WPP’s Australian bosses should worry about their own performance, says Sorrell
WPP founder Sir Martin Sorrell has swung back at a suggestion from two of his most senior former Australian executives that he is guilty of hypocrisy in attacking the running of the organisation since he departed.
Speaking to an industry podcast, John Steedman, acting CEO of WPP Australia, said Sorrell needs to “get over” his ousting. And Greg Graham, who was group marketing director of WPP locally until earlier this year, accused Sorrell of hypocrisy for attacking the company he built.
But Sorrell told Mumbrella that Steedman should instead focus on the running of the ASX-listed WPP AUNZ.
Sir Martin left WPP in April last year after an acrimonious investigation into what was described as “personal misconduct”
Speaking to the B&T podcast in an episode uploaded on Friday, Steedman and Graham were asked about comments made by Sorrell at last month’s Cannes Lions event suggesting WPP had failed to evolve as fast as some of its competitors.
Sorrell: Steedman needs to focus on WPP’s performance in Australia
Both Steedman and Graham argued that it was time for Sorrell to stop talking about the company he founded in 1985, turning it into the world’s biggest communications holding company.
Agency brands owned by WPP include the Group M media agencies of Mediacom, Wavemaker and Mindshare; ad agencies Ogilvy, VMLY&R, Wunderman Thomson and WhiteGrey and PR agencies Howorth, OPR, PPR and Hill + Knowlton.
Steedman said: “I think Martin needs to move on, simply put. Times have changed, so has the model. We’re moving on; Martin needs to move on.”
Steedman: Sorrell needs to move on
“I love Martin. Great guy. But, you know…”
Sorrell now runs S4 Capital as the base of a new holding company and competitor to WPP.
And Graham, who now runs pitch consultancy The Nest, added: “I think it’s a bit hypocritical. I really do. He built the business, now he criticises it. It’s a bit glass houses, buddy.”
Graham: Sorrell is hypocritical
Steedman took the helm of WPP’s Australian operation in October after the departure of CEO Mike Connaghan.
Since then, the company’s share price has declined by as much as 44%. Last month the share price of WPP AUNZ hit the lowest point in its history when it dropped to 48c.
Sorrell told Mumbrella: “Think they should focus on the performance of WPP AUNZ.”
The company currently has a market capitalisation of just under $500m.
WPP’s local share price has not recovered from Connaghan’s October 23 departure | Source: Google Finance
Over the last two years, WPP has been going through a series of agency mergers locally and globally as it attempts to simplify its structure.
In May 2017, The White Agency and Grey Group Australia merged to form WhiteGrey. And in June 2017, WPP said it would be merging MEC and Maxus to create Wavemaker.
In September last year, WPP merged Y&R and VML to form VMLY&R. And in November last year, JWT and Wunderman merged to create Wunderman Thomson.
On Friday, WPP said it was selling a majority stake in its research company Kantar to Bain Capital.
WPP AUNZ’s new boss Jens Monsees does not start in the role until October. Monsees will be on a salary package of up to $5.5m a year if he hits all of his targets, along with a signing on bonus of $1.5m to make up for payments he will miss out on at his previous employer.
Monsees: Sorrell will be watching WPP’s new $5m man
Monsees’ appointment raised eyebrows because he has no agency experience and has never worked in the Australian market. His previous roles have been with Google and BMW in Germany.
Sorrell told Mumbrella: “I’m interested to see how their latest recruit performs.”
Tim Burrowes founded Mumbrella in 2008. He worked on Mumbrella until 2021. At various points he was editor, content director and editor-at-large. He returned to Mumbrella as Publisher in January 2025
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Seriously if i worked for a wpp agency and this guy walked in the door [edited under Mumbrella’s community guidelines] ‘cause I’d know where my pay rise had gone.
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He’ll hath no fury like a mumbrella scorned.
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I did wonder whether somebody would suggest that. (For readers not up to speed, the commenter is referring to John Steedman’s taking issue with industry websites that allow anonymous comment.)
That’s not the case. I’d have written the story in exactly the same way.
Newsworthy:
WPP, Australia’s largest communications holding group, has hit the lowest share price in its history.
Newsworthy:
John Steedman and Greg Graham have publicly called their old boss a hypocrite.
Newsworthy:
Sir Martin Sorrell, the world’s most famous advertising executive has responded.
Newsworthy:
The new WPP boss is likely to be the best paid executive in Australian advertising history.
Any journalist who wouldn’t report all of that must be very keen to keep WPP happy.
Cheers,
Tim – Mumbrella
This TL;DR is even more entertaining than the original article.
Also, pedant in me would be ashamed if I didn’t ask @Thin Skin Tim who “he” is, and why will he hath no fury?
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Well said Sparrow and Steady, and well done Mumbrella for covering it.
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Time to grab the popcorn and pull up an armchair…
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[Edited under Mumbrella’s comment moderation policy]
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“Bitch bitch”
“How dare he bitch at me”
“How dare he reply to my bitching at him”
“How dare he bitch at me for replying to his bitching at me”
“How dare he think he can bitch at me….”
Ad infinitum.
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Newsworthy:
WPP, Australia’s largest communications holding group, has hit the lowest share price in its history.
All the rest belongs in New Idea.
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…really?
This ain’t the AFR. Industry gossip is always going to be (a much loved) part of this forum.
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I was approached by WPP about an executive level position but we couldn’t agree on the money. I felt low-balled and now I know why. They’ve got a 5.5M dollar salary they have to pay.
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Steady wouldn’t like it for someone to plot ‘time appointed acting Chairman’ and WPP AUNZ’s share price. For a corporate windsurfer, defined in simple terms as – someone with all care and no responsibility – it’s easy to comment on Sorrell who punted everything and, in most part ‘won’, beyond the dreams of [edited under Mumbrella’s community guidelines] in Australia like the two commenters here who Sorrell made rich without them needing to take any risk of their own.
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Everyone is missing the point. “Steady” and “Sparrow” are great mates that go back many years. The fact that WPP AUNZ revenue is down has nothing to do with them. 44% is nothing. They are good blokes. This new guy on $5m will definitely sort out something where there is not a problem?
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