While Saatchis China representatives declined to comment, it is thought that Publicis Groupe will take a majority in the JV, which will operate as a separate agency to Saatchis and Energy Source. “It will mainly look at interactive creative, integration and CRM,” said a source. “Publicis Groupe already has Digitas for production, so this will complement that.”
Energy Source is thought to be China’s biggest independent digital agency, with more than 250 staffers at its Shanghai base. In particular, one of its key clients is Volkswagen, which is also one of Saatchis China’s longest-running relationships.
Another source familiar with the deal pointed out that the structure is likely to prove increasingly popular with holding companies, given the spiralling costs of digital agencies in China. “Energy Source is big and very expensive,” said the source. “This will be a better way to do it.”
