More bad news for WPP as Omnicom’s PHD wins HSBC account

In a major blow to WPP, HSBC’s global media business has moved from the network’s Mindshare agency to Omnicom’s PHD.

The business is worth an estimated £300m and the move will add to the existing pressure WPP has faced since the surprise exit of CEO Martin Sorrell earlier this year.

“We have selected PHD as our preferred media planning and buying supplier as they demonstrated strong strategic skills and advanced digital transformation capabilities,” HSBC said.

“In a complex media and communications marketplace, PHD’s overall approach stood out as being forward thinking, yet straightforward and pragmatic.”

Mindshare had held the account for 14 years, but with the appointment of a new CMO at the bank, an ID Comms-led review was initiated in January.

WPP will now be on tenterhooks: Ford, one of its largest clients with an account worth £500m, has also put some of its media business up for tender.

Meanwhile, following Sir Martin’s departure, credit ratings agency Moody’s downgraded the company’s outlook from “stable” to “negative”.

WPP was considered to be facing an “operational weakness” in the face of new competition, particularly from Google and Facebook.