OMG’s Impressive Retention Rate: A Game Changer in the Media Agency Industry
In the fast-paced world of media agency business, retaining clients is a significant challenge. However, Omnicom Media Group (OMG), the media services division of Omnicom, defied industry norms in 2024 by retaining an impressive 74% of its billings. This retention rate far surpassed the industry average of 32%, as reported in the Global Media Agency New Business Barometer Full Year 2024 by COMvergence.
OMG’s Success Story: OMD and PHD
Two of OMG’s global media agency networks, OMD and PHD, played crucial roles in OMG’s dominance. OMD, for instance, secured approximately $3.6 billion in new business wins, while PHD added $1 billion. However, it’s the retained business that sets OMG apart from its competitors.
Retained Business: The Key to OMG’s Success
Retained business refers to the revenue generated from existing clients. According to COMvergence’s report, OMG retained $4.6 billion in client billings in 2024. This figure represents a significant portion of OMG’s total new business record of $7.7 billion.
How Does This Affect You?
As a consumer, OMG’s impressive retention rate means that the agencies under its umbrella, such as OMD and PHD, are likely to continue delivering high-quality media services to their clients. This stability can lead to better, more consistent media campaigns and, ultimately, better value for your money.
How Does This Affect the World?
On a larger scale, OMG’s dominance in the media agency marketplace can impact the overall industry. Competitors may feel pressured to adapt to OMG’s successful business model, which emphasizes retaining clients and leveraging agency as a platform. This could lead to increased competition and innovation in the media agency industry, potentially benefiting clients and consumers in the long run.
Conclusion
In conclusion, Omnicom Media Group’s impressive retention rate of 74% in 2024 sets a new standard for media agencies. With OMD and PHD leading the charge, OMG outperformed its competitors by a significant margin. This success story not only benefits OMG but also has the potential to influence the media agency industry as a whole, driving competition and innovation.
- OMG had the best total new business record in 2024, securing approximately $7.7 billion in client billings.
- OMG’s retention rate of 74% far surpassed the industry average of 32%.
- ODM and PHD, two of OMG’s global media agency networks, played crucial roles in OMG’s success.
- Retained business, which represents a significant portion of OMG’s total new business record, is crucial to their success.
- OMG’s dominance in the media agency marketplace can lead to increased competition and innovation in the industry.
