Showing posts with label media. Show all posts
Showing posts with label media. Show all posts

Monday, October 26, 2026

17642: The Casualties Of Cola Wars & Crumbling Corporations.

 

Advertising Age published the latest Cola Wars dispatches, reporting Omnicom semi-rebounded from its PepsiCo global media loss by winning Coca-Cola North America media duties.

The Coke North America media business had been serviced by Publicis Groupe, who relinquished the assignment after nabbing the PepsiCo global media business from Omnicom sans a review. Publicis Groupe won the Coke North America media account in 2025, pulling it from WPP, who retains Coca-Cola global media and global creative duties. Oh, and Omnicom faced off against Dentsu to seize Coke’s North America media. Expect Omnicom to soon seek grabbing additional Coke business from WPP too.

The winding spectacle underscores how major brand business shifts between a limited number of holding companies. It’s a global game of musical chairs played with no more than four chairs—and rickety ones to boot.

In the end, workers at White advertising agencies and White media firms within holding companies are not only victims of restructurings, redundancies, and RIFs—they are also casualties of Cola Wars.

Omnicom wins Coca-Cola’s North America media account

By Ewan Larkin and Brian Bonilla

Coca-Cola Co. has awarded Omnicom its North America media account following a review in which the holding company went head-to-head with Dentsu, people familiar with the matter told Ad Age and Coke soon confirmed. The decision means Coke and rival PepsiCo have effectively swapped media agencies in an all-important market.

In hiring Omnicom, Coke gains an agency intimately familiar with the beverage business. Omnicom had worked on PepsiCo’s media for three decades until September, when PepsiCo announced it was moving global media to Publicis Groupe. Omnicom will continue to support creative, PR and sports marketing, PepsiCo stated at the time. That means the world’s largest agency company will hold significant portions of business for the fiercely competitive beverage rivals in the crucial U.S. market.

Coke didn’t immediately provide comment, then issued a statement confirming the news. Omnicom referred inquiries to Coke.

In its statement, Coca-Cola shared that choosing Omnicom fits its commitment to align specialized capabilities with market-specific opportunities. “By bringing media, data, CRM, loyalty and creators together within one connected ecosystem, the North America operating unit can move beyond channel-based execution toward more integrated consumer experiences,” the company stated.

Following PepsiCo’s decision to hire Publicis, Coke moved swiftly to review its North America media account, where Publicis was the incumbent, Ad Age first reported in September. WPP, Coke’s global incumbent, opted not to participate in the pitch, setting up a shootout between Omnicom and Dentsu, the latter of which works with Coke in Japan and Korea.

WPP Open X will continue to serve as Coca-Cola’s global creative partner, the beverage giant announced.

WPP also retained Coke’s global media, data and technology business, as Ad Age previously reported, following a separate review that originally also included Publicis. “We’re proud to build on our partnership with The Coca-Cola Company and the trust they’ve placed in us to help drive their next chapter of growth,” Cindy Rose, WPP’s CEO, said in a statement.

Coca-Cola ranked as the 24th-largest U.S. advertiser in Ad Age Brand Report 2026, with estimated U.S. advertising costs of $2.2 billion in 2025, up from $2 billion a year earlier.

The new structure will be implemented in phases starting Dec. 1, Coke announced.

“We began this process with a clear objective: ensure we have the right partners, capabilities and operating model to continue to lead in a rapidly changing marketing landscape,” Manolo Arroyo, executive VP and chief marketing and customer commercial officer at Coca-Cola, said in the statement. “The outcome reinforces our confidence in the strength of our global marketing ecosystem and positions us to accelerate growth through deeper consumer understanding, greater agility and the responsible application of emerging technologies.”

Saturday, October 24, 2026

17640: On Winners & Losers In Adland.

 

The Drum published a lengthy perspective inspired by Publicis Groupe CEO Arthur Sadoun stating the top three White holding companies—Publicis, Omnicom, and WPP—win 91% of ginormous media pitches.

The figure also translates to global media accounts regularly shifting between Publicis, Omnicom, and WPP. So, every big victory for one company results in a major loss for the incumbent. This further means people working at White holding companies can expect to routinely experience devastating RIFs based on clients’ whims.

