Don’t Get Used to Being ‘Top Dog’ Post Omnicom-IPG Deal, Arthur Sadoun Tells Publicis Staff

Publicis Groupe chief executive (CEO) Arthur Sadoun has addressed Omnicom Group’s acquisition of Interpublic Group (IPG) in a video memo circulated to its 107,000-plus employees.

In his speech, Sadoun cautioned staff not to get too comfortable being the world’s biggest holding group by revenues and predicted the deal would be “positive for the industry at large.”

Standing beside Snoop Dogg in the company’s annual holiday wishes video last week, the leader proudly announced the network was poised to claim the title of the world’s largest advertising group, with consensus estimates from financial research platform Visible Alpha forecasting Publicis to pull in sales of $14.5 billion by the end of 2024.

Publicis’ reign at the top could be short-lived, though, as Omnicom’s newly combined company boasts revenues of $25.6 billion, based on 2023 figures. Now, Sadoun acknowledged the business may not be a permanent fixture at the top of the table.

“I hope you are enjoying being the ‘top dogg.’ But don’t get used to it, because it may not last past 2025. As you know, Omnicom has decided to go shopping and has plans to buy IPG,” Sadoun told staff.

He was optimistic in his tone, though, stating the move towards “three main global players” among agency holding groups would help soften the blow of the financial pressures currently facing the ad market.

“Second, this is a big opportunity for us,” he stated, pointing to lessons learned from the failed Publicis-Omnicom merger a decade ago. “[We know that] an acquisition of this size will require every leader to be focused internally on integration if they want to be successful.”  

“On our side, our transformation is behind us. We have invested in data and technology in the last decade roughly what Omnicom will pay for IPG in one go. Our capabilities are fully integrated. Our model has been outperforming for the last five years,” Sadoun added.

You can watch the video Sadon shared with staff on Thursday (Dec. 12), and read the corresponding transcript in full below.

Bonjour,

I hope you are enjoying being the top dogg. But don’t get used to it, because it may not last past 2025. As you know, Omnicom has decided to go shopping and has plans to buy IPG. I know you have a lot of questions about this deal. So, I wanted to share with you some of my thoughts.

Overall, I think this is positive for the industry at large. It is a real opportunity for us and if it does go through, it’s going to be fun!

First, our industry is clearly being challenged by the financial market. Right now, analysts describe Publicis as a good house in a bad neighborhood. Well, this neighborhood would start to look a lot better if we move to three main global players. 

Second, this is a big opportunity for us. We know from the experience of POG, Publicis Omnicom Group, 10 years ago that an acquisition of this size will require every leader to be focused internally on integration if they want to be successful. 

On our side, our transformation is behind us. We have invested in data and technology in the last decade roughly what Omnicom will pay for IPG in one go. Our capabilities are fully integrated. Our model has been outperforming for the last five years. 

So now, we can be laser-focused on our clients and their needs for today and tomorrow.

Third, if this deal goes through, we’re definitely going to have a lot of fun. In the next two years, Omnicom and IPG will consolidate more of the same to become the largest holding company. 

We, on the other hand, will continue to create a Category of One by further expanding, differentiating and innovating to uniquely partner our clients in their transformation.  It’s not exactly like David and Goliath but, at Publicis, we are at our best when we are being bold challengers. 

And that’s where you come in. 

More than ever, we should focus on our clients as they are counting on our partnership to drive growth and leapfrog their industries. It is our job to get them there.

Voilà! 

On a more personal note, I’ve always respected John and Philippe.  Not only because one was my boss 20 years ago and the other speaks French very well. I’ll let you guess which one is which!

So, I wish them both a happy and healthy marriage. 

And I wish you all again very happy holidays and all the best for you and your family for what will definitely be an interesting 2025!

Keep up with ADWEEK’s coverage of the Omnicom-IPG takeover here.