In another dismal report, WPP group has totally lost focus of it’s primary advertising agency core. The UK Guardian is reporting that US advertising agency McCann Erickson has reportedly beaten Sir Martin Sorrell’s British WPP group for the contract to promote the 2012 London Olympic Games.
What this means is simply that Sir Martin spent way too much money buying non-core assets and neglecting advertising, Neglecting digital, SEO, SMO… it’s a playbook of what NOT to do right.
To the point where the London (soon to be Ireland) based WPP assets lost the London Olympics…. uhh…. that’s really bad..
The company revenue crashed 6% in 90 days, leaving little new business coming in, and huge amounts of business leaving the door, such as Dell inc with a rumored 90 day notice…. (unverified but widely suspected as being true).
It’s really time for new management, buying revenue at an extreme cost while neglecting the assets that gave you the opportunity to get revenue in the first place is foolish at best…. and at worst gives you 6% revenue declines every 90 days….. as what we have been seeing.