CSR
An Overview of Our Progress and Achievements in Corporate Social Responsibility

Dentsu at a Glance

  • Corporate Philosophy
  • Truly Global Scale
  • Predominance in the Japanese Market
  • Strong Growth in International Markets
  • Extensive Digital Capabilities
  • Cutting-Edge Data Marketing
  • Unique Sports Solutions
  • Acclaimed Creativity
  • Steady Shareholder Return

Corporate Philosophy

Good Innovation.

Ideas that reach beyond the imaginable.
Technology that crosses the bounds of possibilities.

Entrepreneurship that surpasses the expected.
Three sources of strength,
driving our innovation,
bringing positive change
to people and society.


Truly Global Scale

The Dentsu Group currently has more than 60,000 staff serving for 11,000+ clients in over 145 countries and regions.

  • * As of December 31, 2017

Our operations are increasingly diverse: Japan accounts for 41% of our business, EMEA 21%, the Americas 24%, and APAC 14%.

Revenue Less Cost of Sales by Region

  • * 2013 and 2014 figures are for fiscal years (Japan: Apr-March, International: Jan-Dec), while figures for 2015 and beyond are for calendar years(Both Japan and International)
  • * 2013 figures were based on JGAAP, while figures for 2014 and beyond were based on IFRS.
  • * EMEA :Europe, Middle East and Africa, Americas : North, Central and South America, and APAC : Asia Pacific (excl. Japan)

Our business in Japan is spearheaded by Dentsu, while Dentsu Aegis Network leads the international business which encompasses all countries outside Japan.


Predominance in the Japanese Market

With a 24.2% share of the domestic advertising market, Dentsu occupies the leading position in Japan.

Share of Japanese Advertising Market

  • * Based on advertising spending in Japan in 2017. Percentages are calculated on the basis of non-consolidated Dentsu Inc. sales by category.

Strong Growth in International Markets

Our organic growth rate of revenue less cost of sales (i.e., rate of growth in existing businesses) has surpassed that of global peers over the last three years.

Organic Growth Rate over Last Three Years (annual average): Comparison with Holding Companies

  • * Simple average of organic growth rates published by each company over the past three years (2015–2017).

M&A also forms part of Dentsu’s growth strategy, and we have made 134 acquisitions from 2014 till 2017.

Total Mergers and Acquisitions in International Business

To provide clients with holistic and integrated solutions, the Dentsu Group has adopted a unique operating model called "One P&L,". This drives collaboration across all our brands delivering the most effective marketing solutions for our clients.
We are the only agency with one over-riding vision for all our people: "Innovating the way brands are built". We have five core value that are shared by everyone across our Network: Agile, Ambitious, Collaborative, Pioneering, Responsible.

This operating model allows greater use of shared services across the Network, further demonstrating our integrated approach.


Extensive Digital Capabilities

Revenue less cost of sales generated by the fast-growing digital sector now accounts for 43% of the Group total.

Percentage of Consolidated Revenue Less Cost of Sales Generated by Digital Sector

  • * 2013 and 2014 figures are for fiscal years (Japan: Apr-March, International: Jan-Dec), while figures for 2015 and beyond are for calendar years (Both Japan and International)

We have established highly specialized subsidiary companies in Japan and overseas to keep pace with growth and harness advances in the fast-changing digital sector.

Leading Group Companies in the Digital Sector

Japan

  • DENTSU DIGITAL
  • cci
  • DA search & link INC.
  • ISID

International

  • isobar
  • iProspect
  • Merkle
  • amnet

Cutting-Edge Data Marketing

We are boosting our focus on data marketing under the People Driven Marketing brand in Japan and the M1 platform overseas. These brands share the philosophy of people-based marketing and aim to add value to data utilization.

Japan Market

People Driven Marketing

International Markets

Dentsu Aegis Network


Unique Sports Solutions

Dentsu has built strong long-term relationships with sports organizations in Japan and globally, and we help our clients to leverage these connections into their communication strategies. Dentsu has been designated as the exclusive marketing agent for the 2020 Tokyo Olympic and Paralympic Games.

Relationships with Major Sports Federations


Acclaimed Creativity

The 2017 Gunn Report ranked Dentsu (Tokyo) at No. 3 on its list of the world’s best creative agencies.

World's best creative agencies

Source: The Gunn Report 2017


International Advertising Awards

Figures show number of advertising awards won in the past year (as of June 27, 2018).

  • *1 The Black Pencil award has been treated as equivalent to a Grand Prix, the Yellow Pencil to gold, the Graphite Pencil to silver, and the Wood Pencil to bronze.
  • *2 Including the Lions Innovation Festival, Lions Health Festival, and Lions Entertainment Festival.
  • *3 Network of the Year, Branded Content Lotus, Effective Lotus, Integrated Lotus included under "Other awards."
  • *4 Agency of the Year, Country Agency of the Year included under "Other awards."

Steady Shareholder Return

We have made steady returns to shareholders based on a strong financial position.

Cash Dividend Per Share and Payout Ratio

  • * Underlying dividend payout ratio = Cash dividend per share ÷ Underlying profit per share × 100
  • * 2015/12 is based on financial reporting (Japan: Apr-Dec, 9months, International: Jan-Dec, 12months.) Proforma (Jan-Dec, 12moths, for both Japan and International) base Underlying dividend payout ratio is 19.0% and Dividend payout ratio is 26.1%.

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