Ad Industry Must Change, Says Maurice Levy

The advertising industry’s business model is outdated and must change as it faces increasing competition from the likes of Google, Microsoft and Yahoo!, according to Maurice Levy, chief executive of Publicis Groupe.

Speaking at an advertising industry conference sponsored by the International Advertising Association, Levy said: “The very model of our industry is being called into question. The model today is no longer valid, no longer relevant. Our role will remain strong, firm, indispensable. All we must do is adapt.”

However, despite speaking of huge challenges ahead for the industry he made clear that he was not running scared of the digital giants that are increasing competing with the advertising industry.

He said that he had huge respect for these online companies, but was unconcerned about them taking over from traditional advertising agencies.

Levy said that advertising agencies needed to develop a deeper understanding of technology, as audiences spend more time with video games, mobile phones and other new media.

Publicis Groupe: www.publicisgroupe.com/