Mumbai: Starcom MediaVest Group with estimated billings of at least Rs2,200 crore in India, has launched a project named Jumpstart in an effort to collaborate with and help grow start-ups and small-sized firms in the advertising, marketing and communications space.
One of the first firms it has signed a memorandum of understanding (MoU) with is Milestone Brandcom, an out-of-home (OOH) media specialist set up by the former president of OgilvyAction Nabendu Bhattacharya. Under the arrangement, Starcom MediaVest and Milestone Brandcom will work together in the OOH media and ambient marketing space.
Larger cause: Starcom MediaVest South Asia CEO Ravi Kiran says Jumpstart is an attempt to get the best talent to work for its clients. Ashesh Shah / Mint
They will collaborate in customization and application of international tools and best practices, import of new OOH display and production technologies, development and licensing of ideas and near-real time monitoring and tracking systems.
Starcom MediaVest South Asia chief executive officer Ravi Kiran said: “After an uncharacteristically lacklustre year, the out-of-home industry is on the verge of a major rebound and we believe this is the best time to take new steps and forge new alliances.”
He added that several young and ambitious people want to be entrepreneurs and Jumpstart is an attempt on the group’s part to get the best talent to work for its clients.
Kiran didn’t rule out the possibility of Milestone Brandcom buying OOH media in collaboration with Starcom MediaVest in the future. Currently, Navia Asia manages the OOH needs of Starcom MediaVest brands in India. Kiran added that alliances with firms under the aegis of Jumpstart would be collaborative in nature without any financial investment.
According to a report released by audit and consulting firm KPMG, the out of home business has grown at a compound annual growth rate of 17.3% in the last three years, and is estimated to have reached Rs 1600 crore in size in 2008, a growth of 14% over 2007. It is projected to grow at a compounded rate of 12.8% over the next five years and reach a size of around Rs2,930 crore by 2013.