“What Added Value Do We Get?: In-House Comms Leaders Respond To Burson Merger

(MENAFN- PRovoke) Now that the initial dust is settling, we asked client-side communicators what they think of WPP's plan to merge BCW and Hill & Knowlton into a single entity, Burson , and the impact the move will have on their agency partnerships. They responded with confidence and trepidation.

Stephen Forshaw, in-house veteran :

"In cases of mergers and acquisitions of agencies, the onus is on the new company to show its clients the benefits and value that come from the merger. To most clients, and always has been the case with me, an agency, even a global mega-agency, is only as good as the team it has servicing the account.

“Keeping overheads in check, ensuring account teams are well-motivated to deliver and not over-stretched servicing too many accounts while chasing new business, and contributing because they know their clients' businesses really well; these are the keys to attracting and retaining business. This matters to most clients more, and probably explains why good independents are able to find their day in the sun, which is adding to the pressure on the big global firms. So, the test is simply, how a merger leads to benefits to clients.“

Marian Salzman, chief corporate citizenship officer, US, Philip Morris International

“The challenge in the PR space is ensuring clients benefit from these consolidations: how big is best? What added value do we get from these mega-agencies? It also spells opportunity to balance big global networks with amazing boutiques which move in a stealth fashion and become arms and legs for us clients who need more implementation and less safe counsel. In the best-case scenario, global unification is very helpful; but I also worry about conflicts and Chinese walls.”

Mark Truby, CCO, Ford

“Ford and WPP have worked together for 80 years and that's a pretty special relationship. I really trust Corey and the team to leverage this merger to innovate and raise the bar on talent and creativity.”

Genevieve Hilton, ex-communications head, BASF and Lenovo Asia-Pacific

“My question: what use - to a client - is a giant agency? As a client, even if I needed the geographic reach, it's rare that I would need a giant team in any given market. Assuming that there is still going to be a good portion of the agency's business that focuses on media relations, it seems odd to think that a larger team would be better, since there are fewer and fewer journalists to engage with.

Global in-house communications chief

“Neither Burson nor H&K-and certainly not the soon-to-be-combined 'top 2' PR firm - are attractive options for clients now. As a purchaser you have ask: how many offices will close and where? who is leaving and when? How can leadership focus on clients (or people) when there is consolidation? This merger is nothing about clients or people. It is a way to prop up a long-struggling agency (H&K) and provide its good people and desirable clients a home. WPP has never believed in PR ... and will also bet on high-end boutiques (FGS) or marketing PR (Ogilvy). Shareholders will be happy, though.”

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