In a bid to win fledgling new media marketshare in Korea, J.Walter
Thompson has joined forces with Korean venture capitalist, Korean
Technology Banking Corp (KTB), creating a "multi-purpose digital
agency", Thompson Digital KTB.
Taking what JWT Asia-Pacific chief operating officer Kevin Ramsey termed
"a massive move into the digital arena" the new set-ups sees JWT
controlling the day-to-day running of Thompson Digital, whilst retaining
a 51 per cent slice of the share pie.
KTB will, meanwhile, retain the 49 per cent minority stake.
Mr Ramsey told CReATION that JWT was currently "putting its foot on the
accelerator" and spending "a considerable amount of money across the
region" to address opportunities in new media.
"Clearly in the communications business, if you want to be at the front
right now, you have to be at the front in terms of digital
capability".
"If you look at the old economy and marketing in the old economy, brand
advertising is the bit at the end of the equation - with new economy
businesses, the branding and communication comes a hell of a lot higher
up the food chain," he said.
With KTB holding assets in more than 20 per cent of Korea's tech-stock
exchange, the Kosdaq, he said the firm had already bought some "very
significant assignments to the (agency's) business".
"They came in with a commitment to bring assignments to the agency and
have done so already".
Boasting its best ever regional performance during '99 - JWT's billings
pushed HK$944.63 million for Hong Kong alone - the Korean JV
comes off the back of a similar union between JWT's Australian arm and
UK Web shop Deep End.
The resulting digital shop, Chlorine, opened its doors in Australia in
April.
Signalling the need for Internet start-ups globally to "sort their
branding out", Mr Ramsey told CReATION that the JWT-KTB union went
"beyond Korea".
"It's really a marriage of branding and communications experts and
Thompson is recognised for that globally," he said.
Besides setting up the agency as a separate entity from its parent,
Thompson Digital will have the full range of (agency) services and an
accent on building new economy brands in mass media.
JWT Korea MD Mr Dong Wook Kim also takes the helm at Thompson Digital;
however, Mr Ramsey said that besides the established core of staffers
already in place, the agency was looking for new blood.
"The nature of our business is changing completely and the consumer is
going to drive it far more," he said, adding.
"We're going to have to deliver against consumer needs rather than
creative people's desire to be shooting in some exotic location, or
being able to say they got Oliver Stone to direct a commercial for
them."
