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About Mslgroup Americas, Inc.

Publicis is one of the world's largest advertising and media firms. The European holding company provides a range of marketing services through four operating segments: Publicis Communications, Publicis Sapient, Publicis Media, and Publicis Health. Well-known agency brands include Leo Burnett, Digitas, BBH, Fallon, and Saatchi & Saatchi. Its Starcom and Zenith units are among the world's largest media planning enterprises. The firm serves clients in over 100 countries. Marcel Bleustein-Blanchet founded Publicis in 1926 and named it after the French word for advertising combined with the French word for six, his favorite number. North America generates majority of the company's sales.

Operations

Publicis is organized into four segments. Its Publicis Communications segment is the creative communications hub and includes Leo Burnett and Saatchi & Saatchi, among several other creative agencies. Publicis Sapient is the company's digital and technology arm. Publicis Media operates media planning and buying services through agencies such as Zenith, Digitas, and Starcom. It creates value for clients through global media agency brands and scaled capabilities across investment, strategy, insights and analytics, data and technology, commerce, performance marketing and content. Publicis Health's mission is to be the indispensable force for health and wellness business transformation through the alchemy of creativity and technology.

Geographic Reach

Publicis is headquartered in Paris and has operations in more than 100 countries. North America accounts for the largest share of the company's revenue at around 55% of total, followed by Europe (more than 25%), Asia/Pacific (some 10%), and Latin America and Middle East/Africa (less than 5% each).

Sales and Marketing

Publicis serves clients in financial sector (brings in more than 15% of total sales), which is the largest among the sectors; automotive and TMT sectors (each account for about 15% of sales), nonfood consumer products, and food and beverages (both generates more than 10%), healthcare (some 10%), and leisure/ energy/ luxury, and retail with nearly 10%, each

Financial Performance

The company grew its revenue by 10% to £11 billion in 2019.

Net income attributable to the Groupe in 2019 totaled £841 million, a 9% decrease from £919 million in 2018.

The company's cash at the end of 2019 was £3.4 million. Operating activities generated £2.3 million, while investing activities used £4.3 million, mainly for acquisitions. Financing activities generated another £2.1 million.

Strategy

In early 2019, Publicis Groupe and Alliance Data Systems have decided to forge a strategic partnership. This acquisition accelerates the implementation of Publicis Groupe's strategy of becoming the preferred partner of its customers in their transformation. The closing, which took place on July 1, 2019, was announced on July 2. At the end of 2019, the integration was largely completed. Epsilon was positioned as the Groupe core expertise in building, enriching, and activating first party data to irrigate all activities. Epsilon's advertising activities were folded into Leo Burnett while CJ Affiliate has been placed under strategic review, to explore different ways to unlock value.

Additionally, In January  2019,  Publicis Groupe  announced  the  definitive  signing  of  the  sale  of Publicis  Health Solutions (PHS)to Altamont Capital Partners (Altamont). PHS, which belonged to the Publicis Health solution pole, is an organization of medical and marketing representatives for pharmaceutical, biotechnology, medical device and diagnostic companies. Its brands, including Touchpoint, PDI,  Tardis  Medical,  PHrequency  and CustomPoint Recruiting offers a full range of services to customers.

Mergers and Acquisitions

In the third quarter of 2019, Publicis announced its acquisition of California-based, Rauxa, an independent, full-service marketing agency. Rauxa has become part of Publicis Media, the media solution hub of Publicis Groupe. Financial terms were not disclosed.

In addition, Publicis acquired data-driven marketing firm Epsilon from Alliance Data Systems for about $4 billion. Epsilon creates personalized marketing campaigns using information its clients collect about its own customers so that companies can target ads more effectively. The business generates about $1.9 billion in revenue annually and Publicis is placing Epsilon at the center of its agency network. It made the purchase to gain a competitive advantage over direct rivals such as WPP and IPG as well as the smaller consulting firms that are encroaching on its territory. 

The company acquired Proximedia group in 2019 for an undisclosed terms. Present in France, Belgium, Holland and Spain, Proximedia provides digital services to VSEs, SMEs, traders and artisans for their presence on the Web and their promotion. The company also acquired over 80% of capital of Soft Computing, French leader in Data Marketing, at a price of 25 euros per share, i.e. a total amount of approximately 43.4 million euros. The acquisition was carried out with the founding shareholders and their families and follows the lifting of all the suspensory conditions relating to the agreements signed in 2018.

Company Background

In 1926 Marcel Bleustein, then 19 years old, started France's first advertising agency, which he called Publicis (a takeoff on "publicity" and "six"). The company has spent the subsequent decades expanding globally through partnerships and acquisitions.

A major purchase was Saatchi & Saatchi, which it acquired in 2000 for about $1.9 billion. Along with the deal, the company inherited Saatchi's 50% of media buying unit Zenith Media (jointly owned by Cordiant Communications). In 2001 it merged Optimedia and Zenith, with Publicis owning 75% of the new business.

Mslgroup Americas, Inc.

2001 The Embarcadero
San Francisco, CA 94133-5200
Phone: 1 (415) 981-0950

Firm Stats

Employer Type: Privately Owned
Employees (This Location): 22

Major Office Locations

San Francisco, CA