Kimberly-Clark selects Publicis to spearhead US media strategy in groundbreaking digital transformation

Article Brief:

Publicis Groupe is establishing a specialized division to handle the media-planning and -buying responsibilities for Kimberly-Clark, the consumer packaged goods company based in the United States. Our Website has received information regarding this development, as originally reported by Ad Age.

The ad-holding group's solution, known as K-C One, utilizes resources from the Epsilon, Spark Foundry, and Profitero agencies in the network. Kimberly-Clark has had a longstanding relationship with Epsilon, a data-marketing shop. Mindshare, a division of WPP's GroupM, experiences a loss with the account switch. Publicis has been concentrating on creating custom agencies for clients as part of its broader Power of One strategy.

Article Insight:

Publicis secures a major media account victory by winning over Kimberly-Clark. The consumer packaged goods (CPG) giant possesses a variety of popular household brands like Cottonelle, Kleenex, Huggies, and Scott, and wields significant annual spending power worth hundreds of millions of dollars. Kimberly-Clark initiated the review of its U.S. business in March, while the transition of the account will commence in 2024 to support the company's journey towards digital transformation, according to a spokesperson.

Building a customized solution for Kimberly-Clark tackles the increasing demand from clients for simpler agency offerings that can streamline processes and offer more integrated products. K-C One will utilize resources from various departments within Publicis, including Epsilon - a data-marketing specialist, Profitero - an e-commerce shop, and Spark Foundry - a media agency.

Epsilon continues to be a driving force for growth at Publicis as marketers seek assistance from agencies in navigating the complex digital landscape, where gaining control of first-party data is a top priority. Additionally, CPG brands have become more reliant on retail media networks due to the deprecation of third-party cookies, which has altered their marketing service requirements.

"The changing media landscape and evolving consumer behavior have provided an opportunity to reevaluate our integrated media ecosystem and determine the necessary requirements to drive business growth," stated Luke Kigel, Vice President of Marketing Capabilities for Kimberly-Clark North America. He added, "We are thrilled to onboard K-C One as they will play a vital role in enhancing the performance of our marketing investments."

Publicis has placed a stronger emphasis on agencies specifically tailored to individual clients through its Power of One strategy. In 2021, when Publicis Media secured the Inspire Brands media account, they established a specialized unit to manage the QSR's diverse portfolio, including iconic brands such as Arby's, Baskin-Robbins, Dunkin', and Buffalo Wild Wings. However, this personalized approach has not always yielded favorable results.

In 2023, Publicis Groupe continues to gain traction with the Kimberly-Clark win. The agency's organic revenue, a crucial measure of agency success, increased by 7.1% in the second quarter. Additionally, Publicis Groupe secured a substantial portion of the Pfizer business earlier this year, as the pharmaceutical giant aims to rejuvenate its marketing efforts.