The new agency will be called Yindu Ogilvy. The current chairperson, Li Zhang, will continue in her role but report to TB Song (pictured), chairman of Ogilvy & Mather Greater China.
The move strengthens Ogilvy’s offering in the lower-tier market and in particular in the Yangtze River Delta, a strategically important region that includes Jiangsu, Anhui and Zhejiang provinces. The agency has described these as the “future battlefields for global brands and a hotspot for up-and-coming Chinese brands”.
Song noted that Ogilvy had already been working with Nanjing Yindu for more than five years.
“We know Yindu very well and are confident that this acquisition will bring tremendous benefits, local insights, knowledge and expertise to global clients that are pursuing expansion in this region of China and to Chinese brands looking to spread their wings,” Song said in a statement.
Miles Young, Ogilvy & Mather’s global chief executive and an economic consultant to the Jiangsu Provincial Government, described Nanjing Yindu as “the best local Chinese agency” as a result of “outstanding professionalism” and strategic presence in a fast-developing region.
Zhang said Nanjing Yindu was “thrilled” to be joining the Ogilvy network and that its experience in working with local brands within China and abroad had already contributed to the growth of her agency.
Nanjing Yindu’s client portfolio includes the likes of China Construction Bank, Jiangsu Mobile, Heilan Home, Jiangsu Yanghe Brewery, Nanjing Iveco, MoonHare, Simcere and Longliqi.
The new entity will have a staff of around 250 and will offer media planning and event management in addition to traditional and digital creative strategy. Areas of focus will include the FMCG, pharmaceutical, technology, financial and lifestyle sectors.
The acquisition follows the launch of Apex Ogilvy, a joint-venture with a Chengdu-based agency, last November.
Earlier this month, Ogilvy & Mather was named Campaign Asia-Pacific’s Network of the Year.