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The agency’s purpose is “making brands matter,” he added. The advertising agency sector is dealing with various headwinds, from clients cutting costs to concerns over ad-buying transparency to the rise of tech giants such as Facebook and Google. In reaction, WPP and other advertising agency holding companies have been moving to align their separate agencies to make their offerings more efficient and allow clients to handpick the talent they work with across their various units. At WPP, this approach has been referred to as “horizontality,” and it’s a strategy that has led to it forming groups such as “Team Energy,” which brought together handful of agencies, including Ogilvy, to retain the BP client in May this year following a competitive review. While agencies are fusing together to form new “teams,” the different agency brands within the holding companies are still important to clients, Mr. Seifert said. WPP co-chief operating officer Mark Read, who moved into the position following the departure earlier this year of the holding company’s former CEO, Martin Sorrell, said in an April interview the company’s focus was on strengthening its business in North America . He said WPP’s creative agencies “are the ones most challenged by all the changes going on in our business.” WPP reported a 0.1% decline in like-for-like net sales—a measure used to judge its underlying performance—in the three months ended March 31. Aside from the new branding and structure, Ogilvy is launching a software platform called Connect, to help employees across the network collaborate. It acquired the software in March from a learning management platform called Fuse. Publicis Groupe is launching a similar platform called Marcel later this year, which it is developing with Microsoft and it says is powered by artificial intelligence.
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