Marketing League Table: Digital Leagues

Has the digital sector finally matured? The people who had to clean up after a recent awards ceremony could be forgiven for thinking not - the event descended into chaos as attendees started fights and broke several tables. But in business terms, at least, digital agencies have gained the respectability and status they have craved since the turn of the millennium: they have become an established part of the marketing mix.

That much is clear from the latest spending figures from the Internet Advertising Bureau (IAB). Released earlier this month, they showed a 40.3% leap in spend on internet advertising to nearly £1bn in the first half of 2006. Online now commands a 10.5% share of UK marketing spend - a figure the IAB claims is online's highest share anywhere in the world.

This buoyancy has been reflected in this year's digital league tables, in which double-digit rises in turnover are common. And there is the promise of more growth to come. Although online investment is on the increase across all client categories, many of the biggest spenders in the FMCG sector have yet to embrace the internet as a brand-building medium as fully as they have as a direct-response channel.

Measuring the reach of online ads remains an issue, and the Incorporated Society of British Advertisers (ISBA) recently criticised the industry for failing to develop standard measurement systems. But according to Dan Clays, managing director of BLM Quantum Media, rising broadband penetration means clients can no longer afford to ignore the potential audiences that can be targeted online. 'There is still a lack of knowledge among clients about online, and there is still some resistance toward it,' he says. 'But the penny will drop for many of them that it is just a medium. The next step for us is encouraging clients to be brave and pull money out of TV in favour of online brand communications.'

A further sign of the sector's maturity is a change in the way in which clients view their digital marketing agencies. Several companies with big digital budgets have begun to develop rosters of specialist agencies - a shift away from the project approach of the past. For example, Procter & Gamble this year consolidated its European digital work into three agencies: LBi, Agency.com and Saatchi & Saatchi Interactive. Unilever awarded its UK work to AKQA and Agency Republic, and its global work to Tribal DDB, OgilvyOne, MRM Worldwide and Dare. ITV, meanwhile, is conducting a pitch to find up to three agencies to handle its growing volume of internet activity.

According to Juliet Blackburn, head of digital at the AAR, this trend reflects clients' growing familiarity with what can be achieved through digital media. Rather than dipping their toe in the water with one-off projects, they are looking for broader digital programmes. 'As clients become clearer about what they need online, they want to secure the specialists who can do it for them,' she says.

Perhaps the biggest talking point in the sector over the past year has been the emergence of what is known as 'web 2.0' - an overused shorthand for the sophisticated uses to which the web can be put in an age of mass broadband access.

From a marketing perspective, the most interesting of these has been the explosive growth of user-generated content - namely, sites such as MySpace and YouTube that rely on consumers to create content and provide a forum for them to interact. For the digital-savvy, this is nothing new. But it is only in the past year that such social networking sites have entered mainstream consciousness. In 2005, News Corp purchased MySpace for £333m - a figure that seemed astronomical at the time, but a relative snip compared with the £883m Google agreed to pay for YouTube earlier this month.

'YouTube is now water-cooler conversation - it's not just an IT thing,' says Matt Gorzkowski, a director at Play, which has handled digital campaigns for ITV shows such as Prehistoric Park. 'It's the first time the web has become something people talk about in everyday life.'

For marketers, these developments have posed new challenges - specifically, how to turn these channels into a marketing medium. Some brands, including Lynx and Burger King, have experimented with their own MySpace page. Radio One, meanwhile, has tapped into the trend for these sites to be used as seeding grounds for new music. Earlier this year it developed Musicubes through Agency Republic. This interactive service allowed consumers to pick and mix the station's content according to their musical tastes and share the resulting playlist on social networking sites.

Several agencies report a flurry of clients over the past year asking them to 'build their own MySpace', but sites that rely on consumer feedback pose problems for marketers. The most obvious is how much freedom users are given to air their views. Graham Darracott, strategic partner at Graphico, which has worked on user-generated content for PepsiCo, warns that if it is to work, brands must accept that site users may do things they do not anticipate or sanction. 'If user-generated content is policed too much, a brand will struggle,' he says. 'As soon as users think it is fixed or too corporate, they cease to be interested.'

Another issue is who is using these sites. Despite the column inches allotted to them, MySpace and YouTube are used overwhelmingly by young consumers. The so-called iPod generation has been christened in one piece of research as 'digital natives' (people who have grown up with the internet), as opposed to 'digital immigrants' (those brought up in a more traditional media landscape). This presents obvious limits for brands with aspirations outside this age group. 'Just because younger people are into these sites, it doesn't mean they are right for everyone,' argues Rishi Dastidar, a consultant at Seren. 'If you have a mass-market brand to launch, look elsewhere.'

The next year will no doubt see plenty more attempts to jump on this bandwagon. But while user-generated content has been the most headline-friendly development in digital marketing over the past year, it is far from being the only area of growth. Search marketing, for example, has continued its relentless rise, while the related area of affiliate marketing - where an advertiser shares revenues with websites that feature ads and content designed to drive traffic to its site - is expanding rapidly. The affiliate market is expected to grow 60% this year, according to E-consultancy, and has more than tripled in size since 2004.

