Search This Blog

Sunday, May 11, 2014

The Lesson From The Omnicom-Publicis Fiasco: Big Is Not A Strategy

In 1972, British ad agency Saatchi & Saatchi started gobbling up competing agencies. By 1986 it acquired 45 agencies and became the biggest agency in the world. Fearful that they may be next, 3 big U.S-based agencies came together and formed Omnicom. In the U.K., Martin Sorrell started acquiring agencies under the banner of WPP. IPG and Publicis did the same, and the arms race was on. These outfits came to be known as holding companies; ad conglomerates that eventually owned hundreds of ad agencies and marketing service firms.

No comments:

Post a Comment