Q3/2015 View

Q3/2015
View
R3 is a leader in global, regional and
local consulting on improving the
effectiveness and efficiency of marketers and their agencies. We work with
nine of the world’s top twenty marketers
including Coca-Cola, Unilever, AB InBev,
MasterCard, Mercedes Benz, Johnson &
Johnson, Samsung and Kimberly Clark.
Welcome to the R3 Q3 2015 Update, our regular quarterly report
on the marketing communications industry. In this issue, we look
at the big stories in the industry, the initial quarterly earnings of
the holding companies, along with recent pitches, M&A’s and
New Business Results.
The Biggest Stories
The big news from this quarter is the predicted contraction in the global
advertising spend growth rate, which will decrease from 4.2% to just 4%.
For the first time in nine years, North America, Western Europe and Japan
will lead global growth as contracting economies in emerging markets
are the driving factor bringing down global growth expectations. China in
particular, with its slowing economy and currency devaluation, has caused
agencies to revise earlier growth predications from 5.2% to 4.1% for the
APAC region.
There has been a lot of buzz this quarter in regards to China’s “new normal” of economic challenges, currency devaluation, and the government’s
war on corruption. This highlights just how much China’s burgeoning
marketing industry effects the region as a whole, as other Asian countries
are on track for double digit growth, with India and Vietnam at 11% and
Philippines at 10%. ZenithOptimedia also predicted a significant contraction in emerging markets’ ad spends in 2015, but noted they will again
lead market growth in 2016. The report also highlighted the rise of mobile,
which will account for 12.4% percent of global spends this year, while
display is set to lose market share for the first time ever. Carat’s numbers
shed more light on the growth of mobile in China specifically, where they
predict 56% growth.
On the mobile front, the debate over ad blocking is at an all-time high,
sparked by the release of the iPhone 6S and its incorporation of software
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Talia Tay – Consultant
talia@rthree.com
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SINGAPORE
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T +65 6221 1245
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Seema Punwani - Principal Consultant
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herbert@rthree.com
LONDON
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1
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that supports mobile ad blockers. This has stirred up a call to action to
develop better communication that consumers won’t want to block, as
well as better targeting and retargeting practices to ensure that ads are
reaching the right audience. Some are framing the rise of ad blockers as
a death knell for publishers, while others are pointing out that the effects
are actually negligible. This will be an interesting trend to track as mobile
ad spends are set to increase in every market in 2016.
The “Mediapalooza” is ongoing– with over half of the 22 Global / US
media pitches resolved. Many marketers ‘inherited’ their media agencies
when their digital spends were below 20% and social and analytics were
just on the horizon. However, the shift to digital and programmatic buying
has changed the way marketing is done, and it makes sense for these
companies to review their media planning and buying strategies. You
can read more of R3’s analysis of the issue here. To see the latest pitch
results, see the table below from Jefferies Analyst Group
GLOBAL MEDIA REVIEWS
Agency
Major contracts wins / defences
Billings from new
wins ($USD bn)
Billings at risk
($USD bn)
Impact on revenues
WPP
General Mills, Coca-Cola (creative), GSK, Emirates
1.8
8.5
1.5%
Publicis
Coty, Sears (digital), Citi, Visa, Kraft Heinz, Heineken, Carnival Cruise,
Etihad
2.9
7.3
2.0%
Havas
Sears & Kmart
0.4
0.2
0.2%
Omnicom
Subway, Priceline.com
0.6
2.9
0.6%
Interpublic
CVS, Coca-Cola (NA), GSK, J&J, Royal Caribbean
1.9
3.3
1.3%
Dentsu
n/a
n/a
3.9
1.6%
7.6
26.0
1.2%
Total
*Source: Jefferies estimates
Note: Contracts defended are highlighted in grey
To get better insights into many of these trends, we held two CMO Roundtables to explore integration models and best practice among some of the
world’s top marketers. We hosted events in both Shanghai and Singapore,
and had attendees from Coca-Cola, Disney, Nike, GM, MasterCard, Unilever, Ferrero, HSBC, Kimberly-Clark and several others. The discussion focused on several of the “Six Models of Integration” that we pointed out in
our Integration 40 study, how they are put into practice, both internally and
with external partners, as well as the importance of digital engagement.