Audience segmentation

Another growth sector is email marketing. Figures from the Direct Marketing Association show a 30% jump in email volumes in the first quarter of this year. With all the bad press given to 'spam', companies are putting more effort into targeting their emails. According to Matthew Simons, client services director of email specialist Acxiom Digital (formerly Digital Impact), the discipline is becoming far more refined. 'It is only in the past year that we have seen a move toward more granular segmentation as email becomes more central to a client's marketing,' he says. 'Every single one of our clients has been doing this in some way.'

The upshot of these developments is that the sector is still evolving rapidly, and both clients and agencies are still working out ways to respond to shifting consumer habits. The question both will face is what sort of agency will be best placed to do it.

So far the digital marketing sector has been largely the preserve of specialist agencies. But as digital has begun to command a greater share of client spend, it has attracted the attention of those in other sectors keen to protect their budgets. Previously, the biggest threat to the specialist digital sector has been from direct marketing agencies setting up digital units, but further competition is emerging. Mark Collier, managing partner of Dare, which recently worked on Vodafone's music awards, warns that specialists must prepare themselves. 'Digital independents should not think that the competition will in future be the usual suspects,' he says.

One example is digital media specialists setting up creative units. The argument is that media agencies know better than anyone the latest developments in online media, and so are best placed to advise clients on creative. BLM Quantum, for example, has set up a creative team, and Equi=Media has launched a marketing agency called EM2 Digital. Gavin Sinden, its director, believes it will exploit a shift in the digital market away from design/build projects. '2005 was the first year everyone had a website that more or less worked,' he says. 'The next phase is leveraging what they have to get more sales out of their traffic.'

The biggest threat to the specialists, however, are traditional advertising agencies. These have been slow off the mark in getting to grips with digital. Few big agencies have in-house digital expertise, most having been content to link with a specialist for digital work. But there are signs they are beginning to take it seriously - very seriously, if tales of the colossal salaries being offered to digital experts are true. It may take time to build digital capacity, but there is a fear that their creative firepower, backed by TV ad budgets far beyond the spend seen in digital, could provide stiff competition.

A sign that ad agencies still have some way to go came in the recent pitch for The Guardian's creative account. During the review, Marc Sands, the newspaper's marketing director, spoke of finding an agency that could understand digital channels as well as advertising; in the end the account went to Wieden & Kennedy, an agency with few digital credentials. The digital brief remained separate and was retained by Tribal DDB.

Yet Martin Brooks, chief executive of Agency Republic, believes that there is plenty for the digital sector to learn from the traditional advertising agencies - not least in terms of production values. 'The world now is about screens - audiovisual content is the way forward,' he says. 'A TV agency that doesn't understand digital will die, but so will an agency that can do interactive campaigns but can't make them look good.'

The key battleground will be talent. The digital sector's staff shortage shows no sign of easing, and wage inflation is a constant threat in such a competitive market. A lot of money has been spent recruiting graduates, but finding more experienced staff is also a challenge for agencies. In particular, there is a battle shaping up to secure the services of good digital planners. If digital agencies are to take a strategic role and fend off the threat from diversifying advertising agencies, established planning departments will be crucial. 'If there is one area in which the pressure will grow, it's planning,' confirms Daniele Fiandaca, chief operating officer at Profero. 'Many digital agencies still don't have planners.'

The result, according to Mark Cridge, chief executive of glue London, will be a split in the digital sector. On the one side will be agencies with the talent to win the big accounts and set a client's strategy; on the other will be digital production houses with no strategic input. 'This split is already happening in the US,' he says. 'In the next couple of years we will see it in the UK. Planning talent will be the difference between the two.'

Despite the spend it now attracts, the digital sector remains a volatile environment. It is true that digital is now an established part of the marketing mix, but precisely what 'digital' means is evolving at a baffling speed - even a year ago, few marketers would have predicted user-generated content would now be spoken of in such reverential tones. The ways in which these emerging media are used, and the agencies best placed to use them, are still very much up for grabs.

