JWT Acquires Magnivate Group Through XM Asia

XM Asia Pacific Pte Ltd announced that it has acquired PT Magnivate Group, one of Indonesia’s most successful (if not the most successful) digital and social media marketing agencies. This move will help extend XM’s reach to one of the largest advertising market in Asia.

Magnivate, which will be renamed as XM Gravity, will still be led by the CEO and founding partner Kevin Mintaraga. With around 100 people employed by XM Gravity, they are going to maintain their market leadership with global and local clients such as Danone, Unilever, Frisian Flag, Samsung, and Indofood. Founded in 2008, they have reached a total of 3 million brand fans today. Kevin Mintaraga commented on the deal:

This is the opportunity for our people/talent to have regional exposure and to support XM Asia regional expansion plan. In the near future, XM Indonesia office will take on an important role in XM’s regional growth plan, especially in social media marketing space.

According to Kevin, the average growth rate of digital advertising businesses in Indonesia during the last four years is around 90 to 100 percent per year, with digital advertising taking a 3 to 4 percent chunk of all Indonesia advertising expenditure. The estimated size of Indonesia total advertising expenditure in 2012 will be 9 to 10 billion USD, which will only bodes well for both XM Asia and XM Gravity.

Kevin Mintaraga also added his comment about his “exit” for the company he founded:

I am grateful to fulfill one of my career goals, but more importantly to have achieved this with partners and a team who always go an extra mile together. It’s simply a priceless life experience. I don’t have any specific advice from my experience, but one thing I realized that it takes passion and a dream to step on the first stone — but it takes commitment and attitude to finish the race.