Digital transformation drives Publicis’ revenue up 10.5%

Integrating data and digital into all of its service offerings was cited for driving growth across the company.
publicisoffice

Publicis Groupe’s organic revenue has surged for another quarter, with the holding company once again citing its focus on data and digital for its success.

Organic revenue was up 10.5% in Q1, compared to the previous year’s quarter when it grew by 2.8% and its recovery from pandemic downturns began.

In North America, the company’s largest market, organic revenue was up 8.1%. The company reported positive growth in all of its activities in the region, though the strongest growth was in its digital transformation arm Publicis Sapient, where revenue was up 16.3%. Organic revenue also grew by 6.3% at Epsilon – including double-digit growth in services related to media and data.

Publicis also had double-digit growth in its North American media business, as well as “mid-single digit” growth in creative, driven by production and digital experience offerings.

Chairman and CEO Arthur Sadoun’s comments accompanying the results were all about confidence, especially now that the company’s model has captured client demand for first-party data, digital media and commerce to deliver another quarter of growth.

“Once again, we demonstrated in the last quarter that with Epsilon and Publicis Sapient integrated with our creative and media operations, we have unique capabilities to help our clients transform, grow and optimize [clients'] spend in this very challenging period,” he said.

Major global wins for Publicis in Q1 include creative for Siemens and media duties for AB InBev (though Dentsu retained its assignment for Canadian subsidiary Labatt).

Despite ongoing uncertainty due to the war in Ukraine and renewed public health measures due to the COVID-19 pandemic, Publicis confirmed its previous 2022 guidance, expecting between 4% and 5% organic growth by the end of the year.