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please read the following files and follow the instructions.

Post2: Agency Dynamics and Agency Selection Process

Read:

https://www.aaaa.org/index.php?checkfileaccess=/wp-content/uploads/legacy-pdfs/agency_search_white_paper

(25 minute read)

Read pages 24-28 of the

Marketing Fact Pack

· for background on some of agency facts. (10 minute read)

Respond to the following 2 questions:

1. What stood out to you (key take a way) about the agency search and selection process?

2. Find one company (client/brand) that has started an agency review, or has recently hired a new agency partner.

· Who is the client/brand/product?

· Who are the agencies considered or selected?

· Who was the previous agency (if available)?

· How long in general are client/agency relationships?

3. What questions do you have about agency client relationships?

ANA/4A’s Guidelines for Agency Search

Marketers and their agencies are looking for high-performance relationships based on mutual trust. Steps that
can help marketers and agencies reach that productive state have been outlined from time to time. However,
there has not been recent comprehensive guidance on agency search that recognizes the rapidly changing
agency-advertiser marketplace.

The guidance that follows—developed and endorsed by the Association of National Advertisers (ANA) and the
American Association of Advertising Agencies (4A’s) —outlines steps that can help marketers and agencies go
through an effective search and selection process that can help both parties create a better working relationship.

Objective

The objective of this document is to provide guidelines for both clients and agencies to consider in the agency search
and selection process. This has become an increasingly important topic as the business and marketing landscape
becomes more diverse and fragmented, there has been a proliferation of new agencies with the growth of emerging
digital and mobile media, and there has been an expanded desire for specialty expertise/new perspectives to comple-
ment (or replace) existing agencies of record. Marketers and their procurement teams as well as agencies can
benefit from these guidelines for the agency search and selection process.

Background

When beginning a search, marketers should be transparent with agencies regarding the nature of the search, the
desired going-forward relationship, and the scope, timing, and economics of the assignment that is being reviewed.
The ANA and 4A’s recognize that the most common searches are for the following types of agency relationships:

• Agency of Record (AOR) Search – An AOR usually sets the strategic and communications direction for a brand
(i.e., ongoing retainer-based relationships).

• Roster Agency Search – Could involve a review for a specific assignment or might entail a qualified vendor status
review with no specific assignment as part of the roster review. A roster agency is one that has met the criteria to
be considered for a client’s brands but may not yet have been awarded a brand assignment.

• Specialty Agency Search – These are agencies that have a specific expertise (e.g., mobile, event marketing,
digital, social, media planning and/or buying, CRM, or collateral). These agencies often supplement an AOR
or an existing roster.

• International Agency Search – This is usually for an AOR to handle a brand globally or in multiple markets
around the world. This is usually done to identify a lead office in a core market that will then coordinate efforts
with other offices around the world.

2 ANA/4A’s Guidelines for Agency Search

• Ad-hoc/Tactical Agency Searches – Typically smaller to mid-sized agencies used for more routine, turnkey work
at a lower cost with a shorter turnaround time. These agencies can complement other agencies on the roster and
free up core agencies to do more strategic work.

• Project Reviews – Client searches for an agency to perform a specific, one-time deliverable.

The ANA and 4A’s recognize that every agency search is different and that different searches may require clients
and agencies to adapt these guidelines to their unique situations and circumstances. However, it is our belief that
the following guidelines apply to the most common types of searches taking place today, and should be of value to
both clients and agencies.

Guidelines for Clients …………………………………………………………………………………………………………….3

Before You Even Decide To Conduct a Search ……………………………………………………………………3

You’re Conducting a Search—Initial Considerations …………………………………………………………….4

Initial List/Request for Information (RFI) ……………………………………………………………………………5

Semi-Finalists/Request for Proposal (RFP) ………………………………………………………………………..6

Finalists …………………………………………………………………………………………………………………….8

Guidelines for Agencies ……………………………………………………………………………………………………….. 10

You’ve Received an RFI or RFP—Now What? ………………………………………………………………….. 10

You’ve Made the Cut—Optimizing the RFP/Pitch Process ………………………………………………….. 10

A Word About “Spec” Work …………………………………………………………………………………………. 11

Contract and Terms …………………………………………………………………………………………………… 11

Getting Started and Planning for Success ……………………………………………………………………………….. 12

Appendix ………………………………………………………………………………………………………………………….. 13

Appendix 1 – Industry Resources for Agency Search and Selection ……………………………………… 13

Appendix 2 – Cultural Compatibility ……………………………………………………………………………….. 14

Appendix 3 – Thoughts on “Spec” Creative Assignments—Also Known as Shootouts ………………..15

Task Force Members …………………………………………………………………………………………………………… 18

Table of Contents

3 ANA/4A’s Guidelines for Agency Search

Guidelines for Clients

Before You Even Decide To Conduct a Search

1. If you are considering replacing an incumbent agency (or reassigning a significant piece of incumbent business).

Before deciding to conduct a search, marketers should seriously evaluate whether or not a search is required. Agency
searches can be expensive, time consuming, highly disruptive, and can drain company resources. Sometimes issues
can be addressed with the existing client/agency relationship via a remediation process, a “last chance” warning given
to the agency (as the agency may not even be aware of all the issues) or by simply switching the team at the agency.

There are many reasons for conducting a search. While those reasons include performance-related issues, they
can also include changing business needs, new product introductions, leadership turnover, conflicts, missing
competencies, and the need for specialty agencies.

When a client thinks a new agency is required for performance-related issues, the client should conduct a self-
examination, asking questions such as:

• Is the problem with the agency a problem that we’ve had before (which might suggest that the client is the
one who needs to change)?

• Were we the best client we could have been?

• Did we have a clear strategy?

• Did we provide a clear brief to the agency outlining campaign objectives, deliverables, and expectations?

• Did we pay the agency fairly for the work so that it could put its best talent on our account?

• Was the agency given clear and consistent feedback and sufficient time to respond?

• Was the approval process too onerous?

• Did we elevate the conversation to a higher level at the agency so that more senior agency leaders could
also respond?

Clients must be honest with themselves as well as with their agencies (current agencies and potential new agencies,
if it gets to that). Clients should be careful not to rationalize previous agency failures or put the entire fault on the
other side. Ask honestly, “Is there something we could have done better/differently?”

Overall, the agency search process shouldn’t necessarily be about ultimately “fixing” the problems, as they may
not realistically be fixable. It should simply be about putting them on the table—internally and with agencies—to
focus on finding an agency that may be able to work within those parameters. Whatever the issues are, the agencies
have probably experienced them with another client. With honest dialog about internal barriers, the agencies can
share specific case studies regarding how they were successful given similar challenges.

2. Adding a new agency (without replacing an existing one).

Even if a potential search relates to a completely new requirement and not replacing a previous agency, a client
must structure itself in a way that maximizes the likelihood that a new agency will be successful (sufficient budget,
lead time, proper senior management support, a clear strategy and decision-making process, etc.).

If an agency is being added to provide new capabilities (i.e., in the digital/ mobile area), geographical reach, or
bandwidth (i.e., non-core work going to tactical agencies), it is important for the marketer to define this clearly
to both the incumbent agency and to any new prospective agencies contacted during the search to ensure clarity
around roles and responsibilities.

4 ANA/4A’s Guidelines for Agency Search

You’re Conducting a Search—Initial Considerations
Once it has been determined that a search is required, here are initial considerations for the advertiser.

• Identify your internal search team. Ensure that the team is not too big and that the right people are on the
team—the people who the agency will work with on a day-to-day basis and the senior leaders who will make final
decisions about the work. Ensure that the team is empowered by senior management to make decisions. Include
procurement, if applicable, and bring them in early. If procurement is involved, clarify whether its role will be as
facilitator or driver. Clearly identify the influencers and the decision makers.

• Discuss the time commitments and responsibilities that will be required from the client search team. Continuity
of involvement, attending planning sessions, alignment on expectations, process, and criteria, and active partici-
pation in all agency meetings are essential to conducting a well managed search process.

• Decide who will lead the pitch. Options could be procurement, marketing, or an external agency search consultant.
Next identify a specific individual as “search leader.” Companies should assess whether or not they have the right
skills and expertise in-house to conduct a search and the time to do so, without disrupting current business.

• Define objectives/requirements and be honest about them; e.g., don’t ask for strategy or innovation if you’re
looking for operational efficiencies.

• Identify decision criteria upfront; prioritize and weigh that criteria.

• Have approval from senior leadership on objectives/requirements and decision criteria to ensure alignment.

• Agree on the service expectations, scope of work, and desired business outcomes you expect to derive from the
new agency relationship. The expectations for the new agency relationship should specify the marketing budget
range, agency compensation levels, and speed-to-market requirements. Once internal alignment on expectations
is agreed upon, the marketer should—upon receipt of a signed confidentiality agreement—disclose expectations
to potential agency candidates.

• Agree on the search approach. Options include:

� Business is placed with another preferred supplier.

� Streamlined “meet and greet” approach to allow the client to understand agency capabilities, recent
experience, and potential resources to be applied to the business.

� Full-blown agency pitch.

� Trial assignment—fixed time period with clear deliverables and fair compensation, after which point the
client and agency decide whether to extend and formalize the relationship.

• Identify and agree internally on a meaningful list of competitors—companies that you cannot share an agency
with due to competitive conflicts. If conflicts are a material consideration for your business, then carefully detail
critical conflict areas and state your conflict parameters in the initial communication with candidates.

• When placing business into review, clients should be transparent with the incumbent agency about what is being
reviewed and if there will be a replacement agency or a complementary one added to the existing roster. Be clear
on whether the prospective agency is an appropriate candidate for the review and where it stands in consideration.
Have agencies sign a non-disclosure agreement before issuing the questionnaire.

• While searches for smaller assignments or reviews that entail a modest scope of deliverables and meetings could
move more quickly, the optimal timing for the agency search process should be approximately three months:

� Identification Phase: One week

� RFI: Two to three weeks

� RFP: Four to five weeks

� Finalists: Six weeks

5 ANA/4A’s Guidelines for Agency Search

Initial List/Request for Information (RFI)
The purpose of the RFI is to request detailed information regarding the agency’s profile, management team, organization
chart and operating structure, business approach, financials, credentials, client list, and capabilities, and to motivate the
best and most relevant agency candidates to apply. It typically also includes case studies and creative work samples that
might further help the client understand the agency’s capabilities.

At this stage, the client should prepare an outline identifying agency requirements such as geographic proximity,
strategic needs, specific capabilities, industry experience, etc.

• Develop an initial RFI list, which should include no more than 10 to 15 agencies (then 6 to 8 for the RFP stage
and up to 3 for the final round). Instead of a formal RFI, you can consider a more informal screening process,
i.e., by phone, especially if it’s for a smaller-scale search where you will consider a limited number of agencies.

• There are multiple ways to build an initial RFI list as well as to learn more about the agency landscape, especially
if you are researching specialty agencies.

� Consider agency resources already used by your company. Consider talking to your Agency of Record
if it has boutique/specialty agencies within its holding company.

� Peer experience.

� Search consultant input, if applicable.

� Identify conflicts (e.g., due to competitive issues) to eliminate candidates.

� Consider geography and time zone needs: Is it necessary that the agency be in close physical proximity
to the client or can the search be geographically broader in scope? Does the agency have the geographical
coverage (i.e., locations in multiple international markets) to service your business?

� Agency Web sites.

� Access information and guidance from the 4A’s and ANA

� the 4A’s “Agency Search” information center and database at http://bit.ly/aaCrx9

� the ANA Marketing Knowledge Center at www.ana.net/agencyselection.

For additional industry, third-party, and subscription resources, refer to Appendix 1.

• Discuss key business terms upfront. These may include competitive conflicts, employee non-compete clauses,
minority business requirements, women’s/green commitments, audit requirements, travel policies, etc. Some
of these points may be part of the contract with the winning agency; discuss them early to avoid surprises later.
Share your contract template with them; ensure there aren’t any legal or contractual “deal breakers” before you
get too far into the process.

• Suggestions for the RFI to ensure a smoother process with faster turnaround time:

� If you submit an RFI designed by your procurement department, ensure it is appropriate for the marketing
industry and other indirect services. Your RFI should request basic agency information and pose relevant
marketing questions that will help you assess an agency’s capabilities, i.e., case studies, category experience,
research capabilities, creative development processes, and any category conflicts.

� Streamline any questionnaires or RFI documents to key questions (one to two pages maximum).

� Decide on the questions/issues to be addressed in writing versus what should be discussed—an RFI
is not a Request for Proposal (RFP).

� Know why you are asking each question; ensure focus.

� Allow agencies a realistic amount of time to respond to the RFI request. Allow at least two weeks for
a short form, longer if it’s a more-detailed questionnaire.

http://www.aaaa.org/pages/AgencySearch.aspx

http://bit.ly/aaCrx9

http://www.ana.net/agencyselection

6 ANA/4A’s Guidelines for Agency Search

� Consider a template format for responses for easy comparisons of multiple agencies.

� Recognize that it takes time to review all the RFI information submitted by agency participants, urge
agencies to be complete but succinct in their responses. Communicate word count limits upfront.

• At this stage, the client should also provide some basic information to the potential agencies to help them decide
if the business is appropriate to pursue. This will help narrow the list further. This may include an introduction to
the company, an overview of key business objectives and marketing challenges, expected scale/scope of the
relationship, budget, and more.

You may also want to consider skipping a formal RFI/RFP process in favor of a fast-track, closed-search process
where specific agencies are invited to discuss their capabilities, followed by a more in-depth discussion or speculative
creative (spec) work with two to three finalists.

When the initial search outreach is being developed, include your “rules of the review” in communications with
potential agency participants. The rules of the review should cover the planned review process elements, agency
deliverables, time schedules, interim client/agency contacts, and any code of conduct do’s or don’ts. For example,
if there is a policy that prohibits employees from accepting gifts, entertainment, or other items of value from
suppliers or candidates, the policy should be communicated.

