Ipsos Acquires NPD

Ipsos acquires NPD's marketing research division and becomes one of the major players of the sector in the US

Ipsos Acquires NPD

Paris, January 17, 2001. Ipsos and NPD have signed an agreement by which Paris-based Ipsos will acquire NPD Marketing Research, NPD's market research assets in the U.S. and Canada. NPD Marketing Research which is a US leader in its specialization, generated about USD 70 million in revenues last year. Excluded from the sale are NPD's syndicated tracking businesses in numerous vertical markets.

As part of the deal, Ipsos has acquired NPD's Consumer Access Panels, demographically balanced and pre-recruited individuals who participate in mail and telephone surveys. These panels represent 500,000 households regularly used in different types of market research, including concept testing, product launch research and product positioning research.

NPD Marketing Research, which will be known as Ipsos-NPD, will reinforce Ipsos's presence in North-America where the Group is already represented by Ipsos-ASI (advertising research) and Ipsos-Reid (public opinion and marketing research). In 2001, Ipsos revenues in the region is expected to be close to USD 200 million and account for about 40% of the Group's total revenues, up from 14% in 1999.

Ipsos-NPD will round out Ipsos' existing marketing services and products portfolio in Europe and Latin America in the FMCG (food, housewares, cosmetics and fragrances, health), Telecommunications, Bank, Finance, Pharmaceutical industries.

This new deal will also complement the current Ipsos Access panels offered in Europe, which includes 115,000 households in France, UK, Germany and Italy.

Increased Online Research

Moreover, Ipsos and NPD will jointly grow Internet-based research applications using NPD's strong positions with its Online Panel exceeding 2 million individuals, mostly Americans and Canadians. To this end, Ipsos will purchase 25% of the company which currently owns and manages this online panel. Ipsos will also have an exclusive access to this panel to carry out research in its fields of specialization (advertising, marketing, media, public opinion and customer satisfaction).

Didier Truchot, Chairman and CEO of the Ipsos group, is delighted by this operation. 171 With Ipsos-NPD's portfolio of business and services, Ipsos will dramatically strengthen its position in North America in the field of marketing research, especially Access Panels surveys which are a key-element to our growth strategy. We welcome NPD's teams to our organization, and we intend to make the most of NPD's reputation and innovation in the marketing research area.187

Tod Johnson, CEO of the NPD Group said : 171 We wish to take advantage of our lead in industry tracking in our established vertical markets and in our expertise in online research. NPD will our efforts in providing clients marketing information accessible via the Web, while knowing that our other businesses will continue to grow and prosper as part of the Ipsos family. 187

About Ipsos Ipsos, with revenues of Euros 231 million in 1999, ranks 10th worldwide. 2000 revenues will exceed Euro 320 million ; 2001 revenues are expected to be over Euro 450 million. With offices in 24 countries (Europe, North America, Latin America, Middle East, Asia-Pacific), Ipsos conducts surveys in more than 80 countries worldwide. Ipsos local companies, all leader in their local markets, specialize in the Group's five priority market research sectors : advertising, marketing, media, opinion and social research, customer satisfaction. Since 1999, Ipsos participates in internet audience measurement in partnership with Media Metrix and GfK, through two joint-ventures : Jupiter MMXI Europe and Jupiter Media Metrix Latin America.

About NPD Founded in 1953, the NPD Group is the leading provider of comprehensive marketing intelligence collected and delivered online for a wide range of vertical markets. By tracking both purchasing behavior and attitudes among consumers, NPD offer subscribers unique insight into what's happening in their industries and why, measuring both retail product movement and e-commerce. Consumer data are collected through the firm's Online Panel, which has access to over 2 million individuals and will be delivered through a series of marketing information portals, launching throughout the year. NPD is the developer of the revolutionary Web audience measurement technology now marketed by Jupiter Media Metrix.

The NPD Group, with offices and affiliations in 36 countries and revenues reaching USD 143.4 million (Media Metrix business is consolidated separately since 1998), ranks 11th among American market research organizations.

Contact Ipsos: Carlos Harding (tel) (331) 5368 2815

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