2019 Annual financial report

Chapter 1. Presentation of the group

Global Services

Global Services designs and deploys the global tools critical to ensuring the Group offers a consistent range of services in its 10 key markets, to improving our performance and generating economies of scale. Established in January 2020, Global Services has four departments: Media, Commerce, Production and Content, and is headed up by Steve King, Publicis Groupe COO.

Re:Sources

Re:Sources is the backbone of our collaborative model, and provides logistics support in the Group’s main markets. To help Publicis Groupe’s agencies to transform themselves, innovate and increase productivity, Re:Sources provides cutting-edge solutions, streamlined technological platforms and expertise. Under the banner “Excellence through collaboration”, Publicis Groupe’s shared services (billing, treasury, legal, human resources, technology infrastructure, purchasing, real estate, etc.) work hand in hand with the agencies, supporting them in finding the best solutions in order to provide their clients in turn with a redefined consumer experience and a good return on investment.

1.3.4 Main clients

Publicis Groupe provides advertising and communications services to a diversified customer portfolio that is representative of the global economy. It has a significant number of clients that are either national or global industry leaders, with more than half of its revenue generated by international clients, i.e. clients with operations in more than five countries. The top 30 clients represent 35% of the Group’s consolidated net revenue (see Section 6.6 “Notes to the consolidated financial statements” – Note 28). Payment terms are consistent with general market practices and the regulations in force in each of the countries in which the Group operates. Revenue from, and contracts with, different clients vary from year to year. Nonetheless, a significant share of Publicis Groupe’s revenue comes from loyal clients that have been with the Company for years.

The main clients of the Group’s major networks in 2019 are listed below:

Communications

Altria, AT & T, Bradesco, Citigroup, Daimler AG, Deutsche Telekom Group, Fiat Chrysler Automobile Group, General Motors, Google, Heineken, Kellogg, L’Oréal, McDonald’s, Nestle, Procter & Gamble, Renault, Samsung, Toyota, Volkswagen, Walmart.

Media

Bank of America, Best Buy, Citigroup, Comcast, Coty, Deutsche Telekom Group, Fiat Chrysler Automobile Group, GSK, Kellogg, Kohl’s, Kraft Heinz, Lowe’s Companies, Inc., Nestle, Novartis Pharma, Procter & Gamble, Reckitt Benckiser, Samsung, The JM Smucker, Verizon, Whirlpool Group

Technology/Digital business transformation

Anglo Gulf Trade Bank, Capital Group, Cargill Agricola S/A, Citigroup, Daimler AG, Fiat Chrysler Automobile Group, Goldman Sachs Group Inc, Invesco, Lloyds Banking Group (LBG), Marriott Group, McDonald’s, Nationwide Building Society, Nissan, RBS, Samsung, Unilever, US Dpt of Health & Human Services, Verizon, Wellington Management Co LLP, Z Energy.

Health

Abbvie, AstraZeneca, Bayer, Biogen Idec, Bristol-Myers Squibb, Gilead Sciences, GSK, Hospital Corporation America, Ipsen, Johnson – Johnson, Merck & Co, Novartis Pharma, Novo Nordisk, Pfizer, Roche, Sanofi, Sunovion, Takeda.

In 2019, the breakdown of the business sectors of the Group’s clients as a percentage of total net revenue was as follows:

  • Financial: 17%;
  • Automotive: 15%; 
  • TMT: 13%;
  • Non-Food consumer products: 12%;
  • Food and beverage: 12%;
  • Healthcare: 10%;
  • Leisure/Energy/Luxury: 8%;
  • Retail: 8%;
  • Other: 5%.

On the basis of 3,769 clients representing 88% of the Group’s total net revenue.

The breakdown of net revenue by principal client sector is representative of the major economic players and the structure of the portfolio remains stable.