Coupled with the sweeping layoffs already planned by restructuring corporations, it portends a dim and dismal forecast for the Adland job market.

The op-ed author whines how the happenings signal the death of innovation. For agency drones, it all marks the rise of insecurity.

Has Publicis boss Arthur Sadoun written the advertising industry’s epitaph?

By Mark Palmer

Arthur Sadoun says three holding companies now win 91% of the biggest media pitches. It sounds like a victory lap. But Mark Palmer hears a funeral march – for originality, challenger thinking and the very reason brands hire agencies in the first place.

Publicis CEO Arthur Sadoun recently offered a statistic that could be carved into the advertising and media industry’s gravestone. Citing COMvergence data, he announced that the ‘big three’ – Publicis, Omnicom and WPP – now win “91% of the biggest media pitches.”

It feels like victory. Fewer competitors, high share of major reviews, future cost efficiencies. It’s Coke-versus-Pepsi logic: as long as a few giants fight, they all win.

This is not a win. If you still believe great advertising, media thinking, and talented people can make a difference for brands, this isn’t a triumphant statistic. The industry many once loved has arrived at a bizarre juncture. Some believe it is right on target, while others feel it has missed the point entirely.

Consolidation of pitches suggests agencies are rarely hired for their distinct personalities, rogue brilliance, or ability to inject strategic and creative friction.

The ‘model’ pivot

Sadoun argues that merging IPG into Omnicom has “clarified” and “simplified” the market. He frames it as a natural evolution, comparing it with sectors like telecoms. It’s a telling analogy. If Coke uses telco provider A and Pepsi uses provider B, nobody at Coke remotely cares. Telco selection is not where strategic or creative advantage is created. It’s a utility decision.

The most troubling word Sadoun uses is his description of the three big groups as different “models.” Machines have models. Cars have models. Large language systems have models. When did the brand-specific, market-specific, human art of communication become a choice of three “models,” as if there were only Plans A, B, and C on a fixed menu?

Over many years, holding companies have commoditized what advertising and media once were. They’ve smoothed rough edges, marginalized awkward characters, and systemically removed challenger thinkers who created any friction. They’ve optimized integrated systems that plug tidily into a client’s own machine, as interchangeable as petrol stations.

When agency choice is about “which model best fits our structure,” decisions no longer reflect the transformative potential of people, skills, and imagination. You’re not selecting a partner; you’re choosing an operating system.

Don’t just blame procurement or holdcos – blame the brands

Procurement has grown more dominant. Holdcos have been obsessed with efficiencies and transformation narratives. None of this is surprising. But the cumulative effect is that short-term value and efficiency have been systematically prioritized over finding agencies/people who can challenge how a brand thinks and what it could become.

Marketers let this happen. They allowed pitches to morph from strategic/creative crucibles into calculation exercises. They watched as evaluation shifted from “Who will challenge us in the right way?” to “Who ticks the boxes most neatly?”

Sadoun’s own description of client behavior, in his interview with The Drum, is revealing: “More and more clients know exactly what they want. They consider it is way more efficient to spend their time and their money digging deeper and kicking the tires of the partner they are interested in, rather than organizing a beauty contest for months that basically disturbs the entire organization and makes them lose focus on their business.”

If we accept that clients “know exactly what they want,” and that pitches are a nuisance that “disturbs the entire organization,” the next step is bleakly obvious: why use agencies at all? Why not just run an internal execution team to operate the marketing machine?

Brands no longer look for partners who will positively challenge them. They are buying ready-made suits in three colors. Every time a pitch is allowed to become a safe, uninspired, low-friction decision, the industry sinks a little further into mediocrity.

For whom the bell tolls

John Donne’s line, popularized by Hemingway – “Ask not for whom the bell tolls. It tolls for thee.” – could have been written for this moment. When someone died, the church bell rang, and villagers sent someone to find out who it tolled for. Donne’s point was that it always tolls for all of us because we are all part of the same whole.

When Sadoun proudly laid out his vision of a simplified, consolidated holding company landscape, he was tolling the bell for the death of what the advertising and media industry once stood for: deep insight, disruptive ideas, innovation, imagination and the people in it.

