Here’s the response from the company to our IPG tax item that ran in the last column:
“IPG pays income taxes all over the world. In 2013 alone, IPG paid $21 million in U.S. income tax to state and local governments. Also in 2013, we paid $91 million in income tax outside the U.S. – so we paid $112 million in income taxes just last year. And over the last five years, IPG has paid approx. $400 million in income taxes, and significantly more if you include the individual, employee and VAT taxes we also pay in the markets where we operate.
“We are an extremely responsible tax citizen of the world and our 2013 effective tax rate of 39% is higher than our peer group – Omnicom’s hovers around 34%. The fact our tax rate is higher than our peers is not necessarily a good thing, but to call us out without doing any research about our peer group is not cool… For the specific band of U.S. federal tax purposes – which is the data the Institute on Taxation and Economic Policy covers – IPG has a tax loss from 2004 to 2006, which has been carried forward (U.S. tax law permits losses to be carried forward for 20 years) to offset taxes in the past number of years – hence we do not pay U.S. federal income tax.
“I don’t think that warrants a blanket comment like ‘Yup, that big ass agency holding company headed by Michael Roth. And we wonder why people perceive advertising professionals as highly as car dealers.’ Especially when our effective tax rate is 39%, and when we paid $400 million in income tax over the past five years, and significantly more if you include all the other tax buckets. The headline is flat-out wrong. You could correct it by saying ‘IPG Paid No U.S. Federal Income Tax,’ but even then, I don’t think the post is fair, based on the above.”
Points well taken for the most part, although we tend to be somewhat snarky and that won’t stop. But now you have the facts on IPG’s tax-paying status straight from the horse’s mouth so to speak.
In an effort to celebrate the often time stellar work agencies do for non-profits and other causes,
ACT Responsible, in partnership with the Gunn Report, is launching The Good Report, an annual collection and celebration of innovative
cause-related campaigns. The Good Report honors the Top 30 Campaigns for Good, the Top 20 Agencies, the Top 10 Networks and the Top 5 advertisers.
You've probably heard the "agencies must change or die" mantra before. It rears its head about every three years or so. Its latest incarnation involves the gyrations and machinations holding companies must go through to streamline the cobbling together of disparate services into one cohesive offering that can serve the wildly varying needs of today's brands. Mixpo CEO Jeff Lanctot, an agency veteran thinks he has some direction and has shared his ideas is a Wall Street Journal piece. His four points cover the need for agencies to master un-siloed mult-screen, multi-channel planning, to offer managed services through partnership with software companies rather than competing with them, to eliminate the games played when it comes to the buying and reselling of media and, unsurprisingly, a collection of expertise that's relevant to the ever changing needs of today's brands.
Bonfire Labs, a growing content marketing agency, has made three new hires. The agency has brought in former Google Brand Studio executive producer and Goodby, Silverstein & Partners producer Tim Pries as executive producer. Also joining the agency as producer is John Hunt, former live action producer on Discovery Channels' MythBusters and Judy Leung, formerly with Hyphen magazine, will join as designer. Of the hires, Bonfire Labs Managing Director Jim Bartel said, “We are pleased to add these uniquely talented individuals to the roster of talent already at Bonfire Labs. Each of them will make a valuable contribution as we continue to leverage our unique position in the industry.”
Answering a Quora question, "What is it like to work at an advertising agency?",
advertising copywriter and critic Caroline Zelonka wrote, among other highly informative and insightful information about working in ad agencies: "It all sounds like heaven, right? It is, but agencies
can also be high-pressure, with lots of competition and politicking. The agency environment is also male-dominated, especially in the higher creative echelons. Women who succeed can often be
back-stabby, and in my experience, not very nurturing when it comes to younger female talent. This is one thing I did not like about working for big agencies; a lot of the women reminded me of the
Mean Girls movie."
Yes, I am fully aware this question was answered two years ago so you don't have to get all over me for that one. Zelonka does offer some very valuable -- and timeless -- information to those thinking of working in an ad agency. Having spent many years there myself, I can completely concur with her assessment.
She points out that it can be "awesome" and rewarding both personally and professionally. She points out the many perks that come with working in an ad agency, and equally, the many long hours and client frustrations that go hand in hand with all the awesomeness.
Perhaps you've already read her Quora post. Perhaps you haven't. It's worth a read if you're interested in considering an ad agency career or if you have been asked this question by another person who's interested.
Increasingly, there aren't many people who know what a Walkman is. And it seems, there are a lot of Millennials who don't really understand what a realtor is or how this non-digital human can add
value beyond the mouse click to the home-buying process.
