Sir Martin Sorrell on the reasons why POG collapsed
The WPP Chief had predicted the failure of the Publicis-Omnicom merger last year at the exchange4media Conclave. The POG merger collapse vindicates his reasons for why this was actually "a merger of unequals"

The collapse of the $35 billion merger deal between Publicis Groupe and Omnicom Group, announced last week, has elicited sharp reactions from the advertising industry around the world.
As is known, the deal has been called off a little over nine months after Publicis and Omnicom announced plans to team up in what was termed as “merger of equals”.
Publicis Groupe and Omnicom said that the decision to call off the deal was mutual, following “difficulties in completing the transaction within a reasonable timeframe”. Both the parties have released each other from all obligations with respect to the proposed transaction, and no termination fees will be payable by either party.
The failure of the mega marriage vindicates what Sir Martin Sorrell had predicted last year, when he termed it as ‘POG’ and called it “a merger of unequals”.
In July last year, Paris-based Publicis and New York-based Omnicom came together, in a gigantic move that was perceived by the media industry as an attempt to become number one , a place occupied by WPP. Sir Martin unhesitatingly remained unaffected and cited reasons why the merger would fail at the exchange4media Conclave last September.
Confused Leadership?
These seemed to be a lack of clarity in leadership to begin with, felt Sir Martin. Questions like – Who will be the new CEO? How can the Co-CEO structure be maintained? How will the dual-management structure function? – remained unanswered.
The merger was not merely of two networks, but two disparate nations and cultures. Could Maurice Lévy, a French man and CEO of Publicis, work in harmony with American John D Wren, CEO of Omnicom Group. The personalities of the new Co-CEOs were indeed very different. “The organisational structure, where there is a co-chairman or rotating chairman, won’t last,” Sir Martin had predicted.
Ambiguity in the location of the new CEO
Since the Omnicom Group is an American global advertising, marketing and corporate communications holding company, headquartered in New York City, while Publicis Groupe is a French multinational advertising and public relations company, headquartered in Paris, where would the headquarters ultimately be? Would this mean that the French iconic company is being handed over to the Americans or is it the other way round, asked Sir Martin.
Would the all important clients and employees be happy with this marriage?
According to the WPP Chief, clients and employees have not been articulated the benefits. There was a vacuum in explaining the deal to internal and external customers.
This seems like a classic case of ‘I told you so’, but did Sir Martin expect the merger to be called off so soon?
“We thought that it would at least last till July, but the pressures were so intense. They were losing clients and people, the strategy was not thought through well, as predicted, there were people and client issues. Both companies have been saying they are both independently strong, which brings us to the question of ‘why bother to come together at all?’ The way things have panned out must have cost them over a $100 million, it reflects on the quality of decision making,” he observed, speaking to exchange4media exclusively post the announcement of the failure of POG.
In the meanwhile, WPP has by no means lost any time and has accelerated its targets in fast growth markets from 40 per cent to 45 per cent, simultaneously keeping a steady momentum small- and medium-sized deals. “A merger cannot take place for emotional or egotistical reasons, strategic rationale, good planning and execution are must, and your eyes are not bigger than your tummy,” concluded Sir Martin on the learnings from the failure of POG.
No guesses on who is having the last laugh on the failure of this mega marriage.
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E4M Our strategy is to target younger audiences through Sports: Rajiv Dubey, Dabur
The Head of Media at Dabur India spoke exclusively to exchange4media on the World Cup, associating with Indian Idol, the company’s digital spending and much more
With quirky campaigns, memes and moment marketing, timed with the ongoing World Cup and particularly the India-Pakistan matches, Dabur India has got considerable consumer attention for its popular brands – Red Paste, Cool King Hair Oil, Chyawanprash, Dabur Vita and the recently launched Bae Fresh Gel toothpaste.
The 140-year-old company is going big on key sporting events, World Television Premiere (WTP) movies and reality shows. It is now gearing up to become the title sponsor of popular talent show ‘Indian Idol’ on Sony TV for the first time, shared Rajiv Dubey, who leads the media strategy at Dabur.
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Swapan Seth's new book 'COOL' is out
The book is a reflection of the author's 'eclectic taste across categories'
Advertising professional and art collector Swapan Seth has announced the launch of his new book COOL. The book is described as "a ready reckoner to the hip and the happening, of the known and the very unknown."
The book is a reflection of the author's "eclectic taste across categories: from boltholes to exotic hideaways."
COOL has been published by Simon & Schuster India and is available on Amazon.
