15613: IPG Chairman & CEO Retiring & Tiring.

 

More About Advertising saluted IPG Chairman and CEO Michael Roth, whose retirement officially goes into effect on December 31. “My time as chairman and CEO of IPG has been a tremendous privilege,” said the 76-year-old executive. “I am most proud of the work we have done to help shine a light on equity and inclusion, as well as being a values and purpose-driven enterprise.” Um, given the IPG EEO-1 data presented in 2020, it’s right to say Roth’s proudest accomplishment is an absolute failure. But he’s sure to nab an ADCOLOR® Lifetime Achievement Trophy.

 

Michael Roth steps down as Interpublic boss

 

By Stephen Foster

 

Michael Roth is retiring as executive chairman of Interpublic (IPG) after nearly 20 years in what was once a very hot seat as Interpublic, the original ad holding company, wrestled with all manner of problems.

 

He handed over the CEO reins to long-serving deputy Philippe Krakowsky a year ago. Since then IPG has outperformed its peers in terms of organic growth and markedly narrowed the gap on its big US rival Omnicom.

 

Roth, 76, says: “My time as chairman and CEO of IPG has been a tremendous privilege. I am most proud of the work we have done to help shine a light on equity and inclusion, as well as being a values and purpose-driven enterprise.

 

“Operationally, we have evolved to meet the needs of an industry that is not only creative, but also increasingly about digital and data.”

 

“Philippe (Krakowsky) has been key to the efforts to move the company forward on all these fronts, working with me and the board to build a contemporary organisation that delivers high-value services for marketers. Our clients, people and shareholders are in very good hands going forward.”

 

Roth’s last big bet was the $2.2bn acquisition of data firm Acxiom, which seems to have been incorporated pretty seamlessly. IPG has arguably thrived thanks to its simpler structure, mainly built around creative agencies McCann and FCB and media shops UM and Initiative, although it owns scores of other businesses. It also created a strong footprint in digital with R/GA.

 

Roth, by accounts a pleasant man, has earned his time on the golf course. IPG will now appoint a non-executive chair to work with Krakowsky.

15531: Justice Delayed Is Justice Denied—Just Saying.

 

At More About Advertising, Editor Stephen Foster opined on the JWT sex discrimination lawsuit, including commentary on Jo Wallace and the Daily Mail exposé. Here’s the most outrageous statement in the post, expressing how WPP ought to show greater care and sensitivity before firing employees: “People shouldn’t lose their jobs without due consideration of natural justice.” Natural justice? An industry rife with systemic racism and chronic sexism—perfectly represented by Wunderman Thompson and the former JWT—displays the prevalence of deliberate injustice.

 

Of white males, Jo Wallace and that Mail Online report

 

By Stephen Foster

 

Some groups in UK adland are protesting vociferously about coverage of Jo Wallace, a leading player in the JWT sex discrimination case. Specifically an article on Mail Online. Complaints have been made to IPSO, the rather toothless replacement for the (equally) toothless Press Complaints Commission.

 

In fact the article covers the case of Chas Bayfield, Dave Jenner and their unnamed colleagues against (now) Wunderman Thompson pretty accurately; the only bone of contention (as far as I can see) being pictures of Wallace (above) and her female fiancee, which look like they’ve been taken from a public social media feed as they’re pretty flattering. Some people have also complained because the piece says they live in East London but that’s a pretty big area, bigger than most UK cities.

 

But why Wallace, a global creative director on Nestle? Although, as WPP has pointed out, she played no part in the redundancy of the white, middle-aged creatives she did say, at a conference, that such people should be “obliterated” from JWT as it strove to bridge its cavernous gender pay gap. The five objected to this and their careers at JWT ended days later after a meeting with the head of HR (or should that be chief redundancy officer?) and a creative bigwig.

 

Wallace is also on record as referring publicly to “white, stale males” so she can hardly grumble if she arouses controversy.

 

Of the current farrago Wallace says: “What does this tell women already underrepresented in this industry? Why would [they] want to go into this industry when you see myself being treated like this?

 

“I had nothing to do with this case. I had nothing to do with the decision to make them redundant. [Pictures of] me wearing a bikini is clearly an attempt to take me down and embarrass me in public, so it’s incredibly distressing.”

 

People in adland could save themselves a fair few problems if they didn’t strive for maximum impact in everything they say, even if skews and distorts the meaning. If, say, Wallace at the ‘Crisis: The Mother of All Change’ meeting recommended “radical action” rather than “obliterate” this might not have happened. In fact the title of said conference is typical adland hyperbole: crisis isn’t the mother of all change – it might be the cause of some of it. Similar “white, stale males.” Is stale in there just because it rhymes will male?

