Wpp Plc · LSE:WPP
Wpp — Investor Presentation (March 2022)
39 slides from Wpp's investor presentation, Mar 30, 2022
Slide 1: Investor Webinar 30 March 2022
INVESTOR WEBINAR 30 MARCH 2022
Slide 2: Snapshot of our largest clients, Colgate-Palmolive, Intel
1. SNAPSHOT OF OUR LARGEST CLIENTS 2. COLGATE-PALMOLIVE: THE MAGIC FORMULA FOR GROWTH 3. INTEL: HELLO FROM TEAM WONDERFUL 2
Slide 3: Client centricity mission: a competitive advantage for WPP
A REMINDER OF OUR CLIENT CENTRICITY MISSION: TO CREATE A COMPETITIVE ADVANTAGE FOR WPP Our goal is to deliver excellent client satisfaction helping our largest clients transform, by unleashing the power of our creativity , expanding into experience, commerce & technology, and by growing their busine
Slide 4: Our top 20 clients and revenue concentration
A REMINDER OF OUR TOP 20 CLIENTS AND OUR REVENUE CONCENTRATION: WPP’S TOP 20 CLIENTS TOP 30 = 30% CPG TECHNOLOGY OF WPP NET SALES1 18 OF TOP 20 CLIENTS >$100M NET SALES1 PHARMA & HEALTHCARE AUTOMOTIVE 85% TOP 100 WORK WITH 5 OR MORE AGENCIES RETAIL TELECOM, MEDIA & ENT. HIGHEST EVER C-SAT AT 8.1 4 1
Slide 5: Our largest clients are doing well
OUR LARGEST CLIENTS ARE DOING WELL LEANING IN TO WPP IN TIMES FANTASTIC YOYOY GROWTH OF TROUBLE 2020 IN 2021 WPP 2020 PERFORMANCE1 17 OUT OF TOP 30 CLIENTS TOP 20 ALL GCL LED GREW >10% ON 2-YEAR BASIS ACCOUNTS ACCOUNTS ALL WPP IN ‘21 -0.5% -3.9% -8.2% 8 OUT OF TOP 20 CLIENTS GREW >20% ON 2-YEAR BASI
Slide 6: Likelihood to recommend scores at record levels in 2021
MAINTAINING ’LIKELIHOOD TO RECOMMEND’ (LTR) SCORES AT RECORD LEVELS IN 2021 LTR TRENDING UP OVER TIME ACROSS ALL CLIENTS 8.2 8.1 8.1 8.1 LTR (OR ADVOCACY) IS 8 NOW PROVEN 7.9 TO PREDICT 7.8 7.7 REVENUE 7.7 7.6 7.5 GROWTH 7.5 7.4 2018 2019 2020 2021 6
Slide 7: Key drivers underpin lead client satisfaction metrics
OUR KEY DRIVERS UNDERPIN OUR LEAD CLIENT SATISFACTION METRICS AND CONTINUE TO INCREASE 2020 > KPI’s 2021 2020 2019 2018 2017 2021 Business needs 7.82 7.72 7.24 7.26 7.02 +0.1 Collaboration 8.11 8.01 7.56 7.55 7.35 +0.1 Communication 8.28 8.20 7.84 7.77 7.61 +0.08 Creativity 7.58 - - - - - Diversity,
Slide 8: Walking the talk on DE&I for our clients
WALKING THE TALK ON DE&I FOR OUR CLIENTS “On a scale of 1 to 10, how well do you rate our ability to support your DE&I goals?” Global/Top 10 H2 2021 Markets Developed a ‘Product Inclusion Tool’ for Google. The tool will enable Googlers Global WPP 8.2 to measure how inclusive their product or service
Slide 9: Four parts to the Chief Client Officer role
FOUR PARTS TO THE CHIEF CLIENT OFFICER ROLE GLOBAL CLIENT KEY CLIENT WPP CLIENT LEADERS LEADERS COMMUNITIES EXPERIENCE 9
Slide 10: Small central team supporting the GCLs and WPP
WITH A SMALL & PERFECTLY FORMED CENTRAL TEAM SUPPORTING THE GCLS AND WPP MORE WIDELY Alan Davies Ben Kay Sarah Hardy Nina Rahmatallah Conrad Persons Peter Law-Gisiko Head of Client Business Managing Director, WPP SVP, Global Strategy Global Planning Director Client Experience Group Commercial CFO Tr
Slide 11: Elevating our growth mindset via scaled approaches
ELEVATING OUR GROWTH MINDSET VIA SCALED APPROACHES RIGOROUS GROWTH PLANNING DEVELOPMENT OF ACROSS T50 PREDICTIVE GROWTH MODEL 11
Slide 12: What is the Magic Formula for Growth?
