MUMBAI: Indian bred multinational digital agency Gozoop, which recently expanded its global presence by setting up operations in Singapore, has announced the acquisition of Red Digital, one of India's leading social media agencies. With this business acquisition, clients and employees of Red Digital will be consolidated under the Gozoop brand, thus revitalising the latter's Indian operations.
The acquisition is in line with Gozoop's strategy of increasing the revenue contribution from its Indian operations. Over the past few years, Red Digital has worked for several marquee brands such as Mumbai Indians, Dell, PepsiCo, BMW, Parker Pens, Adidas, PVR, Godrej, Berger Paints, Reliance Foundation, Educomp, Citibank, ICC and Discovery Channel.
The acquisition of Red Digital will play a pivotal role in Gozoop's global expansion in terms of operations and client portfolio. With Red Digital's rich client base and strong presence in five key cities in India, and Gozoop's international exposure and clientele, the combination will enhance Gozoop's global presence and cost efficiencies.
Currently, 65 per cent of Gozoop's revenue is attributed to its international operations in UAE & Singapore. Post the acquisition and with a total of 65+ retainer clients, Gozoop aims to double its Indian revenue in the next financial year. Gozoop's domestic operations will now contribute close to 50 per cent of revenues, an increase of 50 per cent from earlier. The acquisition will also increase the employee strength of the company to about 100 members, making Gozoop one of India's largest digital agencies in terms of employee strength as well.
Commenting on acquiring Red Digital MD India Ahmed Naqvi and co-founder of Gozoop said, "Gozoop has always aspired to be a market leading digital agency and this deal will exponentially accelerate our ability to realise that ambition by giving us access to newer geographies across India. Red Digital's world-class brands & top talent, together with Gozoop's end-end digital service offerings & social products like Zozolo, will help move our collective clients and the industry forward. We expect further consolidation in our industry and look forward to acquiring digital agencies to fuel our growth in India as well as to enter international markets like USA, Australia & Qatar."