Semi-Finalists/Request for Proposal (RFP)
(for detailed discussions with six to eight agencies)

The purpose of the RFP is to invite prospective agencies to the next stage of the search process, where the marketer
can assess the agency with more detailed information, and vice versa. During the RFP process, the marketer will be
looking for a more in-depth view as to how the agency can meet the needs of the client, structure the team to service
the account, and outline its overall approach to the business. This is also an opportunity to have a more in-depth
discussion on business terms, such as contract requirements and compensation. The RFP process is also a great
opportunity for the agency to get to know and assess the marketer as a potential partner.

• Before scheduling time with the agencies, marketers should conduct an internal “requirements” meeting to align
stakeholders (i.e., marketing clients and procurement) on the RFP process, business requirements, and semifi-
nalist expectations.

• Hold a “grounding” meeting with all client participants prior to the beginning of agency presentations, to review
requests made of agencies and the agency evaluation form.

• The client should be very clear in communicating requirements to the agencies, as better input leads to better
output.

• Include a discussion on agency compensation early on. Don’t provide a specific budget for agency compensation,
but consider providing a budget range. Cost must fit for both parties. What the client is willing to pay must fit the
economics of what the agency is able and willing to provide—at a profit.

• Set budget expectations (media or project budget, depending upon the assignment).

• Discuss timetables, agency experience required, agency performance evaluation metrics (e.g., sales, copy
testing, brand awareness, etc.), role of online, mobile, geography (regional, national, global, etc.).

• If there are important process capabilities (e.g., billing formats, payment methods, status reporting), discuss them.

• Provide adequate access to the client for agency questions, and ensure a fair playing field by providing equal
access to clients and any supporting materials (i.e., details about the campaign) for all competing agencies.

• It is strongly advised that you visit the agency candidates in their offices at some point in the review process.
Ideally schedule each semifinalist meeting on the agency’s premises because an agency that may have been
sixth on your list could jump to first place (and vice versa), once you see how the firm operates in its own envi-
ronment. If that cannot be arranged and the semifinalist meeting will be held at the client’s location or a neutral
site, allow each agency a minimum of one-hour setup time and provide them with room layout and audio-visual
specifications well in advance of the meeting.

7 ANA/4A’s Guidelines for Agency Search

• During the process, insist on meeting key people who will actually work on your business and constitute your
senior team. Visiting the agency provides the opportunity to meet more members of the team, whereas agency
trips to a client’s office will most likely involve meetings comprised of a smaller agency team.

• Good chemistry with a prospective agency is essential. Ask yourself, “Do I like these people and can we
work together?”

• A note on culture: though culture is invisible, it presents itself in many conspicuous ways. Beyond assessment
of an agency’s core competencies (e.g., copy, media, research) and administrative processes, another key
assessment should concern its ability to fit your company’s culture. Cultural conflicts will almost certainly sabotage
an advertiser-agency relationship, regardless of how well an agency’s core competencies and administrative
processes match an advertiser’s needs. Hence, the importance of cultural alignment cannot be overstated.
A supplemental discussion on culture can be found in Appendix 2.

• Today clients usually work with a number of agencies, so it’s also important to know that a new agency will
complement other agencies on the roster, and they will be able to work collaboratively for a common goal.

• Schedule enough time in the meeting. Allow a minimum of two hours to ensure there’s time for you to tell the
agency about your business, for the agency to present its capabilities, and for concluding questions and discussion.

• Don’t just answer the agencies’ questions, evaluate them. What an agency asks can often reveal: 1) its actual
interest/involvement in the business, 2) its work processes, and 3) its ability to effectively collaborate.

• Much can be learned about an agency by the questions they ask. Ensure a fair playing field with your agencies
in handling questions. Some marketers disseminate a question from one agency to all selected agencies and
distribute their responses to all participants. The downside to this approach is that many agencies will be reluctant
to ask strategic questions for fear of revealing to competitors a planned approach to the pitch. Consider circu-
lating to the agency field only those questions and answers that clarify the assignment or process.

• When viewing case studies from agency candidates, be mindful that some of that work may have been produced
by people who have left the agency—and it’s possible that it could be shown by more than one agency. If a specific
case study or piece of work captures your attention, ask if the key players involved still work at the agency.

• Marketers should provide continual and timely communication to prospective agencies on process and next
steps, including any delays or changes in timeline.

• Develop a simple, focused evaluation form for the client team, and complete it immediately after each meeting.

• Create a process that allows client team members to initially give feedback individually to avoid any bias from
a group environment. Then bring the team together to discuss perceived agency strengths, weaknesses, and
whether or not the agency fits the brand/corporate culture.

8 ANA/4A’s Guidelines for Agency Search

Finalists
(up to three agencies)

Guidance for the finalist stage include some of the same criteria from prior stages plus new thinking.

Pre-Final Guidance (Preparation for the Finalists’ Meetings)

• Clearly set expectations on the deliverables for the final round; a written brief should be provided that outlines
those expectations. If new strategic, company, or consumer research is to be provided, hold a briefing. If time is
a constraint, major briefings can be conducted with agency finalists collectively, with time reserved for them to
engage individually regarding questions and clarification. Clearly articulate required deliverables and match your
brief and briefing as stimulus to obtain those deliverables.

• Make the final-round assignment as “real life” as possible. The final assignment should simulate how you would
work with your agency partner. Again, be clear about the specific output or deliverable(s) desired and expected;
specifically, whether it is a strategic plan, a transition plan, or an agency viewpoint.

• Not all reviews need to end with a creative shoot out. Much can be learned about how an agency solves a
problem with a different kind of assignment. Consider whether spec creative work is indeed required. If spec
work is required, consider paying a stipend to cover some of the agency’s out-of-pocket costs. Please refer to
Appendix 3 for additional discussion and guidance related to speculative assignments.

• The client should have no ownership rights over creative work or intellectual property developed by the agency
unless that has been agreed to in advance, and the client pays a fair and reasonable fee for ownership. Note that
this is much more than a stipend.

• Provide adequate access to the client for agency questions during the final round. Remember that agency
questions at this point in the search can be indicative of the agency’s process and reflect its planned strategic
approach. Consequently, it’s recommended that questions from an individual agency and the marketer’s response
not be shared with the other competing agencies.

• Continue to evaluate chemistry and culture. For example, consider having a dinner or out-of-office lunch with
each finalist agency. At this stage, the client should have visited the agencies in their offices to meet more of their
staff, assess their teamwork, and get a sense of the agency’s culture and personality.

• Provide the agency with evaluation criteria and weighting for both the final round and the ongoing relationship.
Clearly define the meaning of success.

• Provide continual and timely communication on process and next steps.

Final Day Guidance (Conducting the Finalists’ Meetings)

• Conduct a discussion with each finalist to ascertain the logistical specifications related to their final presentations.
Allow the agency access to any audio-visual equipment if the pitch is on site. Information about the presentation
room can be very important to the agencies. Provide room dimensions (photo, if possible), specifications of
available equipment, including monitor(s), screen, ceiling or table projector, aspect ratio, etc. It’s helpful to
provide the contact information of the person in your organization who will receive shipments the agencies send
to your site before the presentation. Allow each agency a full hour to set up in advance of the presentation and
provide IT support to answer equipment questions.

• Provide the agency with a list of all clients expected to attend the meeting. Your information should include the
titles and functional responsibilities of each client participant.

• Have a “grounding” meeting with the client team prior to the beginning of the agency presentations to review
what was requested from the agencies and the evaluation form.

• Allow sufficient time for the agency to answer the brief and adequately show its work.

• Clearly communicate the amount of time allocated to each agency to present and the amount of time, if any,
you wish to reserve for questions and answers.

9 ANA/4A’s Guidelines for Agency Search

• Adhere to your timetable. Don’t indulge an agency that exceeds its allotted time or penalize an agency if you start
the meeting late.

Post-Final Guidance (After the Finalists’ Meetings)

• Acknowledge the fact that great work from great agencies comes from a great relationship with a great client.
During the selection process, think about whether you can get to a great relationship with this agency and
whether they can work effectively with other agencies. Spend enough time with them to have a good sense
of that by the end of the process.

• Develop a simple and focused evaluation form for the client team that includes agreed-upon criteria and weighting.
Complete the form immediately after each meeting.

• After you’ve seen all the agencies for the final time, meet as a team to discuss and decide. Ensure that the team
is aligned on the selection, even if it’s not unanimous.

• It is advisable to notify the winning agency that it is considered the company’s number one choice but that the final
decision is pending reaching agreement on key contract provisions. The other agencies should not be
contacted yet, since failure to reach an acceptable agreement with the lead agency candidate may require that
the client pursue an alternative solution.

• Once an agreement has been reached with the winning agency, inform other agencies at the same time via
back-to-back calls.

• Offer non-winning agencies a debrief call at a later time to provide them with honest and actionable feedback on
their approach, people, final presentation, and to allow them to ask questions. The 4A’s has a post-review feedback
tool (http://bit.ly/qkExbl) that highlights important feedback categories and a ranking scale that can easily be
adapted to online or telephonic debrief format.

• If the review drags on, the entire process is at risk as agency talent that was originally available during the review
may be reassigned, or the agency may even decide to back-out of your search and participate in an agency RFP
with a competitor.

• Remember that this is a search based on business needs and is not a beauty contest. In the final selection
process, clients should regularly refer back to their selection criteria.

http://www.aaaa.org/news/bulletins/Documents/post_review_feedback

http://bit.ly/qkExbl

10 ANA/4A’s Guidelines for Agency Search

Guidelines for Agencies

You’ve Received an RFI or RFP—Now What?
• If it is not clear, clarify what the assignment is asking from your agency as well as the role of other agencies and

the client’s in-house staff.

• Carefully review the assignment and the client fit and quickly determine if it is a good opportunity for your agency.
Regardless of your decision to engage or not, promptly respond to the prospective client or search consultant with
an indication of your intent.

• If you decline the opportunity to pitch, tell the client why. There is a lot of learning in that answer. Was it outside
your capabilities or was there something about the way the client defined its objectives or assignment?

• In developing your response, follow the directions and guidance given, answer the questions being asked, and be
specific about your core capabilities, experience, and what you do best. Don’t go “off the ranch” as the client may
not be able to make apples-to-apples comparisons with other agencies (and may quickly eliminate you as a result).

• Be honest about your capabilities relevant to what the client is seeking. Pursuing a piece of business that isn’t a
good match ultimately wastes resources and possibly damages a future relationship. Don’t be afraid to answer
questions with “we don’t do that” or “that’s not our sweet spot, but…” Being transparent tells a client a lot about
you, and if you’re not right for this assignment, the client may think of your firm for other projects.

• Differentiate your agency. From the beginning, put a clear and meaningful stake in the ground about what
differentiates your agency. The differentiator does not necessarily have to relate to capabilities. It could be
culture, process, or a “secret sauce.” Articulate how that differentiation is applicable to the potential client. Refer
back to that differentiation often throughout the process so that the client can internalize if/how it could realistically
and practically be of benefit. If there is something about what the client is requesting that will prevent or limit your
ability to apply your differentiators, let them know.

• Disclose all competitors you are working with, as well as all client relationships, as the potential client may have
a unique view on conflicts, or you may be able to work out an acceptable solution with any competitive issues
(i.e., firewalling the competitor from your business by using an entirely separate account team, on a separate floor
or even in a separate office or city, if available).

• Be courageous enough to discuss compensation implications early, even if the client doesn’t bring it up. Setting
expectations early on both sides could prevent future compensation issues that create tension in the relationship.

You’ve Made the Cut—Optimizing the RFP/Pitch Process
• Take time to understand specific client needs, challenges, and the scope of the assignment. Understand if the

client is looking for an ongoing relationship or one limited to a specific time or project. Be clear on the balance
between strategic/creative requirements and executional/tactical deliverables.

• Ensure you are clear on the brief and project parameters such as success metrics (e.g., sales, brand awareness,
etc.), geography (regional, national, global), role of new media, etc.

• Identify all questions or points requiring clarification that your team has regarding the RFP and schedule a
conference call or meeting with the prospective client to address them. Remember, this step can be an important
and evaluative one in making an impression on the prospective client.

• Be prepared to demonstrate that you can “play nice” with other agencies—not just within your agency family
or holding company but with other agencies as well. In today’s world of fragmented media, clients often have
multiple agency partners so cooperation/collaboration among different agencies is essential.

• Discuss account staffing as it can have a significant impact on costs. Discuss staffing methodologies in
more-general terms; once the scope of work has been determined, the staffing arrangements can be made
more specific.

11 ANA/4A’s Guidelines for Agency Search

• Don’t bait and switch. Don’t send in the new business team to get the account and then assign another team to
do the work. Ensure that the client meets the people who will work on its business and include at least one key
account person. Clients should know that asking to meet the full account team may be an unreasonable request.
In many cases, the team is not fully formed or the staff hired.

• The agency should be clear on which clients they will work with on a daily basis and who the key decision
makers are.

• Identify if the agency has internal subsidiaries that are profit centers that would be used for the client’s busi-
ness. These may include production facilities, editing, in-house art studios, music, etc.

• When you show your agency’s work, ensure that key players involved with each piece of work are still at the
agency. If the core team has left, it’s no longer appropriate to show that work.

• Agencies should strongly emphasize business results in their relevant case studies. Awards are nice but only if
the recognized work increased the client’s business. Focus on business outcomes and not always on how many
boxes were sold, but why boxes were selected as the standard of measurement. Why not some other metric?
Potential clients want to understand your agency’s process and way of thinking.

• For the pitch, don’t fill the room for the sake of filling the room. Everyone attending should have a role.

A Word About “Spec” Work

If a client offers a stipend to help defray costs, ensure that this does not imply ownership of the work even if you
don’t win the business. If compensation is offered that will grant the client the rights to the work, negotiate what
you consider fair remuneration. If a client insists on ownership of work to invite your agency into the pitch, which
is not a best practice for clients, you have a decision to make. It is inadvisable to surrender the rights to your work
as a condition of pursuing the business.

If you plan to present additional ideas or alternative strategies, first ensure that the client’s brief for the presentation
has been adequately addressed.

Contract and Terms
• Formal agreement on service deliverables, agency compensation, and key contract terms are essential components

of a best practice agency search process. Failure to establish mutually satisfactory commercial terms will undermine
the viability of an ongoing relationship.