You can read more about these Roundtables here.
We hope you enjoy this quarterly report on the marketing communications
industry. A final note, you can read more specialist reports on Social Media
at R3Social40.com and on the challenges of delivering on integrated marketing at R3integration40.com.
rthree.com
Holding Company Earnings
Publicis Groupe (PUB:PA) 3Q15 results disappointed, Organic growth
lags behind expectation, 4Q15 remains “cautious”. Overall, Publicis Q3 revenue grew +33% compared to 3Q14 (driven by the Sapient acquisition);
however, in this quarter, Publicis reported an organic growth of a mere
+0.7%, which lead to adjustment of its full year organic growth to +1.0%,
compared to its previously set bolstering target of 2.5%.
A few factors may have contributed to these average results. Many of their
clients are experiencing spend cuts; numerous campaigns have been called
off or postponed due to reduced marketing investment. Although Publicis
Groupe announced more wins than losses, the industry remains speculative on its coming performance in 4Q15, as many of the clients who are
suffering financially (such as Samsung and P&G) will potentially cut their
marketing investments in order to make an adjustment on year end P&L.
Tumbling stock price is also casting shadow on Publicis Groupe’s Q4 outlook. The stock has been sliding since the end of last quarter and it was
down -8% at the end of 3Q15. Organic growth has been depressing; in
this quarter they still managed to lock down a stable inorganic revenue of
€381m from acquisitions, acquiring 2DataFish in Australia and The Creative Council Group in South Africa.
Publicis Groupe Financial Statement (€m)
2015 Q3
2014 Q3
Change %
Revenue
2,325
1,748
33.0%
Stock Price
€60.98
€54.37
12.2%
*Operating income and operation margin were not disclosed in Group’s revenue release.
Publicis Groupe by Region (Revenue €m)
Three months ended
September 30, 2015
Three months ended
September 30, 2014
Europe
625
517
+20.9%
North America
1,292
866
+49.2%
Asia Pacific
260
213
+22.1%
Latin America
87
104
-16.3%
Middle East Africa
61
48
+27.1%
Total
2,325
1,748
+33.0%
2015 Q3 vs 2014 Q3
3
Interpublic Continued to Deliver Strong Organic Growth of 7.1% in
3Q15. Following its exceptional organic growth of +8% in the last quarter,
IPG has remarkably sustained sharp growth in the third quarter, outperforming many of its competitors. Despite this, IPG’s overall growth is 1.3%,
as a result of 5.9% negative impact of foreign currency exchange.
The US holding company has been very inactive with searching for M&A
targets, having closed only one deal in April for investment in a Brazilian
TV analytics company (Samba TV). In the coming months, we expect IPG
remain focused on steering organic growth rather than boosting inorganic.
Interpublic Financial Statement ($m)
Three months ended in
September 30, 2015
Three months ended in
September 30, 2015
Change %
Revenue
1,865.5
1,841.1
1.3%
Operating Expenses
1,673.6
1669.8
-0.2%
Operating Income
191.9
171.3
12.0%
Operating Margin
10.3%
9.3%
1%
Net Income
78.0
92.5
-15.7%
Stock Price
$19.13
$18.32
4.4%
Interpublic by Region (% of Total Revenue)
rthree.com
Three months ended in
September 30, 2015
Three months ended in
September 30, 2015
Change %
Consolidated
100%
100%
-
Domestic
60.1%
56.9%
+3.2%
International
39.9%
43.1%
-3.2%
Omnicom (NYSE: OMC) Continued its Streak of Organic Growth in
3Q15. In this quarter, Omnicom reported an organic growth of 6.1%, with
an EPS of 95 cents, beating the expectations of many market watchers.
