African Firms in Joint Venture

Kenya-based marketing firm Scangroup Limited and South Africa's Smollan Group have launched a joint venture to serve the East Africa region of Kenya, Uganda, Tanzania, Rwanda and Burundi.

Smollan East Africa Limited will offer field marketing services, market intelligence and brand activation, from a head office in Nairobi, reports www.capitalfm.co.ke .

Marketing services giant WPP is Scangroup's largest shareholder with 27.5%, and also bought a 33% stake in the Smollan Group in 2008.

Johannesburg-based Smollan is a diversified marketing services company founded in 1931 by rugby Springbok Fred Smollan, and with established offices in South Africa, Botswana, Namibia, India, China and Malaysia. Scangroup, with offices in Kenya, Uganda and Tanzania, formed a joint venture with Millward Brown in October 2007.

Scangroup CEO Bharat Thakrar says the latest deal will give his firm's multinational clients 'an opportunity to outsource their field marketing services in the region to ensure adequate stock levels in all retail outlets and supermarkets.'

Doug Smollan, Chairman and Chief Executive of the Smollan Group says Scangroup's 'unrivalled portfolio of client relationships in East Africa' provides 'a very strong base from which to develop and grow this company.'

Nairobi has proved attractive to global research brands in their plans to open up potential markets in Africa. A year ago US public opinion polling firm Gallup opened an office there, led by Regional Research Director for Sub-Saharan Africa Bob Tortora; while Aegis bought Kenya's Steadman Group in July 2008 to boost Synovate's African operation.

Web sites: www.scangroup.biz and www.smollan.co.za .

All articles 2006-23 written and edited by Mel Crowther and/or Nick Thomas, 2024- by Nick Thomas, unless otherwise stated.