Rediffusion Y&R expecting 30 per cent growth

Rediffusion Y&R, an advertising and marketing agency with clients like Bharti Airtel, Tata Steel and TataSky, is expecting a 30 per cent growth.


This growth, in the face of the overall market slowdown, is due to its new client accounts. It is also planning to introduce new services in the digital space.
 
The Group CEO of Rediffusion Y&R, Mahesh Chauha, stated, “We will soon announce our new services in the digital space. This would include outdoor, mobile and all other advertising platforms. The new arm should be up and running in another three months. Currently we are hiring a lot of people for the new service.”

Currently, the digital advertising space is pegged at Rs 400 crore. It is growing at 40 per cent which is more than all other media since the base is comparatively small.
 
Rediffusion is one of the top 10 communications agencies in India, providing its clients with services like marketing, media and creative solutions.
 
Chauhan explained, “The advertising industry is not likely to be affected by overall industry and market slowdown simply because there are too many mediums. Although shifts may happen from television advertising to cheaper medium like radio or even digital, the advertising industry will continue to grow at around 12 per cent year on year.”

Analysts have reported that FMCG, DTH and Telecom, have not seen any decrease in budgets, although realty and the BFSI sectors have cut their budgets by 30-40 per cent, and durables by 10-15 per cent. In Chauhan’s words, “Although a few sectors may advertise less, like real estate and finance, most of our clients are in the FMCG, IT, telecom space, which will remain stable.”

Rediffusion is also expanding its offices in India. Its recently opened office in Kolkata has attracted clients like ITC Limited for its personal care business, real estate company Shrachi, retail company Spencer’s and Eveready.

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