• Agencies should not agree to non-negotiable or unilateral client mandates that the agency considers inequitable
or impractical in order to get the business with the hope that terms can be re-negotiated at a future date.

• If you take an assignment but either will be losing money or breaking even initially, be transparent with the client
about that.

• Walk away if the assignment does not fit or feel right.

12 ANA/4A’s Guidelines for Agency Search

Getting Started and Planning for Success

Once the agency has been selected, an agreement should be formalized regarding the scope of services, scope
of work, staffing plan, which agency team and/or key individuals will be working on the business, compensation,
key contract parameters, and measures of agency evaluation.

Agree on a Relationship Management Process
The client and agency will have just expended a significant amount of energy and funds in the agency selection process.
To help enhance the likelihood of a successful, long-term relationship, it is very helpful to include regular, informal
check-ins and a structured, two-way evaluation feedback process that monitors checkpoints and deliverables, considers
scope revisions, flushes out bottlenecks or other issues. This can also be a great time to identify longer-term ways to
improve the efficiency and effectiveness of your relationship, especially if it expands or changes over time.

You may want to consider including a provision to revisit the terms of the engagement (services, contract, procedures,
etc.) at established intervals. Despite best efforts to define the scope of expected benefits, scope of work, and
critical business assumptions upfront, it’s hard to know what the relationship will be like until you’re actually
working together.

Agency Relationships Are a Critical Strategic Investment: Invest Wisely
The challenges of dynamic expectations and the acceleration of technology and competitive forces that are shaping
the marketing industry should not overwhelm the importance of adhering to prudent, well crafted, agency search
and selection principles and practices. The wisdom of embracing solid fundamentals is more important than ever
before in order for both sides to leverage their investment and to enjoy a long, productive relationship together.

October 2011

13 ANA/4A’s Guidelines for Agency Search

Appendix

Appendix 1 – Industry Resources for Agency Search and Selection
Industry, third-party, and paid subscription resources are available such as:

1. 4As “Agency Search” information center and database at http://bit.ly/aaCrx9

2. ANA Marketing Knowledge Center at www.ana.net/agencyselection

3. Third-party resources such as Adbrands.net, Adforum.com, Adstrument.com, AgencyCompile.com,
Agencyfinder.com, and MarketingMine.com

4. Industry publications including AdAge.com, AdWeek.com, and Campaign.com

5. Company inquiry sites: AccessConfidential.com, Hoovers.com, and TheListOnline.com

6. Creative library sites: CannesLions.com, Competitrack.com, Effie.org, Gunnreport.com,
kantarmediana.com/AdScope, and Oneclub.org

7. Media representatives can be a good source for agency referrals.

8. For specialized capabilities, utilize trade associations to learn more about agencies in these areas:

� 3AF – Asian American Advertising Federation (www.3af.org)

� AHAA – Association of Hispanic Advertising Agencies (www.ahaa.org)

� CEMA – Corporate Event Marketing Association (www.cemaonline.com)

� Council of Public Relations Firms (www.prfirms.org)

� DMA – Direct Marketing Association (www.newdma.org)

� IAB – Interactive Advertising Bureau (www.iab.net)

� MMA – Mobile Marketing Association (www.mmaglobal.com)

� POPAI – Point of Purchase Advertising International (www.popai.com)

� WOMMA – Word of Mouth Marketing Association (www.womma.org)

9. There are advertising associations in most major overseas markets including:

� Brazil – ABAP / Brazlian Association of Advertising Agencies (www.abap.com.br)

� Canada – ACA / Association of Canadian Advertisers (www.acaweb.ca)

� Canada – ICA / The Institute of Communication Agencies (www.icacanada.ca)

� Canada, Quebec – AAPQ / Association of Quebec Advertising Agencies (www.aapq.ca)

� China – CAA / China Advertising Association (www.cnadtop.com)

� China – China4A / The Association of Accredited Advertising Agencies of China (www.china4a.org)

� Europe – EACA / European Association of Communications Agencies (www.eaca.be)

� Global – WFA / World Federation of Advertisers (www.wfanet.org)

� India – AAAI / Advertising Agencies Association of India (www.aaaindia.org)

� Japan – JAAA / Japan Advertising Agencies Association (www.jaaa.ne.jp)

� Mexico – AMAP / Mexican Association of Advertising Agencies (www.amap.com.mx)

� Russia – RACA / Russian Association of Advertising Agencies (www.akarussia.ru)

� United Kingdom – IPA / Institute of Practitioners in Advertising (www.ipa.co.uk)

� United Kingdom – ISBA / Incorporated Society of British Advertisers (www.isba.org.uk)

It is important that marketers understand the information provider’s membership requirements or revenue model,
since “pay for play” listings will likely be incomplete because many agencies will not pay to be listed.

http://www.aaaa.org/pages/AgencySearch.aspx

http://bit.ly/aaCrx9

http://www.ana.net/agencyselection

http://www.Adbrands.net

http://Adforum.com

http://Adstrument.com

http://AgencyCompile.com

http://Agencyfinder.com

http://www.MarketingMine.com

http://AdAge.com

http://AdWeek.com

http://Campaign.com

http://AccessConfidential.com

http://Hoovers.com

http://TheListOnline.com

http://CannesLions.com

http://Competitrack.com

http://Effie.org

http://Gunnreport.com

http://kantarmediana.com/AdScope

http://www.Oneclub.org

http://www.3af.org

http://www.ahaa.org

http://www.cemaonline.com

HOME

http://www.newdma.org

http://www.iab.net

http://www.mmaglobal.com

http://www.popai.com

http://www.womma.org

Início

http://www.acaweb.ca

http://www.icacanada.ca

http://www.aapq.ca

http://www.cnadtop.com

http://www.china4a.org

http://www.eaca.be

http://www.wfanet.org

http://www.aaaindia.org

http://www.jaaa.ne.jp

http://www.amap.com.mx

http://www.akarussia.ru

http://www.ipa.co.uk

http://www.isba.org.uk

14 ANA/4A’s Guidelines for Agency Search

Appendix 2 – Cultural Compatibility
Selecting a partner is as much about a strong chemistry and values match as it is about brass tacks capabilities.
Beyond your assessment of an agency’s core competencies (e.g., copy, media, research) and administrative
processes, another key assessment should concern its ability to fit your company’s culture. With the turnover rate
in the business, it is critical that you select the whole agency, complete with its values, staff, orientation, operations,
ownership, and culture—not the handful of people who have pitched your business.

Corporate culture governs how things are done. It is the fabric that holds a company together, and it is the ever-
present management ethos that drives decisions when supervisors aren’t around. The best way to determine if
your values complement an agency’s corporate culture is to visit and see firsthand how it operates.

First, know yourself and the answers to the questions you asked yourself at the beginning of the review process.
Second, know the behavior that you value in a partner and evaluate the agencies according to that standard.

In visiting an agency, clues regarding their values and culture can be found everywhere. It determines what they
consider important, what is rewarded, and how they behave.

Points that should be taken into account include:

• Environment: What is their environment like? Is it formal or informal? Quiet or loud? Empty or buzzing? Indus-
trious or ambivalent? Safe or dangerous? Well kept or run down? Open or closed? Clean or dirty? What appears
to be the relationship between private and public space? Are there any obvious amenities that you see like a cafe,
childcare, or concierge? How do they communicate with each other about office events or news—through
bulletin boards or monitors? How would you describe the office’s ambience, the agency’s energy, its staff?

• Policies and practices: Do titles, structure, and hierarchy seem to be important, or is the atmosphere more
collegial? Do there seem to be any unspoken rules at play regarding dress code or interaction? What do you
observe as to how departments are positioned, treated, or interact? Is the agency as proud to show you IT,
operations, production, and the studio as the creative department? Finally, ask about what is rewarded if it isn’t
obvious—which accomplishments are celebrated and which performances get bonuses?

• Who works there: What does the staff look like? Is it younger or older? Diverse or not? What seems to be the agency’s
philosophy about staff? Permanent versus permalancers versus freelancers? What’s the turnover rate? How do
people interact with each other—do they seem formal? Familiar? Friendly? Do they trust each other? Do people
appear to know what their roles are and how they fit into the bigger picture? Are they helpful and service oriented?

• Meetings: You can tell a great deal about an agency by how meetings are conducted. Is food important? Is
there a sense of style and an aesthetic demonstrated in setting up a meeting? Are introductions formal or
casual? As meeting participants, are you commingled with agency staff or seated on the opposite side of the
table? Does the agency have a handle on technology and how it all works together—display, slides, video—or
do they get tangled up in it? Do they have well-defined roles and yet interact well as a team to cover off key
points and information?

In summary, the RFI or RFP process should give you a clear understanding of the agency’s history, positioning and
ranking, leadership, financial status, professional capabilities, and the folklore that influences its storytelling and
reputation. Your visit to the agency should have softer criteria, driven by experience and impressions. It’s the time
to take everything in and see how the agency’s values and culture mesh with yours—if this is a partner that you
can and want to spend considerable time with working to solve your company’s or brand’s business problems.

15 ANA/4A’s Guidelines for Agency Search

Appendix 3 – Thoughts on “Spec” Creative Assignments—Also Known as Shootouts
The final presentation phase is typically designed to require that the agencies demonstrate their specific thinking
on behalf of the prospective client.

If the marketer and the agency finalists believe that it will be beneficial to acquire more in-depth, collaborative
interaction as means to inform the decision, the marketer should brief a select few finalists (up to three agencies)
and ask for presentations in response to an assignment that specifically addresses the marketer’s issues.

Spec Work Background
One of the more-debated aspects of the agency search process is whether to include a speculative work phase.
At this point, you should consider whether you are shopping for a new agency relationship, a new strategic solution,
a new campaign platform, or a specific project deliverable. In each case, clear communication about the expectations
of agency deliverables will help you obtain the desired results.

Begin with the assumption that an agency’s past work is the best example of how it works in a day-to-day collaborative
relationship with a client to develop campaigns that solve business problems and that this is often the best testament
to its capabilities. Additionally:

• Remember that some agencies have policies against spec creative—will asking for it eliminate your top agency
contenders?

• In many reported cases, the speculative recommendations made by the winner are not implemented.

• Having a good outcome (applicable creative) from a speculative creative process will require a bigger time
commitment for collaboration from the client during the process. It is virtually impossible to create a working
relationship similar to the way you work with an agency in the “real world” with multiple finalist agencies in a short
period of time. Also, since it is not possible for the agency to really know enough about all the variables (scope of
work, timing, or other client needs) and they are being asked to work under tight time constraints, you are likely to
have a “pitch” team in lieu of or, in addition to, a “real” team. This is because the best agencies typically don’t
have their best creative talent sitting in a room waiting for a pitch to cross their desks.

Spec Work or No Spec Work
If you are shopping for an agency relationship and do not have an immediate campaign deliverable, consider asking
the agency to demonstrate how they would approach solving a problem strategically, or ask their point of view on a
topic that is of interest to you rather than issue a speculative creative assignment.

If speculative creative is necessary to facilitate a decision, consider how you will:

• Make the assignment and deliverables clear.

• Brief the agencies regarding deliverables and the metrics that will be used as the basis for decision making
(the approach and working method, collaboration, listening and response, production values, etc.).

• Simulate a real-world working relationship to experience what it’s like working with the agency and examine
how they work.

Develop a Spec Assignment Brief
The spec assignment brief is the basis for final stage agency-client interaction. A well-constructed spec assignment
brief provides a clear outline regarding what the client is trying to accomplish and the fundamental challenges,
opportunities, and expectations that exist. A good brief is brief—it is a summation of critical assumptions and
necessary guidelines and knowledge that provide significant information and insight about the client’s marketing
activities. A spec assignment brief should be communicated in writing and then discussed between the parties in
face-to-face meetings, allowing agencies to ask questions and explore areas with you. The briefing is as important
as the brief—please allocate enough time for it.

16 ANA/4A’s Guidelines for Agency Search

Speculative assignments fall into two categories—strategic ability as well as strategic and creative ability.

Good strategic assignments might include the following:

• A “think piece” or white paper

• A strategic point of view or analysis

• A recommendation on how to invest the budget

If the process includes a spec creative assignment, the marketer should:

• Be clear and specific about the degree of finish and number of executions or approaches; typically it’s rough
work only or the degree of finish used in normal, ongoing client presentations. Do you want choice and
a recommendation?

• Provide enough time for development and interaction (typically four weeks).

• Plan to be available for a “tissue” work session between the briefing and the final. Consider having multiple
work sessions and provide the participating agencies with pointed feedback following each work session.

• Ensure the agencies have a single point of contact to address their questions. Ideally, the point of contact
is the senior-most decision maker on the brand or project.

• Communicate the methodology for posing additional questions, requests for research, etc.

• Brief the agency in advance if new decision makers, who are not part of the review process, will be included
in the final phase or the final recommendation.

• Allow adequate time (e.g., three hours) for agencies to present their work.

• Be human; schedule final presentations in a reasonable way to allow for you to digest and discuss presentations.

Spec Requirements: Information and Access
When spec work is part of the review process, give finalists enough information, access to you, and time to do
the work effectively and efficiently. Consider these guidelines:

• Be prepared to share confidential information, research, etc. All parties involved (client, the agencies, and
consultants) should enter into a confidentiality agreement.

• Spec assignment briefings are most effective when they are conducted in separate face-to-face meetings with
each agency. This procedural approach allows the client team to interact with the agency team. If you must brief
all agencies together, allow individual sessions for questions and answers. An agency is not going to ask its
most-insightful questions with other agencies present.

• Be available to answer questions that arise during the work process within 24 hours.

• Most agencies also like to meet at least once with key decision makers to ensure their work is on the right track.

• Treat all agencies equally and maintain a level playing field. Do not punish an agency for asking a question that
the others should have or for using its time differently.

• Determine and communicate in advance how speculative plans or creative work will be evaluated and tested.

• Give the agencies enough time to develop and present (for most agencies four weeks is acceptable), but do not
overextend the time period.

• Have all the final presentations around the same time—a day or two apart maximum. Don’t allow scheduling
difficulties to create a situation where one or more agencies get more time than the others.