TOP DIGITAL AGENCIES 1-79

Agency Digital Digital % Dig- Staff Digital
t'over 2005 t'over 2004 chng ital spec-
(pounds) (pounds) (%) ialists
1 LBi 36,000,000 32,000,000 13 100 370 370
2 Fuel 20,561,000 14,802,000 39 100 67 55
(dealgroupmedia)
3 Agency Republic 18,300,000 11,200,000 63 100 73 66
4 Conchango 15,900,000 11,600,000 37 95 250 210
5 AKQA 14,300,000 13,800,000 4 100 185 185
6 TMN Group 9,120,000 n/a n/a 100 80 70
7 twentysix (formerly 8,606,499 7,839,308 10 100 120 112
Incepta Online)
8 Online Media Group 8,500,000 6,000,000 42 100 45 45
Agency.com* 7,786,749 9,147,719 -15 100 135 135
9 Profero 7,200,000 5,800,000 24 100 65 65
10 TBG 6,800,000 4,300,000 58 100 28 28
11 Summit Media 6,200,000 3,923,299 58 100 57 54
12 Harvest Digital 5,701,000 2,442,000 133 100 17 16
13 Carlson Digital 5,600,000 5,500,000 2 16 260 40
14 Lightmaker Tunbridge 5,500,000 4,500,000 22 100 45 35
Wells
15 Green Cathedral 5,491,323 3,142,654 75 100 51 42
16 Investis 5,300,000 4,400,000 20 100 83 46
17 Syzygy 5,222,982 5,393,786 -3 100 65 65
18= Interesource 5,200,000 5,000,000 4 100 35 35
18= Euro RSCG 4D Digital n/a 5,200,000 n/a 100 75 75
20 IS Solutions 5,085,000 5,514,000 -8 100 68 50
21 glue London 5,061,425 2,797,087 81 100 97 97
22 Grand Union 4,600,000 3,000,000 53 100 45 40
23 Good Technology n/a 4,285,759 n/a 100 60 50
24 Rufus Leonard 4,280,000 3,679,000 16 75 57 32
25 Dare 4,222,000 2,628,000 61 100 92 92
26 Five by Five 4,150,000 3,000,000 38 100 46 46
27 cScape 4,100,000 3,900,000 5 95 85 65
28 Javelin Group 4,000,000 3,000,000 33 75 50 25
29 digitaltmw 3,960,000 2,800,000 41 100 44 44
30 Reading Room 3,529,619 2,564,033 38 100 90 90
31= Blue Barracuda 3,500,000 1,100,000 218 100 35 35
Marketing
31= CMW Interactive n/a 3,500,000 n/a 100 28 28
33 Beechwood 3,480,456 3,142,750 11 63 43 14
34 Haygarth 3,236,868 3,137,176 3 16 138 27
35 Steel 3,210,000 2,480,000 29 100 37 37
36 Equator 3,053,954 2,040,017 50 100 38 36
37 Greenlight 3,000,000 1,700,000 76 100 24 8
38 DC Interact 2,861,000 2,504,000 14 100 30 30
39 Web Liquid 2,769,853 1,456,781 90 100 6 6
40 The Group 2,750,000 2,500,000 10 100 45 42
41 Nucleus 2,500,000 1,500,000 67 44 45 20
42 Abacus e-Media 2,441,000 1,983,000 23 100 40 29
43 Craik Jones Watson 2,400,000 1,800,000 33 10 90 12
Mitchell Voelkel
44 Graphico 2,384,133 1,975,022 21 100 56 51
45 Chemistry 2,366,160 2,480,625 -5 24 125 31
Communications
46 Inbox Digital 2,362,000 1,900,000 24 100 30 30
47 Lateral Net 2,279,217 2,066,211 10 100 28 24
48 Poke 2,225,000 1,042,000 114 100 38 38
49 Pilot Interactive 2,148,072 1,664,171 29 100 30 20
50 Dialogue DLKW 2,128,950 839,700 154 45 60 18
51 Joshua G2 2,000,000 1,500,000 33 100 16 15
52 Liquorice 1,870,000 1,540,000 21 60 21 8
53 Cimex Media 1,821,726 1,636,989 11 100 54 46
54 TechnoPhobia 1,807,450 1,634,396 11 100 40 37
55= Moonfish 1,800,000 1,800,000 0 100 20 20
55= Code 1,800,000 1,301,310 38 100 40 39
57 23red 1,744,991 769,500 127 50 35 3
58 FullSIX UK 1,712,132 1,329,599 29 95 46 46
59 Precedent 1,632,000 1,809,000 -10 75 37 12
Communications
60 De-construct 1,616,000 972,000 66 100 30 30
61 Bluhalo 1,615,000 1,240,786 30 100 33 26
62 Design UK 1,540,464 1,074,494 43 100 24 24
63= Fortune Cookie 1,500,000 1,100,000 36 100 25 23
63= Ralph 1,500,000 n/a n/a 100 12 12
65 Redweb 1,421,853 1,203,604 18 100 28 17
66 Halpern Cowan 1,400,000 1,000,000 40 96 24 23
67 VCCP Digital 1,282,250 860,641 49 100 21 21
68 archibald ingall 1,200,083 627,756 91 16 107 14
stretton
69 Dig For Fire 1,157,033 1,086,137 7 18 80 10
70 Seren 1,139,283 707,772 61 100 15 11
71 Brahm 974,286 603,877 61 5 150 14
72 Bostock & Pollitt 870,000 735,000 18 21 31 9
73 Mook 863,973 922,748 -6 100 20 20
74 The JJ Group 820,000 663,000 24 12 83 12
75 Fuse Digital 667,530 422,528 58 100 13 13
76 Fernhart New Media 650,000 720,000 -10 100 8 7
77 Underwired 598,793 433,667 38 100 10 10
78 Clock 568,000 550,600 3 100 16 15
79 Them 350,000 270,000 30 12 19 6