Omnicom’s robust growth is traceable to North America, U.K and Asia Pacific which helped drive strong results; and there was also a negative impact
from foreign exchange rates of 7.2% when compared to the third quarter of
2014.
Across different markets, the UK took the lead and contributed a regional
organic growth of 9.1%, with DDB’s recent win of the Lloyd’s Bank creative
account from the previous 13-year incumbent RKCR/Y&R. Regarding M&A,
in this year Omnicom cooled its appetite for independent agencies. The
sole investment made this year was in February to acquire a German digital
specialist (TLGG), hence the almost flat inorganic growth (through acquisition). Overall, Omnicom’s third quarter revenue is down 1.1% (net of negative 7.2% impact of exchange fluctuations) compared to same period of last
year, however we expect Omnicom to deliver continued organic growth in
the final quarter.
Omnicom Financial Statement ($m)
Consolidated Statements of Income
Three Months Ended June 30
2015 Q2
2014 Q2
Change %
Revenue
3,706.6
3,749.6
-1.15%
Operating Expenses
3,251.9
3,289.1
-1.13%
Operating Income
428.3
433.6
-1.22%
Operating Margin
11.6%
11.6%
-
Net Income
266.7
273.6
-2.52%
Stock Price
$65.90
$68.86
-4.30%
*Total Revenue is inclusive of the FX Impact and Acquisition/Disposition Revenue.
Omnicom By Region (Revenue $m)
Three months ended in
September 30, 2015
Three months ended in
September 30, 2015
Change %
North America
2,221.7
2,124.4
4.58%
Latin America
388.2
1053.5
-63.15%
Europe
579.2
405.3
42.91%
Africa and Mid East
60.4
102.6
-41.13%
ASIA PACIFIC
$386.8
$63.8
506.27%
AMERICAS
EMEA
5
WPP (LON:WPP, NYSE:WPPGY) 3Q15 Net Sales are Up 3.3% Globally.
This reported hike in revenue (3.3% up in net sales, 5.9% up in revenue) is
boosted by improved North American revenue, which is up 6.8% by like-forlike comparison (i.e. 15.4% reported growth). While the US recovery continued, WPP’s home territory of the UK showed a slower organic growth of
just 1.1%. The surprise in the print would be the operating margin expansion which is running well ahead at +50bps in constant currency helped by
headcount reduction. This is on the back of 1H15 margin which came in
slightly ahead of full year targets of +40bps constant currency.
With respect to acquisitions, WPP continued its spree in the third quarter
and snapped up various agencies around the globe, focusing on quantitative & digital agencies as well as implementing investment strategies in fast
growth markets. During the last nine months, WPP has shown a voracious
appetite for acquisitions in the US (14 there alone), actively expanding its
business. The region which contributed the most to total revenue in third
quarter. Having said this, we may expect WPP to continue its agency hunting
in North America in the final quarter.
WPP Financial Statement (£m)
Change %
2015 Q3
2014 Q3
Revenue
2,927.0
2,763.0
5.9%
Net Sales
2,518.0
2,418.0
4.2%
Stock Price
£104.03
£100.44
3.6%-
*Operating income and operation margin were not disclosed in trading statement released online.
WPP By Region (Revenue £m)
rthree.com
Three months ended in
September 30, 2015
Three months ended in
September 30, 2015
Change %
North America
1,091
945
15.45%
United Kingdom
435
404
7.25%
W Cont. Europe
552
574
-5.63%
AP, LA, AME, CEE
849
840
0.27%
Total Group
2,927
2,763
4.14%
HAVAS (PA:HAV) 3Q15 Organic Growth of +5.5% in line with forecasts.