• Clearly communicate policies or limitations your company has with respect to leave-behind materials or accepting
agency promotional materials. Tell the agencies the number of copies required.

• Ensure that your process allows the agencies to demonstrate what differentiates them beyond their final work.

• Take good notes. The agencies that don’t win will want to know what they could have done differently when
the process is over.

17 ANA/4A’s Guidelines for Agency Search

Final Meetings—Optimizing Spec Presentations
After this major time investment, do everything possible to allow the agencies to shine, and consider the following:

• In the spirit of being a good partner, be considerate of the agencies’ lives outside the office. Try not to schedule
the final presentations on a day following a holiday, as the agencies would likely have to work during the holiday
to prepare.

• Select the final venue early. Think about possibly using two rooms to allow for more time for agency setup and
tear down or advise the agencies that the setup will be limited to a specific amount of time (e.g., 60 minutes).

• Send the agencies floor plans of the venue in advance, and schedule time for them to inspect the venue.

• Provide the agencies with a list of available audio-visual equipment; make it clear that they have the option of
using additional equipment at their own expense. (This will help them decide if they wish to bring in additional
resources.)

• Provide a logistics coordinator who can handle all small requests from agencies, e.g., for information about
shipping, setup, and return of materials.

Agree on Usage Rights
If the marketer is interested in obtaining an assignment or license of an agency-developed work product, then
the agency and marketer should agree on supplemental, fair-value compensation for usage rights. Payment for
usage rights should not be confused with token stipends that are paid merely to partially offset an agency’s cost
of participating in a review.

18 ANA/4A’s Guidelines for Agency Search

Task Force Members – ANA/4A’s Guidelines for Agency Search

ANA and 4A’s would like to acknowledge our members whose collective experience and wisdom contributed
to the development of these guidelines.

Laurie Coots
Chair, 4A’s Global New Business Committee
Chief Marketing Officer
TBWA Worldwide

Diane Fannon
Principal, New Business Development
The Richards Group

Debra Giampoli
Director, Global Strategic Agency Relations
Kraft Foods

Bruno Gralpois
Chair, ANA Agency Relations Committee,
West Coast Chapter
Head of Global Marketing Operations
Visa

Julie Koewler
Chair, ANA Integrated Marketing Committee
Global Advertising Director
Accenture

Stephen Larkin
Chief Marketing Officer, Brand Evangelist
Mullen

Dave Lubeck
Chair, 4A’s New Business Committee
EVP, Executive Director Client Services
Bernstein-Rein

Colleen Mascia
Senior Manager, Creative Agency Management
Pfizer

Michael Miller
Chief Marketing Officer
MRM Worldwide

Rob Moorman
Chief Marketing Officer
Merkley and Partners

Eve Reiter
Chair, ANA Agency Relations Committee
VP, Marketing & Advertising Category Management
and Agency Relations
American Express

Matt Ryan
Co-Chairman
EuroRSCG New York

Karen Seamen
Chief Operating Officer
Cramer-Krasselt

David Selby
President
Shafer Carter Condon

Chris Shumaker
EVP, Chief Marketing Officer
Publicis USA

Steve Smith
Chair, ANA Senior Marketers Think Tank
Chief Marketing Officer, retired
Enterprise Holdings

Leo Tighe
Group Marketing Manager, Central Marketing
Intuit

Bill Duggan
Group Executive Vice President
ANA

Mike Ferguson
Senior Manager
ANA

Tom Finneran
Executive Vice President,
Agency Management Services
4A’s

MARKETING

FACT PACK
202

$628 billion
Worldwide media
spending forecast for
2020, up 5.1 percent

277,000
U.S. internet media
employment, double
the level of 201

$1,531
Projected U.S. media
and marketing spending
per person in 20

53 percent
Projected internet share
of 2020 U.S. advertising.
Internet spending will be
double the level of 201

Sponsor:

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ONBOARDING | IDENTITY DMP | CUSTOMER IDENTITY | MTA, MMM, UNIFIED MEASUREMENT

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3Important to Important People

Ad Age Marketing
Fact Pack 2020
Produced by Ad Age Datacenter.
Published December 23, 2019

Additional copies:
Order print copies at
customerservice@adage.com
or 877-320-1721. For readers outside
the U.S., 313-446-0450.

Digital edition available at
AdAge.com/resources

Subscribe to
Ad Age Datacenter
AdAge.com/datacenter
Get exclusive access to expanded
content including:

Ad Age World’s Largest Advertisers
Rankings. Database (profiles, agency
rosters, executives, spending)
AdAge.com/globalmarketers2019

Ad Age Leading National Advertisers
Rankings. Database (profiles, brands,
agency rosters, executives, spending)
AdAge.com/lna2019
AdAge.com/marketertrees2019

Ad Age Agency Report
Rankings. Database (companies,
networks, agencies)
AdAge.com/agencyreport2019
AdAge.com/agencyfamilytrees2019

Staff
Datacenter directors:
Bradley Johnson, Kevin Brown
Senior research editor: Catherine Wolf
Senior art director: Jennifer Chiu
Datacenter@adage.com

Joshua J. Golden
President & Publisher
jgolden@adage.com

James Palma
GM Revenue, Client Partnerships
jpalma@adage.com

© Copyright 2019 Crain Communications
Inc. The data and information presented
is the property of Crain and others and
is protected by copyright and other
intellectual property laws. For personal,
noncommercial use only, which must
be in accordance with Ad Age’s Terms
and Conditions at AdAge.com/terms.
Archiving, reproduction, redistribution
or other uses are prohibited.

Ad spending:
Forecasts through 202

U.S. and worldwide media
spending growth

Ad spending:
2020 breakouts
U.S. and worldwide media spending

Marketers

Biggest advertisers
U.S. and worldwide

U.S. market leaders
Ad spending and share figures

Media

Share of U.S. ad spending
by medium
Including mobile’s share of internet
ad spending

Digital media platforms
and properties
Share of digital media time by platform.
Unique visitors for top properties

Cost for a 30-second
commercial
Football is priciest spot for ads

Biggest TV networks
and programs
Ad spending and audience ratings

Agencies 2

World’s biggest agency
companies and networks
WPP is largest company. Accenture
Interactive tops the network chart

Biggest agency ventures
by category
Companies, networks and agencies

Digital’s share of
agency revenue
Digital accounted for more than half
of agencies’ 2018 U.S. revenue

U.S. agency growth rates
Revenue for U.S. agencies from all
disciplines edged up 1.7 percent in 201

Consumers 3

Population and
consumer confidence
Demographics and consumer sentiment

How consumers watch TV
Multitasking. Cord cutters.
Binge watching

Jobs

U.S. ad agency and internet
media employment
Ad agency employment is down slightly
from record levels hit in 20

Media employment
Internet media’s share of media jobs
has quadrupled since 2007

10 key stats Procter & Gamble is world’s biggest
advertiser. Comcast is top U.S. spender

The Big List 4

M
AS

TE
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Ad Age Marketing Fact Pack 2020

Ad Age December 23, 2019

Source: Ad Age Datacenter.

THE BIG LIST
Ten key stats on the world of marketers, media and agencies. The internet in 2020
for the first time will account for more than half of both U.S. and worldwide ad spending.

2. Comcast Corp.
Nation’s biggest advertiser

$6.1 BILLION
2018 U.S. ad, marketing and promotion spending

3. Billion-dollar spenders
Marketers with 2018 worldwide
ad spending greater than $1 billi

4. Geico
Most-advertised U.S. brand

$1.5 BILLION
2018 measured-media spending

5. Media spending
2020 world forecast

$628 BILLION
+5.1 percent

2020 U.S. forecast

$254 BILLION
+4.8 percent

6. Internet ad spending
2020 world forecast

$326 BILLION
+11.1 percent (52 percent of ad spending)

2020 U.S. forecast

$135 BILLION
+12.4 percent (53 percent of ad spending)

7. Google
Biggest U.S. digital media property

259 MILLION
Unique visitors in October 2019 (all Google sites)

8. TV
Time spent watching TV in 2018,
Americans age 15+

2.6 HOURS A DAY

9. WPP
World’s biggest agency company

$20.8 BILLION
2018 revenue

10. Accenture Interactive
World’s biggest digital agency network

$8.5 BILLION
2018 revenue

1. Procter & Gamble Co.
World’s biggest advertiser

$10.1 BILLION
Ad and marketing spending in year ended June 2019

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7Important to Important People

MARKETERS

Source: December 2019 advertising forecasts of WPP’s GroupM (This Year, Next Year), Interpublic Group of Cos.’ Magna (Global Advertising Forecast–Winter Update)
and Publicis Groupe’s Zenith (Advertising Expenditure Forecasts). Numbers rounded. Figures include internet, TV, radio, newspaper, magazine and out of home.
Spending includes political advertising. Growth based on ad spending in U.S. dollars in constant currency (factoring out currency movements), including growth that
comes from media inflation, from GroupM and Magna “constant currency” figures and Zenith “current prices” figures. More info: groupm.com, magnaglobal.com,
zenithmedia.com.

U.S. and worldwide media advertising growth rates

Percent change in ad spending, 2015-2022
Forecasts and revised historic data. The average of GroupM, Magna and Zenith forecasts suggests
U.S. ad spending growth of 6.5 percent in 2020, boosted by political spending and the Olympics.
Consensus for worldwide ad spending: +5.0 percent in 2020 vs. +4.4 percent in 2019.

Ad spending growth: U.S. and worldwide
Average of GroupM, Magna and Zenith forecasts, 2015-2022.

2015 2016 2017 2018 2019 2020 2021 2022

U.S.

GroupM (WPP) 2.6% 7.9% 4.2% 9.5% 4.6% 8.1% 0.3% 6.4%

Magna (Interpublic) 3.7 9.3 2.9 9.5 5.1 6.6 1.4 5.8

Zenith (Publicis) 4.2 5.2 7.7 8.2 5.6 4.8 5.1 5.4
Average of GroupM, Magna and Zenith 3.5% 7.5% 4.9% 9.1% 5.1% 6.5% 2.3%

5.9%

Worldwide

GroupM 3.7% 6.1% 4.5% 6.9% 3.7% 5.1% 1.9%

4.4%

Magna 4.7 6.3 4.5 7.9 5.2 5.7 3.4 5.1

Zenith 4.4 5.4 6.1 6.7 4.2 4.3 4.5 4.5
Average of GroupM, Magna and Zenith 4.3% 6.0% 5.0% 7.2% 4.4% 5.0% 3.3%

4.7%

WorldwideU.S.

0
2
4
6
8

10%

20222021202020192018201720162015

3.5%

4.3%

7.5%

6.0%

4.9%

5.0%

9.1%

7.2%

5.1%

4.4%

6.5%

5.0%

2.3%

3.3%

5.9%
4.7%
M
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8
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

From Ad Age Leading National Advertisers 2019 (June 24, 2019). Full report: AdAge.com/lna2019. Marketer database: AdAge.com/marketertrees2019.
About LNA 2019: AdAge.com/aboutlna2019.

Source: Ad Age Datacenter. Numbers rounded. Measured-media spending from Kantar. More info: kantar.com/media.

U.S. measured-media spending by medium in 2018
From Kantar for all advertisers and Ad Age Leading National Advertisers’ top 200. Dollars in billions.

Measured-media spending

Medium
All advertisers
(including 200 LNA)

200 Leading
National Advertisers 200 LNA’s share

TV $77.0 $48.9 63%

Magazine 14.2 6.4 45

Newspaper 8.6 1.2

Radio 7.5 2.7 36

Outdoor 5.2 1.3

Subtotal 112.5 60.5 54

Desktop search 19.5 6.9 35

Desktop internet display 8.5 3.4

Subtotal 140.5 70.9

Other 13.0 NA NA

Total $153.5 NA NA

Source: Publicis Groupe’s Zenith (Advertising Expenditure Forecasts, December 2019) based on current prices. Numbers rounded. More info: zenithmedia.com.

Zenith’s 2020 U.S. media and marketing-services spending forecast: $509 billion
Estimated U.S. spending in media and marketing services. Zenith forecasts media ad spending to grow 4.8 percent in
2020. It expects 2020 total media and marketing-services spending to reach a record $509 billion—$1,531 per person.

Spending (dollars in billions) Year-to-year percent change

Media 2020 2019 2018
2020 vs.
2019

2019 vs.
2018

2018 vs.
2017

Internet $135.1 $120.2 $104.1 12.4% 15.4% 23.

TV 66.0 67.2 68.2 -1.8 -1.4 -0.4

Radio 17.6 17.6 17.6 0.0 0.0 0.0

Newspaper 13.0 13.9 15.1 -7.0 -8.0 -9.0

Magazine 11.5 12.8 14.1 -10.0 -9.4 -8.2

Outdoor and cinema 11.1 10.9 10.5 2.0 2.9 3.2

Total: Media 254.2 242.5 229.7 4.8 5.6 8.2
Marketing services

Sales promotion 86.7 85.2 82.7 1.8 3.0 3.5

Telemarketing 61.4 60.8 59.6 1.0 2.0 3.0

Direct mail 47.4 46.3 47.7 2.5 -3.0 1.6

Event sponsorship 45.3 42.7 39.9 6.0 7.0 6.8

Directories 7.8 7.9 8.0 -2.0 -1.0 -0.4

Public relations 6.3 6.0 5.7 5.0 6.0 7.0

Total: Marketing services 254.9 248.9 243.6 2.4 2.2 3.5

Total: Media and marketing services $509.1 $491.4 $473.3 3.6% 3.8% 5.7%

P007_P015_AA_20191223_SUPP 8 12/12/19 7:22 PM

9Important to Important People

GroupM’s 2020 worldwide media spending forecast: $628 billion
Estimated worldwide spending in media. GroupM forecasts media ad spending to grow 5.1 percent to $628 billion in 2020.
It expects internet spending to increase 11.1 percent, the slowest growth rate since 2009.

