IPG Mediabrands has acquired specialist mobile communications business, Mnet Mobile, to capitalise on mushrooming mobile advertising revenue.
The takeover of the mobile business – which has offices in Sydney, Melbourne, Brisbane, Adelaide and Los Angeles – is effective from today.
Mobile has changed the media landscape, locally and globally, faster than any other digital channel, according to Henry Tajer (pictured, executive chairman of IPG Mediabrands Australia.
“The dynamics of consumers’ paths-to-purchase will change significantly in the near future and Mnet will have a central role in how our clients gain advantages within these new dynamics,” Tajer said.
Worldwide mobile advertising revenue is forecast to increase by 16% to $11bn this year, according to a recent Gartner report, which expects mobile ad revenue to hit $24bn by 2016.
Bob Humphreys, chief executive of Mnet, said mobile innovation is critical to “future facing” businesses.
“We are excited to become part of IPG Mediabrands as we see great opportunities to grow and evolve through the group’s ownership and integration,” Humphreys said.
“Our capabilities complement the existing businesses within the group and their integration model ensures we will add value to existing and new clients.”
Mnet was founded in 2001 and now has 40 employees across its five offices.