The world's largest advertising agency Omnicom and Publicis together

The world's largest advertising agency Omnicom and Publicis together

       The world's largest advertising agency Omnicom Group and Publicis Groupe on Sunday announced their merger. At present, the global advertising market has three world leaders - of WPP, Omnicom and Publicis, and the first in scale and performance ahead of the last two. However, united, Omnicom and Publicis become the new world leader in the advertising industry. Omnicom On Sunday, the American and the French Publicis said that they work together to create a company Publicis Omnicom Group, which is the market share of 35.1 billion dollars. In turn, WPP is a smaller market share. Experts say the deal - this is yet another signal of the observed industry consolidation, as well as signal transformation the advertising industry, which is moving toward digital technology and more and more focused on Internet companies such as Google or Facebook. 

        "This is a new company for the new world," - said the head of Publicis, Maurice Levy, announcing the merger of advertising agencies. Levy says that now the market place dramatic change, creating a new world of communications, "creating new media giants is the explosive growth of Big Data that provokes a complete change of consumer behavior. " the company says that advertisers invest more resources in digital communications and advertising increasingly tied to consumer behavior, in addition to the world there is a sharp difference in the perception and understanding of advertising, which should also be taken into account. Earlier, WPP and actively promoted in digital and online advertising, buying smaller players in the market of digital advertising, such as LBI, Razorfish and Digitias.

        Also in the sector in recent years there have been other major transactions, such as combining Japanese and British Dentsu Aegis by buying over the last five billion dollars. known that the headquarters of the combined company will be located in Paris, to lead the combined Publicis Omnicom will Maurice Levy. companies say that the unification talks actually began six months ago, and at first many took it as a joke. Now, the combined company's revenues to 22.7 billion dollars against 15.95 billion at WPP.

       Also, the two companies said they hope to synergies of $ 500 million from the merger, they do not plan to carry out staff reductions. Recall that the structure consists of Omnicom agencies such as BBDO, TBWA Worldwide and OMD, while at Publicis - Leo Burnett , Saatchi & Saatchi, as well as Starcom Mediavest. As the number of active advertisers the combined company include McDonald's, PepsiCo, L'Oreal, Procter & Gamble, Renault and others.