Steve Babaeko’s X3M Ideas sets sight on global partnership
Steve Babaeko, CEO of X3M Ideas says he is now ready for partnership with a global agency network. The agency boss, whose outfit recently celebrated its four years of operation in Nigeria, made the u-turn in an interview with MARKETING EDGE in Lagos recently.
This is coming after major global partnerships involving two of Nigeria’s biggest agencies have been made public. Troyka Holdings announced an equity partnership with Publicis Groupe in March 2016, and just a couple of months ago Noah’s Ark signed an affiliation relationship with another global powerhouse, Dentsu Aegis Network, with a clause for equity participation.
The X3M Ideas boss says his change of heart was informed by current global realities. “You can’t be an island to yourself. If you look at someone like Martin Sorrel, he only owns 1.5 percent of WPP. So you need people. Once people put their money in your business, then corporate governance becomes more tightened, and accountability becomes tougher. So at this stage we are open, but it depends on who is asking.”
Babaeko didn’t say if he has suitors yet, but he was quick spelt out some of the conditions that has to be met before any such marriage could be consummated. In his usual charismatic and blunt manner, the advertising executive harped on the need for cultural and value alignment between his agency and the likely partner.
Babaeko also made it clear that if any of the big players must bring Babaeko to the negotiation table, then the price must be right. He was clearly unmistaken about that.
“We have built a brand out of nothing. What we have done here is true entrepreneurship. We built this from ground zero. So if you want to come and talk to us, you better know what you are talking about.
“We are looking for a couple of things; value alignment, that is does the value that made us get here align with your own values so they don’t come and dilute our own corporate culture? Secondly, you have to put your money where your mouth is. Telling us that you will bring some accounts to us and train our people makes no sense because we are doing that already. So if you are able to put your money where your mouth is then we’ll know you really want to talk,” he said.
And perhaps it is in preparation for the now, inevitable future, that X3M Ideas has contracted a consultant firm to value it business.
Indeed, the Kogi born adman started X3M Ideas from the scratch. He had mountains to climb as he came up against established forces in the industry. But his tenacity and strong will saw him through, and within a short period of four years he has built one of the leading creative agencies in Nigeria with multinational accounts like Etisalat, DSTV, Access bank etc under his belt.
The agency is not just making impacts in Nigeria; recently it won bronze at the 2016 Cristal in Marrakesh, Morocco and earlier in the years Babaeko was appointed as a member of the Grand jury of the New York Festival.
Babaeko’s U-turn has come as a surprise to many because just a couple of years back, he maintained an unusual aversion for any kind of alignment with a global agency. Indeed it was clear from his several comments that he is one business executive that loves to be in charge. But having achieved so much in four years, the Babaeko now has his eyes set on making the big step into the mainstream of the global advertising industry, thus the need for a change of heart.
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