Havas maintained strong momentum over the first nine months of 2015,
with Europe taking the lead in reported revenue growth (+15.4%), North
America is the real powerhouse for Group results, generating regional organic growth of +8.5%. Asia-Pacific has also made significant progress,
achieving an organic growth of +6.4%, followed by Europe’s robust performance of +4.7% in organic growth.
The highlight of the quarter is Havas’ striking move to acquire FullSix, making it the biggest acquisition in fifteen years for the purchase of the Paris-based digital communication group for around $75 million. In fast growing
markets, Havas acquired Riverorchid, a network of agencies in Indochina,
among other deals within the region. Having become more acquisitive in
this quarter, we may expect to see Havas deliver robust inorganic as well as
organic growth in the remaining months of the year.
Havas Financial Statement (€m)
2015 Q3
2014 Q3
Change %
Revenue
516
447
15.4%
Stock Price
€7.29
€6.12
19.1%-
*Operating income and operation margin were not disclosed in Havas’ latest press release.
Havas By Region (Revenue €m)
Three months ended in
September 30, 2015
Three months ended in
September 30, 2015
Change %
Europe
243
222
15.45%
North America
191
145
7.25%
APAC & Africa
45
38
-5.63%
LATAM
37
42
0.27%
Total Group
516
477
4.14%
7
90 days of M&A
Among the M&A wave in 3Q15; WPP continued its appetite with acquisitions and invested in 13 agencies around the globe. The Group was especially acquisitive in its most revenue-generating region. North America (4
deals in 3Q15). Among the third quarter M&A spree, the most expensive
deal goes to WPP’s joint acquisition of Chime Communications for a price
of around $437m. Albeit, Havas’ striking move to acquire FullSix has also
left quite an impression as it’s the biggest acquisition in fifteen years for the
advertising group.
2015 HOLDING COMPANY M&A LEAGUE
Global / September 2015
Rank This
month
Rank Last
Month
Holding Group
Recent Acquisitions
Total Sales Value
(US$m)
Number of
deals
1
1
WPP
Ideal Group Brazil, Jüssi Brazil, nudeJEH Thailand, Rapid Media Service Australia
1,001
24
2
2
LEO Group
Wan Sheng Wei Ye China, Mi Age China
480
2
3
3
Providence Equity
Clarion Events UK
336
1
4
4
Dentsu
Premier Media Ghana, Adams Media Ghana,
Synergy Medical Communications Japan,Redirect
Digital Marketing Brazil
331
17
5
5
Publicis Groupe
The Creative Council Group (TCC) South Africa,
2DataFish Australia, Domani US
222
9
6
6
Havas
FullSix France, Riverorchid Vietnam, Just:: Health
Communications UK
193
5
7
-
GMIC
Bluedoor Digital China, Shengguangxianfeng (省
广先锋) China, JntMedia China
141
3
8
7
Montgomery Group
AidEx UK
84
1
9
8
BlueFocus
Jiemian China, Domob China, Madhouse China
70
4
10
9
Simei
Aidekangsai (爱德康赛) China
54
1
11
10
Clarion
Urban Expositions US
32
1
12
11
Accenture
PacificLink China HK
28
1
13
12
Tarsus
PAINWeek US
28
1
14
13
DC Thomson
ShortList Media UK
27
1
15
14
Liantronics
Airmedia China
25
1
3,051
rthree.com
72
New Business League
Wieden + Kennedy continue to lead the creative table, picking up RB’s
Nurofen globally along with more work from P&G. In close pursuit are Ogilvy
and DDB. Starcom also rose to the top of the media agency league off the
back of their global Visa win, and BMW in China.
