Dentsu Group launches DEEP, subsidiary in Russia to drive Eurasia business connections
Jul 28, 2020
- IR-Voluntary Disclosure
Dentsu Group Inc. (Tokyo: 4324; ISIN: JP3551520004; President & CEO: Toshihiro Yamamoto; Head Office: Tokyo; Capital: 74,609.81 million yen) announced today that it has established a new subsidiary in Russia: Dentsu Entertainment Eurasian Partners (hereinafter “DEEP”) to explore opportunities beyond marketing services. DEEP was created as a joint venture between Dentsu Group Inc. and OKS Group with Michael Voschinsky, currently an OKS Group partner, joining the new company as CEO to lead its development.
Through the combination of Dentsu Group’s global reach and the market-specific expertise and professional network of OKS Group, DEEP is well positioned as a partner for any Japanese-Russian business connections and cultural exchange. DEEP aims to develop new market solutions & smart technologies for established industries or ecosystems in Eurasia.
In the first phase of its development in 2020, DEEP will focus on exploring opportunities in Content, Entertainment and B2B Tech segments (primarily retail and trade) that, gained momentum in the context of COVID-19’s economic impact and are showing double-digit growth. Content will be primarily centered around adaptation and monetization streams; Entertainment technologies will bring new experiences for viewers; B2B Tech includes smart solutions for across the whole chain of consumer experience in trade, e-commerce, and marketplace.
Russian platforms’ demand for diverse and relevant content is expected to continue to grow. In 2019 the OTT platforms reached 61% of the online video market and recent viewing figures have shown continued growth due to changing media consumption patterns. Dentsu Group has longstanding relationships with Japanese intellectual property owners, is the leading producer of Japanese animation, and is engaged in artists development and film producing which helps to meet market expectations in the field.
As part of business development, DEEP is aiming to create partnerships with market leaders supporting industry ecosystems or building their own. The first such partnership with Skolkovo Ventures under B2B Sales Tech umbrella will be announced shortly.
Kazuyasu Suzuki, business co-creation producer of Dentsu Group Inc., commented on the new launch:
As an international group, Dentsu nurtures diversity, which we intend to bring to life with our new subsidiary. Together with DEEP we plan to extend the ecosystem of Dentsu Group in Russia beyond the marketing services offered by Dentsu Aegis Network.
With 880 Group companies outside of Japan, we constantly seek to expand business domains and launch new assets and services that will bring best practice to markets globally. Our corporate venture capital fund – Dentsu Ventures – also enables us to invest in businesses with high potential for innovation both in Japan and abroad. We’re also interested in bringing content production and rights management in the Russian market to the next level.
Overall, it is important to create value in this ever-changing environment. That’s why we believe that DEEP is perfectly positioned to leverage the diverse capabilities of the Japanese parent group and OKS Group’s connections to the benefit of Eurasian businesses.
Mark Hannye, CEO and Managing Partner, OKS Group, said:
We highly value our partnership with Dentsu Group, a very diverse global business. OKS Group has always been interested in investments that bring value to the market and complement our portfolio, which is mainly centered around media and tech. Now it’s the next step for our portfolio’s development and the ambition of DEEP goes far beyond these fields. Working alongside with Michael Voschinsky on the OKS Group Board, I truly believe that his extensive experience in management, investment and Board Member roles in tech and marketing businesses is the best fit for DEEP.
Michael Voschinsky, CEO and Project Lead, DEEP, shared his vision:
We have the privilege to introduce Dentsu Group to Russia and to become the first market entry point for any kind of Tokyo HQ businesses outside of advertising service. DEEP is designed to become a connector, business developer and investor which is capable to support, bring to the market, or sometimes create business solutions that are demanded and relevant to the particular industries.
At DEEP, we would like to be an advocate of ‘test & learn’ approach and to connect mature market experts around focused business projects. The top-level professional network and investment resources that we can reach through Dentsu Group and OKS Group, our investment syndicates and external partnerships, make DEEP a multipurpose platform for every business objective. All these factors provide the agility needed to perform at a fast pace and pilot the most promising ideas at a reduced time-to-market.
