A plan to merge Publicis and Omnicom into the world’s biggest advertising group has rivals ready to poach their blue-chip clients that might leave the new agency as it faces potential conflicts of interest.
Without any defections, the Franco-US giant would bring the accounts of major competitors in a number of industries such as Apple and Samsung Electronics, or Coca Cola and PepsiCo, under one roof.
Publicis Chief Executive Maurice Levy and his Omnicom counterpart, John Wren, spoke to some of their biggest clients before the US$35.1 billion (HK$272.3 billion) deal was announced on Sunday, industry sources said. The chief executives said they made further calls on Monday to reassure them they would be better served by the new group.
But rival bosses from London to Paris and New York, including WPP boss Martin Sorrell, were already scouting on Monday for accounts to poach from the soon to be formed group, industries sources said.
Under the deal, the French and US groups will form an advertising giant with the scale and investment firepower to better cope with rapid changes brought by technology on the business.
Rival ad groups have a rare opportunity to swoop up clients as contracts between major advertisers and agencies often include clauses that say they can be renegotiated in the case of agencies being bought or sold.