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Sir Martin Sorrell from WPP: Agencies need to adapt to the new data and digital model

1 de octubre de 2015

For Sir Martin Sorrell, founder and CEO of WPP, the idea that traditional creativity is the queen has changed. In his opinion, agencies need to adapt to the new model that places so much importance on data and on digital. “75% of our income comes from areas that not even Don Draper would recognize. Even Cannes Lions has broadened its award categories to include data and health”.He highlighted that differentiation comes from data and digital, where increasingly bigger marketing budgets are allocated and which currently represents over 40% of WPP’s revenues. Underlying his concerns is clients’ uncertainly and reluctancy to invest, which has led to choosing agencies based on price and treating them as either the bank or insurer. “I don’t think payment terms should be a critical determinant. We are about differentiation; you can’t choose on the basis of payment terms. Or the completely insane thing is that we should be held responsible for indirect breach of intellectual property. And then become an insurance company. Is this going to change? The sad conclusion is that it’s not.” Sorrell also remembered during the Advertising Week in New York that WPP had invested in the measurement companies ComScore and Rentrak in the last months. Thanks to that, now “the opportunity for third party refereeing is going to be enhanced by ComScore Rentrak alliance. WPP will have a have a 16% stake in the combined entity, with an option to increase its stake to 20%.”

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