COMPETITORS ITALY ADVERTISING AGENCIES July 2014
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1 COMPETITORS ITALY ADVERTISING AGENCIES July 2014 INTRODUCTION TO METHODOLOGY Databank's methodology for Competitors reports begins with a careful screening to identify the main organisations that are representative of a given sector. Several one-to-one interviews are then conducted with the selected organisations. Questionnaires are sent to all the leading companies on an annual basis. The information collected is then verified by an expert in the particular sector using a system of counterchecks to guarantee that the information is entirely reliable and consistent. The process is then completed using Cerved Group's proprietary information about Italian enterprises. All Competitors reports also include details concerning the strategies and performances of the leading companies in each sector. Wherever no specific source is indicated, the information published in these reports can be assumed to have been taken from Cerved Group's proprietary information bank. Coverage of any sector in Competitors products may be used in company presentations or in training courses on the subject.
2 SECTOR DESCRIPTION Scope This report analyses the advertising agencies sector. Advertising agencies are involved in conceptualising and creating advertising campaigns for traditional (TV, press, radio, cinema, out-of-home advertising) and digital media, as well as below-the-line (BTL) advertising services involving the organisation of consumer events, promotional campaigns and competitions, and direct marketing initiatives. Our analysis does not include activities relating to media planning and the acquisition of advertising space, which are carried out by media centres and advertising sales agencies, or public relations activities. So-called field marketing services are also excluded. These include merchandising and accessory logistics services, which complete the BTL marketing services segment. Specific technology employed: the services offered can be summarised in a series of tasks that combine to make up the architectural design of a campaign featuring a greater or lesser degree of integration: contact with the client and coordination of the various functions, interpretation of the client's marketing plan, consumer research and formulation of communications strategies, creative research, creation of the advertising message (whether a TV advert, a press or billboard campaign, or organisation of an event), and the planning and purchase of media space (where this is carried out within the same agency). The specific requirements are the ability to provide consultancy services and expertise in sales, copy-writing, graphic technology, editorial publishing, photography, cinematography and web design. Advertising agencies can be structured on a divisional basis (with each function having its own division), on a fully integrated basis (the various professional functions all operate within the same group) or in desks (groups headed up by account managers and strategic planners, that draw on other functions, organised in divisions, as and when needed). Function: the service provided by advertising agencies meets the following needs: communicating a positive image or promoting the benefits of a company or product to target consumers, identifying and acquiring potential clients, maximising customer loyalty. Upstream and downstream of these main functions are the identification of the marketing needs, analysis of the consistency of the marketing mix, media planning where offered and measuring the effectiveness of the marketing campaign. Client groups: industry, retail distribution, service companies, financial institutions and insurers, public bodies and institutions. Industry is by far the most important client segment, accounting for around 80% of advertising spending. Segments The sector is generally segmented along the following lines: Advertising on traditional media: the design of advertising campaigns for TV, press, radio, cinema out-of-home advertising Digital advertising: all interactive communication through Internet and mobile phones (advertising on digital channels, product websites, online events and promotions, web applications, marketing, games advertising, mobile marketing, social networking, viral marketing); Below-the-line non-digital: in its turn this segment can be broken down into direct marketing, the creation of competitions and collections and general promotional operations, the formulation and organisation of consumer events, and sponsorships.
3 This segmentation underpins our qualitative and quantitative analysis, although there are clear limits to its relevance given the increasingly integrated nature of the leading advertising agencies, which are aiming to put themselves forward as partners that can offer a "one stop shop" for advertising campaigns that embrace all the various available media.
