Ad giant WPP today announced plans to streamline its digital business with the creation of Deliver, a new entity that will oversee all its digital agencies and clients.
Last week the ad giant released numbers documenting strong growth in 2008, despite the economic downturn. But WPP is not immune to market forces. They warned that their numbers this year were buoyed by marquee opportunities at the Olympics and the 2008 presidential election that will not be available in 2009.
This move is evidence of WPP trying to grow its businesses in new ways. They have been focusing on emerging markets in recent years, with income in Africa, Latin America and the Middle East accounting for 23 percent of the company’s revenue for the first half of 2008.
Digital, Internet and Interactive Networks now comprise 25% of WPP’s overall business, with more than 700 professionals working in the area of digital production in these markets.
Deliver will provide these sectors with access to a broader range of clients and agencies within WPP and consult with clients and production houses to ensure that they employ the most cost-effective and efficient uses of WPP’s interactive capabilities. Neil Prescott, former EVP and Global Head of Technology Enablement at Digitas, will take over as CEO.
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