AGENCY
1 LBi
Founded 1995. Subsid LBI Intl. CEO Luke Taylor. 10% consultancy, 30%
design/build, 25% e-commerce, 0.5% CD-Rom, 2.5% iTV, 2.5% mobile,
10% marketing, 7.5% search, 7% media, 5% other. Clients incl BT,
British Gas, M&S. www.lbi.co.uk
2 Fuel (dealgroupmedia)
Founded 1999. Publicly quoted. Chief executive Andrew Dickson. 14%
search, 11% media, 75% affiliate. Clients include Avis Europe, BT,
Sainsbury's Bank. www.fuel-group.com
3 Agency Republic
Founded 2001. Subsidiary Omnicom. Chief executive Martin Brooks. 10%
consultancy, 25% design/build, 5% mobile, 30% marketing, 5% search,
25% media. Clients include O2, BBC, Diageo. www.agencyrepublic.com
4 Conchango
Founded 1991. Privately owned. Joint managing directors Mike
Altendorf, Richard Thwaite. 10% consultancy, 10% design/build, 50%
e-commerce, 10% CD-Rom, 20% mobile. Clients include Play.com, Virgin
Mobile, Harrods. www.conchango.com
5 AKQA
Founded 1995. Privately owned. Chairman Ajaz Ahmed. 20%
design/build, 25% e-commerce, 55% marketing. Clients include Nike,
Coca-Cola, Unilever. www.akqa.com
6 TMN Group
Founded 1999. Publicly quoted. Chief executive Mark Smith. 100%
marketing. Clients include MBNA, 3, Dennis Publishing.
www.tmn.plc.com
7 twentysix (formerly Incepta Online)
Founded 2000. Subsidiary Media Square. Chairman Phil Eames. 20%
consultancy, 35% design/build, 45% marketing. Clients include RBS,
Telewest, Waitrose. www.twentysixlondon.com
8 Online Media Group
Founded 1998. Privately owned. Chief executive Richard Syme. 20%
search, 80% affiliate. Clients include MBNA, Norwich Union, Virgin
Money. www.onlinemediagroup.co.uk
Agency.com*
Founded 1995. Subsid Omnicom. Managing director Alex Wright. 10%
consultancy, 20% design/build, 5% e-commerce, 5% CD-Rom, 5% mobile,
40% marketing, 5% search, 10% media. Clients incl British Airways,
Ikea, Dulux. www.agency.com
9 Profero
Founded 1998. Privately owned. Managing director Wayne Arnold. 10%
consultancy, 15% design/build, 5% mobile, 30% marketing, 10% search,
30% media. Clients include Channel 4, COI, Mini. www.profero.com
10 TBG
Founded 2001. Privately owned. Managing director Simon Mansell. 10%
consultancy, 5% design/build, 10% marketing, 20% search, 55% media.
Clients include American Express, Dating Direct, Ocean Finance.
www.tbglondon.com
11 Summit Media
Founded 2001. Privately owned. Managing director Hedley Aylott. 5%
consultancy, 5% design/build, 15% e-commerce, 5% marketing, 60%
search, 10% media. Clients include Argos, Microsoft, Hutchison 3G.
www.summitmedia.co.uk
12 Harvest Digital
Founded 2001. Privately owned. Managing director William Corke. 5%
consultancy, 20% design/build, 5% e-commerce, 20% search, 50% media.
Clients include Thomas Cook, Tesco, Tiscali. www.harvestdigital.com
13 Carlson Digital
Founded 1960. Subsid Carlson Companies. President Jose Ferrao. 20%
consultancy, 35% design/build, 20% e-commerce, 5% mobile, 10%
marketing, 5% search, 5% media. Clients incl Hyundai, Muller, Arla
Foods. www.carlsonmarketing.co.uk
14 Lightmaker Tunbridge Wells
Founded 1996. Privately owned. Director Andy Rogers. 10%
consultancy, 55% design/build, 15% e-commerce, 5% CD-Rom, 10%
mobile, 5% marketing. Clients incl Electronic Arts, Manchester
United, National Blood Service. www.lightmaker.com
15 Green Cathedral
Founded 1996. Privately owned. Chief executive Dr Michael Woodley.
12% consultancy, 25% design/build, 48% search, 15% media. Clients
include Businesslink, Open University, PC World.
www.greencathedral.com
16 Investis
Founded 2000. Privately owned. Managing director Justin Walters. 5%
consultancy, 80% design/build, 15% other. Clients include
Prudential, Rolls-Royce, Argos. www.investis.com
17 Syzygy
Founded 1995. Subsidiary Syzygy AG. Managing director Gareth
Phillips. 40% design/build, 50% marketing, 10% other. Clients
include Mazda, Rolls-Royce Engineering, Channel 4. www.syzygy.net
18= Interesource
Founded 1995. Privately owned. Mng partners Will Howells, Ian
Howlett. 25% consultancy, 10% design/build, 45% e-comm, 10% CD-Rom,
10% other. Clients incl handbag.com, Telegraph Newspapers, Terrence
Higgins Trust. www.interesource.com
18= Euro RSCG 4D Digital
Founded 1999. Subsid Havas. MD Anne Davis. 10% consultancy, 30%
design/build, 10% e-commerce, 5% CD-Rom, 5% iTV, 5% mobile, 35%
marketing. Clients include COI, Anheuser-Busch, News International.
www.ehsbranngroup.com
20 IS Solutions
Founded 1985. Privately owned. Chairman Barrie Clark. No work
breakdown given. Clients include Toshiba, Toyota, Auto Trader.
