Global professional services company Accenture has purchased Shanghai-based digital marketing agency HO Communication in an apparent bid to provide digital transformation services in mainland China.
HO Communication has offices in the major Chinese cities of Beijing, Chengdu, and Nanjing. The company employs around 200 people and claims to be serving both local and multinational clients, according to Accenture’s press release.
Financial details of the deal, which was announced in May and completed this week, have not been disclosed yet.
“HO Communication provides a complete set of capabilities for our clients as we help them harness the creativity of a digital marketing agency, the insights of a business consultancy, and the strength of a technology powerhouse,” stated Jason Chau, Managing Director at Accenture Interactive in China.
Although technology services are in high demand in China, foreign providers rarely win contracts from local businesses. However, China’s growing wealth has long been a lure for western companies to expand operations.
This is Accenture’s fifth acquisition in Greater China in recent years. Its previous acquisitions include Fjord, a global design and innovation consultancy; PacificLink, an independent set of digital agencies in Hong Kong; Altima, a digital commerce agency; and Mackevision, a producer of CGI and immersive content.
“Chinese companies are already leading the way in the digital frontier – witness China’s dominant position in the digital consumer market,” said Wei Zhu, Chairman at Accenture, Greater China.
“To stay in front, companies need to continuously evolve and embrace omnichannel customer engagement capabilities, which are where HO Communication can help.”