Publicis Groupe today announced a multi-year partnership with Facebook that reportedly covers about $500M in North American advertising.
The deal, which was under discussion for the last six months, will provide PG clients such as Procter and Gamble and Coca-Cola good rates on FB and content integration. It provides PB access to the social media company’s data and integration measurement systems.
FB now says it has the scale to allow clients to reach a scale of 100M million people a day in the US.
PG and FB expect the partnership will eventually expand overseas.
"Scale" was at the core of the rationale for the Ominicom/Publicis merger that exploded May 9.
The so-called “mergers of equals” flopped due to the power grab of Omnicom CEO John Wren, who planned to squeeze out top management of his French “equal.”
The merger may have resulted in scale, but it presented the strong possibility that the creative firepower of the smaller PB would have been diluted once joined with the accountants at Omnicom.
The ad/PR business needs all the creativity that it can get as blurring lines of communications spur the rise of more competitors.
Publicis CEO Maurice Levy and his team can forge media buying/content/data partnerships with other social media sites like the one they did with FB.
Scale is important but secondary to crafting the best creative for clients.
The premature death of Publicom is good for PB and the rest of the business.
It also signals the end of the mega-merger deals.
Today’s announcement was a good PR move in wake of the May 9 split with OMC.
It provides momentum for Levy and his gang.