Five major agency groups have collectively cut more than 26,000 jobs in just 18 months, under headings like “AI efficiency savings” and “model transformation.” Famous agency brands have had their identities stripped away and folded into corporate entities. DDB, FCB, Wunderman, JWT disappeared. These weren’t random sets of initials. They represented change philosophies.

In the 1980s, Emmerson Foote, Fairfax Cone, and Don Belding developed a matrix exploring whether a purchase decision was high- or low-involvement and driven by thinking or feeling. It changed how agencies investigated audiences and planned campaigns.

Lester Wunderman, dubbed the father of direct marketing, didn’t simply tweak media spend. His agency invented entirely new mechanics: toll-free 1-800 numbers and the first-ever customer rewards program for American Express.

James Walter Thompson grasped the potential of a full-service agency model built on powerful emotional relationships between brands and consumers.

DDB, created by Ned Doyle, Maxwell Dane, and Bill Bernbach, replaced formulaic, shouty hard-sell with minimal, intelligent, profoundly honest creative storytelling.

These names represented people and thinking, not “models.”

What does a three-model world do to talent?

In the short term, fear keeps people put. When thousands of jobs have been cut and options limited, the instinct is to avoid making noise. Don’t challenge. Don’t rock the big boat. Service the model.

Over time, that instinct ossifies. People become reluctant even to suggest change, for fear of destabilizing a vast machine. Careers become centered on survival, not impact.

The future consequence is obvious. Genuinely different thinkers, the troublemakers, misfits, and round pegs in square holes, either leave for independent agencies or exit the industry altogether. Future generations who might once have seen advertising as a place to think differently look elsewhere. The industry becomes optimized around models rather than minds.

When did brands stop wanting to be challenged?

For decades, the rationale for hiring an agency was that it brought external stimulus, intellectual friction, and fresh, sometimes uncomfortable, perspective. Pitches weren’t tedious “beauty contests” or price-comparison tests. They represented opportunities for disruptive change. Different agencies brought different philosophies, processes, and people. That was why clients staged reviews. They chose agencies because those agencies challenged them and, on a basic human level, they had genuine chemistry.

Look at what Steve Jobs did when he returned to a struggling Apple in 1997. Faced with a near-bankrupt company, he didn’t call in a holding-company procurement deck. He initiated a rapid, high stakes review among a handful of elite agencies. TBWA\Chiat\Day won with ‘Think Different’ and the ‘Here’s to the crazy ones’ script. Jobs’ first reaction was blunt: he called it “shit.” But he was challenged, persuaded, and changed his mind. It turned into a defining chapter in Apple’s turnaround.

At one point, CMOs put serious thought into developing pitch briefs, treating them as rare, golden opportunities for change. Media agency people sat with business leaders, not just procurement intermediaries. Now, in too many cases, pitches are contained within rigid processes run by controllers and advisors, and the goal is to minimize disruption rather than find better thinking. If Sadoun is right about where we are heading, fewer pitches will happen at all.

Regression to the mean: the risk of ‘best practice’ pitches

The phrase ‘pitch best practice’ sounds reassuring. It’s a contradiction in terms. Best practice quickly becomes code for ‘what everyone else is doing.’ Once brands adopt identical RFP templates, use the same scoring systems, and repeatedly shortlist the same three holding companies, they are engineering regression to the mean. The more average inputs you aggregate, the more predictably you land on an average output.

Outside the holding-company universe, the independent sector teems with entrepreneurial energy. In the UK alone, more than 25,000 independent agencies span creative, communications, marketing, and media. Many were founded by people who left holding companies specifically because they felt constrained.

Twenty-five thousand agencies are too many to navigate. But that is precisely what pitch consultants and procurement specialists should be doing. Their job should be to explore that ecosystem, filter it, and surface hidden gems, the rogue operators and challenger minds who might see your problem completely differently.

Instead of simply presenting the usual suspects, they should include a ‘mystery house,’ an option that doesn’t fit the model but might fix the real problem. Steve Jobs would never have accepted a list of three giant holdcos as the horizon of possibility. Why should you?

Treat pitches as catalysts for transformation, not admin

In 2009, John Lewis reignited its brand after a competitive pitch won by then-independent Adam&Eve. Working with Craig Inglis, then head of brand communication, the agency helped reshape John Lewis from the inside out. One pitch created a partnership that lasted 14 years and delivered some of the most iconic campaigns of modern times.

