Last year, when Publicis Groupe said it would pull out of the Cannes Lions festival and awards show and reinvest the funds in an artificial intelligence platform, it sparked other holding companies to rethink their presences. Many had become concerned that the festival, which takes place every June along the beach in the south of […]
Spend on Omnicom’s trading desk Accuen continues to decline as brands increasingly favor disclosed programmatic buying models. Accuen’s Q4 revenue declined by $12 million globally and $17 million in the US year over year. Before Q3, when Accuen’s revenues first began declining YoY, Accuen’s revenue had grown between $18 million and $45 million each quarter […]
Advertisers want to market using the type of rich data provided by walled gardens – but that’s not possible on the open web. So the major holding companies have each developed data platforms to meet their clients’ needs. The question is: What’s the difference between their offerings? Publicis Groupe’s Spine, IPG’s AMP, WPP’s mPlatform, Dentsu […]
The past year was a tough one for agency holding companies. WPP, Omnicom, Publicis Groupe, IPG, Dentsu Aegis Network and Havas posted little to no growth in 2017. The agency business has been in flux for years, but 2017 offered the “perfect storm” of challenges that caused growth to stutter, said Greg Paull, principal analyst […]
We Are Unlimited, the integrated agency Omnicom launched to service the McDonald’s account earlier this year, has hired former iCrossing President Mark Mulhern as its new CEO. In an interview, Mulhern said he was attracted by the opportunity to test a new agency model. “The future of our industry is based on specialisms coming back […]
One of the many pressures facing holding companies is increased competition from management and IT consultancies like Accenture, Deloitte, IBM and PricewaterhouseCoopers. While consulting firms may not be their biggest threat today, tomorrow could be another story. Holding companies tend to work from the bottom up, focusing on marketing initiatives like creative or media strategy […]
Omnicom’s trading desk Accuen shrank $9 million, or 0.2% year over year, in the US this quarter because clients continue to favor fully disclosed programmatic buys, the company said Tuesday. In other markets, where nondisclosed buys have generally been more accepted by marketers, Accuen was almost flat, growing by just $2 million in the quarter. […]
Megan Pagliuca, former boss of Omnicom-owned Accuen, has become the first-ever chief data officer of Hearts & Science, where she will lead the agency’s charge toward identity-based media buying. Pagliuca will oversee Hearts & Science’s tools and strategy that will put individual identities at the center of not just media execution, but brand strategy and […]
At agencies, “centers of excellence” are on the outs. Instead, holding companies are moving the specialists who once powered their analytics hubs and trading desks closer to client work by embedding them in account teams at their operating agencies. “The idea is to infuse a data-driven philosophy and culture within agencies and support [them] not […]
Both Publicis Groupe and Omnicom focused on the need to transform their clients’ businesses and their own during their respective Q2/H1 earnings on Thursday. “We want to be the leader in marketing and business transformation,” Arthur Sadoun told investors on his first-ever earnings call as Publicis Groupe CEO. “Our clients need to transform.” Publicis saw […]
Two years ago Hearts & Science didn’t exist. Today, it employs more than 500 to serve an expanding roster that includes two of the world’s largest marketers: AT&T and Procter & Gamble. In a recent interview, CEO Scott Hagedorn described some tenets of the Hearts & Science services model. Technology Sprints “We’re gearing up for […]
Like the packaged products he helps market, Omnicom Media Group Chief Research Officer Jonathan Steuer wishes data segments disclosed their ingredients on the side of the label. “You really have to dig to figure out what’s in [a segment] right now,” Steuer said Monday at the Advertising Research Foundation’s Audience Measurement Summit in Jersey City. […]
Growth at Accuen was flat last quarter as more clients moved away from nondisclosed programmatic buying methods, where agencies procure inventory and resell it to clients with an unrevealed markup, said Omnicom CEO John Wren on the company’s first-quarter earnings call on Tuesday. “A lot of clients have shifted to wanting these services on a […]
Within a year of its launch, Omnicom Media Group’s (OMG) third agency, Hearts & Science, was running two of the world’s largest media accounts. This feat is made more impressive in that when OMG pitched for one of those accounts, Procter & Gamble, Hearts & Science didn’t even exist. “We had to hire 300 people […]
Media agency employees sitting for Facebook’s Blueprint certification exam may have flashbacks of their experiences taking the SATs. The exam, which certifies agency employees on every Facebook native ad product within its Ads Manager, Business Manager and Power Editor tools, is a multiple-hour affair that requires weeks of prep. Test-takers must roll up their sleeves […]