Seth is an ad veteran with a long and illustrious career in the industry. He became the youngest-ever Creative Director at Clarion at age 24. He was VP at 26 at Trikaya Grey. Two years later, he started his agency Equus.
He writes for publications such as The Economic Times, Hindustan Times and India Today. This is his second book and he has previously published THIS IS ALL I HAVE TO SAY.
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Disney Star signs 9 sponsors for Asia Cup PAK
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up come on board
e4m Staff Disney Star has signed nine broadcast and digital streaming sponsors for the upcoming Asia Cup.
Charged by Thums Up, Nerolac Paint+, Amazon Pay, Jindal Panther, My11Circle, MRF, Samsung Galaxy Z Flip5, Wild Stone and Thums Up have come on board for the upcoming tournament.
As reported earlier by exchange4media, Disney Star has sought Rs 26 crore for the co-presenting sponsorship on TV and Rs 30 crore for Disney+ Hotstar.
According to industry sources, the associate sponsorship on Star Sports has been priced at Rs 19.66 crore, whereas for the ‘powered by’ sponsorship on Disney+ Hotstar, the broadcaster is seeking Rs 18 crore.
As per the information available with exchange4media, Disney+ Hotstar has three sponsorship tiers-- co-presenting (Rs 30 crore), powered by (Rs 18 crore) and associate sponsorship (Rs 12 crore). The broadcaster is offering an estimated reach of 120-140 million for co-presenting sponsors, 90-100 million for powered by and 60-70 million for associate sponsorship.
A spot buy for 10 seconds has been priced at Rs 25 lakh for the India vs Pakistan matches, while for the non-India matches, the ad rate for 10 second is Rs 2.3 lakh. The India matches plus the final for ODIs has been priced at Rs 17 lakh per 10 seconds.
Asia Cup is scheduled to be held from 30 August, 2023, to September 17, 2023.
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Sorted 360 wins creative & social media mandate of Reliance Mall
The agency will manage offline and online campaigns for Reliance Mall
Sorted 360, an integrated creative and social media agency, has won the mandate to providing brand solutions for Reliance Malls across India.
“Sorted 360 is set to enhance Reliance Malls' market presence with their unparalleled creative prowess and strategic thinking,” read a press release.
“Sorted 360's commitment to pushing the boundaries of creative communication aligns perfectly with Reliance Malls' ethos. With a pan-India presence spanning across 19 cities and growing, Reliance Malls has consistently captivated customers by offering an array of Reliance brands and third-party fashion & lifestyle brands. The mall has established an unparalleled connection with its patrons through superior quality, a remarkable value proposition, and an unmatched shopping experience,” it read further.
"We are thrilled to welcome Sorted 360 as our trusted partner in advancing our brand presence across the nation," said the Head of Marketing at Relaice Malls. "Their proven expertise in retail, shopping center management, and innovative creative strategies make them the perfect fit for our vision."
"Partnering with Reliance Malls is a testament to our commitment to shaping extraordinary brand experiences," remarked Prerana Anatharam, Co-founder of Sorted 360. "We are excited to leverage our strategic and creative acumen to further elevate Reliance Malls as the epitome of convenience, choice, and excellence."
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KlugKlug onboards Hemang Mehta as Country Manager for Indias
Mehta was most recently Head of Agency Relationships at Network 18 Media & Investments
KlugKlug has appointed Hemang Mehta as its Country Manager for India.
Mehta will play a pivotal role in driving KlugKlug's growth and expansion within the Indian market and be responsible for Sales & GTM Strategy
Prior to that, he has also represented organisations like Exponential (now VDX.tv), India Today Digital and Rediff.com. His expertise spans various domains including digital media sales, mobile marketing, media planning, and buying, social media marketing, and more.
Hemang Mehta expressed his enthusiasm about joining KlugKlug, saying, "I am thrilled to be a part of KlugKlug, a forward-thinking platform that is reshaping the influencer marketing landscape. As much as I look forward to collaborating with the exuberant team at KlugKlug, I am super excited to interact with the brands to deliver powerful data-backed Influencer solutions that will guarantee business outcomes."
Commenting on the appointment, Kalyan Kumar, Co-Founder and CEO of KlugKlug, stated, "We are excited to welcome Hemang Mehta to our team as the Country Manager for India. His extensive experience in digital media sales and marketing will be instrumental in driving our efforts to provide influencer marketing solutions to our clients. We believe Hemang's leadership will be key in scaling our operations and expanding our reach within the Indian market."
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