McKinsey’s State of Marketing Europe 2026 report ranks branding as the top priority for senior marketers. It beats performance marketing, martech investments, and generative AI, which ranks 17th out of 20.

When leaders say they must sharpen value propositions and stand out in an overcrowded marketplace, why narrow pitch processes and limit innovation options? If you want distinctiveness, you don’t achieve it by funneling all decisions through the same processes with the same players. You relearn how to brief laterally, asking for bigger, brand-level change, and seek a variety of challenging, independent perspectives alongside the big networks.

Independents pushing back

If holding companies try to standardize, many independents are helping brands rediscover the value of proper briefing and pitching. Stephen Knight, founder of Pimento, the UK’s largest independent marketing, and communications network, which connects brands with over 190 independent agencies and more than 6,500 specialists, recently launched an initiative called the ‘Brief Exchange.’ As Knight put it: “We created this initiative, not because brands need another briefing template, but because the conversation around what makes a good brief has never been more important.”

The industry’s problem is not the paperwork. It’s the mindset. Do you want to be genuinely challenged, or just reassured that you have selected the right ‘model’?

Two possible futures: Sadoun is either right – or spectacularly wrong

Future one: Sadoun is right. The bell keeps tolling. The industry continues to consolidate. Innovation, challenge, and personality drain away. Pitches dwindle. The curious, the ambitious, the misfits move on.

Future two: brands and independent agencies fight back. Sadoun’s vision is filed alongside some of history’s most famous misjudgments: Harry Warner of Warner Bros asking in 1927, “Who the hell wants to hear actors talk?” Dick Rowe of Decca Records telling Brian Epstein, “Guitar groups are on the way out, Mr Epstein,” as he rejected The Beatles.

Stop kicking tires
The smart CEO, or CMO, who actually wants brand advancement rather than maintenance should resist what is convenient and “sensible.” Stop treating advertising and media as a mechanical act and viewing pitches as a search for the most efficient fit.

Design your pitch process with inbuilt strategic friction
Expect your own assumptions to be challenged before anyone shows you a spreadsheet. If nothing makes you uncomfortable, you are not being stretched.

Look beyond ‘The Big Three’
Insist your advisors bring you independent agencies and challenger minds, not just default options.

Seek change
Treat major pitches as rare opportunities to inject fresh thinking and radical ideas into your business, not a burdensome project for procurement to “manage.”

Don’t brief normally, brief radically
Keep an open mind about what a good answer might look like.

The bell is tolling for what advertising and media thinking used to bring. The only real question is whether a brand lets it toll for them too.

Thursday, October 22, 2026

17638: Lavazzapalooza Leaves WPP’s Cup Half Empty.

 

MediaPost reported Italian coffee brand Lavazza awarded its global media duties to Omnicom Media, saying arrivederci to incumbent WPP.

So, lots of WPP drones may soon be leaving the global flaming dumpster in search of barista jobs.

Omnicom Wins Lavazza’s $110 Million Global Media Account

By Steve McClellan

Iconic Italian coffee brand Lavazza has awarded its global media business to Omnicom Media following an eight-month competitive pitch led by Ebiquity and involving multiple holding companies, including incumbent WPP. 

The assignment calls for Omnicom Media to support Lavazza across Europe, The Middle East and Africa, North America, and Asia Pacific through a globally coordinated, full-funnel model led from Italy.

Lavazza media expenditures in 2025 were approximately $110 million according to agency research firm COMvergence. 

OM’s strategic approach, integration capabilities across markets including retail media were cited as factors weighing in the agency’s favor.  

The Lavazza award is the latest in a string of global and regional awards and retentions for Omnicom Media this year. Earlier wins include Adidas, Delta, Dyson, IBM, L'Oréal DACH, Mercedes Benz, Novo Nordisk, Uber and Xiaomi – totaling more than $7.5 billion in billings.   

Lavazza revenue totaled 3.9 billion euro ($4.38 billion) in 2025, up 15.7%. Also last year the company extended its endorsement deal with Italian tennis great Jannik Sinner (pictured above) through 2030.