www.issolutions.co.uk
21 glue London
Founded 1999. Subsidiary Aegis. Joint managing directors James
Sanderson, Jo Hagger. 10% consultancy, 10% design/build, 5% iTV, 5%
mobile, 70% marketing. Clients include BSkyB, Virgin Money, COI.
www.gluelondon.com
22 Grand Union
Founded 2000. Privately owned. Mng partners Rob Forshaw, Matt
Nicholls. 10% cons, 25% design/build, 20% e-commerce, 2% iTV, 5%
mobile, 38% marketing. Clients include Abbey, Energy Saving Trust,
Digital UK. www.thegrandunion.com
23 Good Technology
Founded 1994. Subsidiary WPP. Managing director Xanthe Arvanitakis.
10% consultancy, 30% design/build, 15% e-commerce, 5% iTV, 5%
mobile, 25% marketing, 10% other. Clients include Audi, Canon,
Microsoft. www.goodtechnology.com
24 Rufus Leonard
Founded 1989. Privately owned. Managing director William Rowe. 15%
consultancy, 30% design/build, 35% e-commerce, 20% marketing.
Clients include O2, BT, Shell Chemicals. www.rufusleonard.com
25 Dare
Founded 2000. Privately owned. Managing partner Mark Collier. 30%
design/build, 70% marketing. Clients include Barclays, Vodafone,
Sony Ericsson. www.daredigital.com
26 Five by Five
Founded 1995. Subsid Lawton Communications Grp. MD Steve Sponder.
10% consultancy, 5% design/build, 5% e-commerce, 55% marketing, 10%
search, 15% media. Clients incl THQ, Bacardi Breezer, Brittany
Ferries. www.fivebyfivedigital.com
27 cScape
Founded 1996. Subsid Netb2b2. CEO Robert Killick. 20% consultancy,
50% design/build, 10% e-commerce, 5% CD-Rom, 5% marketing, 10%
other. Clients incl Carbon Trust, Chartered Institute of Personnel &
Development, RNIB. www.cscape.com
28 Javelin Group
Founded 1997. Privately owned. Managing partner Tony Stockil. 50%
consultancy, 50% e-commerce. Clients include B&Q, Otto Group,
Tesco.com. www.javelingroup.com
29 digitaltmw
Founded 2000. Subsidiary Creston. Managing director Ross Taylor. 10%
consultancy, 50% design/build, 40% marketing. Clients include
Diageo, Unilever, British Airways. www.tmw.co.uk
30 Reading Room
Founded 1996. Privately owned. CEOs Simon Usher, Margaret Manning.
25% consultancy, 20% design/build, 25% e-comm, 3% CD-Rom, 2% mobile,
25% marketing. Clients incl YHA, Land Securities Group,
Businesslink. www.readingroom.com
31= Blue Barracuda Marketing
Founded 2001. Privately owned. CEO Martin Talks. 10% consultancy,
28% design/build, 5% e-comm, 1% CD-Rom, 1% iTV, 2% mobile, 20%
marketing, 10% search, 20% media, 3% other. Clients incl Nectar,
T-Mobile. www.bluebarracuda.com.
31= CMW Interactive
Founded 1999. Subsid Media Square. Mng partners Martin Nieri, David
Smith, Gail Dudleston. 15% consultancy, 12% design/build, 18%
e-commerce, 5% CD-Rom, 5% mobile, 40% marketing, 5% search. Clients
incl P&G, TfL. www.cmw-uk.com
33 Beechwood
Founded 1997. Subsid Dreamwooden. MD John Wood. 15% consultancy, 50%
design/build, 5% e-commerce, 2% CD-Rom, 3% mobile, 15% marketing,
10% search. Clients incl Chivas Regal, Jameson, SportingOdds.com.
www.beechwood.com
34 Haygarth
Founded 1984. Privately owned. Managing director Sophie Daranyi. 10%
consultancy, 34% design/build, 5% e-commerce, 5% CD-Rom, 5% iTV, 5%
mobile, 36% marketing. Clients include Nokia, Gillette, Persimmon
Homes. www.haygarth.co.uk
35 Steel
Founded 1980. Privately owned. Mng partners Andy Hinder, Stuart
Pearson, Les Hughes, Rob Dinsdale. 5% cons, 25% design/build, 15%
e-comm, 2% CD-Rom, 3% iTV, 5% mobile, 40% mktg, 5% other. Clients
incl AOL, FT. www.steel-london.co.uk
36 Equator
Founded 1999. Privately owned. MD John McLeish. 10% consultancy, 10%
design/build, 25% e-commerce, 20% marketing, 25% search, 10% media.
Clients include Haven & British Holidays, easyMobile, De Vere
Hotels. www.eqtr.com
37 Greenlight
Founded 2001. Subsidiary Greenlight Marketing. Chief executive
Warren Cowan. 100% search. Clients include Asda, handbag.com,
HMV.co.uk. www.greenlight.co.uk
38 DC Interact
Founded 1998. Privately owned. Chief executive Rupert Valpy. 20%
consultancy, 50% design/build, 10% e-commerce, 20% marketing.
Clients include Tesco Personal Finance, Apple, William Grant.
www.dcinteract.com
39 Web Liquid
Founded 2003. Privately owned. Managing partners Alain Portmann,
David Shiell. 30% consultancy, 5% design/build, 10% marketing, 15%
search, 40% media. Clients incl Hilton International, Avis Rental
Cars, XL.com. www.webliquidgroup.com
40 The Group
Founded 1991. Privately owned. Managing director Mark Hill. 35%
consultancy, 35% design/build, 30% other. Clients include Aviva,