2015 CREATIVE AGENCIES NEW BUSINESS LEAGUE
Global/September 2015
Rank This Rank Last
month
Month
AGENCY
Recent WINS
ESTIMATED
YTDWIN REVENUE Recent Losses
(USD $ m)
1
1
Wieden & Kennedy
Nurofen Global, Secret Deodorant Global, Cadbury UK
173.5
2
2
Ogilvy
Coca-Cola US, Morton Salt US, SanQuan China
139.7
3
3
DDB
Lifelock US, H&M David Beckham Global, Pears
Skincare Global
119.6
4
6
BBDO
Subway US, Priceline.com US, Humana US, Priceline
US, Pepsi US
5
4
McCann WorldGroup
6
5
7=
Heineken US
ESTIMATED YTD Number of
WIN REVENUE
wins
(USD $ m)
125.6
18
91.9
665
Bouygues Telecom
France
83.4
228
151.1
Aviva Global
83.1
77
LATAM Airlines Group Global, Admiral Insurance UK,
Picturehouse UK
93.9
Coca-Cola Brazil
82.6
312
J Walter Thompson
Emirates UK&US, Coca-Cola Brazil, Cargill Brazil, Asus
China
85.4
Royal Caribbean
Cruises UK
60.6
225
8
72andSunny
Coors Brand US, General Mills(Totino's) US, Axe / Lynx
Global, Adidas US
57.0
57.0
4
7=
7
Grey Group
Pernod-Ricard US, Best Buy US Project, Graffigna
Wines US
60.3
Kellogg's Singapore
57.0
51
9
10
Havas Worldwide
Kmart US, Westfield Centres(CRM) Global, R&B Foods
US
79.0
Nurofen Global
41.6
16
10
-
Kolle Rebbe
O2 Germany, Krombacher beer Germany, Netflix
Germany
33.4
33.4
3
11
-
BETC
Bouygues Telecom France, Ubisoft EMEA, Sephora
Europe
34.3
Diet Coke UK
32.3
6
12
18
Publicis
Sears US, Samsonite Europe, Qihoo360 India, Ninho(digital) Brazil
48.9
Hilton Hotels US
29.6
243
13
9
AKQA
Verizon(Digital) US, Delta Airlines(Digital) US, Volvo
Cars Global
28.0
28.0
3
14
13
Dentsu
Acura China, Wanglaoji China, Ferrero Australia
Project
31.0
26.6
206
15
14
Mullen Lowe
Ulta Beauty US, California Avocados US, GAP LATAM
34.1
26.3
98
16
11
R/GA
Signal (digital) Global, Jet.com US
37.7
25.7
8
17
15
Y&R
GAMEVIL Japan Project, Baxters Soups UK, Transbank Chile
56.2
Lloyds Bank UK
22.8
131
18
12
Saatchi & Saatchi
FWD Insurance APAC, Bathstore.com UK, The Big
Issue UK
28.7
Samsonite Europe
21.5
16
19
17
CP+B
PayPal Global, Braintree US, Betsafe Global
18.6
18.6
15
20
19
RPA
Apartments.com US, Tempur Sealy US, AMPM US
17.9
17.9
4
965.3
2,329
Midea International
Hong Kong
Moet Hennessy
Taiwan
The Laughing Cow
Vietnam
Volvo Cars(digital)
Global
9
2015 MEDIA AGENCIES NEW BUSINESS LEAGUE
Global/September 2015
ESTIMATED
overall YTD
REVENUE
(USD $ m)
Number of
Wins
GSK Global
96.4
61
99.1
Jenny Craig Australia
96.0
123
Mondelez NA/EU/APAC, Lionsgate
UK, Barbeques Galore Australia
100.8
DHL Global
88.3
391
Universal McCann
Johnson & Johnson US, CVS US, Sime
Darby Motors APAC
89.0
BASF Global
63.2
304
4
Havas Media
Sears US, National Association of
Realtors US, Virgin Atlantic UK
81.0
Sears US
60.8
133
6
20
Mindshare
General Mills Global, Booking.com
North America, Lee Kum Kee China
68.7
Sime Darby Motors