Tuesday, September 29, 2026

17615: On Escalating The Exclusivity Of Account Reviews In Adland.

 

Advertising Age spotlighted a twist on account assignments, whereby a brand charged its White media agency to conduct a creative review for its first White advertising agency.

Or was it really a twist? It’s not the first time a pitch turned into an exclusive, closed, and clandestine affair—although the scenario offered an uncommon maneuver to maintain the status quo in Adland.

The brand is Humann. Yet the new partnerships appear to favor White humans.

P.S. to Humann: Your self-hype boasts being “The trusted name in cardiovascular health.” Research shows people of color in the US are at increased risk of cardiovascular disease and poor disease outcomes. Did you choose the best media and advertising partners to reach such critical audiences?

How media agency Eden Collective conducted a creative review for one of its clients

By Brian Bonilla

When cardiovascular-health supplement company Humann went looking for its first creative agency of record late last year, it did not hire a consultant or issue a request for proposal. Instead, it took the unusual step of asking its media agency, Eden Collective, to conduct the search.

Launched in 2009, Humann built its business around a supplement called SuperBeets that supports healthy blood pressure. The company has seen strong growth lately, expanding from a limited retail presence to more than 180,000 points of distribution in the past 20 or so months, said CEO and co-founder Joel Kocher. Humann is also diversifying into cardiovascular health more broadly, with cholesterol, blood sugar, omega and CoQ10 products.

“Our aspirations changed. Our ambitions changed. So naturally, the way you run your business has to change along with that,” Kocher said.

Eden was managing Humann’s media when Kocher began reconsidering the company’s in-house creative model. When he laid out his ambitions to Eden CEO and founder Alison Monk over coffee in New York, she was frank: “I don’t think you’re going to get there without an ad agency; a creative agency that can deliver the goods,” she recalled telling Kocher.

Monk initially suggested hiring a search expert. But Kocher persuaded Eden, which it had already entrusted with its strategy and business data, to lead the assignment. (Eden was hired as Humann’s media AOR in February after previously working on a project basis.)

How the process worked

That coffee meeting led to a four-week process that replaced lengthy questionnaires and rounds of pitching with a detailed video briefing and two primary interactions: an initial chemistry meeting designed to become a working session, followed by an in-person presentation by the finalists.

Six independent agencies were initially invited before the field was narrowed to three, with Humann ultimately selecting independent agency WorkInProgress as its creative AOR. Kocher declined to identify the other contenders.

Monk, who felt up to the task because she also spent much of her career on the creative agency side at shops including Grey and Digitas, said the review’s scope was intentionally broad because Humann hadn’t yet determined if it was looking for a long-term creative agency or a shorter-term solution.

“It was an amorphous ask: What do we need?” Monk said. “So we went through a range, and Joel and I sat down and said, ‘OK, let’s look at a couple of folks that skew more project-based, and let’s also look at deeper, more AOR-like partners.’”

The review began in mid-December with a mandate to reach a decision by February, ahead of Humann’s planned retail launch of a broader cardiovascular product suite in April. Monk said Humann’s executives spent “dozens, if not 100 hours” preparing for the process.

Rather than ask agencies to complete what Monk called a “27,000-page RFI,” Eden sent agencies a video featuring Kocher and his executive team, along with supporting materials.

The extensive briefing covered Humann’s history, its origins from research conducted at the University of Texas, its Nobel Prize-winning scientific roots, and information on how nitric oxide—a key ingredient in its products—works. It also detailed the brand’s past creative, evolution from direct-to-consumer to Amazon and retail, recent packaging redesign, consumer research and customer profiles, product expansion, media strategy and competitive landscape.

Agencies had one week to review the material before a two-hour meeting with the company.

“It was a chemistry meeting, but it became a work session because of the information we were given,” said Evan Russack, co-founder and partner at WorkInProgress. “As an agency, we value those moments deeply because they allow us to ask a variety of questions—important backgrounders—but also to determine if this is right for the agency.”

Russack said the video conveyed the leadership team’s personality, passion and communication style while giving agencies unusual access to Humann’s founder and CEO from the outset.

“It was really helpful that a media agency was running the pitch, because we typically have a ton of questions related to media, and we were able to get them all answered,” Russack said.

