Are you looking to set up a company in Thailand’s digital media and PR industries? The country boasts a strong digital economy and is strategically positioned for accessing business hubs in Asia, however, there are some key factors that you need to consider before entering this competitive sector. This article will act as your guide for starting a marketing agency in Thailand.
Overview of Thailand’s marketing industry
Thailand’s core markets have become increasingly globalized, leading to increased demand for marketing and public relations services. A recent survey by PRCA Thailand highlights the growing importance of PR in Thailand, with 82% of respondents believing the pandemic has strengthened the relevance of brand reputation and social media marketing.
There has also been increasing success for influencer marketing with Thai consumers and in international markets, leading to a rapid shift from traditional print media to digital marketing platforms. This has led to a surge in activity in three key sectors of the marketing industry in Thailand for operations within the country and for the establishment of overseas back offices:
- Digital Marketing: Focused primarily on promoting products and services through digital channels to enhance customer traffic from target audiences.
- Public Relations: Manages and shapes a company or organization’s public image and brand reputation through strategic communication.
- Advertising: Handles content creation and distribution of promotional content to convince target consumers of a marketing goal relating to a product or service.
How to set up a marketing agency in Thailand
How to register a marketing business in Thailand
The most common legal entity for setting up a foreign-owned marketing agency in Thailand is a limited liability company. However, it is important to note that this type of company limits foreign ownership to 49%, meaning that you will need Thai business partners. Despite the limited ownership, Thailand allows adjusted share voting rights, allowing you to retain company control.
One of the benefits of setting up a marketing agency in Thailand is that the country’s Board of Investments (BOI) promotes the digital and creative industries. This means that once you have registered a private limited company, you can apply to transition into a BOI-promoted company, which allows 100% foreign ownership, as well as additional benefits:
- Land ownership is allowed
- Unrestricted hiring of foreign workers
- Expedited visa and work permit applications
- Tax and import duties reduction incentives
Emerhub can assist you with the entire company registration process, from securing the necessary permits to finding a Thai business partner. We will also manage your application for BOI promotion if your company meets eligibility requirements.
Finding the right type of property for your business
Thailand restricts property and land ownership outside of condominiums for foreigners, but it is common for foreign companies to enter into leasehold agreements. There are several options for running a marketing business via both leased and owned property types:
- Home-based business: If you are running a startup-style or smaller marketing agency, it is possible to use a section of your home or condo as an office or studio.
- Retail business space: Depending on the type of property and location, you can apply with the local government to convert a portion of your space into a retail storefront to establish a physical front for your marketing agency.
- Rental office space: In Thailand’s main business districts, it is possible to directly lease an office space for setting up your marketing agency.
- Virtual office: If your operations are mostly conducted remotely, then Emerhub can provide you with a virtual office to serve as your registered business address for company registration purposes.
Whether you are planning to lease or purchase property in Thailand for business purposes, you will need to consider the location and which zoning laws apply to your planned operations. Emerhub’s team of local experts can guide you through the process. If you want to learn more, be sure to read our foreigner’s guide to buying property in Thailand.
How to set up a team for your marketing agency in Thailand
Whether you are establishing a local marketing agency in Thailand or a hub for your back office operations overseas, you must ensure compliance with local regulations regarding the hiring of talent. This involves ensuring thorough payroll computations which take tax deductions and statutory contributions into account.
Depending on the type of business you have registered, you will also need to abide by the regulations for hiring local workers versus foreign workers. Private limited companies, for example, must hire at least 4 Thai nationals for every foreign worker. Keep in mind that BOI companies have fewer restrictions for hiring foreign talent.
If you are seeking to hire a back-office team in Thailand for an existing overseas marketing agency, Emerhub’s sister company, RecruitGo, can help you with setting up a location and sourcing talent through our talent network. We can also act as the legal employer for your Thai workforce through our Employer of Record service, removing your need to register an entity.
Important considerations for establishing a Marketing agency in Thailand
Establishing and trademarking a brand for a marketing agency in Thailand
Due to the competitiveness of the marketing industry in Thailand, you will need to carefully establish your identity and apply for the necessary rights to protect your brand. Thailand operates on a “first to file” principle, meaning that if you already have an established brand overseas, you need to act quickly if you want to register the trademark for the Thai market.
Effective brand management in the marketing industry in Thailand is crucial for building your reputation among clients and establishing a strong network within local digital and physical communities. There are several branding strategies you can consider when setting up your marketing agency in Thailand for local operations:
- Partner with established Thai agencies on specific projects in which their experience compliments your own.
- Network with businesses and potential clients by attending industry events or connecting with local business chambers.
- Provide free consultations as a means to showcase your experience and develop customer trust.
- Establish a strong online presence on social media to showcase your content marketing expertise.
How to manage your return on investment for your Marketing agency in Thailand
Measuring your Return on Investment (ROI) for a marketing agency in Thailand can be challenging for more PR-focused efforts. Brand awareness campaigns and reputation-building projects have a slower or indirect influence on sales and growth which is often not always directly quantifiable. Below you will find some best practices for optimizing your ROI:
| Marketing | Public Relations | Advertising |
| Measure success through lead Generation and Sales Conversion | Provide quantifiable results (lead generation, reputation benchmarks) | Calculate growth of sales versus total marketing costs |
| Social media engagement, web traffic milestones, brand mentions | Client testimonials and customer success experiences | Social media and advertisement click-through-rates and engagement |
| Establish premium pricing for niche services in specific industries | Establish value-based pricing instead of hourly rates | Determine campaign-based pricing based on advertising content and campaign length |
If you are interested in setting up a marketing agency or back-office hub in Thailand, contact Emerhub via the form below and one of our local experts will help you determine exactly which format is most suitable for your planned activities. Our team will help you with the entire company registration process to ensure that you are set up for success!