APAC
42.7
77
7
7
Canvas Worldwide
Hyundai Motor US, Kia Motor US
35.0
35.0
2
8
10
Dentsu Media
Japanese Govt Japan Project,
FAW-Volkswagen Magotan China
Project, Suzuki India
21.0
Kurl-on India
19.5
179
9
8
Mediacom
Betfair Europe, Haven Holidays UK
47.5
EA Games Global
17.3
168
10
9
Vizeum
BBC Australia, PedidosYa Argentina,
Krung Thai Bank Thailand
23.6
DHL Global
16.3
138
11
12
Horizon Media
Lindt US, STX Entertainment US, ABC
TV (digital) US
14.3
Manufacture Client US
11.5
7
12
11
OMD
Realogy US, FCA UK, Beiersdorf
Canada
102.7
Johnson & Johnson US
11.4
174
13
13
BPN
Tyson US, Emblem US, CCU-Ecusa US,
Propaís Colombia
11.0
11.0
16
14
15
360i
Spotify US Digital, LongHorn Steakhouse US, Eurostar UK
3.7
3.7
3
15
16
GDAD
Dongfeng Yueda Kia China
2.5
2.5
1
16
17
Resolution Media
3M US, Texas Instruments US
2.1
2.1
2
17
21
Blue 449
David Lloyd Leisure UK, Carphone
Warehouse UK
4.2
1.9
4
18=
19=
Doner
Highmark Health US
1.5
1.5
1
18=
19=
CrossMedia
GNC US
1.5
1.5
1
20
18
The7Stars
Prostate Cancer UK, Iceland UK,
Victoria Plumb UK
2.9
1.4
5
583.8
1,790
Rank
This
month
Rank
Last
Month
Recent wins
Estimated YTD
win revenue
(Usd $ m)
1
3
Starcom MediaVest
Citigroup Global, Mondelez EEMEA &
LATAM, Meijer US, Valspar US
132.7
2
1
PHD
Unilever Australia, GSK Global, Nativa
South Africa
3
5
Carat
4
2
5
rthree.com
Agency
Recent Losses
Halfords UK
Uniqlo UK
HOLDING COMPANY
NEW BUSINESS LEAGUE
For the first time this quarter, we have combined more than 4,500 new
business wins (and losses) from across more than 200 creative, media
and digital agencies to produce the first ever global New Business League
by Holding Company. Whilst WPP leads the way in terms of total revenue
(US$300m), both IPG and Havas are experiencing the strongest revenue
lifts as a percentage of their 2014 revenue. We will continue to update this
every three months.
2015 NEW BUSINESS LEAGUE HOLDING GROUP RANKING
Global/August 2015
RANK
THIS
MONTH
RANK
LAST
MONTH
1
-
2
ESTIMATED CREATIVE
YTD REVENUE
ESTIMATED MEDIA
ESTIMATED OVERALL
YTD REVENUE
AS % OF 2014 REVENUE
NO.OF WINS
WPP
302.1
-2.0
300.1
1.7%
1,329
-
Omnicom
117.0
108.2
225.2
1.5%
678
3
-
Interpublic
162.4
55.8
218.2
2.9%
873
4
-
Publicis
47.1
80.7
127.8
1.5%
508
5
-
Dentsu
31.8
78.2
110.0
1.9%
864
6
-
Havas
26.9
44.3
71.2
3.3%
129
1,052.6
1.9%
4,381
HOLDING GROUP
11
CMOs on the Move
Chris Carroll has recently joined Subway as the Chief Marketing Officer.
Carroll served as SVP of global marketing for Subway more than a decade ago, leaving the company in 2005. More recently he held a position
as EVP/chief client officer at Zimmerman. Since his first stint at Subway,
he has also held marketing roles at Liberty Tax Service and Cosi. Carroll
will see the company through its current creative review.
