Tokyo—December 13, 2024—As announced by Hakuhodo DY Holdings Inc. on November 13, 2024, Hakuhodo Inc. and Hakuhodo DY Media Partners have been in discussions regarding their integration. We would like to announce that we have decided to integrate as follows.

Tokyo—December 13, 2024—As announced by Hakuhodo DY Holdings Inc. on November 13, 2024, Hakuhodo Inc. and Hakuhodo DY Media Partners have been in discussions regarding their integration. We would like to announce that we have decided to integrate as follows.

1. Purpose of the integrationIn June 2024, Hakuhodo DY Holdings announced in its new Medium-Term Business Plan (MTBP) the goal of evolving beyond the framework of a group of advertising companies into a creativity platform. With sei-katsu-sha–centered creativity as its edge, it aims to become a group that creates the future by connecting sei-katsu-sha (the Hakuhodo DY Group’s term for the holistic person), organizations and society to generate new relationship value. During the three years of the MTBP, Hakuhodo DY Holdings will undertake business restructuring from three perspectives: Restructuring of marketing business, creation of new growth options, and remodeling of global business.

In domestic marketing business, a full-funnel response leveraging data and technology is becoming a prerequisite. Amid the evolution of technologies such as generative AI and the ability to leverage a variety of sei-katsu-sha data, organizations’ marketing needs are no longer limited to integrated communications that bring together TV and internet communications and promotions. They are now shifting to full-funnel planning and implementation. Like digital media, traditional media are evolving to become programmatic and it will be crucial to have full-funnel Sei-katsu-sha Data-Driven Marketing functions that fully cover the gamut from marketing communications functions utilizing traditional and digital media to marketing execution functions such as commerce and customer relationship management, all utilizing data.

To respond to this expansion of organizations’ needs, enhancing the functions we offer and making them more seamless is vital. Therefore, we will integrate Hakuhodo and Hakuhodo DY Media Partners, consolidating and enhancing core functions, including full-funnel data-driven marketing planning and media response functions, in this new Hakuhodo. Furthermore, having Hakuhodo’s frontline and Hakuhodo DY Media Partners’ media response functions operate as one will strengthen our media sales capability and ability to make proposals to media companies.

The new Hakuhodo, which with the integration of Hakuhodo and Hakuhodo DY Media Partners will have enhanced full-funnel marketing functions, also aims to become shared infrastructure for the Hakuhodo DY Group.

2. About the new company

Note: Representatives, organization and other matters are yet to be decided and will be announced at a later date.