Spending (dollars in billions) Year-to-year percent change
Media 2020 2019 2018
2020 vs.
2019

2019 vs.
2018

2018 vs.
2017

Internet $326.3 $293.7 $255.4 11.1% 15.0% 18.1%

TV 173.3 171.7 181.6 0.9 -5.5 1.8

Radio 32.0 31.5 31.8 1.8 -1.0 -0.1

Newspaper 36.1 39.5 44.4 -8.5 -11.1 –

10.0

Magazine 20.5 22.3 24.7 -8.2 -9.6 -7.9

Outdoor and cinema 39.7 38.8 38.1 2.5 1.8 5

Total: Media $628.0 $597.4 $576.0 5.1% 3.7% 6.9%

Source: WPP’s GroupM (This Year, Last Year, December 2019). Ad spending in constant currency, which factors out currency movements; not adjusted for inflation.
Includes political advertising. Numbers rounded. More info: groupm.com.

GroupM’s worldwide marketing spending estimate: $1.6 trillion to $1.9 trillion
Approximate worldwide marketing spending in 2019 as calculated by Brian Wieser, GroupM’s global president,
business intelligence.

Segment Includes Spending

Advertising
Media spending, broadly defined to include internet, TV,
radio, newspaper, magazine, outdoor and cinema plus
direct mail and directories

$700 billion

Services Agencies, information technology services consultancies focused on marketing $150 billion

Software Ad tech, marketing tech $150 billion

Other Data, partner support, events, in-house activities, sales, retail activation, sponsorships $600-$900 billion

Total: Marketing $1.6-$1.9 trillion

Worldwide ad spending by medium
from GroupM
Media spending in 2020 and percent change vs. 2019.
Dollars in billions.

World’s five largest ad markets
from GroupM
Media spending in 2020 and percent change vs. 2019.
Dollars in billions.

Total: Media
$628 billion

+5.1%
$245.6

$21
.4

$3
0.

6
$4

1.
5

$198.6

$90.4

U.S.
+8.1%

All other
+4.3%

Germany
+0.6%

U.K. +6.7%

Japan +1.8% China +1.4%

Total: Media
$628 billion

+5.1%
$326.3

$32.0$36.1

$39.7

$1
73

$20.5

Internet
+11.1%

Magazine -8.2%
Radio +

1.8%

Newspaper
-8.5%

Outdoor
and
cinema
+2.5%

TV +0.9%

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Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

From Ad Age Leading National Advertisers 2019 (June 24, 2019). Full report:
AdAge.com/lna2019. Marketer database: AdAge.com/marketertrees2019.
About LNA 2019: AdAge.com/aboutlna2019.

Source: Ad Age Datacenter. Total U.S. advertising spending is Ad Age estimate.
U.S. measured-media spending from Kantar. Numbers rounded.
More info: kantar.com/media.

1. Comcast: Estimated advertising, marketing and promotion.
2. AT&T: Estimated pro forma ad spending including WarnerMedia, formerly
Time Warner (acquired June 2018).
3. Amazon: Advertising and promotion.
4. Procter & Gamble: Estimated spending on advertising plus other
marketing costs.
5. General Motors: Advertising and promotion.

6. Disney: Estimated pro forma ad spending including 21st Century Fox
(acquired March 2019).
8. Alphabet: Advertising and promotion.
9. American Express: Estimated marketing and promotion.
12. JPMorgan Chase: Marketing expenses.
14. Pfizer: Estimate based on a revision to Ad Age’s spending model.
15. Nestlé: Estimated “consumer facing” marketing expenses.
16. Samsung: Advertising and sales promotion.
18. L’Oréal: Advertising and promotion.
19. Fiat Chrysler Automobiles: FCA and PSA Group in October 2019 announced
plan to merge.
21. Expedia: Estimated ad spending.
23. Deutsche Telekom: T-Mobile US in April 2018 signed deal to buy Sprint Corp.
24. LVMH: Advertising and promotion.
25. McDonald’s: Estimated systemwide ad spending including spending from
franchisees and company-owned restaurants.

Ad Age Leading National Advertisers: 25 biggest U.S. ad spenders
Ranked by 2018 total U.S. advertising spending. Dollars in millions.

Rank Marketer Headquarters

2018 total U.S.
advertising
spending

2018 U.S.
measured-
media spending

1 Comcast Corp. Philadelphia $6,122 $1,709

2 AT&T Dallas 5,362 1,992

3 Amazon Seattle 4,470 1,508

4 Procter & Gamble Co. Cincinnati 4,305 2,814

5 General Motors Co. Detroit 3,139 1,523

6 Walt Disney Co. Burbank, Calif. 3,132 1,135

7 Charter Communications Stamford, Conn. 3,042 366

8 Alphabet (Google) Mountain View, Calif. 2,960 651

9 American Express Co. New York 2,798 309

10 Verizon Communications New York 2,682 1,090

11 Walmart Bentonville, Ark. 2,604 688

12 JPMorgan Chase & Co. New York 2,513 232

13 Ford Motor Co. Dearborn, Mich. 2,331 1,000

14 Pfizer New York 2,282 1,460

15 Nestlé Vevey, Switzerland 2,202 897

16 Samsung Electronics Co. Suwon, South Korea 2,152 571

17 Berkshire Hathaway Omaha, Neb. 2,141 1,893

18 L’Oréal Clichy, France 2,137 1,204

19 Fiat Chrysler Automobiles London 2,129 844

20 Capital One Financial Corp. McLean, Va. 2,065 656

21 Expedia Group Bellevue, Wash. 1,953 1,089

22 Johnson & Johnson New Brunswick, N.J. 1,765 935

23
Deutsche Telekom

(T-Mobile US)

Bonn, Germany/
Bellevue, Wash. 1,700 1,088

LVMH Moët Hennessy
Louis Vuitton Paris 1,560 402

25 McDonald’s Corp. Chicago 1,541 761

Ad Age Leading National Advertisers: Top 25 $69.1B $26.8B

P007_P015_AA_20191223_SUPP 10 12/12/19 7:23 PM

11Important to Important People

From Ad Age World’s Largest Advertisers (Dec. 23, 2019).
Full report including ranking of top 100, profiles and expanded footnotes:
AdAge.com/globalmarketers2019.

Source: Ad Age Datacenter. Total worldwide advertising spending from Ad Age
Datacenter estimates and company financial filings. Numbers rounded.

1. Procter & Gamble: Year ended June 2019. Estimated spending on
advertising plus other marketing costs.
2. Samsung: Advertising and sales promotion.
3. L’Oréal: Advertising and promotion.
4. Unilever: Brand and marketing investment costs.
5. Amazon: Advertising and promotion.
6. Comcast: Estimated pro forma advertising, marketing and promotion
including Sky (acquired fourth-quarter 2018).
7. Nestlé: Estimated “consumer facing” marketing expenses.
8. LVMH: Advertising and promotion.

9. Alphabet: Advertising and promotion.
10. AT&T: Estimated pro forma ad spending including WarnerMedia, formerly
Time Warner (acquired June 2018).
13. Booking: Marketing expenses (performance marketing and brand
marketing).
14. Disney: Year ended October 2018. Estimated pro forma ad spending
including 21st Century Fox (acquired March 2019).
15. Toyota: Year ended March 2019.
17. General Motors: Advertising and promotion.
19. McDonald’s: Estimated worldwide systemwide ad spending including
spending from franchisees and company-owned restaurants.
20. American Express: Estimated marketing and promotion.
21. Fiat Chrysler Automobiles: FCA and PSA Group in October 2019 announced
plan to merge.
22. Nike: Year ended May 2019. Advertising and promotion excluding estimated
worldwide cooperative ad spending.
23. Adidas: Marketing and point-of-sale expenses.
24. Expedia: Estimated ad spending.

Ad Age World’s Largest Advertisers: 25 biggest ad spenders
Ranked by 2018 total worldwide advertising spending. Dollars in billions.

Rank Marketer Headquarters
2018 total worldwide
advertising spending

1 Procter & Gamble Co. U.S. $10.1

2 Samsung Electronics Co. South Korea 10.1

3 L’Oréal France 9.6

4 Unilever Netherlands/U.K. 8.5

5 Amazon U.S. 8.2

6 Comcast Corp. U.S. 7.5

7 Nestlé Switzerland 7.3

7 LVMH Moët Hennessy Louis Vuitton France 6.5

9 Alphabet (Google) U.S. 6.4

10 AT&T U.S. 6.2

11 Anheuser-Busch InBev Belgium 6.0

12 Volkswagen Germany 5.7

13 Booking Holdings U.S. 5.0

14 Walt Disney Co. U.S. 4.7

15 Toyota Motor Corp. Japan 4.4

16 Coca-Cola Co. U.S. 4.1

17 General Motors Co. U.S. 4.0

17 Ford Motor Co. U.S. 4.0

19 McDonald’s Corp. U.S. 3.8

20 American Express Co. U.S. 3.8

21 Fiat Chrysler Automobiles U.K. 3.6

22 Nike U.S. 3.6

23 Adidas Germany 3.5

24 Expedia Group U.S. 3.5

25 Walmart U.S. 3.5

Ad Age World’s Largest Advertisers: Top 25 $143.7B

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Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

10 most-advertised brands
Ranked by 2018 U.S. measured-media spending. Go with the Flo:
Progressive’s measured spending surged 43.8 percent in 2018.

More in Ad Age Datacenter
Marketers database:
Profiles, agency rosters
AdAge.com/marketertrees2019

From Ad Age Leading National Advertisers 2019 (June 24, 2019). See ranking of nation’s 200 most-advertised brands: AdAge.com/lna2019.

Source: Ad Age Datacenter analysis of U.S. measured-media spending data from Kantar. Company’s spending for all goods and services that fall under a
given brand. Numbers rounded. More info: kantar.com/media.

Apple

7. Ford
Ford Motor Co.

8. T-Mobile
Deutsche Telekom

(T-Mobile US)

9. McDonald’s
McDonald’s Corp.

10. AT&T
AT&T

1. Geico
Berkshire Hathaway

3. Progressive
Progressive Corp.

2. Amazon
Amazon

4. Verizon
Verizon Communications

5. Chevrolet
General Motors Co.

$1.5B
+5.1%

$1.3B
+4

6.1%

$1.0B
+43.8%

$935M
-8.7%

$825M
-4.6%

$797M
+3.9%

$779M
-18.0%

$768M
-10.2%

$761M
+9.0%

$659M
-15.8%

P007_P015_AA_20191223_SUPP 12 12/12/19 7:23 PM

13Important to Important People

Ad Age U.S. market leaders by category
2018 share and ad spending breakouts for marketers and brands. Dollars in millions.

Auto marketers
2018 U.S. market share for auto/light-truck marketers.

Retailers
Ranking based on 2018 total U.S. ad spending.

From Ad Age Leading National Advertisers 2019 Fact Pack (June 24, 2019).
Numbers rounded. Expanded footnotes and source information available in that
Fact Pack at AdAge.com/trend-reports. Source: Total U.S. ad spending from
Ad Age Datacenter. U.S. measured-media spending from Kantar.
More info: kantar.com/media. About LNA 2019: AdAge.com/aboutlna2019.

Auto marketers, auto brands: Market share calculations by Ad Age Datacenter
based on sales figures from Automotive News Data Center. More info:
autonews.com. Retailers: Census Bureau (U.S. retail sales). More info:
census.gov. Amazon: Share shown is Ad Age Datacenter estimate.
Restaurant chains: Technomic 2019 Top 500 Chain Restaurant Report
(sales used to calculate market share). More info: technomic.com.
Systemwide sales is franchised plus company-owned restaurants. Chick-fil-A,
Panera Bread and Starbucks based on estimated sales. Pret Panera Holding Co.
is owned by JAB Holding Co.

Auto brands
2018 U.S. market share for auto/light-truck brands.

Restaurant chains
2018 U.S. market share based on systemwide sales.

Brand/marketer
Market
share

Measured
media

1 Ford Ford Motor Co. 13.7% $779

2 Toyota Toyota Motor Corp. 12.3 571

3 Chevrolet General Motors Co. 11.7 825

4 Honda Honda Motor Co. 8.3 440

5 Nissan Nissan Motor Co. 7.8 496

6 Jeep Fiat Chrysler Automobiles 5.6 353

7 Subaru Subaru Corp. 3.9 304

8 Hyundai Hyundai Motor Co. 3.9 310

9 Ram Fiat Chrysler Automobiles 3.4 302

10 Kia Kia Motors Corp. 3.4 292

Top 10 74.1 4,671
Industry total
(*vehicles sold in millions) 17.3

* $7,587

Chain/marketer
Market
share

Measured
media

1
McDonald’s
McDonald’s Corp. 6.9% $761

2 Starbucks Starbucks Corp. 3.5 79

3
Subway
Doctor’s Associates 1.9 325

4 Taco Bell Yum Brands 1.9 415

5 Chick-fil-A Chick-fil-A 1.8 103

6
Burger King Restaurant
Brands International 1.8 337

7 Wendy’s Wendy’s Co. 1.7 272

8
Dunkin’
Dunkin’ Brands Group 1.6 140

9 Domino’s Domino’s Pizza 1.2 418

10
Panera Bread
Pret Panera Holding Co. 1.0 56

Top 10 23.3 2,906
Industry total
(*U.S. sales, dollars in billions) $556

* $6,1

Marketer

Market
share

Total
U.S. ad
spending

1 General Motors Co. 17.0% $3,139

2 Ford Motor Co. 14.3 2,331

3 Toyota Motor Corp. 14.0 1,444

4 Fiat Chrysler Automobiles 13.0 2,129

5 Honda Motor Co. 9.3 1,390

6 Nissan Motor Co. 8.6 1,069

7 Subaru Corp. 3.9 471

8 Hyundai Motor Co. 3.9 560

9 Volkswagen 3.7 728

10 Kia Motors Corp. 3.4 544

Top 10 91.1 $13,804
Industry total
(*vehicles sold in millions) 17.3* NA

Marketer

Share of
U.S. retail
sales

Total
U.S. ad
spending

1 Amazon 3.4% $4,470

2 Walmart 10.8 2,604

3 Target Corp. 2.1 1,494

4 Macy’s 0.7 1,358

5 Kohl’s Corp. 0.5 1,133

6 Home Depot 2.8 1,062

7 Lowe’s Cos. 1.9 869

8 Kroger Co. 3.4 752

9 J.C. Penney Co. 0.3 724

10 Best Buy Co. 1.1 712

Top 10 27.1 $15,177
Industry total
(*U.S. sales, dollars in trillions) $3.5* NA

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14
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

Personal care brands
Share of 2018 U.S. personal care measured-media
spending.