 

One of the things I find most bewildering about the way this started is that James Whitehead, then CEO of JWT, was in the audience. Did he see Wallace’s presentation first? On the basis of one meeting (to discuss a rebranding of JWT – we know what happened to that) Whitehead struck me as sensible.

 

Let’s hope the five made redundant are, at the very least, walking away with sizeable cheques. Online trolling of Wallace should crease too, of course. But anyone who ventures online pretty well knows what they’re going to get.

 

As for Wunderman Thompson owner WPP, it needs to examine if it’s far too quick on the trigger in such instances. People shouldn’t lose their jobs without due consideration of natural justice. This is rather akin to Nick Emery’s defenestration at Mindshare when he was fired for a Zoom spoof in the loo. Emery is now forming a rival media division at You & Mr Jones. Such decisions have consequences.

15350: Downsizing, DE&I And Downright Deception.

 

At More About Advertising, Stephen Foster pondered pandemic-related proceedings, with IPG and Omnicom quietly recording 10,000 job cuts in 2020. And yet, White advertising agencies continue to post job listings as if there’s a market boom—and Omnicom recently boasted about its DE&I hiring spree. Meanwhile, Advertising Age reported U.S. advertising saw a gain of 3,500 jobs; however, jobs at advertising agencies experienced a sharp decline in January, while Internet media employment is at a record high. Sure, everyone is bringing on social media directors at Mickey D’s salary levels—and that’s Mickey D’s crew versus corporate.

 

Oh, and check out the stock illustrations above and below that accurately symbolize the advertising industry. A boss angrily terminates a White employee—yet becomes more aggressive when firing a Black employee.

 

Pandemic job cuts another sign of reduced role for agencies

 

By Stephen Foster

 

Campaign has been doing some digging into the small print of Interpublic’s and Omnicom’s annual reports for 2020, to discover that the two ad holding companies have cut 10,000 roles over last year’s course of the pandemic.

 

The cost of such exits usually comes under “restructuring,” a handy euphemism.

 

This isn’t surprising (and there may be more to come) but it still comes as a bit of a shock — if that’s not a contradiction in terms. WPP, still to report, employs many more — around 100,000. Or did.

 

It’s not just the pandemic of course. The shift of media expenditure to Google, Facebook and, latterly, Amazon has driven a coach and horses through ad holding companies’ revenues and margins. Yet media buying is still where they make most of their money and most of their people work. Working in an agency of any ilk these days must be akin to lodging on the edge of a cliff.

 

Big ad holding creative agencies are, if anything, in an even worse state. WPP CEO Mark Read, who said recently that none of his big agencies had grown for five years, has sought to remedy this by merging them — Y&R with VML, JWT with Wunderman, Grey with AKQA — with the former digital elements firmly in the driving seat.

 

Clients are in-housing or demanding more for less — or both. Creative advertising has lost ground to ‘content,’ as former WPP CEO (and founder) Sir Martin Sorrell has realised with MediaMonks as the foundation of his new S4 Capital empire.

 

So is it all doom and gloom? Mostly. The latest wave of creative agencies may remind clients that to cut through you need more than technique. Facebook and Google may be reined in (don’t bank on it) but automation is certain to remain the driver of the media market with lots of small ads on zillions of websites (some of whom may even exist.)

 

The pandemic just made things happen sooner — and not in a good way.

15246: Procter & Gamble Proceeds To Lead With Love—For Themselves.

More About Advertising spotlighted the latest Procter & Gamble patronizing propaganda—Lead With Love—whereby the mega-advertiser proposes to deliver 2,021 “acts of good” during 2021. First of all, the lack of originality makes the good deeds campaign a bad idea. Most honest people who execute true random acts of kindness solemnly agree that taking credit and/or receiving recognition shows insincere intent and self-promotional narcissism—so, creating a 2,021 checklist is patently pathetic. Of course, the work will be led by White advertising agencies. In a time when corporations strive to establish anti-racist personas, P&G continues to lead with hypocrisy.

 

P&G ‘leads with love’ in bold charter for 2021

 

By Stephen Foster

 

Procter & Gamble has revealed its determination to ‘Lead with Love’ in 2021, 2,021 “acts of good” throughout the year for Covid-related causes. The campaign is spearheaded by a film proposing love as one of eight emotions displayed by babies.

 

By Dentsu Mcgarrybowen from an idea of Wieden+Kenedy’s it seems (bet there wasn’t too much love around when that decision was made.)

 

P&G CEO David Taylor says: “P&G People people believe we have a responsibility to society, and we will continue to step up and step forward to use our reach and resources to be both a force for good and a force for growth. As the world turns to 2021, P&G is committing to lead through acts of good that will have a lasting, positive impact on people and communities around the world.”