CHRIS CARROLL
CMO, Subway
FIONA CARTER
svp/head of brand marketing,
advertising and sponsorships.,
AT&T
PETER HORST
CMO, Hershey
rthree.com
Fiona Carter has recently joined AT&T as the svp/head of brand marketing, advertising and sponsorships. Carter brings an extensive history in
the agency world to the role. Prior to AT&T, she spent more than 12 years
with holding company Omnicom where she served as managing director
of BBDO’s New York office for ten years before accepting the role of chief
operating officer at the holding company’s diversified agency services
group. While at Omnicom, she worked with some of the world’s largest
brands, including Procter & Gamble, GE and Bank of America. Beginning
at the end of October, Carter will oversee all brand marketing, advertising creative and sponsorship projects as well as basic media strategy
and placements.
Peter Horst has been named Hershey’s new CMO. Horst’s most recent
role was senior VP for brand marketing at Capital One Financial Corp,
and previously was CMO for Capital One Bank. He has also spent time
at General Mills, Verizon Business Online and Ameritrade. Mr. Horst succeeds Mike Wege, who has been appointed senior VP-chief administrative officer. The change comes in the face of an impending cost-cutting
initiative, and struggling sales in China, following the Golden Monkey
acquisition.
Linda Boff has been named the new chief marketing officer of GE. Boff
has been with GE since 2003, and was formerly their executive director
of global brand marketing, focusing on digital marketing initiatives and
media partnerships. Her prior positions include CMO at NBC’s iVillage,
as well as working with Citigroup, the American Museum of Natural History, and other marketing agencies.
LINDA BOFF
CMO, GE
MATT JAUCHIUS
Matt Jauchius has joined Hertz as executive vice president and CMO. Prior to Hertz, Jauchius led marketing at Nationwide. His other earlier roles
include associate principal at McKinsey & Company, working with client
marketing organizations across a number of business sectors. Jauchius
will lead marketing strategy for several brands, including Hertz, Dollar,
Thrifty and Firefly, including customer experience, e-commerce, loyalty
program, customer relationship management, social media and ancillary revenue generation efforts worldwide.
CMO, Hertz
Ms. Mukherjee joins SC Johnson as CMO from her former role, President
of the Global Snacks Group and PepsiCo Global Insights. She joined the
Pepsi in 2005 in the Frito Lay division where she oversaw marketing, new
product innovation, consumer insights and strategy. Prior to PepsiCo,
she worked in brand management and marketing at Kraft and Citibank.
ANN MUKHERJEE
Global CMO, SC Johnson
DEAN EVANS
Evans joins Hyundai as the US CMO from his most current role of CEO of
LotLinx Inc. His hiring marks the end of Hyundai’s nine month run without a marketing leader. Mr. Evans was chief marketing officer at Subaru
of America Inc. until spring 2014, where he was known a digital specialist who put a heavy focus on online advertising. He is credited with
raising Subaru’s digital marketing spends from 15% of the total budget
to 25%. Evan’s appointment comes at a critical time for Hyundai, as they
finished 2014 with just under a 1% sales growth
US CMO, Hyundai
13
Agency People Movement
This quarter saw a lot of movement amongst senior Holding Company and
Agency Leaders. For the full results of changes, see below:
CHRIS FOSTER
SVP Global Clients, Publicis Groupe
Publicis Groupe recently appointed Chris Foster to the role of senior vice president, global
clients. Foster comes from Saatchi & Saatchi, where he served as worldwide chief operating officer for the past eight months, in addition to chairman and regional CEO for
Asia-Pacific and Greater China for over four years. During his tenure at Saatchi & Saatchi,
he worked with such brands as Cascade, Olay, Tide, Ajax and Pampers.
SIMON BOND
Chief Growth Officer, IPG
Bond joins IPG from rival holding group Omnicom’s BDDO. The Chief Growth Officer position was newly created to drive Interpublic’s growth “across the network.” He has spent
the last 15 years at BBDO, most recently as the Global Chief Marketing Officer. His responsibilities have covered several regions, including North America, Asia Pacific, Middle East
and North Africa, and he has worked closely with such brands as Emirates, Bacardi, Wells
Fargo, Footlocker, and more.
