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.”
Three UK ad agency interns, Oli, Joise and Sara, who met while interning at BBH London, have launched a site called The Homeless Period. The site
advocates for homeless women to have access to sanitary products.
On the site, visitors can sign a Change.org petition which aims to convince the British government to fund an allowance for homeless shelters to buy sanitary products for women. In addition, the site seeks donations and charity partners to help their cause.
The interns have given the effort a hashtag, #TheHomelessPeriod and have set up social media accounts on Twitter, Facebook and Tumblr.
So far, the petition has 6,272 supporters out of the 20,000 they seek.
David&Goliath has hired Mike Geiger as managing partner, chief digital officer. In this new position, Geiger will report to D&G Chairman David Angelo and will be responsible for developing
“world-class digital strategy, creative, integration and content production.”
The hire is designed to help further bolster the agency's executive leadership team following a string of recent promotions, including Colin Jeffery as chief creative officer, Brian Dunbar as president and Seema Miller as chief strategy officer.
Of the hire, Angelo said: "Over the past year, we have been assembling nothing short of an all-star leadership team. We are ecstatic to have Mike join our team as he brings a wealth of top notch digital and integrated expertise to the table. His entrepreneurial style and big thinking are a perfect fit for our Brave culture as we continue to seek out brands in need of overcoming marketing goliaths."
And of joining D&G, Geiger said: "I'm really excited to return to an independent creative agency like D&G where I can be closer to the people and the work. At the end of the day, my passion is finding and cultivating great talent, building teams and creating breakthrough work. When I first met with David and the rest of the team, we just clicked -- we had the same values and vision for how to run a business. I can't wait to get started."
With it being so close to April Fool's Day, one might wonder whether or not The Tenties are just a hilarious take on the ad industry's obsession with
awards. Oh wait. Anyway, The Tenties has issued its call for entries which begins May 15.
The Tenties has also announced CP+B Chairman Chuck Porter as Chief Juror. Apparently, table tents were Chuck's first foray into advertising, and the medium is near and dear to his heart having helped jumpstart his career.
Some of the award categories include Best Table Tent for less than 1,000 tables, Best Table Tent for more than 1,000 tables, best Flip Stand table tent, best Quad-Fold table tent, best use of a QR code on a table tent, best Cylindrical table tent and best "green" table tent.
And where will this awesome award ceremony take place? Well, it seems it will occur September 15 in Las Vegas...at the Holiday Inn...in Ballroom B. Sounds pretty swanky, right?
In an interview with The Guardian, Crispin Porter + Bogusky CEO Andrew Keller
shared his thoughts on failure and how failure can fuel future success.
When Keller was in college, he intended to become a doctor. That didn't go so well. Of that time in his life. Keller said, “I was at a very small college in a very small town. And having failed, I decided I’d stay in that town for the summer and work as a cook in this restaurant. I wanted to know: how bad was failure? I’d seen my dominant dream, to be a doctor, come crashing down. And it was like, okay -- let’s explore this a little bit.”
Of the lessons he learned during this supposed failure, Keller added, “I was supposed to be a doctor, so staying in a little town and working in a restaurant -- that was not something that figured in my hopes and dreams. But I did that, and it gave me confidence. Because it wasn’t so bad. Failure isn’t so bad.”
And even though society and culture view failure as taboo and something to certainly avoid, Keller says we all should resist this line of thinking. Because failure is most certainly going to happen. That's what he tells his kids. He says, "failure is going to happen to all of us. It is going to happen to you.” So embrace it and learn from it.
From now until the end of summer, those passing by the Time-Life building, home to the "Mad Men" fictional SC&P agency, will have the chance to sit on a bench crafted to look just
like the bench in the opening credits of "Mad Men."
The 12-foot bench was designed by Pentagram and consists of just two pieces -- a half-inch thick rolled steel plate seat and a 10-foot cast-concrete base.
So if you've got a hankering to sidle up to Don Draper (or whomever that silhouette turns out to be) then now's your chance.