- Dentsu Entertainment Eurasia Partners (DEEP) is a subsidiary of Dentsu Group Inc. in Russia established as a joint venture with OKS Group, Russian private investment fund.
- DEEP mission is to contribute to business relations via development and cultural exchange in the Eurasia market, primarily between Russia and Japan.
- DEEP is a catalyst and business developer of new to the market solutions & smart technologies for established industries or ecosystems in Eurasia.
- DEEP ambition is to bring Dentsu Group philosophy of nurtured diversity to life in Russia and extend its ecosystem in Russia beyond marketing services.
- DEEP builds expertise around core business verticals: Content Management and Entertainment incl. rights and activation, own library management, producing, new inventory creation and others; B2B Tech Solutions such as TradeTech across the whole chain (shelf, e-commerce, s-commerce); business development for any kind of Japan-Russia connections.
- DEEP brings to the market access to Dentsu Group assets and top-level professional network as well as investment leverage through different formats such as investment syndicates, venture activity, direct investment.
- CEO of DEEP is Michael Voschinsky.
DEEP website URL: https://www.dentsu-ent.ru
CEO of Dentsu Entertainment Eurasia Partners (DEEP), Partner of OKS Group private investment fund, Non-exec Board Member of Dentsu Aegis Network Russia, , business Angel, Investor and Board Member in media, marketing and tech companies. Michael has more than 20 years of management experience in communication and media industry.
- 2020 - CEO at Dentsu Eurasian Entertainment Partners (DEEP). Partner at OKS Group Investment Fund. Non-executive director of several boards.
- 2019 - Michael left CEO position to enter the Board of Dentsu Aegis Network as Non-exec Director. Partner at OKS Group Investment Fund.
- 2011 - 2018 Michael performed as Managing Director, COO and later CEO of Dentsu Aegis Network (DAN), top-3 global marketing services groups.
- 2004 – 2011 Michael joined Aegis Media (now DAN) to lead new business development.
- In 2006 he was appointed CEO of Vizeum network agency launched in Russia in 2005.
- Michael was awarded “Media-Manager of Russia” in 2008 for the highest growth rates in the industry.
- 2000 - 2004 Michael held management roles in sales, commerce and client service of media industry companies including MAXIMUM radio, DTV TV channel, Alkasar ad agency.
- Michael graduated from National Research University - Higher School of Economics, BC in management, MS in strategic management.
- In 2012 obtained an Executive MBA degree from Kellogg School of Management, Northwestern University (USA).
About OKS Group
OKS Group is an investment firm with a particular focus on media and tech business in Russia and across the globe.
The largest single investment of OKS Group is Dentsu Aegis Network Russia – the top-3 communication group. Along with DAN Russia, OKS Group has made successful portfolio investments across different sectors, such as content production, out of home media, and technology startups with 20+ companies in its portfolio.
Mark Hannye is CEO and Managing Partner of OKS Group.
About the Dentsu Group
Led by Dentsu Group Inc. (Tokyo: 4324; ISIN: JP3551520004), a pure holding company established on January 1, 2020, the Dentsu Group encompasses two operational networks: Dentsu Japan Network, which oversees Dentsu’s agency operations in Japan, and Dentsu Aegis Network, its international business headquarters in London, which oversees Dentsu’s agency operations outside of Japan.
With a strong presence in over 145 countries and regions across five continents and with more than 66,000 dedicated professionals, the Dentsu Group provides a comprehensive range of client-centric integrated communications, media and digital services through its ten global brands—Carat, Dentsu, dentsu X, iProspect, Isobar, dentsumcgarrybowen, Merkle, MKTG, Posterscope and Vizeum—as well as through Dentsu Japan Network companies, including Dentsu Inc., the world’s largest single brand agency with a history of innovation. The Group is also active in the production and marketing of sports and entertainment content on a global scale. Dentsu Group Inc. website URL: https://www.group.dentsu.com/en/
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