AMV BBDO has consolidated its position as the UK’s largest advertising agency with billings of £345 million in the twelve months to the end of June, according to figures from Nielsen Media Research published by Campaign.
McCann-Erickson remains in second place on the earnings list but is closely followed by J. Walter Thomson which saw billings increase by more than 25%, partly as a result of increased business from Vodafone. However, the likes of Leo Burnett and Saatchi & Saatchi recorded double figure declines.
The only new entrant in the top ten was TBWA/London which garnered £210 million in the space of a year. It replaced Bates UK which has borne the brunt of the crisis at Cordiant Communications (see Cordiant Revenues Dip 11% In 2002, Disposals Underway) and has now been amalgamated into the WPP empire (see WPP Completes Cordiant Acquisition).
Top 10 UK Advertising Agencies (In Year To June) | ||||
Agency | 2002 billings (£m) | 2003 billings (£m) | Actual Change | % Change |
Abbott Mead Vickers BBDO | 374.6 | 345.1 | -29.6 | -7.9 |
McCann-Erickson | 292.5 | 301.2 | 8.7 | 3.0 |
J. Walter Thompson | 226.4 | 284.6 | 58.2 | 25.7 |
Publicis | 227.3 | 276.3 | 49.0 | 21.6 |
Ogilvy & Mather | 263.8 | 263.6 | -0.1 | -0.1 |
M&C Saatchi | 199.9 | 259.1 | 59.2 | 29.6 |
Lowe | 259.0 | 247.3 | -21.7 | -4.5 |
Leo Burnett | 268.4 | 217.1 | -51.4 | -19.1 |
Saatchi & Saatchi | 239.0 | 211.0 | -27.9 | -11.7 |
TBWA/London | 160.3 | 210.3 | 49.9 | 31.1 |
Source: Nielsen Media Research, August 2003 |
Media agencies Seven out of the top ten media agency groups have posted gains since June 2002 with combined billings up by 10.6% in that time.
Following the merger of Publicis’ UK media shops, ZenithOptimedia has leapfrogged MediaCom to move into the number one spot. However, the latter has experienced a 23% rise in billings since June 2002. OMD UK, Starcom Motive and Universal McCann also posted increases in excess of 20%.
While there is growing confidence over the state of the media economy, billings growth have been largely attributed to new business rather than increased spending by existing clients.
Top 10 UK Media Agency Groups (In Year To June) | ||||
2002 billings (£m) | 2003 billings (£m) | Actual Change | % Change | |
ZenithOptimedia | 664.8 | 644.8 | -20.0 | -3.0 |
MediaCom | 489.1 | 601.4 | 112.3 | 23.0 |
Carat | 557.1 | 541.5 | -25.6 | -2.8 |
MindShare | 468.9 | 511.8 | 42.9 | 9.2 |
OMD UK | 312.7 | 435.3 | 122.6 | 39.2 |
Starcom Motive | 323.7 | 391.2 | 67.4 | 20.8 |
Initiative Media | 327.3 | 387.9 | 60.7 | 18.5 |
Universal McCann | 257.5 | 314.3 | 56.8 | 22.1 |
PHD | 274.9 | 282.6 | 7.8 | 2.8 |
Starcom MediaVest | 271.8 | 254.2 | -27.5 | -6.5 |
Source: Nielsen Media Research, August 2003 |