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pe David Ogilvy: “I believe that the purpose of everything we do should be this— to improve our services to our clients” Today in San Francisco, Ogilvy & Mather International opens a fourday meeting of its worldwide management—on Serving Our Clients Better. Below, from our 1983 Annual Report, «@ few words about our expanding services and our most successful year Report to Stockholders 1N 1985, we grew substantially and made good financial Progress Income and profits reached record level "spite the negative impact ofthe trong dollar on profits earned overseas in other currencies Weeven made 2 profitin Sweden, where we have suffered consistent Towses inthe past. We enter 1984 with alr of thrust, fated by an improving economic chmate, a record amount of new tbutinese gained in 1983, several new agencies ced by continue to widen the range of creative services we offer our clients.” acquisition, and song forecasts fom vewally ll our ‘fice worldwide, Oxvy & Mather iin robust health Th mon countries, the advertising busines continues to grow faster than either inflation or the gros national product, Within the business, the growth of diet re ponte, public relations, recruitment ackertising and ‘medical advertising outpacing general advertising. We ‘continue tobe optimistic shout the growth of advertising fsa whole and in its many pars. It performs an increas ingly valuable commercial funtion by sling goods and services efficiently in an ever more complicated tnd con petitne world ‘The high standard of our creative work for our clients it helping them aswell giving us acompettce adee ‘New business oon 1985 wil aecovnt for $250. millon in adtional billings in 1983. In April 1983, “Acdoertsing Agr named Ogity & Mather US. "Agency of the Year for 1982, am nusual honor fora large agency in tha it eognissenatisty and ‘hnovadeener aiker than scale or momentary. ‘As we continue to widen the range of reative services {we offer our clients, we are leaning how to integrate them to increase ther ellet on sales. More and more of fur cients are using services rom a numberof our dill {ent unite, trend we are nurturing internationally. ‘Our objective ita be the est and mont complete fall service agency worldwide. In 1983 we reve tar that ‘Objective in thee ways 1 We added two countries to or network of adertis- ing agencies Japan and Ecuador We now operate in 85 citirin 39 counties, * Our direct response group expanded 1 28 markets ‘We believe we are now not only the best regarded, bu the larger network of iret response agencies in the world = We acquired Dudley-Anderson Yat, large and respected public relations agency in New York. We also Tough substantial equity im Acts, a leading publi rela ‘ions frm in Pars. Gerald Horton joined ws from Gor fia Fower Co. as Chairman of our public relations group. We non operate in 19 cites in I counties, and ak ie in public relations worldwide * Alter the ose ofthe year, we acquired a US. medi cal advertising ageney, Roll Werner Rosenthal, which fds an important neve capability for some of our cients ‘We alo believe it holds considerable international pater til for medical advenhing (Our associated advertising agencies enjoyed a gener aly good year despite ome problems. In the U.K.» 2 ‘dient conflict led us to sll majriy interes in Davidaon Pearce back toits employees. Inthe US.,a client of Seal, McCabe, Sloves went ito Chapter I, owing us $1.7 million. The possible loses, if any, from thi station fre nor clear at thir juncture (Our financial planning and contre are making increnting contributions to our raul, We now require Jess working capital and lee debt to support growing ‘lume of usines. Tax planning has cut our tac ate sig hificandly. We have increased our audit contols around the workl. Consent wth our conservative financial policies, in 1983 we substantially increased our provision. for possible future bad debs {We continue to give high priority to recruitment and tring order to build the mot profesional sallin fdverbing, with high morale and efit purpose. Ta 1985, we conducted 14 international ining programs and ltelly dozens of others locally country by country and office by office 1983 FINANCIAL HIGHLIGHTS We enter 1964 optimistic about our prospect, and dedicated tothe same purposes which have served os well 1. sere our cliente more effectively than any 2. To maintain high ethical and professional standards. 3. To run the agency with a sense of competitive ‘urgency strive to exel in all cscpline, ‘4. To car a significant increase in profits every year: 1. Te make Ogivy & Mather the most exciting agency in which 10 work, and to offer outstanding earcee opportunities. 16. To car the respect ofthe community Waa £. \ has William E, Philips (Chairman Chief Executive Officer One Agency Indivisble “An advertising agency is not just in business to create advertising” ieee “Ofiny © Mate wn sed suf Segre gerne

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