Welcome to episode No. 15 of AdExchanger Talks, a podcast focused on data-driven marketing. Subscribe here. When a large amount of marketer business migrated between agencies in 2015 and 2016, Omnicom Group was the prime beneficiary. The holding company led all of its peers in the total value of its creative and media business wins in 2016, […]
Revenue from Omnicom’s trading desk Accuen grew $33 million in Q4 and $86 million over the full year in 2016, the company said in its Q4 earnings call on Tuesday. Q4 marked the highest incremental growth Accuen saw all year. In the two preceding years, Accuen’s contribution to Omnicom’s overall revenue fluctuated between $20 million and […]
For the big six holding companies, 2016 was a year of acquisitions, restructures, reviews and leadership shakeups, centering expertise around data and digital. But they also engaged in strategies at odds with best practices and client interests. Faced with shrinking margins and rising technology costs, holding companies found new ways to eke revenue – methods […]
Agencies are developing skills and business models around advanced TV buying, just as they once did for programmatic buying. GroupM has a dedicated department in Modi Media. IPG Mediabrands’ Cadreon, Dentsu Aegis’ Amplifi, Omnicom and Publicis Groupe also have added expertise. Even independent agencies like Horizon Media are building out advanced TV centers. “Advanced TV” […]
Has performance-based pay finally arrived for agencies? Traditionally, marketing services firms were paid on a set scope of billable hours worked by each employee on an account. But a growing number of advertisers are pushing for more tangible, ROI-based remuneration. The biggest recent example is McDonald’s. The quick-serve advertiser’s RFP process specified that agency compensation […]
Less than a year old, Hearts & Science, Omnicom Group’s data-driven, integrated agency, has grabbed major accounts from rival holding companies. With Procter & Gamble and AT&T, the agency gained the two largest media accounts in the world within the first four months of its existence. Now Hearts & Science is starting to expand internationally, with […]
On Thursday – amid strengthening rumors of an IPO – Snapchat finally released its anticipated ads API to enable better automation, targeting and measurement. It is running with nine partners. Advertisers can buy Snap Ads – full-screen, sound-on, vertical video ad units – programmatically on the platform. “Advertisers [can now] glean insights and better optimize […]
Times Square was abuzz this week with talk of the elusive “agency of the future.” “Agencies will need to be far more empathic, far nimbler and more agile,” said Paul Gunning, CEO of DDB Chicago, on Tuesday at Advertising Week in New York City. “The holding company getting rid of silos is the foundation of […]
Over the last year Omnicom went on a tear, poaching big-brand clients from its competitors. Omnicom Media Group (OMG) lured Procter & Gamble from Publicis Groupe’s Starcom Mediavest and built the data-driven agency Hearts & Science to support it. AT&T also consolidated its business under Omnicom when it moved its media account from WPP’s MEC to Hearts […]
While media bartering isn’t commonly discussed, the ANA’s two reports on agency transparency referenced the practice 49 times. Here’s how it works: A barter agency might agree to buy an advertiser’s surplus product, such as an airline’s unsold flight tickets at full price, which it would give to employees for business travel. In return, the […]
Advertisers’ concerns around viewability and fraud are slowing down spend on digital advertising, said Daryl Simm, chairman and CEO of Omnicom Media Group during the holding company’s Q2 2016 earnings call on Thursday morning. “While [advertisers] are continuing to grow their digital budgets, there is a tap at the brakes in that space as some […]
For many in the native space, the always-on-the-horizon prospect of the Promised Land has been a hard sell to other digital stakeholders. And though the industry has grown at a rapid clip, there’s still deep confusion over questions as basic and crucial as “What is native?” Native is “a broad term that lacks definition,” said […]
Hours after the United Kingdom voted to quit the European Union, its most prominent ad industry employee is feeling… well, in his own words: “Very disappointed, but the electorate has spoken.” WPP Group CEO Sir Martin Sorrell told AdExchanger in a statement that “The resulting uncertainty, which will be considerable, will obviously slow decision-making and […]
Many agree there’s a great need for holding companies to integrate their media buying structure “horizontally”: to collaborate rather than compete across groups. Is it possible the obstacle lies not with the agency, but with the client? Executives from Dentsu Aegis, IPG, Havas, Omnicom and WPP took up the question at the Modern Marketing Summit […]
When Omnicom Media Group on Friday launched Hearts & Science, its third agency network alongside OMD and PHD, it chose Annalect founder and CEO Scott Hagedorn to lead the effort. The development comes four months after Omnicom grabbed the majority of Procter & Gamble’s $2 billion media account from Publicis Groupe’s Starcom Mediavest. Part of P&G’s […]