 

P&G has had a pretty good pandemic, as has its equally woke consumer goods rival Unilever, and with vast amounts of everyday products on its hands is well placed to help people with all sorts of supplies including what it calls “period products.” It is also supporting clean water schemes and other causes.

 

Easy to be cynical of course but large parts of the world — including many people in so-called advanced societies — are on their knees and why shouldn’t a big company help and win some plaudits in the process?

 

Wonder what Unilever is planning?

 

Let’s hope P&G walks the walk.

 

MAA creative scale: 7.

15117: Equity Bosses Promote Exclusivity.

  

At More About Advertising, Stephen Foster ponders the latest “‘equity’ bosses”—aka Chief Diversity Officers—being hired by White advertising agencies and White holding companies to bring ever-elusive diversity to the field, which Foster acknowledges is “a challenging role” to assume. That’s an understatement. And it underscores another type of unconscious bias-unconscionable BS in adland. After all, firms have been appointing Chief Diversity Officers for well over a decade with arguably nothing to show for it. Why continue to recruit human heat shields—or pimps, as Sanford Moore labels the executives? Delegating diversity perpetuates inequity.

 

Dentsu’s DAN follows BBDO with C-suite diversity leader

 

By Stephen Foster

 

There are new leaders stalking the upper reaches of big agencies, “equity” bosses charged with ensuring these notoriously un-diverse, largely white, organisations change for the better.

 

Now Dentsu Aegis Network (DAN) has appointed Christena Pyle (above), former executive director of campaigning group Time’s Up and before that at Omnicom, as its first chief equity officer (equity, presumably, standing for fairness as opposed to dishing out share options.) Pyle reports to Americas CEO Jacki Kelley. DAN globally is now helmed by a woman, Wendy Clark joining from DDB.

 

Pyle’s appointment comes hard on the heels of Omnicom’s BBDO Worldwide appointing Jason Rosario as chief diversity, equity and inclusion officer. Rosario brings over 14 years of experience in the sector. Presumably the other holding companies and bigger indies will follow suit.

 

Pyle says: “I’m a true believer in the power of DE&I (diversity, equity and inclusion) and the impact it can have on a company’s culture, values, and business growth. Having a diverse mix of talent who can take on the challenges and opportunities a business faces, now and in the future, is a critical factor in any company’s success and resilience.

 

“In spending time with the Dentsu team, it’s clear that this is a group of people who place the value of caring—for their people, their communities, their customers, and each other—at the forefront of the decisions they make.”

 

Dentsu hasn’t always had such a reputation of course; there was a big scandal a couple of years ago in Japan with Dentsu accused of driving an employee to suicide with over-work.

 

All the ad holding companies have release their diversity info for the US and, basically, there isn’t any. So this a challenging role for Pyle, Rosario and their peers.

14813: At Mickey D’s, “I’m Lovin’ It” Takes On A Whole New Meaning.

More About Advertising reported Mickey D’s fired CEO Steve Easterbrook after learning he was having an affair with an employee. Rumors indicate the employee is Birdie the Early Bird—and a jealous Grimace is not too happy. Company officials grew concerned when Easterbrook allegedly constantly snickered, “The early bird catches the worm…” during internal meetings.

Meanwhile, Editor Stephen Foster added his own clueless commentary by remarking, “Most people meet partners, long term or short, at work, college or even school. It used to be the norm for CEO’s second wives to be their secretary. You have to think the world has gone slightly bonkers.” Yep, it’s slightly bonkers that the typing pool is no longer the CEO’s personal brothel.

McDonald’s chief Easterbrook fired after affair

By Stephen Foster

Just when you thought everything in the garden was rosy – McDonald’s has fired its British-born CEO Steve Easterbrook, who’s overseen a doubling in its share price since taking the top job in 2015, over a “consensual relationship” with an employee. This, it says, “violated company policy and demonstrated poor judgement.”

Easterbrook, who’s divorced, says: “I engaged in a recent consensual relationship with an employee, which violated McDonald’s policy. This was a mistake. Given the values of the company, I agree with the board that it is time for me to move on. Beyond this, I hope you can respect my desire to maintain my privacy.”

US president Chris Kempczinski takes over as president and CEO.

McDonald’s has suffered slowing sales in the US recently in the face of increased competition, particularly from “plant-based” offerings but, officially at least, this seems to have nothing to do with Easterbrook’s shock departure.

Most people meet partners, long term or short, at work, college or even school. It used to be the norm for CEO’s second wives to be their secretary. You have to think the world has gone slightly bonkers.