Hanson, Centrica. www.the-group.net
41 Nucleus
Founded 1979. Privately owned. Chairman Peter Matthews. 25%
consultancy, 10% design/build, 55% e-commerce, 5% marketing, 5%
search. Clients include HSBC, NTT, Priceline. www.nucleus.co.uk
42 Abacus e-Media
Founded 1983. Subsid Gowi Group. MD Steve Feigen. 9% consultancy, 5%
design/build, 67% e-commerce, 3% mobile, 5% marketing, 3% search, 8%
other. Clients include United Business Media, Thomson Financial.
www.abacusemedia.com
43 Craik Jones Watson Mitchell Voelkel
Founded 1991. Subsidiary Omnicom. Managing director Fiona Scott. 20%
consultancy, 30% design/build, 5% mobile, 35% marketing, 10% search.
Clients include Orange, Diageo, Land Rover. www.craikjones.co.uk
44 Graphico
Founded 1990. Privately owned. Managing partner Mark Bennett. 10%
consultancy, 40% design/build, 15% e-commerce, 15% mobile, 15%
marketing, 5% media. Clients include Bacardi, Pepsi, Sony BMG.
www.graphico.co.uk
45 Chemistry Communications
Founded 2000. Publicly quoted. CEO Joe Garton. 5% consultancy, 25%
design/build, 5% e-commerce, 20% CD-Rom, 3% mobile, 35% marketing,
2% search, 5% media. Clients include Unilever, Diageo, TfL.
www.chemistrygroup.com
46 Inbox Digital
Founded 1999. Subsidiary HSM. Managing director Gary Stevens. 15%
design/build, 5% mobile, 80% marketing. Clients include Procter &
Gamble, Vodafone, Panasonic. www.inbox.co.uk
47 Lateral Net
Founded 1997. Privately owned. Managing director Jon Bains. 20%
consultancy, 25% design/build, 10% e-commerce, 10% mobile, 35%
marketing. Clients include Levi's, Five, RSPCA. www.lateral.net
48 Poke
Founded 2001. Privately owned. Managing partners Peter Beech, Nick
Farnhill, Iain Tait, Tom Hostler. 10% consultancy, 50% design/build,
5% mobile, 35% marketing. Clients include Orange, BBC Worldwide,
Yahoo!. www.pokelondon.com
49 Pilot Interactive
Founded 1996. Subsidiary Advertising Principles. Mng partners Chris
Goodwin, Bernie May. 8% cons, 16.5% design/build, 5% CD-Rom, 24%
marketing, 26% media, 20.5% other. Clients incl Nestle, Lakeland,
First Direct. www.pilotinteractive.co.uk
50 Dialogue DLKW
Founded 2002. Subsidiary Creston. Managing partners Gavin Marshall,
Sam Kennedy, Niki Palmer. 20% consultancy, 40% design/build, 5% iTV,
5% mobile, 30% marketing. Clients include HBoS, AA, COI.
www.dialoguedlkw.com
51 Joshua G2
Founded 1994. Subsid WPP. Mng partners Matt Melik, Peter
MacKenzie-Jones. 20% cons, 15% design/build, 15% e-comm, 10% CD-Rom,
5% iTV, 10% mobile, 15% marketing, 10% other. Clients incl
Masterfoods, Nokia. www.joshua-agency.co.uk
52 Liquorice
Founded 1998. Privately owned. CEO Quentin Boyes. 15% consultancy,
30% design/build, 30% e-commerce, 5% marketing, 10% search, 10%
media. Clients include Canterbury of New Zealand, First Choice,
Trinity Mirror. www.liquorice.net
53 Cimex Media
Founded 1994. Privately owned. Managing director Steve Puxley. 60%
design/build, 10% CD-Rom, 10% mobile, 20% other. Clients include
BBC, DfES, Pearsons. www.cimex.com
54 TechnoPhobia
Founded 1995. Privately owned. Mng partners Pip Thorne, Amelia
Thorne. 10% consultancy, 20% design/build, 45% e-commerce, 1%
mobile, 1% marketing, 9% media, 14% other. Clients incl Best
Western, Morrisons. www.technophobia.com
55= Moonfish
Founded 1994. Privately owned. MD Roberto Simi. 5% consultancy, 20%
design/build, 10% e-commerce, 2% CD-Rom, 30% marketing, 17% search,
8% media, 8% other. Clients include Intel, Thus, United Co-op
Travel. www.moonfish.com
55= Code
Founded 1999. Privately owned. Mng ptnrs Tony Foggett, Louis
Georgiou, Wini Tse. 10% cons, 40% design/build, 15% e-comm, 10%
CD-Rom, 4% marketing, 12% search, 4% media, 5% other. Clients incl
Waterstone's, RHM. www.computerlove.co.uk
57 23red
Founded 2000. Privately owned. Chairman Jane Asscher. 25%
consultancy, 30% design/build, 15% CD-Rom, 10% mobile, 20%
marketing. Clients include Bacardi, COI, PlayStation. www.23red.com
58 FullSIX UK
Founded 2000. Subsidiary FullSIX Group. Managing director Steve
Baer. 10% consultancy, 40% design/build, 15% e-commerce, 5% mobile,
25% marketing, 5% search. Clients include Unicef, Reckitt Benckiser,
Hertz. www.fullsix.com
59 Precedent Communications
Founded 1989. Privately owned. Managing director Paul Hoskins. 30%
consultancy, 60% design/build, 10% e-commerce. Clients include
Bluewater, Department for Culture, Media and Sport, Age Concern.
www.precedent.co.uk
60 De-construct
Founded 2001. Subsidiary Aegis. Managing director Andrew de Groose.