Each of the three finalists received a $15,000 stipend. WorkInProgress used the money to research consumers’ relationship with the supplement category, then incorporated the findings into its communications strategy and creative, Russack said.

Why WorkInProgress won the pitch

To Monk, WorkInProgress stood out for its “funnel fluency” across different marketing needs. Specifically, she was looking for shops that understood the difference between what she called “salesmanship” versus “showmanship.”

“Brands with high awareness can do more showmanship and only focus on entertainment, because they don’t have to explain who they are and what they do,” Monk said. “We’re talking about a complex product in a quickly commoditized category, with lower-quality value players nipping at their heels.”

The strategic challenge was to make cardiovascular health relevant beyond older consumers or people already managing a medical condition. Humann also sought to differentiate itself in a supplement category where Kocher said few companies have meaningful clinical science. That said, he acknowledged that the company had “over-rotated on science” with previous creative focused on testimonials, especially from doctors and researchers.

All participating agencies argued Humann needed a stronger emotional connection with consumers, Kocher said.

“Our formula was: give me a point of relevancy, give me a benefit—a reason to care. Then give me the science. Then make it credible,” Russack said.

For Kocher, the defining moment came about 10 minutes into the first meeting, when he asked how the agency views the brand. WorkInProgress Creative Director Josh Shelton responded by characterizing Humann’s existing brand personality as “cool Cheerios.” Kocher embraced the comment, which he recognized as “ostensibly an insult,” because it defined the brand as a management tool for an existing condition rather than one relevant to consumers who think proactively about wellness, longevity and performance.

“I thought, ‘Finally, someone had the guts to call it for what it was,’” Kocher said. “For me, that was the defining moment. I’d made up my mind right then. Ten minutes in, it was game over.”

Kocher actually bought a box of Cheerios that he planned to send the agency—but WorkInProgress beat him to it. Two days after the meeting, a package arrived at Humann via FedEx, with Cheerios boxes decorated with what Kocher described as “cool Ray-Ban shades” stickers.

The process also convinced Kocher that Humann needed an AOR rather than a project shop.

The first campaign, backed by an investment “approaching $50 million,” according to Kocher, will break in early October.

Monk said Eden does not intend to turn agency reviews into a business line. Its role grew from its knowledge of Humann and its position as a strategic marketing partner, she said.

Russack had not previously encountered a creative review run by a media agency, but said he wouldn’t be surprised if this becomes more common.

“We’re all looking for really good partners who have subject-matter expertise we don’t possess, and have a working style that matches ours so we can deliver results for brands,” he said.

Saturday, September 19, 2026

17605: On Exposing Ugliness Of PepsiCo Pageantry.

 

More About Advertising published a lengthy perspective titled, “Ad agency pitch theatre is not a sport, but a beauty contest,” providing a probing analysis of PepsiCo global media duties shifting from Omnicom to Publicis Groupe.

The title poses two inherent flaws.

First, the PepsiCo business was awarded sans pitch. To play off the content concept, a winner was crowned without having to appear in the swimsuit competition—or any other pageant event. Indeed, it’s unclear how the decision was made, rendering the entire affair suspicious and potentially scandalous.

Second, the opinion piece was illustrated by the AI-generated image depicted above. A more accurate cartoon would have presented three Old White Guys, an Asian man, and a White woman. It’s an exclusive—and not very pretty—spectacle.

Monday, September 14, 2026

17600: More Dizzying Dispatches From The Cola Wars.

 

Advertising Age reported WPP is primed to win The Coca-Cola Company global media, data, and technology review.

Although as previously noted by this blog, the “victory” is mostly the result of Publicis Groupe nabbing PepsiCo global media duties. That is, the single White operating company claims the Coke prize by virtue of a prime contender dropping out.

According to Ad Age, WPP will not participate in the upcoming review for Coke North America media chores—although the trade publication previously identified the global flaming dumpster as a participant—which are being phased out of Publicis Groupe, who took the business from WPP last year.

The dizzying antics are likely driving people to drink. But not drink Coke or Pepsi products.

