
Under the partnership, Axis Bank will support all DP World PGTI tournaments this season, contributing to talent development, enhanced tournament experiences and wider fan engagement. The collaboration aligns the bank’s values of precision, discipline and trust with the Tour’s focus on performance and opportunity.
Axis Bank executive director Munish Sharda said, “We are pleased to partner with DP World PGTI as its Official Banking Partner. Golf embodies precision, discipline, and a pursuit of excellence qualities that strongly reflect who we are at Axis Bank. This association also strengthens our engagement with India’s growing premium customer segments, where the sport has a deep and enduring connect.”
Professional Golf Tour of India president Kapil Dev said, “We are extremely pleased to welcome Axis Bank as a Tour Partner of the DP World Professional Golf Tour of India. Partnerships of this stature play a vital role in strengthening the foundation of the Tour, enhancing opportunities for our players, and expanding the sport’s reach across the country.”
Professional Golf Tour of India CEO Amandeep Johl added, “Axis Bank’s strong legacy of excellence, innovation, and nationwide reach aligns perfectly with DP World PGTI’s goal to elevate professional golf in India and provide greater opportunities for our players.”
In a sport where every stroke counts and every partnership drives distance, Axis Bank isn’t just backing golfers, it’s investing in the fairway to future, turning India’s greens into a stage where precision meets passion and every drive has the power to inspire.
