One of the overarching effects of the pandemic has been the acceleration of digital transformation throughout the economy and society. A sharp increase in the amount of retail sales made digitally drove digital ad spending last year and boosted the long-term prospects for digital advertising.
The shift in ad dollars to digital, including email marketing, social media and programmatic ads, is giving rise to high-growth digital marketing agencies; however, there are still many traditional advertising and creative agencies adapting to the digital-focused landscape.
We looked at the top advertising agencies and marketing companies around the world by revenue.
According to December 2020 data, WPP raked in nearly $17 billion in revenue in 2019, cementing its position as the top advertising competitor. Describing itself as a creative transformation company, WPP offers its clients communications, technology and business services.
In 2021, the advertising giant announced that its majority-owned subsidiary, Finsbury Glover Hering Corporation and Sard Verbinnen & Co (“SVC”) have merged to provide more strategic advice at the board level, particularly in fast-growing sectors such as healthcare, renewable energy and DE&I.
TYPES OF COMMUNICATION AGENCIES
There are different types of communication agencies: generalist, such as global communication agencies and specialized: digital communication agency, web agency, communication consulting agency, HR communication agency, advertising agency, press relations agency, event agency, graphic design agency, etc.
Omnicom Group generated $15 billion in revenue in 2019, taking second place for the leading advertising agency. The global digital marketing leader serves more than 5,000 clients in over 100 countries.
Last year, Omnicom made Fast Company’s 2021 Most Innovative Companies list as the only holding company to have three agencies (Goodby Silverstein & Partners, TBWA and BBDO) ranked in the top 10 of the advertising industry.
Publicis Groupe reported $12.3 billion in revenue in 2019 and says its continued growth in the U.S. is being driven by increased digital media spending and the surprising success of its Epsilon data business. In the midst of the pandemic, Epsilon’s ability to help Publicis clients activate their first-party data has proven invaluable.
And in 2021, Epsilon and The Trade Desk partnered to make their user ID products interoperable. The partnership indicates that Publicis has not given up on cross-domain tracking at the user level and sees value for its clients by engaging in such targeted advertising.
This digital agency has grown its marketing and advertising business to $10.3 billion in revenue in 2019. It is widely known for its ability to deliver experiences and realities by connecting business insights with potential technologies.
Throughout 2021, Accenture Interactive is engaged in a series of acquisitions with the goal of enhancing business experiences and improving transformation services. Most recently, it acquired Japan-based Tambourine, an e-commerce customer experience agency with about 70 employees that specializes in leveraging Salesforce’s cloud-based technology for enhanced digital services.
Generating just over $10 billion in revenue in 2019, the U.S.-based advertising company is made up of five major networks – FCB, IPG Mediabrands, McCann Worldgroup, MullenLowe Group and Marketing Specialists. These companies specialize in advertising, digital marketing, communications planning, media, public relations and specialty marketing.
In 2021, TikTok announced a three-year partnership with IPG Mediabrands to launch a “Creators Collective.” The program connects TikTok creators with IPG Mediabrands clients to provide feedback and advice on campaign strategies, emphasizing the importance of short-form video marketing and mobile advertising.
This digital agency has grown its marketing and advertising business to $10.3 billion in revenue in 2019. It is widely known for its ability to deliver experiences and realities by connecting business insights with potential technologies.
Throughout 2021, Accenture Interactive is engaged in a series of acquisitions with the goal of enhancing business experiences and improving transformation services. Most recently, it acquired Japan-based Tambourine, an e-commerce customer experience agency with about 70 employees that specializes in leveraging Salesforce’s cloud-based technology for enhanced digital services.
Dentsu Inc. is a Japanese global advertising and public relations company with 2019 revenue of $9.6 billion. Dentsu’a Network’s M1 solution, designed by its Merkle division, contains a reach estimation module across linear and CTV platforms.
The M1 system’s process begins by defining the consumer’s target, often from first-party data provided by the advertiser, and then modeled to identify other consumers who closely resemble the original customer list. Once target and dataset alignment is achieved across platforms, various modules of the M1 system are used to estimate cross-platform reach.
Earning the 7th spot on our list of top advertising firms, Deloitte Digital generated nearly $8 billion in revenue in 2019. Deloitte Digital was launched in 2012 as Deloitte’s creative consulting unit.
Deloitte Digital has offices in more than 30 countries and strives to help clients develop growth programs by using human insight to deliver dynamic experiences. Deloitte Digital strives to help brands find customers and audiences, guiding them toward acquisition, retention and loyalty.
PwC’s digital practice generated $6.7 billion in revenue in 2019. The foundation of PwC Digital’s approach is its BXT (business, experience, technology) framework.
PwC Digital Services focuses on digital design and employee and user experience, enabling them to work better and smarter. Through its digital marketing services, help professionals modernize their marketing plans and cloud suites, and optimize processes for a memorable customer experience.
IBM iX is a fierce competitor in the advertising space, generating $5.6 billion in revenue in 2019. It is one of the world’s largest digital and design consultancies, with nearly 60 studios and a global network of strategists, designers, developers and data architects.
IBM iX solutions include customer experience consulting, customer lifecycle consulting, e-commerce consulting, mobile application development and customer service consulting. It can help identify new opportunities for customers and create a best-in-class brand vision through the latest advertising and marketing technologies.
BlueFocus Communication Group, which generated $4.1 billion in revenue in 2019, closes out our list of the top 10 advertising companies. The China-based advertising agency focused on brand management has become the first publicly traded Chinese company in the field.
Its more than 100 offices develop strategies in advertising, media, social media, public relations, design, branding, CRM, e-commerce, and mobile solutions for companies around the world.
ADVERTISING INDUSTRY TRENDS AND ANALYSIS
Total digital ad spend will reach $571.16 billion this year, representing 65.9% of total media ad spend.
With many start-ups making their way into the market, dedicated to promoting unique digital channels, incumbents will need to work quickly and efficiently to keep up with the changing landscape, evolving technology and new trends.
Since most of this advertising growth is in digital, brands are ready to move forward on big projects to stay competitive while preparing for the “new normal.” As agencies look to the future, they are focused on becoming more productive, efficient and profitable. They are also focused on attracting and retaining the right talent while evolving and maintaining a competitive offering.
