The Shift in Agency Business Models

Agency holding companies are realizing the need to evolve beyond traditional service-oriented business models. Historically, these agencies thrived on full-time equivalent work, but the emergence of tech acquisitions like CitrusAd and Epsilon has highlighted the increasing importance of technology and data in advertising. Publicis, a leading player in this field, is finding itself in a unique position where its tech offerings are becoming intertwined with its service delivery, leading to concerns over client independence and competition. As these agencies pursue better profit margins through tech integration, questions arise about the transparency of their processes and the potential hidden fees incurred by clients.