DAVID TANG
Asia CEO, DDB Worldwide
DDB Worldwide has appointed David Tang as the agency’s new chief executive officer in
Asia. Tang is currently the CEO of DDB Group Singapore, a role which he will continue to
hold. In addition, he will be responsible for managing DDB offices in Southeast Asia, Greater China, Japan & Korea, following the retirement of John Ziegler, a longtime stalwart for
the agency in the region.
GUILLAUME HERBETTE, CEO
MSLGROUP & Executive VP of Publicis Worldwide
Herbette was named CEO of MSLGROUP, Publicis Groupe’s Strategic Communications and
Engagement Company, and executive vice president of Publicis Worldwide. He comes from
his current role as global vice chairman of operations at Omnicom PR agency FleishmanHillard, where he has been since 1998. In this new position, he will be tasked with creating
more seamless ways of working with all Publicis Groupe brands.
MARCELLO SERPA and JOSE LUIZ MADEIRA
Leave AlmapBBDO
Marcello Serpa and Jose Luiz Madeira are leaving AlmapBBDO. The duo are credited with
establishing the São Paulo-based agency under BBDO and have been there for 22 years.
It has become one of the world’s most prominent agencies, with clients including Pepsi,
Visa, Audi Brazil, Bayer, M&Ms, HP, Twix, Pedigree and Snickers. Mr. Serpa is a Clio Lifetime Achievement Award recipient, and Mr. Madeira is an inductee of the Academia Brasileira de Marketing Hall of Fame.
rthree.com
DAVID KOLBUSZ
Chief Creative Officer, Droga5
Daivd Kolbusz has joined Droga5 from Wieden + Kennedy, New York, where he served as
executive creative director. Kolbusz replaces London office founder Nik Studzinski, who
left to join Karmarama as CCO in May. Prior to W+K, Kolbusz was with BBH London as a
partner, creative director and then deputy executive creative director. Prior to joining BBH
he spent three years as GCD with Goodby, Silverstein & Partners.
DANIEL CHU
Chief Creative Officer, Possible
Creative agency, Possible, has announced the appointment of Daniel Chu as Chief Creative Officer. Chu comes from a four year stint as executive vice president of Deutsch L.A.,
where he worked closely with brands such as Volkswagen, Taco Bell, Sprint, Target, and
Snapple. Previous positions include SVP, executive creative director at Momentum Worldwide, executive creative director at PMK/HBH, and associate creative director at R/GA. As
COO, Chu will lead integration and alignment across the agency.
AMY KEAN,
Regional Director Strategy of APAC, Mindshare
Mindshare has hired Amy Kean, former head of futures at Havas Media, as its regional
director, strategy of Asia Pacific. Before Havas Media, where she was founder and MD of
Havas Media Labs, Kean was senior PR and marketing manager, and head of the Interactive Advertising Bureau’s social media council in the UK. She will be moving to Singapore
in November to fill this newly created role.
MICHAEL FROHLICH
CEO EMEA, Ogilvy PR
Frohlich, who joined Ogilvy in 2012, became chief operating officer for the EMEA region in
February. He will continue to act as UK CEO for the company in addition to his new EMEA
duties. Frohlich’s first task in his new role will be to create a five-year plan for Ogilvy PR in
the EMEA region. Ogilvy PR’s recent growth has been powered by new operations in South
Africa and Kenya, along with the integration of the Memac Ogilvy PR network in the Middle
East.
PULLY CHAU
COO Greater China, Cheil
Cheil has recently hired Pully Chau as the Chief Creative Officer for Greater China. Chau,
who has 30 years’ experience in the business, was most recently at FCB where she was
Greater China chairman and CEO. Previous roles include stints at FCB, Saatchi & Saatchi
and DMB&B. Pully will report to Aaron Lau, President of International, Cheil Worldwide and
CEO & President of Cheil Greater China.
15
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