Brand/marketer
Share of
ad spend

Measured
media

1 L’Oréal Paris L’Oréal 9.5% $546

2
Olay
Procter & Gamble Co. 4.5 255

3
Maybelline New York
L’Oréal 4.2 241

4
Neutrogena
Johnson & Johnson 3.8 218

5 Garnier L’Oréal 3.8 215

6
Always
Procter & Gamble Co. 3.7 213

7 Dove Unilever 3.3 187

8
Crest
Procter & Gamble Co. 2.4 138

9
Gillette
Procter & Gamble Co. 2.3 133

10
Sensodyne
GlaxoSmithKline 2.2 125

Top 10 39.7 2,271
Total personal care
measured-media spending 100.0% $5,724

Household products
Share of 2018 U.S. household product measured-media
spending.

Brand/marketer
Share of
ad spend
Measured
media

1
Tide
Procter & Gamble Co. 10.7% $233

2
Febreze
Procter & Gamble Co. 9.2 201

3
Downy
Procter & Gamble Co. 8.7 189

4
Gain
Procter & Gamble Co. 6.0 130

5
Bounty
Procter & Gamble Co. 4.7 101

6
Charmin
Procter & Gamble Co. 4.4 96

7 Clorox Clorox Co. 4.0 87

8
Lysol RB (Reckitt
Benckiser Group) 3.2 70

9
OxiClean
Church & Dwight Co. 2.9 63

10
Duracell
Berkshire Hathaway 2.8 61

Top 10 56.5 1,232
Total household product
measured-media spending 100.0% $2,180

Wireless services
2018 U.S. market share for wireless service providers.

Marketer
Market
share

Measured
media

1 Verizon Communications 32.9% $694

2 AT&T 30.1 512

3
Deutsche Telekom
(T-Mobile US) 16.3 1,062

4
SoftBank Group Corp.
(Sprint Corp.) 11.1 754

5
América Móvil
(Tracfone Wireless) 7.0 250

6
Telephone and Data
Systems (U.S. Cellular) 1.4 36

Top 6 98.8 3,309

Other 1.2 1,505
Total wireless services
measured-media spending 100.0% $4,814

Prescription drug brands
Share of 2018 U.S. prescription drug measured-media
spending.

Brand/marketer
Share of
ad spend
Measured
media

1 Humira AbbVie 7.7% $483

2 Lyrica Pfizer 4.3 272

3 Xeljanz Pfizer 4.1 257

4 Chantix Pfizer 3.3 208

5 Trulicity Eli Lilly & Co. 3.3 207

6
Eliquis Bristol-Myers
Squibb Co. 3.0 188

7 Cosentyx Novartis 2.9 183

8 Keytruda Merck & Co. 2.8 180

9 Ibrance Pfizer 2.5 160

10 Otezla Amgen 2.5 158

Top 10 36.4 2,293
Total prescription drug
measured-media spending 100.0% $6,308

Personal care, household products, prescription drug brands: Ad Age Datacenter
analysis of U.S. measured-media spending. Bristol-Myers Squibb on Nov. 20,
2019, bought Celgene Corp. In connection with that deal, Celgene on Nov. 21,
2019, sold global rights for Otezla to Amgen. Wireless services: U.S. network
operator market share based on data from Comscore MobiLens for subscribers
age 13-plus who owned a mobile phone, three months ended December 2018.
More info: comscore.com/MobiLensPlus. Ad spending for companies’ wireless
services. Industry total spending includes measured-media spending by major
phone suppliers. T-Mobile US in April 2018 signed a deal to buy Sprint Corp.

Ad Age U.S. market leaders by category
2018 share and ad spending breakouts for marketers and brands. Dollars in millions.

P007_P015_AA_20191223_SUPP 14 12/12/19 7:23 PM

15Important to Important People

Beverage brands
2018 U.S. market share based on sales volume.

Brand/marketer
Market
share
Measured
media

1 Coke Coca-Cola Co. 11.6% $393

2 Pepsi PepsiCo 5.0 261

3 Mountain Dew PepsiCo 3.7 119

4
Dr Pepper
Keurig Dr Pepper 3.5 106

5 Gatorade PepsiCo 3.1 142

6 Nestlé Pure Life Nestlé 3.1 8

7 Sprite Coca-Cola Co. 2.8 30

8 Poland Spring Nestlé 2.6 3

9 Dasani Coca-Cola Co. 2.2 0

10 Aquafina PepsiCo 1.8 1

Top 10 39.3 1,062
Industry total
(*gallons in billions) 3

3.9

* $1,870

Beer marketers
2018 U.S. market share based on shipment volume.

Marketer
Market
share
Measured
media

1
Anheuser-Busch InBev
(Budweiser) 41.0% $554

2
Molson Coors Beverage
Co. (Coors, Miller) 23.5 320

3
Constellation Brands
(Corona, Modelo) 10.0 368

4 Heineken 3.5 151

5 Pabst Brewing Co. 2.1 1

6
Boston Beer Co.
(Samuel Adams) 2.0 55

7 D.G. Yuengling & Son 1.3 10

8
Mark Anthony Group
(Mike’s Hard Lemonade) 1.2 6

9 Diageo (Guinness) 1.2 13

10
Florida Ice and Farm Co.
(Genesee, Labatt) 1.1 1

Top 10 87.0 1,479
Industry total
(*barrels in millions) 212.5

* $1,522

Credit cards
2018 U.S. market share based on card purchase volume.

Marketer
Market
share
Measured
media

1 American Express Co. 20.5% $

221

2
JPMorgan Chase & Co.
(Chase) 20.1 73

3 Citigroup (Citibank) 11.2 81

4 Bank of America Corp. 9.8 1

5 Capital One Financial Corp. 9.2 449

6 U.S. Bancorp (U.S. Bank) 4.0 1

7
Discover Financial
Services 3.8 262

8 Wells Fargo & Co. 3.7 1

Top 8 82.2 1,089

Other 17.8 441
Industry total (*purchase
volume, dollars in trillions) $3.7

* $1,5

Insurance brands
Share of 2018 U.S. insurance industry measured-media
spending.

Brand/marketer
Share of
ad spend
Measured
media

1
Geico
Berkshire Hathaway 21.8% $1,546

2
Progressive
Progressive Corp. 14.8 1,048

3
State Farm
State Farm Mutual Auto
Insurance Co.

8.9 629

4 Allstate Allstate Corp. 5.6 397

5
Liberty Mutual Liberty
Mutual Insurance Co. 4.2 297

6
USAA United Services
Automobile Association 2.7 190

7
UnitedHealthcare
UnitedHealth Group 2.7 188

8
Nationwide Nationwide
Mutual Insurance Co. 2.3 161

9
The General
American Family Mutual
Insurance Co.

1.9 137

10
Farmers Insurance
Zurich Insurance Group 1.8 129

Top 10 66.7 4,722
Total insurance industry
measured-media spending 100.0% $7,082

Insurance brands: Ad Age Datacenter analysis of U.S. measured-media spending.
Beer marketers: Beer Marketer’s Insights (U.S. market share, U.S. industry
sales). More info: beerinsights.com. Measured-media spending for marketers’
beer brands. Selected brands shown.
Credit cards: The Nilson Report. More info: nilsonreport.com. Market share
of general purpose credit cards based on total purchase volume. Measured-
media spending for companies’ credit cards.
Beverage brands: Beverage Marketing Corp. More info: beveragemarketing.com.

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16
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

MEDIA

Source: Publicis Groupe’s Zenith (Advertising Expenditure Forecasts, December 2019) based on current prices. Numbers rounded. Includes desktop
and mobile classified, display, paid search, podcast, radio, social media and video. More info: zenithmedia.com.

U.S. internet ad spending and mobile’s share of internet ad spending
Total U.S. internet ad spending (mobile plus desktop) from Zenith. Dollars in billions. Mobile’s share of U.S.
internet advertising. Mobile will account for more than three-fourths of internet ad spending in 2022.

Source: Publicis Groupe’s Zenith (Advertising Expenditure Forecasts, December 2019) based on current prices. Numbers rounded. Internet including
internet display, online video, classified, paid search, internet radio, podcasts and social media for desktop and mobile. Out of home including outdoor and cinema.
More info: zenithmedia.com.

Share of U.S. ad spending by medium
From Zenith. The media agency expects the internet to pass the halfway point in 2020, reaching 53 percent
of ad spending, with the internet’s share rising to nearly 60 percent in 2022. The internet accounted for
less than 17 percent of ad spending in 2010.

3.3%
4.0%

2021 2022202020192018201720162015201420132012201120102009200820072006

MagazineOut of homeNewspaperRadioTVInternet

22.6%

59.8%

0
10
20
30
40
50

60%

4.1%

33.6%

29.7%

14.3%

6.4%
3.9%

12.0% 6.2%

202120202019201820172016201520142013 2022
0

100

150

200

17%
25%

37%
44%

64%
68%

74%

76%

51%

Desktop internet advertising

Mobile internet advertising

P016_P023_AA_20191223SUPP.indd 16 12/12/19 7:27 PM

17Important to Important People

Source: Comscore Media Metrix Multi-Platform and Comscore Mobile Metrix, October 2019, U.S. Numbers rounded. More info: comscore.com.

U.S. share of digital media time spent by platform
From October 2019. Smartphone apps are the digital platform of choice across age groups.

Mobile consists of:

Age Desktop Mobile
Smartphone
app

Smartphone
web Tablet app Tablet web

18-24 16.8% 83.2% 71.4% 6.5% 4.8% 0.5%

25-34 21.9 78.1 65.5 7.3 4.6 0.7

35-44 22.0 78.0 66.4 7.3 3.5 0.8

45-54 23.2 76.8 63.0 7.5 5.1 1.2

55-64 18.1 81.9 65.9 8.8 5.8 1.4

65+ 33.3 66.7 43.9 6.2 13.0 3.6

Adults: 18+ 21.8% 78.2% 64.2% 7.4% 5.5% 1.2%

Digital: 10 largest U.S. multiplatform
digital media properties
By October 2019 unique visitors in millions.

Source: Comscore Media Metrix Multi-Platform, October 2019, U.S.
Numbers rounded. Universe: Desktop 2+ and Total Mobile 13+.
More info: comscore.com.

Total internet: Total audience

Apple

Walt Disney Co.

Hearst

CBS Interactive (ViacomCBS)

Comcast/NBC Universal

Amazon sites

Microsoft Corp. sites

Facebook

Verizon Media (Verizon Communications)

Google sites (Alphabet)

265

168

173

175

188

195

215

218

219

221

259

Digital: 10 largest U.S. multiplatform
streaming video properties
By October 2019 unique visitors in millions.

Source: Comscore Media Metrix Multi-Platform, October 2019, U.S.
Numbers rounded. Universe: Desktop 2+ and Total Mobile 13+.
More info: comscore.com.

Total internet : Total audience

Twitter

Turner Digital (AT&T [WarnerMedia])

Meredith Digital (Meredith Corp.)

Walt Disney Co.
Hearst
CBS Interactive (ViacomCBS)
Comcast/NBC Universal
Facebook
Verizon Media (Verizon Communications)
Google sites (Alphabet)
265

155

158

165

173
175
188
195
219
221
259

P016_P023_AA_20191223SUPP.indd 17 12/12/19 7:28 PM

18
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

Cost for a 30-second commercial
Estimated ad costs for a spot on fall 2019 broadcast network TV schedule. Percent change vs. fall 2018 prices.
Prime time’s most expensive spot is NBC’s “Sunday Night Football,” where the average cost for a 30-second
commercial is $685,227.

Sunday Monday Tuesday Wednesday Thursday Friday Saturday

ABC (Walt Disney Co.)

7:00
p.m.

America’s
Funniest
Home Videos
$54,237, -4%

7:30

8:00 Kids Say the
Darndest
Things
$69,944, NA

Dancing with
the Stars
$91,170, -20%

The Conners
$135,996, -32%

The Goldbergs
$134,284, -1%

Grey’s
Anatomy
$186,026, -9%

American
Housewife
$74,590, -39%

Saturday
Night Football
$112,685, 21%

8:30 Bless This
Mess
$89,343, NA

Schooled
$98,874, NA

Fresh off the
Boat
$71,616, -9%

9:00 Shark Tank
$78,213, -3%

Mixed-ish
$88,480, NA

Modern
Family
$148,228, -10%

A Million Little
Things
$112,465, -21%

20/20
$42,624, -4%

9:30 Black-ish
$87,475, -26%

Single Parents
$90,315, -25%

10:00 The Rookie
$67,567, -23%

The Good
Doctor
$133,281, -15%

Emergence
$79,302, NA

Stumptown
$88,692, NA

How to Get
Away with
Murder
$99,922, -21%

CBS (ViacomCBS)

7:00
p.m.

60 Minutes
$117,822, NA

7:30

8:00 God Friended
Me
$85,306, -19%

The
Neighborhood
$111,203, 32%

NCIS
$135,858, 0%

Survivor
$132,801, -3%

Young Sheldon
$160,698, -25%

Hawaii
Five-0
$80,965, -8%

Crimetime
Saturday
$18,064, -32%

8:30 Bob Hearts
Abishola
$92,844, NA

The Unicorn
$134,107, NA

9:00 NCIS: Los
Angeles
$93,071, 8%

All Rise
$70,583, NA

FBI
$97,710, -11%

Seal Team
$86,043, -17%

Mom
$124,636, -1%

Magnum P.I.
$72,716, NA

Crimetime
Saturday
$21,880, -25%

9:30 Carol’s Second
Act
$107,161, NA

10:00 Madam
Secretary
$67,231, -34%

Bull
$89,981, -12%

NCIS: New
Orleans
$96,197, -4%

S.W.A.T.
$88,924, -15%

Evil
$99,202, NA

Blue Bloods
$83,064, -2%

48 Hours
$36,332, -24%

From “TV’s most expensive commercials for the 2019-’20 season”
(AdAge.com, Oct. 7, 2019), by Jeanine Poggi. Networks may have made some
changes to schedules since then. Table excludes shows that start at midseason.

