WPP launches new product development company, Big, in first move since Jens Monsees revealed new strategy
WPP AUNZ has launched a new company, called Big, focused on product development. The new offering will create new categories, new markets and new revenue for clients, WPP said, announcing the first big move since new CEO Jens Monsees announced his vision for the company last month.
Big will operate under a new model, which involves partnering with clients in return for a royalty, success fee, or flat percentage once milestones are met.
The Big logo
JV with Target?
I was thinking Big W…
Great Idea. Finally.
Wow. Pretty brave start for Monsees. Nice to see him being given the latitude to do stuff like this. Best of luck guys.
There’s a choice between sharpening your focus, or chasing a series of distraction.
This is definitely the latter.
Data will confirm that the failure rate of new products is overwhelming. Seems to me that assigning big’s revenue to the client’s ‘success’ sounds sensible, what’s the cost-sharing when success isn’t possible, ambiguous, delayed?
Without a factoring a no-win scenario, what is WPP’s skin in the game.
Clients are able to stomach delays caused by rethinks and tweaks.
How is WPP’s quarterly demand for revenue gonna work in this reality.
This could work if done properly – build a team with expertise in an area, either industry-specific or a facet of tech. Then use that experience to build new products for clients in that industry or with that gap. How it will probably work is a broad roadshow offered to every client across every industry and falls over when they realize it’s impossible to really understand manufacturing processes/product regs/lead times/technical constraints across every client in every industry.
Curious logo design. It appears to include the visual IP of a major retailer.
possibly 2 retailers
Can’t wait for a car designed by a media agency
The very last thing I would be doing if I had all of those tools at WPP is starting a new brand. If I did start a new brand I’d give it a really good name that was ownable in some what. What I wouldn’t do is put the Target logo in the top right of my new brand with a new ownable name. I think this will shortly be ‘Ritsoned’.
Complete distraction. How about making better advertising and addressing the problem. This sort of solution entails zero accountability, doesn’t help the bottom line, and a team of three shows what the investment level is far more than words. And then to use “data” as a cure-all . . . this reeks of being a stunt for shareholders. Simple question for you Jens, how are you going to make your existing advertising services better so clients can’t say no? The way to make WPP better is not to ignore the problems your current employees face. This will end badly.
C’mon, you’re being a bit blinkered. I’m sure Jens isn’t ignoring existing issues, nor is wading forward without a plan for advertising; this is merely an indication that he has a plan that doesn’t rely only on advertising services. Given it’s 2020 and the industry needs a good shakedown, this is as good a plan as any. If you could consider that there are business strategy options beyond ‘make better ads’, you might see some merit in this. Sure, it’s three people and it’s an experiment, but they’re good talents (I’m ex-WPP and have worked with them before) a start. Let’s be optimistic and see how it goes, eh?
This is the first messaging from Jens around transforming the dire straits the company is in. So it’s bad optics, naive comms at best, and seems a bit like not confronting the real problems. If you think this is “as good a plan as any”, oh dear!
To all the naysayers – at least they are trying something new.
GIve them a chance, lets see what they produce and how it lands with clients.. proof is in the pudding.
Dont see other holding companies trying anything similar, or at all, to diversify and differentiate. This industry needs to move to survive
“….. at least they are trying something new. Don’t see other holding companies trying anything similar, or at all, to diversify and differentiate.”
In October, 2008 Marketing Week ran a story headed, “BBH launches “own-created” brands.
It announced the creation of a new, internal division at BBH London named Zag. The purpose of Zag was “to invent own brands and take them to market with joint venture partners.”
One of the first offerings was a “vegetable ready meal” called ‘Pick Me’
launched in Tesco.
First product should be a deluxe toilet paper. Easy to execute, high margin, irrationally high demand.