10% consultancy, 55% design/build, 15% e-commerce, 10% marketing,
10% other. Clients include Adidas, Panasonic, Procter & Gamble.
www.de-construct.com
61 Bluhalo
Founded 1999. Privately owned. MDs Spencer Gallagher, Vimal Patel.
5% cons, 35% design/build, 40% e-comm, 2% CD-Rom, 3% mobile, 5%
marketing, 10% search. Clients incl Tottenham Hotspur FC, Subaru
World Rally Team. www.bluhalo.com
62 Design UK
Founded 1998. Privately owned. Managing partner Scott Wilkinson. 15%
consultancy, 20% design/build, 40% e-commerce, 5% CD-Rom, 10%
marketing, 10% search. Clients include Butlins, Odeon, Hackett.
www.designuk.com
63= Fortune Cookie
Founded 1997. Privately owned. Managing director Justin Cooke. 20%
consultancy, 25% design/build, 30% e-commerce, 5% marketing, 20%
other. Clients include Legal & General, Kuoni Travel, Financial
Times. www.fortunecookie.co.uk
63= Ralph
Founded 2005. Privately owned. Mng partners Jay Armitage, Chris
Hassell. 10% cons, 50% design/build, 5% e-commerce, 5% CD-Rom, 5%
mobile, 20% marketing, 5% search. Clients incl Disney, Nickelodeon,
McDonald's. www.ralphandco.com
65 Redweb
Founded 1997. Privately owned. Managing director Andrew Henning. 4%
consultancy, 91% design/build, 5% search. Clients include Identity &
Passport Service, Amicus, Norwich Union. www.redweb.co.uk
66 Halpern Cowan
Founded 1999. Privately owned. Managing partner Louis Halpern. 12%
consultancy, 34% design/build, 21% e-commerce, 3% mobile, 30%
marketing. Clients include Ebookers, Malmaison, Supernanny.
www.halperncowan.com
67 VCCP Digital
Founded 1999. Subsidiary Chime. Managing director Tom Hopkins. 20%
consultancy, 50% design/build, 10% e-commerce, 10% CD-Rom, 10%
marketing. Clients include Microsoft, Somerfield, Tussauds Group.
www.vccpdigital.co.uk
68 archibald ingall stretton
Founded 1998. Privately owned. Managing partners Stuart Archibald,
Jon Ingall, Steve Stretton. 25% consultancy, 25% design/build, 20%
mobile, 30% marketing. Clients include O2, Skoda, Moet Hennessy.
www.archibaldingallstretton.com
69 Dig For Fire
Founded 1983. Privately owned. MD Charles Glover. 10% consultancy,
60% design/build, 5% e-commerce, 10% CD-Rom, 15% marketing. Clients
include Tesco, AXA PPP Healthcare, Co-operative Financial Services.
www.digforfire.co.uk
70 Seren
Founded 2003. Privately owned. Managing director Terry Heath. 50%
consultancy, 5% e-commerce, 5% iTV, 40% mobile. Clients include
Vodafone, SavaJe, PricewaterhouseCoopers. www.seren.uk.com
71 Brahm
Founded 1983. Privately owned. MDs John Morgan, Julie Hanson. 5%
cons, 60% design/build, 10% e-commerce, 1% CD-Rom, 2% mobile, 3%
marketing, 15% search, 4% media. Clients incl Crown, Sage,
Connexions Direct. www.brahm.com
72 Bostock & Pollitt
Founded 1987. Privately owned. Managing director Philip Mann. 25%
consultancy, 35% design/build, 15% e-commerce, 10% CD-Rom, 5%
mobile, 10% marketing. Clients include BT, Directgov, GSK.
www.bostockandpollitt.com
73 Mook
Founded 1999. Subsidiary Nitro. Managing director Tom Adams. 10%
consultancy, 50% design/build, 10% CD-Rom, 30% marketing. Clients
include Sony Computer Entertainment, Sport England, SABMiller.
www.mook.co.uk
74 The JJ Group
Founded 1989. Privately owned. MD Robert Beck. 10% cons, 35%
design/build, 5% e-commerce, 15% CD-Rom, 20% marketing, 10% media,
5% other. Clients include British Gas Business, Beefeater,
Mercedes-Benz Direct. www.thejjgroup.com
75 Fuse Digital
Founded 2000. Subsidiary Mission Marketing Group. MD Simon Davies.
20% consultancy, 40% design/build, 10% e-commerce, 5% CD-Rom, 20%
marketing, 5% search. Clients include WKD, Carlsberg, Lucozade.
www.fusedigital.com
76 Fernhart New Media
Founded 1997. Subsidiary Netb2b2. Managing director Phil Broadbery.
10% consultancy, 10% design/build, 40% e-commerce, 40% iTV. Clients
include BBC, Atlas International, Sporting Index. www.fernhart.com
77 Underwired
Founded 1996. Privately owned. Managing director Felix Velarde. 35%
design/build, 15% e-commerce, 50% marketing. Clients include Orange,
Virgin Holidays, Procter & Gamble. www.underwired.com
78 Clock
Founded 1997. Privately owned. Managing director Syd Nadim. 8%
consultancy, 27% design/build, 49% e-commerce, 1% CD-Rom, 5% mobile,
8% marketing, 2% search. Clients include Channel 4, JD Wetherspoon.
www.clock.co.uk
79 Them
Founded 1996. Privately owned. Mng partners Walter Denny, Sandra
Lawrie, Rod Geoghegan, Neal Hendey. 10% cons, 50% design/build, 10%
e-comm, 5% iTV, 5% mobile, 10% marketing, 10% search. Clients incl
BUPA, Nissan. www.themlondon.com

