GLOBAL ADVERTISING

AGENCIES

M&A’s and
STRATEGIC
ALLIANCES
An Advertising Agency is an organization
that on behalf of clients , drafts and
produces advertisements, places
advertisements in the media and plans
advertising campaigns. They may also
perform other marketing functions ,
including market research and consulting.
Advertising Agencies
AGENCY HEADQUATERS REVENUE(IN
DOLLARS)

1. Omnicom Group New York City 10,481.1

2.WPP Group London 10,032.2

3.Interpublic Group New York City 6,700

Of Companies

4.Publicis Groupe Paris 5,107.2

5.Dentsu Tokyo 2,887.8

6. Havas France 1,808.0

DENSTU Inc
Japan
30% of total market revenue
27 countries -95% revenue from Japan
itself.
Domestic Subsidaires-47
Overseas Subsidiaries:
USA-12,Europe-14 and Asia -44
 1992-acquired 100% of BLD Europe(a Brussels firm)
 Middle East- 100% stake in Publi Graphics
 ASIA
1994-China(JV):Beijing Dentsu
1996-Japan, formed Dentsu Tec Inc and JV with
Tokyo Softbank corporation
 USA
Dentsu maintained seven subsidiaries through JV
with Young & Rubicam
Effective Strategies followed by
Denstu:
Limited Service – stop advertising , start
communicating.
Mc Garry Bowen in USA – local market
knowledge
Increased Japanese Media companies in
China and other Asian markets.
Saatchi & Saatchi
New York
Specializes in creative advertising services
and marketing campaigns
Procter &Gamble and Toyota
In 2000- Publicis
1970- Charles and Maurice Saatchi form
the agency
1970’s-First ad agency acquisition- it
purchased E.G. Dawes and Motley
advertising
Merged with Garland Compton agency
1980’s – acquired clients like Black
&Decker, Allied Kyons.
1982- bought Compton advertising.
1990’s- fall in profits leading to agencies
like Cordiant demerging and ad agency
like Cliff Freeman and partners buying
itself back.
2000- S&S acquired by the Publicis
Groupe.
Strategies Implemented

Identifyand implement appropriate

communication services.
Focus Business Development
Financial discipline
Ogilvy and Mather
1948, founded by David Ogilvy
Importance given to agency brand
Based in New York City and owned by the
WPP group.
1989- the Ogilvy group was bought by
WPP, a British holding company in a
hostile takeover
1960’2 and 1970’s marked a period of
expansion and innovation.
1964- merged with Mather & Crowther Ltd
of London to become Ogilvy and Mather
International.
In order to enter the Turkish market, the
company acquired four separate PR and
marketing companies by 2000 and
merged the companies into a single
agency
The initial strategy followed was that in
order to get new clients, the best method
was to do notable work to the existing
ones. After the acquisition of the company
by WPP , importance was given to their
strengths and the expansions made
accordingly.
Arnold Worldwide
It is an American advertising agency, owned
by the French advertising and
communications holding company Havas.
It has a network of agencies located in 6
countries and three quarters revenue is from
the united states.
The company was a conglomeration of
Boston based advertising agencies.
Arnold was acquired by Havas when it
purchased Synder communications in 2000
The agency has grown organically and
grown through partnership with havas
agencies and through agency acquisitions
like McKinney &Silver. Further expansions
was halted in 2003 as Havas repositioned
Arnold as a creative specialist rather than
a full global network.
Clientsinclude:
Volvo, The Hershey Company, ESPN,
Mc Donald's