Join us Sept. 24 in NYC to connect with execs from Digitas, Claire's, Marriott, Havas and others
At the Mobile World Conference in Barcelona last week, Sir Martin Sorrell, founder and CEO of WPP, sat down with Beet.TV to answer one question: what impact has performance marketing had on the industry?
Here’s what we learned from his four minutes in front of the camera. Watch the video below and get the full story.
Digital is almost 40% of WPP’s revenues
Ten years ago, WPP saw zero revenue from digital. This isn’t a surprise: Facebook was in its infancy and ad servers were the realm of Silicon Valley, not Madison Avenue. The growth, however, is impressive, especially for a global holding company. WPP also recently released its new business numbers, beating out its competitors Omnicom and Publicis to rake in $7.9 billion in new business.
Advanced technology partnerships are how agencies are getting ahead
It isn’t enough to simply partner with a technology platform. Agencies that succeed on mobile build their own stacks. Sir Martin mentions Xaxis, the global agency trading desk that it launched with GroupM in 2011, as a key driver in WPP’s success over its competitors. He also mentions AppNexus, the trading desk in which WPP invested $25 billion in 2014 and Light Reaction, RenTrak and comScore.
Multiple walled gardens are better than one
iOS and Android will continue to fight it out for consumer preference, and Sir Martin says that having this choice is “valuable” from an agency standpoint.
Data will be judged by the three Vs: value, validation and viewability
Keith Weed, CMO of Unilever and WPP’s largest client, has said data should be judged by the above criteria. “Viewability on Google and Facebook is critically important,” says Sorrell.
Agencies will have to lead the charge with ensuring data quality for their clients
Calling Facebook and Google an agency’s “frenemies,” Sir Martin says that agencies will have to ensure that the data they deliver to clients is valuable. This puts the onus squarely on agencies to be client advocates, not mere purveyors of ads. In turn, this will require agencies to become smarter about data.
More from Digiday
Some creators want to negotiate deals like TV networks
Creators have been brought onto traditional upfronts within the last year, but it’s looking like they’re ready for their own show.
Ad Tech Briefing: Google’s ad tech remedies arrive just as the platform battle moves to AI
Regulators are prising open Google’s programmatic machinery just as AI, commerce and ad tech players race to control more of the advertising stack.
How Semafor is redefining the head of video role
As Semafor’s head of video, Adam Banicki sits at the intersection of the newsroom and the commercial team, reporting to the editor-in-chief with a dotted line to the revenue side.