WPP to realign Ogilvy, VML and AKQA under one creative umbrella

UK-based advertising group WPP is preparing to consolidate its main creative advertising agencies under a single holding structure, according to media reports.

The agency plans to restructure Ogilvy, VML and AKQA under a single creative umbrella.

A Reuters report noted that WPP will continue to operate these agencies, but they will be placed within the WPP Creative structure to simplify the group’s offering to clients. The reorganisation is intended to provide more integrated creative services across the group, according to the report.

The Financial Times report, cited in the media report on Monday that the agency plans to create a new entity, WPP Creative, which would bring the agency’s core creative agencies under one umbrella while allowing them to retain their individual brand identities. The report cited three people familiar with the matter and said the changes are expected to be announced later this month.

The move follows a sharp fall in the agency’s share price during last week’s broader market sell-off, when the stock dropped more than 11%. Investor concerns have increased over the potential impact of rapid advances in AI on traditional advertising business models.

The sell-off deepened after the launch of a new legal AI tool by Anthropic, adding to wider unease across the sector, the Financial Times reported.

WPP Creative will operate alongside the agency’s already integrated media and production divisions. While the agencies are expected to remain operationally independent, their brands will continue to be marketed separately.