The future of DDB as a global network is in doubt as parent company Omnicom has confirmed it is carrying out a “rigorous” review of all of its agency brands.
It is thought Omnicom is likely to scale back the DDB network, which, according to its website, currently has more than 90 offices in over 40 countries.
But the DDB brand would likely remain in some key local markets, where it suits client needs, and would not be dropped entirely.
Any decision about DDB is “not cut and dried”, an industry source said.
Speculation about DDB has been swirling after a Latin American trade publication reported it would be dissolved as part of Omnicom’s takeover of Interpublic, with former DDB executives, including Adam & Eve/DDB's former head of effectiveness, Les Binet, speculating on LinkedIn.
However, the agency group has issued a statement in response to the rumours.
“We can share that, as it relates to our brands, we are undertaking a rigorous and considered process to ensure we have the very best solutions for the future for us and for our clients. This sentiment is informing everything we do in our go-forward plans,” an official statement from the holding company said.
“As regulatory approvals are still pending and until the transaction is closed, we are still operating as two independent companies,” Omnicom added, referring to its IPG takeover.
The DDB network includes a number of sub-brands, including Adam & Eve/DDB, which has offices in the UK, North America and Germany, and Miami-based multi-cultural agency Alma DDB, that could continue in some form. DDB was recently recognised as Cannes Lions' Network of the Year and is part of Omnicom Advertising Group, an umbrella grouping for all of its creative agencies.
OAG’s other major global networks are BBDO and TBWA.
IPG’s major creative networks include McCann Worldgroup, MullenLowe and FCB.
There has been widespread speculation that the enlarged Omnicom will operate only three main creative networks, BBDO, McCann and TBWA, after the takeover completes.
However, it is thought some of its other agency brands could continue in “pockets” in some local markets.
Omnicom told Campaign last week it was “confident” its acquisition of IPG will close by November, as the European Union has formally moved to the final stage of approving the deal.
In its latest earnings, Omnicom reported year-on-year organic revenue growth of 2.6% in Q3.
DDB was launched in 1949 by Bill Bernbach, James Edwin Doyle and Maxwell Dane as Doyle Dane Bernbach. Omnicom Group was then founded in 1986 through a merger of DDB, BBDO Worldwide and Needham Harper Worldwide.
DDB Worldwide appointed Alex Lubar as global chief executive in 2023.
Campaign UK's original story can be read here.
