German agency GfK has taken its first steps into the massive South American market with the acquisition of a 19.9% stake in Indicator Brazil. GfK has the option to progressively acquire the entire Indicator operation and marks the initial stage towards the company launching its own activities in South America.
Indicator Brazil, which is the fifth largest research company in Brazil, was established in 1987 and is active predominantly in the field of ad hoc research and retail audit. Indicator specialises in carrying out studies on communication, purchase behavior, customer satisfaction, mystery shopping and brand tracking.
The company focuses on the consumer goods, IT/telecom, services, retail and financial markets as well as the business-to-business sector. With 130 employees, the company expects to generate sales of Euro 7.3 million in 2001. Following the acquisition of this initial shareholding, GfK hopes to acquire a majority stake in the company by the end of 2004.
Heinrich A. Litzenroth, a member of the Management Board responsible for the Ad Hoc Research division, commented 'Our holding in Indicator will enable us to secure our position as a global player in the Ad Hoc Research division by expanding into another continent.'
Eduardo Schubert, Managing Director of Indicator, added 'We are thrilled to be part of the GfK Group and strengthening our position in Brazil and other Latin American markets with the aid of their expertise and services.'
All articles 2006-22 written and edited by Mel Crowther and/or Nick Thomas unless otherwise stated.