Broadcast network TV’s most expensive scheduled program is Fox’s broadcast
of NFL games on Sunday evenings, which are not technically in prime time;
average price for a 30-second spot is $689,988, flat with one year ago.

Source: Ad Age. Based on data from as many as eight agencies. The resulting
prices should be viewed as directional indicators and are not the actual price
that every advertiser pays for a 30-second spot. The numbers are based on a
range of agency estimates that can vary depending on the amount of inventory

purchased from a network, the inclusion of any nontraditional advertising
such as product placements, and the relationship an advertiser and media-
buying agency has with a network. Most TV advertising is typically purchased
as part of larger negotiations, not on a one-off basis. These estimates also
reflect the prices advertisers and networks agreed on in this year’s upfront
marketplace. Prices likely have changed for those wishing to buy a spot closer
to the air date in the so-called “scatter” market.

P016_P023_AA_20191223SUPP.indd 18 12/12/19 7:28 PM

19Important to Important People

Sunday Monday Tuesday Wednesday Thursday Friday Saturday

Fox (Fox Corp.)

7:00
p.m.

NFL Game
$689,988, 0%

7:30

8:00 The Simpsons
$133,268, -18%

9-1-1
$172,215, -1%

The Resident
$116,988, 8%

The Masked
Singer
$201,683, NA

Thursday Night
Football
$540,090, 24%

WWE’s
Smackdown
Live
$56,636, NA

Fox Sports
Saturday:
College
Football
$71,798, 7%

8:30 Bless the Harts
$102,595, NA

9:00 Bob’s Burgers
$110,533, 11%

Prodigal Son
$101,915, NA

Empire
$171,187, -21%

Not Just Me
$123,144, NA

9:30 Family Guy
$109,015, -9%

10:00

NBC (Comcast Corp. [NBC Universal])

7:00
p.m.

Football Night
in America
$90,907, NA

7:30

8:00 Sunday Night
Football
$685,227, 3%

The Voice
$192,983, -9%

The Voice
$179,951, -7%

Chicago Med
$133,216, -18%

Superstore
$103,159, -3%

The Blacklist
$78,363, -10%

Dateline
Saturday
Night Mystery
$39,259, 7%

8:30 Perfect
Harmony
$107,567, NA

9:00 This is Us
$359,413, -17%

Chicago Fire
$140,834, -5%

The Good Place
$127,951, 2%

Dateline
$46,144, -7%

9:30 Sunnyside
$79,841, NA

10:00 Bluff City Law
$132,288, NA

New
Amsterdam
$172,085, 33%

Chicago P.D.
$143,082, 10%

Law & Order:
SVU
$108,236, 3%

Saturday
Night Live
(encores)
$31,910, -41%

The CW (AT&T [WarnerMedia]/ViacomCBS)

7:00
p.m.
7:30

8:00 Batwoman
$37,397, NA

All American
$25,492, -17%

The Flash
$44,431, -3%

Riverdale
$32,859, 11%

Supernatural
$27,497, -7%

Charmed
$24,292, -2%

8:30

9:00 Supergirl
$27,381, -13%

Black
Lightning
$30,176, -13%

Arrow
$26,582, 4%

Nancy Drew
$23,816, NA

Legacies
$25,432, -6%

Dynasty
$21,326, 19%

9:30

10:00

P016_P023_AA_20191223SUPP.indd 19 12/12/19 7:28 PM

20
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

Live+7

Rank Originator Program Telecast date Rating

Average
viewership
(millions)

1 CBS Super Bowl LIII Feb. 3, 2019 32.4 98.8

2 CBS AFC Championship on CBS Jan. 20, 2019 17.8 54.4

3 Fox Fox NFC Playoff (Saturday) Jan. 12, 2019 11.0 33.7

4 ABC The Oscars Feb. 24, 2019 10.0 30.5

5 Fox Fox NFC Wildcard Game Jan. 5, 2019 9.7 29.7

6 ESPN College Football Playoff National Championship Jan. 7, 2019 8.2 24.9

7 CBS The Big Bang Theory May 16, 2019 8.1 24.8

8 NBC NBC Sunday Night Football Sept. 29, 2019 7.9 24.4

9 CBS The World’s Best Feb. 3, 2019 7.7 23.5

10 Fox Fox World Series (Game 7) Oct. 30, 2019 7.6 23.3

Top broadcast and cable telecasts in 2019
Ranked by Live+7 viewership (live and time-shifted viewing within seven days). Super Bowl LIII on CBS last February
averaged nearly 99 million viewers (watching live or using time-shifting—DVR—within seven days).

Source: Nielsen (NNTV Program Report). More info: nielsen.com. Numbers rounded. All broadcast and cable, Dec. 31, 2018, through Nov. 3, 2019. Live+7.
Broadcast prime. Persons age 2+. Excludes breakouts, duration less than five minutes and sustainers. Excludes post-gun programming (programming after
game ends, when gun sounds signify end of competition).

Biggest U.S. TV networks
By 2018 measured-media ad spending. Dollars in millions.

Source: Kantar. More info: kantar.com/media. Totals by TV and cable network shown for calendar 2018 reflect a change in Kantar’s national TV spend methodology
and are not comparable with earlier years.

Cable TVBroadcast TV

9. Azteca America HC2 Holdings

8. UniMás Univision Holdings

7. The CW AT&T (WarnerMedia)/ViacomCBS

6. Telemundo Comcast Corp. (NBC Universal)

5. Univision Univision Holdings

4. Fox Fox Corp.

3. ABC Walt Disney Co.

2. CBS ViacomCBS

1. NBC Comcast Corp. (NBC Universal)

10. Hallmark Channel Hallmark Cards
(Crown Media Family Networks)

9. Discovery Channel Discovery

8. Adult Swim, Cartoon Network AT&T (WarnerMedia)

7. Bravo Comcast Corp. (NBC Universal)

6. Food Network Discovery

5. USA Comcast Corp. (NBC Universal)

4. HGTV Discovery

3. TNT AT&T (WarnerMedia)

2. TBS AT&T (WarnerMedia)

1. ESPN Walt Disney Co.

$939

$944

$949

$1,096

$1,457

$1,269

$1,337

$1,826

$1,910

$2,962

$33

$308

$328

$1,083

$1,283

$3,289

$3,746

$4,707

$5,842

P016_P023_AA_20191223SUPP.indd 20 12/12/19 7:28 PM

Untitled-3 1 12/5/19 10:32 AM

23Important to Important People

Top time-shifted broadcast and cable TV shows in 2019
Ranked by incremental audience gained through time shifting. HBO’s “Game of Thrones” saw an increase of
9.1 million average viewers from live viewing when accounting for time-shifted viewing occuring over seven days.

Source: Nielsen (NNTV Program Report). More info: nielsen.com. Numbers rounded. All broadcast and cable, Dec. 31, 2018, through Nov. 3, 2019. Live and Live+7.
Broadcast prime. Rank based on absolute difference between Live and Live+7 projections. Persons age 2+. A program must reach at least a 1.0 Live+7 persons 2+ rating.
Excludes breakouts, specials, repeats, duration less than five minutes, sustainers and programs with fewer than four telecasts. Sample minimums applied.

Live Live+7

Rank Program (originator)
No. of
telecasts Rating

Average
viewership
(millions) Rating

Average
viewership
(millions)

Audience
gained
through
time
shifting
(millions)

1 Game of Thrones (HBO) 6 2.1 6.3 5.0 15.4 9.1

2
The Big Bang Theory
(CBS) 13 3.3 10.0 6.0 18.5 8.5

3 This Is Us (NBC) 15 1.8 5.4 4.1 12.7 7.3

4 The Good Doctor (ABC) 13 1.6 4.8 3.9 12.0 7.2

5 Manifest (NBC) 7 1.4 4.2 3.6 10.9 6.7

6 NCIS (CBS) 19 3.0 9.3 5.2 15.8 6.5

7 New Amsterdam (NBC) 19 1.4 4.2 3.3 10.3 6.1

8 9-1-1 (Fox) 14 1.4 4.3 3.3 10.2 6.0

9 Blue Bloods (CBS) 18 2.2 6.6 4.1 12.4 5.8

10 Young Sheldon (CBS) 17 2.6 8.1 4.5 13.7 5.6

Source: Nielsen (NNTV Program Report). More info: nielsen.com. Numbers rounded. All broadcast and cable, Dec. 31, 2018, through Nov. 3, 2019. Live+7.
Broadcast prime. Persons age 2+. Excludes breakouts, specials, repeats, duration less than five minutes, sustainers and programs with fewer than four
telecasts. Sample minimums applied.

Top broadcast and cable TV prime-time shows in 2019
Ranked by Live+7 viewership (live and time-shifted viewing within seven days). “NBC Sunday Night Football”
averaged nearly 20 million viewers (watching live or using time-shifting—DVR—within seven days).

Live+7

Rank Originator Program
Number of
telecasts Rating

Average
viewership
(millions)

1 NBC NBC Sunday Night Football 9 6.5 19.9

2 CBS The Big Bang Theory 13 6.0 18.5

3 CBS NCIS 19 5.2 15.8

4 HBO Game of Thrones 6 5.0 15.4

5 Fox Fox/NFL Network Thursday Night Football 6 5.0 15.4

6 CBS Young Sheldon 17 4.5 13.7

7 NBC This Is Us 15 4.1 12.7

8 CBS FBI 17 4.1 12.4

9 CBS Blue Bloods 18 4.1 12.4

10 NBC America’s Got Talent: The Champions 7 4.1 12.4

P016_P023_AA_20191223SUPP.indd 23 12/12/19 7:29 PM

24
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

From Ad Age Agency Report 2019 (April 29, 2019). Detailed rankings and report methodology: AdAge.com/agencyreport2019 and
AdAge.com/agencyfamilytrees2019. Source: Ad Age Datacenter. Numbers rounded. Asterisk indicates Ad Age Datacenter estimate.

AGENCIES
Ad Age Agency Report: World’s 10 biggest agency companies
By 2018 worldwide revenue. Dollars in billions.

1. WPP, London

$20.8

2. Omnicom Group, New York

$15.3

3. Publicis Groupe, Paris

$11.7

4. Interpublic Group of Cos., New York

$9.7

5. Dentsu Inc.*, Tokyo

$9.2

6. Accenture’s Accenture Interactive, New York

$8.5

7. PwC’s PwC Digital Services, New York

$5.4

8. Deloitte’s Deloitte Digital, New York

$5.3

9. IBM Corp.’s IBM iX*, Armonk, N.Y.

$5.0

10. Cognizant’s Cognizant Interactive, New York

$4.9

P024_P027_AA_20191223SUPP.indd 24 12/12/19 7:32 PM

25Important to Important People

From Ad Age Agency Report 2019 (April 29, 2019). Source: Ad Age Datacenter estimates. Numbers rounded. Expanded table and report
methodology: AdAge.com/agencyreport2019. 1. Alliance Data Systems sold Epsilon, including Conversant, to Publicis in July 2019.

Rank Network Company 2018 worldwide revenue

1 Accenture Interactive Accenture $8.5

2 PwC Digital Services PwC 5.4

3 Deloitte Digital Deloitte 5.3

4 IBM iX IBM Corp. 5.0

5 Cognizant Interactive Cognizant 4.9

6 BlueFocus (China) BlueFocus Communication Group 3.3

7 McCann Worldgroup Interpublic 3.0

8 Wunderman Thompson WPP 2.8

9 Dentsu Aegis Network Dentsu 2.7

10 DDB Worldwide Communications Group Omnicom 2.4

11 Dentsu (Japan) Dentsu 2.4

12 Publicis Sapient Publicis 2.2

13 TBWA Worldwide Omnicom 2.1

14 Ogilvy WPP

2.0

15 Epsilon-Conversant1 Publicis 1.9

16 BBDO Worldwide Omnicom 1.7

17 Havas Creative Group Vivendi’s Havas 1.7

18 Publicis Worldwide Publicis 1.6

19 Omnicom Precision Marketing Group Omnicom 1.6

20 Advantage Marketing Partners Advantage Solutions 1.5

21 Hakuhodo Hakuhodo DY Holdings 1.5

22 Leo Burnett Worldwide Publicis 1.2

23 Williams Lea Tag Williams Lea Tag 1.2

24 RRD Marketing Solutions R.R. Donnelley 1.2

25 FCB (Foote, Cone & Belding) Interpublic 1.1

Ad Age Agency Report: Top 25 $68.3B

Ad Age Agency Report: World’s biggest agency networks
By 2018 estimated worldwide revenue. Dollars in billions.

More in Ad Age Datacenter
Agency companies: Who owns what
AdAge.com/agencyfamilytrees2019

P024_P027_AA_20191223SUPP.indd 25 12/12/19 7:33 PM

26
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

Ad Age Agency Report: Biggest worldwide agency ventures by category
By 2018 estimated worldwide revenue. The world’s 25 largest agency companies had 2018 worldwide
revenue of $117.4 billion.

Source: Ad Age Agency Reports. Growth rates based on U.S. agencies from all disciplines.

From Ad Age Agency Report 2019 (April 29, 2019). Some agencies and networks may have changed names or structure since report was published.
Expanded rankings: AdAge.com/agencyreport2019.

Source: Ad Age Datacenter estimates.

Category/
largest venture, company

2018 worldwide
revenue in
category Category grouping

2018 worldwide
revenue for
category grouping

Agency company
WPP $20.8 billion

25 largest agency
companies $117.4 billion

Consolidated agency network
Accenture Interactive, Accenture $8.5 billion

25 largest agency
networks $68.3 billion

Digital agency network
Accenture Interactive, Accenture $8.5 billion

15 largest digital agency
networks $37.8 billion

Media agency group
GroupM, WPP $5.9 billion

Five largest media agency
groups $20.0 billion

Media agency network
Mindshare, WPP $1.5 billion

15 largest media agency
networks $13.3 billion

Ad agency
Dentsu, Dentsu $2.4 billion

10 largest ad agencies $13.6 billion

CRM/direct marketing agency
network
Deloitte Digital, Deloitte

$2.5 billion
10 largest CRM/direct
marketing agency
networks

$11.2 billion

Public relations agency network
Edelman, DJE Holdings $888 million

10 largest public relations
agency networks $5.1 billion

U.S. agency digital share and revenue growth, 2012-2018
From Agency Reports.

