Wednesday , March 22 2023

WPP to join & # 39; J Walter Thompson and Wunderman


WPP is joining its agencies & # 39; J Walter Thompson and Wunderman services to simplify the group & # 39; marketing and communications offers customers as the advertising industry to beat with technological disruptions and a new generation of & # 39; competitors.

The group, which confirmed the Financial Times report on the agreement, said the merged entity would be known as Wunderman Thompson. The combination is the latest attempt by WPP to simplify in response to customer requests on its highly complex structure.

WPP was built by & # 39; acquisition by the former chief executive Martin Sorrell and consists of dozens of & # 39; companies that specialize in buying and planning media, data analytics and work & # 39; creative advertising for clients.

However, the group and peers, as Publicis, is streamline their operations to appeal b & # 39; most effective way to bigger brands to buy advertising. WPP has already announced plans to combine the agencies Young and Rubicam and VML as part of a push softened by Mark Read, its new chief executive.

The combination of & # 39; JWT and Wunderman, which already share common customers such as Bayer and Unilever, is the latest step in & # 39; this direction, according to people informed about the plans.

"Customers want greater simplicity by their partners", said Mr. Read, and added that the merger was "designed to recast our company about their needs".

Mel Edwards, currently chief executive of & # 39; Wunderman, will be chief executive of the new company. Tamara Ingram, chief executive & # 39; J Walter Thompson, will become president.

The merged agency employs 20,000 people in 90 market worldwide. It is unclear how many jobs will be cut as part of the deal, but the combination means the end of & # 39; JWT as name & # 39; separate advertising and brand.

The agency is one of the oldest industry. It started in the United States and was the first to expand internationally, and opened the office & # 39; London in 1899. He created the first "test kitchen" to its customers, which, in 1920, is accredited popolarizza the grilled cheese sandwich for Kraft. Unilever has a customer & # 39; JWT for over 115 years.

The merger comes as WPP grapples with the share price still has not recovered after having fallen more than 10 percent last month. The decline coincided with & # 39; first quarterly results & # 39; Mr. Read as chief executive, when called for "radical thinking" to reverse & # 39; back slide & # 39; year in earnings.

Nevertheless, scored a victory this week when they landed the creative account & # 39; Volkswagen in North America & # 39; On. The shares & # 39; WPP closed 3.3 percent higher on Monday at 881.2p.

The advertising landscape has been updated by Google and Facebook, attracting more new digital spending, as well as the emergence of & # 39; new competition in & # 39; & # 39 form; consultancies like Accenture, which ended in space that big ad companies & # 39; like WPP advertising used to have themselves.

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