14783: Was Ted Royer Hit By A Blizzard Of Vengeful Snowflakes? Nah.

At More About Advertising, Editor Stephen Foster asked, “Does latest Ted Royer kerfuffle show an industry comprised of vengeful snowflakes?” Foster is at least being consistent in his sympathy for Royer, yet the journalist’s perspective is a tad crude. After all, attacking the offended and branding them as being too sensitive is the classic response of the insensitive; i.e., Foster comes off as culturally clueless. Oh, and the industry is definitely comprised of snowflakes—vengeful and forgiving—by virtue of being exclusively White.

14354: Forgiving Ted Royer…?

At More About Advertising, Editor Stephen Foster posed interesting questions regarding the Wendy Clark-Ted Royer fiasco that few folks are openly asking. While the questions were inspired by Clark and Royer, the inquiries really apply to the broader dilemma—or “the biggest issue facing every industry and society today,” according to Cindy Gallop.

In one report, Foster wondered the following:

It also raises the important question of when, if ever, is someone who’s been banished from an agency allowed back into the industry. Does management have to make it, in effect, a democratic decision?

In a subsequent post, Foster went further by remarking as follows:

But you have to feel for the highly talented Royer too. He’s lost one of the best jobs in agencies although hasn’t been convicted of anything. Is he now unable to work in advertising, even in a freelance capacity? Clark might have done better to defend him, not on the grounds that DDB needed him and but that everybody deserves a second chance.

To answer Foster’s first question, someone “banished” from an agency is allowed back into the industry in roughly six months, as demonstrated by the Gustavo Martinez and Royer scenarios. And it’s closer to five months if you count Kevin Roberts and his gender equality gaffe. Additionally, the returns by Martinez and Royer do not appear to have happened via democratic decisions. On a side note, can somebody please identify Clark’s co-conspirators in Royer’s comeback? Surely DDB CCO Ari Weiss played a role, as it would be outrageous to learn Clark is choosing creative consultants on her own. Man up, already.

To address Foster’s second point, no, you don’t “have to feel for the highly talented Royer too.” It could be easily argued the man is a dinosaur. Especially in this era of TIME’S UP, #MeToo and divertsity movements, shouldn’t leaders take greater care to foster safe, fair and dignified workplaces? Granted, the advertising industry has a long history of ignoring and defying any attempts at diversity. But failing to adapt to societal trends is certainly grounds for ejection from a field that boasts being on the cutting edge of culture. Royer might have mad skills for commercial campaigns, but he’s got Mad Men skills in key areas that are now basic job requirements.

It’s probably true that Royer has not been convicted of anything. Hey, sexual harassment isn’t typically labeled a crime unless it features sexual assault. Inferring from Droga5’s PR statement, Royer’s alleged behavior created a hostile work environment, which put the agency at risk on a host of ethical and legal levels—and also potentially endangered the well-being of employees. The confidential nature of HR procedures prohibits public disclosure of details surrounding most terminations, making it almost impossible to learn the truth. Trade publications, however, reported Droga5 hired outside investigators to build the case to fire Royer. And Diet Madison Avenue targeted Royer too. So if everyone did their due diligence, there were legitimate reasons for the dismissal. Royer is certainly free to pull a Ralph Watson move and dispute the accusations if he’s been wronged.

Oh, and Royer ultimately wasn’t talented enough, as DDB experienced elimination from the Volkswagen pitch—beaten out by WPP and Publicis, which is downright embarrassing and emblematic of the industry’s sorry state. The agency that made Volkswagen an iconic brand lost to one company founded as a wire shopping basket manufacturer and another jilted by Omnicom after a grand engagement announcement.

As for Clark defending Royer, well, that would have been tricky, given the woman’s actions are indefensible. After all, she’s supposed to be representing TIME’S UP/Advertising and advocating for gender equality. Hell, it could be easily argued Clark is a dinosaur too—and a desperate dinosaur to boot—because in the end, DDB didn’t need Royer.

Finally, Foster’s contention “that everybody deserves a second chance” is actually valid, albeit not without restrictions. Unfortunately, in this era of TIME’S UP, #MeToo and divertsity movements, forgiveness has not yet entered the conversation—except for idiots like Clark. Refusing to kiss and make up is understandable, as sexual harassment has been conducted, concealed and condoned for too long. On the flipside, absolution comes easier when the perpetrator has made amends. An amends, incidentally, is not an apology, but rather, a commitment to live differently. Additionally, the amends would be unique for each perpetrator, depending on lots of factors including the extent of damages. Who will serve as a worthy judge in such acquittals? Definitely not Clark, Diet Madison Avenue or Gallop. And no, Kat Gordon, please don’t integrate the notion into your lame certification program.