The National Association of Realtors just awarded its account to Arnold Worldwide after having been handled by Most for the past 20 years. Arnold will be charged with making the realtor relevant again.
Of the win, Arnold Global President Pam Hamlin said: “Arnold is tasked with helping NAR reclaim the Realtor’s role in the overall home-buying process, and to educate millennials on what a Realtor does and the value they can provide."
Hamlin adds that Arnold will “target millennials through an integrated cross-channel campaign, which will center primarily on television and digital activations.” Work is expected to break in the fourth quarter.
Of choosing Arnold over incumbent Most which also participated in the pitch, National Association of Realtors Senior VP of Communications Stephanie Singer said: “Most participated in the pitch and made it to the final round. The decision ultimately was not about the past quality of their work, only an interest in moving in a different direction.”
Way back in 2004, University of Central Florida graduate and Woo Creative Founder Ryan Boylston began hosting an event called Arnold Day. Arnold Day, which started with just Boylston and a few
friends gathering at Orlando bar Lazy Moon to watch Schwarzenegger movies on the actor's birthday, has grown to a 1,200-person event.
Of the event's genesis, Boylston said: "Way back when, it was a simple concept… two Arnold fans, a 19-inch TV, a VCR -- that's right, a VCR -- and the greatest pizza/beer establishment in Orlando."
Each year, diehard Arnold fans showed up in their favorite Arnold movie attire, to share their love for Mr. "I'll be back!"
On how the day will go down, Lazy Moon Co-Owner Tim Brown said: "Ryan's awesome. On Arnold Day, we'll serve German or Austrian beers, bratwurst pizza and the event has caught on with both employees and customers. We're not sure Arnold will show up, but it's a fun day either way."
The event also supports Boylston's fundraising goals, which include collecting $20,000 which will be donated to Boynton Beach-based CJ Foundation which provides financial resources to families with special needs children.
Of the charity side of the effort, Boylston said: "The monies we raise are for kids to receive therapy not covered by insurance. This therapy can change the trajectory of a child's life."
Donations will be collected at the Arnold Day event but anyone can visit the Arnold Day website on which contributions can be made.
This year, Arnold Day will be Aug. 1 at Lazy Moon Pizza, 11551 University Blvd., in Orlando.
Come on, Arnold, show up for Ryan, won't you?
I suppose it's entirely possible that there are hundreds of companies with the word "shift" in their name. And here's another; one that might raise an eyebrow with marketing agency Shift
Communications. Why? Because ShiftRGB.com (which, anachronistically, displays only 1995ish "coming soon" text).
Petrol Advertising Motion Director David Edeburn is launching ShiftRGB, a creative firm he says he's launching in response to Google Chrome's September 15th move to discontinue auto-playing Flash media. ShiftRGB will specialize in creating HTML5 display advertising for ad agencies transitioning to HTML5 display ads.
For the past 15 years, Edeburn has worked as an HTML5 animator, Flash animator, creative director and web developer at WOO, Arsonal and Petrol.
Following its premiere at the Palais des Festivals during the Cannes Lions International Festival of Creativity and a showing in Milan on July 15, Saatchi & Saatchi continues to celebrate the 25th
anniversary of its New Directors’ Showcase, this time with a New York City screening event at the Museum of Modern Art Tuesday, August 25.
Saatchi & Saatchi will present the New Directors Showcase featuring this year’s directing talent as well as the U.S. premiere of “25X25”: an "experiment in film" directed by 25 New Directors' Showcase alumni who have been recognized for their successful film, television, and advertising careers.
The “25x25” directors include Daniel Kleinman, Dawn Shadforth, Floria Sigismondi, Jonathan Glazer, Michel Gondry, Ivan Zacharias, Traktor, Dante Ariola, Ringan Ledwidge, Antoine Bardou-Jacquet, Carl Erik Rinsch, Noam Murro, Tim Bullock, Dougal Wilson, James Rouse, Jamie Rafn, Fredrik Bond, Philippe Andre, Jake Scott, Ne-o, David Wilson, Daniel Wolfe, Ilya Naishuller, Vania Heymann, and Charlie Robins.
Of the event, Andy Gulliman, Saatchi & Saatchi Worldwide Director of Film & Content and curator of the New Directors Showcase said: “Back in 1991 an idea was conceived for a Showcase that would reflect the agency’s reputation for nurturing and developing new talent. 25 years later we are still committed to providing a global platform for new directing talent.”
Saatchi & Saatchi New York CEO Brent Smart added: “It was a real highlight to experience the New Directors’ Showcase and 25X25 Film at Cannes this year and we couldn’t be more excited to bring this event to New York. I hope our clients, partners, and people find the same inspiration from the next generation of filmmakers.”