WPP is set to win Coca-Cola’s global agency review

By Ewan Larkin and Brian Bonilla

WPP is set to win Coca-Cola Co.’s global media, data and technology review and will not participate in the food and beverage giant’s forthcoming North America media pitch, according to people familiar with the matter.

The decision comes nearly five years after Coca-Cola hired WPP for creative, media, data and marketing technology across its 200 or so brands, setting up a bespoke unit called Open X. In early 2025, WPP lost its grip on a significant chunk of that business when Coca-Cola Co. hired Publicis Groupe for its North America media account. WPP continues to handle Coca-Cola’s global creative and PR.

WPP’s retention was expected by many after Publicis Groupe, which it had been competing against for the business, agreed to take over global media duties for PepsiCo. The French holding company’s decision prompted Coca-Cola to launch a review of its media account in North America, where Publicis is the incumbent, Ad Age first reported this week.

Coca-Cola and WPP declined to comment.

Coca-Cola has also been in discussions with Omnicom and Dentsu about the North America media business. Dentsu already works with the company in Japan and Korea, which were excluded from the global review.

PepsiCo last week announced it had moved its global media to Publicis from Omnicom without a formal pitch, relocating one of the industry’s most coveted accounts. PepsiCo spent $1.7 billion on global net media in 2025, according to COMvergence, making it a significant account for Omnicom to lose. Omnicom “remains a critical strategic partner across many of our marketing drivers, from creative to sports and PR,” PepsiCo stated.

Sunday, September 13, 2026

17599: On Adland Analysts Seeing Industry Shifts And Shits.

MediaPost presented more common sense posing as color commentary on the stunning PepsiCo media shift.

A spotlighted analyst provided obvious insights such as:

“…[O]ne can reasonably assume that pricing was a major factor.”

“…[M]arketers are focused on price and performance over transparency and control.” 

“…[T]he loss could have more significant repercussions as it may lead to either more aggressive efforts with non-transparent trading activities, more significant investments in new capabilities or both.”  

“…[M]any hundreds of people at Omnicom [are] likely to be laid off.”

Sorry, but delivering duh as expert opinion warrants layoffs at consultancies and analyst firms.

Analyst Sees Industry Shifts In The Wake Of PepsiCo’s Media Move

By Steve McClellan

Omnicom’s stock remains down about 6% since news broke last week that one of its biggest clients—PepsiCo—abruptly shifted its entire media account to Publicis Groupe without a formal review. Omnicom ran the account for 20-plus years. 

According to the latest figures from COMvergence, Pepsi spent an estimated $1.7 billion on media in 2025. Of that total, Publicis had already been handling about $540 million, mostly attributable to the $500 million of spending in the Asia Pacific region.  

Omnicom had about two thirds of the business, including the $780 million U.S. market. 

PepsiCo has not explained specifically what led to the shift. But according to a rundown by analyst and marketing consultant Madison And Wall, “one can reasonably assume that pricing was a major factor.” 

Which isn’t a big surprise, given M&W’s premise that generally, “marketers are focused on price and performance over transparency and control.” 

According to M&W’s analysis, PepsiCo accounted for about 2.4% of Omnicom’s gross revenue last year—or approximately $400 million, which includes creative, media and other services. The lost media assignment probably accounts for under $100 million in gross revenue “unless principal-based trading was already a significant component of the existing relationship.” 

While a nine-figure revenue loss is clearly a blow, Omnicom’s sheer size mitigates it to some extent. It’s a $26-billion-plus revenue company thanks to its acquisition of IPG last year. 

The PepsiCo media loss could be made up for “in many ways,” per M&W. Strategically, the firm added, “the loss could have more significant repercussions as it may lead to either more aggressive efforts with non-transparent trading activities, more significant investments in new capabilities or both.”  

And to the extent that non-transparent activities helped Publicis offer better pricing to PepsiCo, similar tactics are likely to expand industrywide, M&W surmises.  

The firm also believes there’s a high likelihood that WPP will retain its $1.7 billion Coca-Cola media account, currently in review, and likely win back TCC’s $800 million North America business, which shifted to Publicis in 2025.  

The PepsiCo shift will affect jobs with “many hundreds of people at Omnicom likely to be laid off,” says M&W. The good news: Many of those same people will likely migrate to Publicis, along with the PepsiCo business.