It has acquired a majority share in the SA mobile marketing company, Strike Media, a full service mobile marketing company with technology capabilities that enable it to stretch from customised mobile campaigns and added value mobile services to mobile payment and mobile business and integration solutions. Strike is currently engaged in providing mobile consulting to some of the country's best-known brands and organisations.
Strike CEO, Russel Stromin, who is one of South Africa's leading IT pioneers and chairman of the Code of Conduct Committee at WASPA, the mobile services industry regulator, describes O&M SA as an ideal partner. "Mobile needs to be integrated into the full marketing mix at many points along the customer journey and the company has a class leading approach to integrated marketing and understands the potential for mobile to truly transform marketing. Mobile has the power to revolutionise clients' business and brands as it is playing a significant role in enhancing customer experience."
Abey Mokgwatsane, the CEO of O&M SA, described the investment as another step forward in the rapid digital transformation that the company has embarked upon. "This is a quality technology and mobile marketing company that gives us access to new ways to connect with consumers in the always-on world of mobile. Mobile represents the most intimate medium. It is with our consumers every waking moment and in Africa and South Africa, it is a priority medium for us to develop."
By the end of 2013, mobile is estimated to top 25% of internet traffic. Since 2000, Africa's mobile market attained an annual growth rate of 44% and mobile connections surged to 475-million, according to a report by GSM Association.
"The timing of this acquisition is even more pertinent given the fact that we are announcing the partnership while actively participating in the 2013 Mobile World Congress," states Miles Young, worldwide chairman and CEO Ogilvy & Mather. "Unlimited connectivity is the next state of progression and regions like Africa and Asia are core drivers in this evolution. Consumers are naturally adopting the phone as their primary means for communication. Welcoming Strike Media to the Ogilvy & Mather family is further proof of our commitment to growth in the evolving mobile marketing space."
The acquisition comes shortly after O&M South Africa's launch of OgilvyOne Worldwide, the world's leading customer engagement and digital agency. This, together with Ogilvy's Neo initiative in the search and performance marketing space as well as its investments in Social@Ogilvy represent a significant advance in digital marketing capability.
Strike will continue to operate as a separate company but will form part of the global Mobile@Ogilvy practice. Martin Lange, executive marketing director of Digital Strategy and global head of Mobile@Ogilvy, describes the acquisition as a momentous shift for Ogilvy's mobile ambitions in Africa. "Mobile is the medium that will galvanise African marketing. It is wonderful to be in partnership at this exciting time."