4 LIST OF COMPANIES ANALYSED 1861 UNITED S.R.L. J. WALTER THOMPSON ITALIA S.P.A. AB COMUNICAZIONI S.R.L. J. WALTER THOMPSON ROMA S.R.L. ADPRESSCOMMUNICATIONS S.P.A. LA BUCCIA S.P.A. ADVERTEAM S.R.L. LEO BURNETT COMPANY S.R.L. AMMIRO Y2K S.R.L. LOB S.R.L. ARC S.R.L. M&C SAATCHI S.P.A ARMANDO TESTA S.P.A. MARKETING MULTIMEDIA S.R.L. ARMOSIA ITALIA S.R.L. MAX INFORMATION S.R.L. ARNOLD WORLWIDE ITALY S.R.L. MCCANN WORLDGROUP S.R.L. ATTILA E CO S.R.L. NURUN ITALIA S.R.L. B CUBE S.R.L. OFG ADV S.R.L. B FLUID S.R.L. OGILVY & MATHER S.P.A. BITMAMA S.R.L. OGILVY HEALTHWORLD S.R.L. BRAND PORTAL S.R.L. OGILVY INTERACTIVE S.R.L. CAYENNE S.R.L. OGILVY ONE WORLDWIDE S.P.A. DDB S.R.L. (a) OLA! S.R.L. (b) DGT MEDIA S.R.L. PERFORMEDIA S.R.L. DIGITAL EVENTS S.R.L. POMILIO BLUMM S.R.L. DLVBBDO S.P.A. PRODEA GROUP S.P.A. DM GROUP S.P.A. PROVIDENCE ITALY S.R.L. DRAFTFCB S.R.L. PROXIMITYBBDO S.R.L. EDPS EURO DIRECT & PROMOTION SERVICE SRL PS LIVE ITALIA S.R.L. ESSENSE S.R.L. PUBLICIS HEALTHCARE COMMUNICATIONS FREEWAY S.R.L. GROUP S.R.L. G2 S.R.L. (a) RED CELL S.R.L. GREY HEALTHCARE ITALIA S.R.L. RED LION COMMUNICATIONS (ITALY) S.R.L. GREY WORLDWIDE ITALIA S.R.L. REM S.R.L. H-ART S.R.L. SAATCHI & SAATCHI S.R.L. HAVAS EVENTS MILAN S.R.L. SENTRIX GLOBAL HEALTH COMMUNICATIONS S.R.L. HAVAS LIFE ITALY S.R.L. SERVICEPLAN S.R.L. HAVAS WORLDWIDE DIGITAL MILAN S.R.L. SPQR COMUNICAZIONE INTEGRATA S.R.L. (b) HAVAS WORLDWIDE MILAN S.R.L. STV DDB S.R.L. HI! S.R.L. SUDLER & HENNESSEY S.R.L. ICENTO S.R.L. TBWAITALIA S.P.A. IN EVIDENCE S.R.L. THE NAME GROUP S.R.L. INEDITHA S.R.L. TRIBAL DDB S.R.L. INTEGER S.R.L. VERBA S.R.L. (b) INTRAMED COMMUNICATIONS S.R.L. WHITE RED & GREEN BZ S.R.L. INVENTA CPM S.R.L. WHITE RED & GREEN DIGITAL S.R.L. ITALIA BRAND GROUP S.R.L. WHITE RED & GREEN MILANO S.R.L. ITALIK S.R.L. (b) WHITE RED & GREEN PADOVA S.R.L.
5 WHITE RED & GREEN S.R.L. WUNDERMAN S.R.L. Y & R ITALIA S.R.L. Y & R ROMA S.R.L. a) company ceased operating after being merged into another agency during 2014 b) currently in liquidation
6 CONTENTS LIST OF COMPANIES ANALYSED 1. INTRODUCTION TO METHODOLOGY 2. SECTOR DESCRIPTION 2.1. Scope 2.2. Segments 3. EXECUTIVE SUMMARY 3.1. Key sector data 3.2. Supply and demand trends 3.3. Market leaders 3.4. Business strategies 4. SECTOR ENVIRONMENT 4.1. Sector data Advertising Investments in Italy 4.2. Competitive forces 4.3. Notable recent events and developments 5. DEMAND ANALYSIS 6. SUPPLY ANALYSIS 6.1. Key characteristics 6.2. Sector financials 7. COMPETITIVE SCENARIO 7.1. Types of operators 7.2. Ranking of companies 7.3. Competitive performances by segment Market share 8. STRATEGIES OBSERVED 8.1. Strategic map of operators 8.2. Winning strategies 9. OPPORTUNITIES AND THREATS CONNECTED PRODUCTS AND SERVICES CONTACT COPYRIGHT
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