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Global ABR 2016 | prweek.com 60
GL BAL AGENCY PROFILES 2016
AGENCY
BUSINESS
REP RT

2016 ABR shows demand
for what we call ‘PR’
has never been greater

W hether it is communications marketing, IN THIS ISSUE
earned influence, integrated marketing, the
engagement discipline, integrated comms, Karen Glenn
or brand marketing — or all of the above van Bergen Osaki
— the number of acronyms for PR mushrooms month
on month. But what the biggest and most in-depth anal- Newly minted CEO MSLGroup’s APAC
ysis of the agencies, trends, and data fueling our industry of Omnicom PR president discusses
— PRWeek’s Global Agency Business Report — tells us Group details how how greater cross-
is that there has never been more demand for the practice a growing demand collaboration
formerly known as PR. for integrated teams between agencies
led to the creation can help a firm’s
It was a $10.2 billion global industry in 2015, up 5% of a new unit p.4 bottom line p.11
on 2014 (based on submissions to PRWeek’s ranking
tables; the rest is finger-in-the-air stuff), employing 66,500 Editorial Michael Donna
people, up 9% on the year prior. 646-638-6036 Roth Imperato

While growth may have stalled slightly, the need to em- Advertising IPG chairman and Cohn & Wolfe
ploy more staff hasn’t, so average revenue per global 646-638-6141 CEO outlines the CEO explains how
staffer is down 4%, from $160,000 to $154,000, a sign secret sauce behind keeping up with —
PR agencies have to run further for each billable dollar. It Subscriptions firms such as Weber and managing
is also a reflection that firms have to retool with people 1-800-558-1708 Shandwick and growth — has been
who have very different skills not previously associated Golin that helps the WPP agency’s
with PR — it’s much more expensive to employ a senior Reprints them outperform biggest challenge in
broadcaster or data analyst than more AAEs, for example. 646-638-6195 the market p.14 the past year p.22

And, while work with the marketing department is a prweek.com
Holy Grail for most PR firms nowadays, the margins on
such work are notoriously tighter than corporate reputa-
tion, M&A, IR, or crisis work. Richard Edelman notes
that you have to invest ahead of the curve and hire creative
and other new talent to affect change — and that the
pace of innovation is unrelenting and unparalleled.

That’s the environment within which PR firms now
operate and there’s no room for the faint-hearted, what-
ever label you decide to bestow on the noble profession.

steve.barrett@prweek.com

Follow PRWeek on

Global ABR 2016 | prweek.com 3
GL BAL GL BAL GLOBAL ABR

AGENCY READING
BETWEEN
AGENCY BUSINESS THE LINES

REP RT Global revenue across the sector may be up, but
PR failed to reach the heights it aspired to in 2015.
BUSINESS To combat this, integration and convergence are
REP RT now key battlegrounds for client work as firms look to
forge ahead in the next 12 months. By Steve Barrett
2016
L isten to the rhetoric that comes out of PR firms and you
4 Reading between would be forgiven for thinking this is a golden age and
the lines the industry is breaking through to become the dominant
PR failed to reach the force in communications.
heights it aspired to in And it’s true that, in a world increasingly defined


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