Marketing consultancy R3 has released its latest New Business review which finds that while holding companies might lose as much as 23% of their year-on-year revenue, new business has remained “relatively resilient” through 2020.
In the first half of 2020, new business revenue decreased 10% globally amid the global pandemic that is pushing creative agencies to find ways to do more with less.
Revenue from creative new business wins decreased by more than 17% in the period from January to June 2020 with 2% fewer reviews.
Meanwhile, media agencies experienced a slight increase in revenue of almost 4% from new business with 2% more total reviews than in 2019.
WPP dominated global creative new business wins with VMLY&R, Wunderman Thompson and Ogilvy among the top four agencies. The holding company also lead media new business wins with Mindshare generating the most revenue from wins and MediaCom in third place. Omnicom’s OMD and PHD share the media leaderboard in second and fourth place.
Accenture delivered the highest percentage of revenue growth (2%) in new business won in H1 2020, outperforming WPP, who led in total revenue and number of wins.
Media agencies experienced a slight increase in revenue of almost 4% from new business with 2% more total reviews than in 2019.
Accenture Interactive’s Droga5 ranks second in creative new business globally, and first in the US, having won accounts for Allstate and The Hershey Company.
“Marketers are on the lookout for agencies who can innovate within budgets,” said Greg Paull, Co-founder & Principal at R3. “The growing pressure of the “New Normal” in the review process means that delivering ROI remains top of mind.”
For the month of May the Asia Pacific region creative agency wins were led by Ogilvy, and DDB which held on to their number 1 & 2 ranking from the prior month. Isobar moved up three spots from number 6 to number 3 for June.
For media agencies, Mindshare remained at number 1 for the month of June while Wavemaker rose from number 4 to the second spot followed by Carat which dropped from number 2 to number 3 for June.
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