*Companies House financial data provided by Willott Kingston Smith for
agencies affected by the Sarbanes-Oxley Act



TOP DIGITAL MEDIA BUYERS

Agency Digital Digital % Dig- Staff Digital
billings billings chng ital spec-
2005(pounds) 2004(pounds) (%) ialists
1 Isobar 57,240,761 34,581,101 66 100 112 108
2 i-level 52,000,000 30,000,000 73 100 112 112
3 BLM Quantum Media 28,408,228 8,764,046 224 100 42 36
4 Unique Digital 23,270,000 16,400,000 42 100 31 28
5 MVi 22,813,050 17,900,630 27 100 33 33
6 Profero 18,000,000 12,000,000 50 100 65 65
7 All Response Media 14,669,491 4,656,165 215 26 51 12
8 Equi=Media 14,357,916 14,285,544 1 100 27 21
9 Cheeze 8,900,000 6,400,000 39 100 25 19


Agency
1 Isobar
Founded 1996. Subsidiary Aegis. Managing director Robert Horler.
Clients include Aviva, Dell, AOL. www.diffiniti.com
2 i-level
Founded 1999. Privately owned. Managing director Mark Creighton.
Clients include COI, BSkyB, Orange. www.i-level.com
3 BLM Quantum Media
Founded 1998. Privately owned. Managing director Dan Clays. Clients
include T-Mobile, MBNA, Domino's Pizza. www.quantum-media.co.uk
4 Unique Digital
Founded 1999. Privately owned. Managing partners Andy Stevens, Simon
Anderson, Simon Burgess. Clients include Barclaycard, Avis,
Sainsbury's. www.unique-digital.co.uk
5 MVi
Founded 2000. Subsidiary MediaVest Manchester. Managing director
Elliot Muscant. Clients include MyTravel, Northern Rock, Next
Directory. www.mvinteractive.co.uk
6 Profero
Founded 1998. Privately owned. Managing director Wayne Arnold.
Clients include Channel 4, COI, Mini. www.profero.com
7 All Response Media
Founded 1995. Subsidiary Havas. Managing director Colin Gillespie.
Clients include The Harley Medical Group, Vonage, TML.
www.allresponsemedia.com
8 Equi=Media
Founded 1999. Privately owned. Managing director Andrew Burgess.
Clients include WPA, Equifax, Firstplus. www.equimedia.co.uk
9 Cheeze
Founded 1999. Privately owned. Managing partners Katherine Jerman,
Jamie Riddell. Clients include AXA, Cendant, Monarch Scheduled.
www.cheeze.com

MEDIA NETWORK SUBSIDIARIES

Most major media network agencies in the UK have digital subsidiaries but, due to the restrictions of the US Sarbanes-Oxley Act, are unable to provide financial information. Normally, Marketing would use data from Companies House for these agencies, but in the case of these networks it has been impossible to separate digital turnover from overall turnover, making it unfeasible to enter them in the main league.

THE SARBANES-OXLEY EFFECT

For digital agencies affected by the US Sarbanes-Oxley Act we have used Companies House data provided by Willott Kingston Smith. No digital revenue data could be found for the following agencies: Acxiom Digital, Arc Worldwide, DNA, Draft FCB, Modem Media, MRM Worldwide, Proximity, OgilvyOne, R/GA, Tequila and Tribal DDB.

This article was first published on Marketing