Ad Age Agency Report: Digital share
of U.S. agency revenue
Digital work accounted for an estimated 53.6 percent
of revenue for U.S. agencies from all disciplines in 2018.

Ad Age Agency Report: U.S. agency revenue growth
Revenue for agencies from all disciplines grew
1.7 percent in 2018, the weakest growth since the
ad market recovery began in 2010.

0
10
20
30
40
50
60%

201720162015201420132012 2018

51.3%
46.6%

41.3%39.7%
35.3%

32.5%

53.6%

0
1
2
3
4
5
6
7
8%
201720162015201420132012 2018
1.8%
4.4%
6.5%

5.4%

3.7%

5.6%

1.7%

P024_P027_AA_20191223SUPP.indd 26 12/12/19 7:33 PM

27Important to Important People

Ad Age Agency Report: Biggest U.S. agency ventures by category
By 2018 estimated U.S. revenue. The world’s 25 largest agency companies had 2018 U.S. revenue of $52.3 billion.

From Ad Age Agency Report 2019 (April 29, 2019). Some agencies and networks may have changed names or structure since report was published.
Expanded rankings: AdAge.com/agencyreport2019.

Source: Ad Age Datacenter estimates.

1. U.S. revenue of more than 500 agencies from all disciplines in Agency Report 2019.
2. Alliance Data Systems Corp. sold Epsilon, including Conversant, to Publicis Groupe in July 2019.

Category/
largest venture, company

2018 U.S.
revenue in
category Category grouping

2018 U.S.
revenue for
category
grouping

Agency company
Omnicom Group $8.0 billion

World’s 25 largest
agency companies $52.3 billion

Consolidated agency network
Cognizant Interactive,
Cognizant

$3.7 billion World’s 25 largest agency networks $31.2 billion

Agencies from all disciplines
Cognizant Interactive,
Cognizant

$3.7 billion

More than 500 U.S.
agencies from all
disciplines1

$57.1 billion

Digital agency network
Cognizant Interactive,
Cognizant

$3.7 billion 15 largest digital agency networks $19.5 billion

Media agency network
Spark Foundry/Blue 449,
Publicis

$489 million 15 largest media agency networks $4.3 billion

Ad agency
BBDO Worldwide,
Omnicom

$641 million 25 largest ad agencies $6.3 billion

CRM/direct marketing agency
network
Epsilon-Conversant2,
Publicis

$1.9 billion
25 largest CRM/direct
marketing agency
networks

$9.1 billion

Promotion agency network
Advantage Marketing Partners,
Advantage Solutions

$1.3 billion 25 largest promotion agency networks $4.8 billion

Experiential/event marketing
agency network
Advantage Marketing Partners,
Advantage Solutions

$1.3 billion
15 largest experiential/
event marketing agency
networks

$3.0 billion

Health care agency network
Omnicom Health Group,
Omnicom

$819 million 25 largest health care agency networks $4.6 billion

Public relations agency network
Edelman,
DJE Holdings

$545 million
25 largest public
relations agency
networks

$3.7 billion

Hispanic-American agency
The Community,
Publicis

$47 million 50 largest Hispanic-American agencies $518 million

African-American agency
Burrell Communications Group,
Publicis

$24 million 15 largest African-American agencies $97 million

Asian-American agency
Aaaza $18 million

10 largest Asian-
American agencies $75 million

P024_P027_AA_20191223SUPP.indd 27 12/12/19 7:33 PM

28
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

JOBS

’18 ’19’17’16’15’14’13’12’11’10’09’08’07’06’05’04’03’02’01’00

R
ec

es
si

on
R
ec
es
si
on

Internet media jobs

Ad agency jobs

Oct. 2019
277,000

206,100

50,000

100,000

150,000

200,000

250,000

300,000

U.S. ad agency and internet media employment
Ad agency sta� ng (206,100 in October 2019) is below the all-time high (208,700) reached in July 2018.
Internet media1 sta� ng (277,000 in October 2019) has doubled since early 2013.

Unemployment rate

R
ec
es
si
on
R
ec
es
si
on
’18 ’19’17’16’15’14’13’12’11’10’09’08’07’06’05’04’03’02’01’00

Nov. 2019
3.5%

2
4
6
8
10%

Oct. 2009
10.0%

U.S. unemployment rate
The nation’s unemployment rate in November 2019 was 3.5 percent, the lowest level since 1969.

Source: Ad Age Datacenter analysis of Bureau of Labor Statistics data. See expanded data: AdAge.com/adjobs.

1. Internet media businesses and web search portals.
2. Internet media businesses and web search portals, TV, newspaper, magazine, radio. November 2007; October 2019.

U.S. media employment
Share of media2 jobs in 2019 vs. 2007 (eve of Great Recession). Internet media’s share of media jobs
has quadrupled since 2007.

Year Internet media TV Newspaper Magazine Radio

2007 8.6% 23.9% 38.8% 16.1% 12.6%

2019 36.4% 24.6% 17.1% 11.1% 10.8%

M
AS
TE
R

P028_AA_20191223SUPP.indd 28 12/12/19 7:34 PM

31Important to Important People

Source: University of Michigan index of consumer sentiment. Graph shows � nal (that is, not preliminary) readings. Base: 1966 = 100. More info: sca.isr.umich.edu.

CONSUMERS
2019 U.S. population by race
Population in millions.

Consumer confidence: Index of consumer sentiment
The University of Michigan index of consumer sentiment has rebounded from a three-year low hit in August 2019.
The index in November 2019 came in at 96.8. The university said: “In 30 of the past 35 months the sentiment index
was 95.0 or higher, a level of optimism second only to when the index was above 100.0 for 34 out of 36 months from
January 1998 to December 2000.”

Source: Census Bureau. Projections for July 1, 2019, from National Population Projections. Numbers rounded. More info: census.gov.

Hispanics’ share of population by age in 2019
Hispanics account for more than 20 percent of the U.S.
population for every age up through age 45.

2018 201920172016201520142013201220112010200920082007
40

80
100

120

R
ec
es
si
on

August 2019
89.8

Total

330.3 million

252.1M

44.3M

19.6M
9.3M

Native Hawaiian/
Paci�c Islander
0.8M

American Indian/
Alaska Native
4.2M

Two or more races

Asian

Black

White

Hispanics as percent
of U.S. population

Number of Hispanics
in millions

Total

80+

70-79

60-69

50-59

40-49

30-39

20-29

10-19

0-9

18.5%

7.8%

8.3%

10.3%

14.6%

19.8%

20.7%

21.9%

24.8%

25.7%

61.1

1.0

2.0
3.9

6.2

8.0

9.2

10.0

10.4

P031_P034_AA_20191223_SUPP.indd 31 12/12/19 7:38 PM

Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

Source: MRI-Simmons. Spring 2019 Simmons National Consumer Study, Full Year. Numbers rounded. Base: Study universe. Results based
on adult survey participants who answered question (and so results exclude non-responses). More info: mrisimmons.com.

Very often Often

Somewhat
often

Not very
often Not at all

Visit websites on mobile phone 26.9% 19.4% 19.2% 13.6% 21.0%

Text on mobile phone 26.7 18.8 21.4 17.1 16.0

Visit websites on computer 21.0 16.1 17.0 12.9 33.1

Talk on mobile phone 20.5 13.9 18.2 22.8 24.7

Email on computer 16.6 13.2 15.2 15.5 39.5

Instant message on computer 9.3 6.3 7.3 10.2 66.9

Play video games 8.6 4.8 5.3 6.7 74.5

Listen to radio 8.3 5.4 5.4 7.6 73.3

Watch videos on computer 7.1 5.0 6.4 10.5 70.9

Read magazine or comic 5.5 6.7 9.7 14.9 63.1

How TV viewers are multitasking
Percent of adults who do these activities while watching TV.

How Americans use leisure time
Americans age 15-plus on average had 5.3 hours of leisure time per day in 2018.
Watching TV remains by far the No. 1 leisure activity.

Age Gender

15+ 15-19 20-24 25-34 35-44 45-54 55-64 65-74 75+ F M

Average leisure hours per day in 2018

All days 5.3 5.8 5.0 4.2 4.1 4.5 5.5 7.2 7.8 4.9 5.7

Weekdays 4.7 5.3 4.3 3.5 3.5 3.8 4.9 6.9 7.6 4.4 5.1

Weekends, holidays 6.6 7.1 6.8 5.8 5.4 6.2 6.9 7.7 8.1 6.1 7.1

Average weekday leisure hours spent in 2018

Watching TV 2.6 2.0 1.8 1.8 1.9 2.1 3.1 4.2 4.8 2.4 2.8

Socializing and
communicating 0.5 0.9 0.4 0.5 0.5 0.5 0.4 0.6 0.4 0.5 0.5

Playing games and
computer use for
leisure

0.4 0.8 0.8 0.6 0.3 0.2 0.3 0.4 0.4 0.3 0.5

Reading 0.3 0.1 0.1 0.1 0.2 0.2 0.3 0.6 0.8 0.3 0.2

Participating in
sports, exercise and
recreation

0.3 0.7 NA 0.2 0.2 0.3 0.2 0.3 0.2 0.2 0.3

Relaxing/thinking 0.3 0.2 0.4 0.2 0.2 0.3 0.4 0.4 0.6 0.3 0.4

Other leisure and
sports activities1 0.4 0.5 NA 0.3 0.3 0.3 0.3 0.4 0.4 0.3 0.4

Source: Bureau of Labor Statistics’ 2018 American Time Use Survey. More info: bls.gov/tus. 1. Including travel related to leisure and sports activities.

P031_P034_AA_20191223_SUPP.indd 32 12/12/19 7:38 PM

33Important to Important People

Source: MRI-Simmons. Spring 2019 New Media Study. Numbers rounded. Base: Have cable/satellite or streaming service. More info: mrisimmons.com.

Binge watching
Percent of people in various age groups who binge watch TV series. Among adults age 18 to 34,
63 percent binge watch TV shows weekly or multiple times a week.

Percent of people in this group that binge watch TV shows

Group

Multiple
times a
week Weekly

More
than once
a month Monthly

Less than
once a
month Never

Age 18-34 28.8% 34.4% 12.8% 9.9% 12.3% 1.8%

35-49 15.4 16.1 29.1 14.5 22.8 2.0

50-69 4.8 5.5 5.9 9.2 23.6 51.0

70+ 1.9 1.7 2.8 2.0 10.1 81.5

Parent/guardian with child
in home 21.7 20.7 23.4 10.9 18.7 4.5

Hispanic household 20.0 35.4 13.0 5.4 15.6 10.6

Non-millennials 8.5 9.0 14.4 10.2 21.3 36.7

Female 15.7 15.3 14.2 9.8 17.4 27.6

Male 14.2 19.0 13.5 10.4 19.5 23.5

Adults 18+ 14.9% 17.1% 13.9% 10.1% 18.4% 25.6%

Demographics of cord cutters
Percent of people in various age groups who don’t subscribe to a traditional, legacy cable or satellite TV service
but have access to online content through the internet at home or through the internet on a mobile device.

Source: MRI-Simmons. Spring 2019 Simmons National Consumer Study, Full Year. Numbers rounded. Base: Study universe. More info: mrisimmons.com.
Cord cutters include cord nevers (those who have never paid for TV).

Adults 18+

Male

Female

Non-millennials

Hispanic household

Parent/guardian
with child in home

70+

50-69

35-49

Age 18-

SumMobile onlyCord cutters

18.5% 13.7%

17.6% 10.1%

8.7% 5.3%

4.1% 2.1%

17.9% 11.1%

15.3% 8.8%

10.7% 6.3%

12.5% 9.1%

13.5% 7.7%

13.0% 8.4%

32.2%

27.7%

13.9%

6.1%

29.0%

24.1%

17.0%

21.6%

21.2%

21.4%

P031_P034_AA_20191223_SUPP.indd 33 12/12/19 7:38 PM

34
Ad Age Marketing Fact Pack 2020
Ad Age December 23, 2019

When and how smartphone owners use their devices
Accessing websites is the most popular activity on smartphones, followed by social networking. Peak hour for
mobile web surfing is 5 p.m., when 69 percent of adult smartphone owners use their phones to visit a website.

Source: MRI-Simmons. Spring 2019 Connect Plus Study. Base: Smartphone users. Percentages indicate unduplicated aggregate percentage
of smartphone owners who engage in the activity in that hour at least once during a typical week. For example, 69 percent of smartphone owners use their phone’s
web browser to access a website between 5 p.m. and 6 p.m. at least once in a week. More info: mrisimmons.com.

111098765432112
p.m.

111098765432112
a.m.

100
0
200

300

400

500%

GPS
Listen to music
Download app
Camera

IM/chat

Video

Play games

Talk

Messaging

Social network

Websites

U.S. households rich to poor: Income distribution1
Share of aggregate income by household-income quintiles. The bottom group had 3.1 percent of 2018 income.

Year Lowest 20% Second Third Fourth Top 20%

1980 4.2% 10.2% 16.8% 24.7% 44.1%

1990 3.8 9.6 15.9 24.0 46.6
2000 3.6 8.9 14.8 23.0 49.8

2010 3.3 8.5 14.6 23.4 50.3

2018 3.1 8.3 14.1 22.6 52.0

Source: Census Bureau’s Current Population Survey (Annual Social and Economic Supplements). More info: census.gov.
1. Numbers rounded. 2. Percent change based on real (inflation-adjusted) mean income. Great Recession began in December 2007 and ended in June 2009.

U.S. households rich to poor: Mean income2
By 2018 household-income quintile; change vs. prerecession 2007. Poor households have not fully recovered.

All
households

Lowest
20% Second Third Fourth Top 20%

2018 $90,021 $13,775 $37,293 $63,572 $101,570 $233,895

Percent change
vs. 2007 9.7% -1.8% 4.3% 4.8% 5.8% 14.7%

P031_P034_AA_20191223_SUPP.indd 34 12/12/19 7:38 PM

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