NEW YORK: The PR firms in Interpublic Group’s Dxtra network registered double-digit growth on both an as-reported and organic basis in Q3, compared with the prior year, said Andy Polansky, the division’s CEO, on Thursday.
That compared to low-double-digit declines on an as-reported and high-single-digit declines in organic growth in Q3 2020, Polansky noted. The holding company’s PR firms saw low-single-digit growth on both an as-reported and organic basis in Q3 2019.
“Overall, the agencies within Dxtra had a very strong Q3 2021 in terms of growth,” he said. “The pandemic’s impact on our business is easing, and clients are returning to staging live experiences, so that is having a positive effect on all of our agencies.”
The PR firms in Dxtra are Weber Shandwick, Golin, DeVries Global, Current Global, Rogers & Cowan/PMK, and ReviveHealth. Dxtra also contains marketing specialist and events shops. Last October, IPG overhauled its former Constituency Management Group operating unit and relaunched it as IPG Dxtra.
In the first nine months of the year, Dxtra PR firms registered double-digit growth on an as-reported and high-single-digit growth on an organic basis.
Golin, Weber Shandwick, Current Global and Rogers & Cowan/PMK all had strong double-digit growth in Q3, Polansky said.
Weber continues to expand its business with existing clients, fueled by specialty units including management consultancy United Minds, Resolute Digital and public affairs firm Powell Tate.
“When we look at our businesses, the growth is widespread across the Weber network,” said Polansky. “Over 25 of its offices and units registered double-digit growth in Q3.”
Golin continued its new business winning streak. Golin’s recent wins include Gabb Wireless as PR AOR, LinkedIn as global social media agency partner and Clubhouse as global agency partner. Golin’s specialty units, including Brooklyn Brothers, DeVries Global and Virgo Health, also had a successful quarter, Polansky said.
Rogers & Cowan/PMK won assignments in the quarter to promote events for the Grammy and SAG awards. Its influencer marketing unit, ITB Worldwide, saw “exponential growth” in its business, Polansky added. Current Global also had a strong performance, as a result of how it continues to diversify its business.
“Current Global is seeing strong organic growth from key clients,” said Polansky.
Regionally, Dxtra’s PR agencies saw robust growth in North America, the U.K. and EMEA. By sector, Dxtra saw a “strong performance” in technology, auto, healthcare, financial services, consumer packaged goods and public affairs. Its healthcare specialty units, including dna Communications, ReviveHealth and Virgo Health, were all “standout performers,” Polansky added.
Dxtra posted a 18.6% organic revenue increase in Q3 to $319 million.
IPG's creative-focused IAN network was up 14.4% in the period in terms of organic revenue to $1.9 billion.
The holding company as a whole reported a 15% organic net revenue increase in Q3 to $2.3 billion. IPG’s Q3 2021 total revenue, which includes billable expenses, of $2.5 billion, increased by 19.6% from 2020.
The holding company’s organic net revenue performance was up by double digits in Q3 around the world: up by 14.7% in the U.S. to $1.4 billion, rising by 13.3% in the U.K. to $195.1 million and up by 11.8% in Continental Europe to $178.1 million. It also rose by 17.4% in Asia-Pacific to $192 million, by 20.3% in Latin America to $96.3 million and by 17.1% in all other markets to $140.9 million.
“I am cautiously optimistic that our business will continue to be in strong growth mode,” said Polansky. “At the same time, I am mindful of public health situation around the world.”