What is the Magic Formula for Growth? (especially on a large, global account) Carl Hartman WPP Red Fuse Global CEO 12
Slide 13: Colgate/WPP by the numbers
COLGATE/WPP BY THE NUMBERS #1 #1 200 Market Share in Global Brand In Colgate Sells in 200 Toothpaste Terms of Worldwide Markets Worldwide Household Penetration #1 58.5% 26 Company In Households Agency of Record for Household Products Worldwide Have 26 Years Industry By The Dow Colgate Branded Jones
Slide 14: The role of the GCL
THE ROLE OF THE GCL High Octane Issues (Legal, Talent) • CP Leadership New WPP Resources & Capabilities Vision • CP Divisions • Hills WPP Management • Skin Health Fire GIT Integrating GCL • Fighting Creative • Innovation Transformation • Marketing Capabilities • Analytics & Insights Digital Transfor
Slide 15: #1: Intimacy
#1: INTIMACY Knowing Knowing how Knowing the the clients decisions get made business priorities 15
Slide 16: #2: Agility
Comfortable with #2: Moving toward areas of change blowing up the past AGILITY Tapping in to the Proving confidence best of WPP at every of future-proofing stage 16
Slide 17: #3: Creativity
#3: CREATIVITY Big ideas are at the heart of the WPP “ Marketers, brands & companies who are better at inspiring, guiding, & partnering with creative offering people simply get better business results. ” - Scott Campbell, VP Transformation Initiatives & Capabilities at CP Proximity to culture Creati
Slide 18: #4: The right model
#4: THE RIGHT MODEL | | Minette | REDFUSE = s,.2tmns stm GeW Ogilvy APAC & India geomerry saa vara Sus enet EES bow Osiry & Europe THE CORE + MORE seo North America SEVMIVER, ; geomey mizum @ Osgilvy S{ VMLYER Wavemaker Ogilvy Swe 18
Slide 19: #5: Alignment
#5: ALIGNMENT Website Global Ecosystem Regional Local Discipline alignment CP strategic Global, regional, - digital priorities = WPP local alignment transformation is a strategic priorities system 19
Slide 20: #6: Human skills
#6: HUMAN SKILLS We are We play well We have a good with others true listeners partnership New Players 20
Slide 21: Profile - Digital Transformation
Profile - Digital Transformation +27% +230 Bps improvement in 2021 Digital Net Sales 2021 eCommerce Growth Brigitte King Global Chief Digital Officer, Colgate-Palmolive +42% 80 5-Year CAGR Digital Sales Markets with Programmatic Growth 21
Slide 22: Hello from Team Wonderful
intel. HELLO.FRO TEAM WONDER
Slide 23: How we started
HOW WE STARTED - GLOBAL CREATIVE AGENCY OF RECORD - INTEGRATED PRODUCT MARKETING ACROSS BUSINESS AND CONSUMER - CREATE, LAUNCH, AND STEWARD NEW BRAND IDENTITY SYSTEM 23
Slide 24: Integrated WPP team to assist on the account
Tech company says an integrated WPP team consisting of various shops will assist on the account
Slide 25: VMLY&R
‘It’s a Roller-Coaster Ride’: Global Chip EE TEST TLARD ARE B SOFTWARE ORD Shortage Is Making Industries Sweat The internet-connected world is completely dependent on the production of semiconductors. That's become a problem now that supplies are running short. = FROM 15a This is how COVID-19 is aff
Slide 26: We are purpose built
WE ARE PURPOSE BUILT we ee ee + @e @ s#e-e@-errre®@ RPerxne Os %& *% eB OS
Slide 27: Pre 2020: Who we were as WPP
PRE 2020: WHO WE WERE AS WPP 27
Slide 28: Who we are now as Team Wonderful: #1 Purpose built
WHO WE ARE NOW AS TEAM WONDERFUL: #1 PURPOSE BUILT 28
Slide 29: We are flexible not fixed
WE ARE FLEXIBLE NOT FIXED 29
Slide 30: Who we are now as Team Wonderful: #2 Flexible
WHO WE ARE NOW AS TEAM WONDERFUL: #2 FLEXIBLE 30
Slide 31: Who we are now as Team Wonderful: #2 Flexible
WHO WE ARE NOW AS TEAM WONDERFUL: #2 FLEXIBLE 31
Slide 32: We are on a creative mission
WE ARE ON A CREATIVE MISSION 32
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Slide 34: Pedialyte VMLY&R
PEDIALYTE VMLY&R MARCH 202 PAGE 34
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Slide 36: In summary
IN SUMMARY 36
Slide 37: In summary: WPP strategy in action on Intel
IN SUMMARY: WPP STRATEGY IN ACTION ON INTEL 1 2 3 Connecting Purpose Flexible, Creative to Creativity Built not fixed Business Outcomes 37 - - Our creative capability is broad
Slide 38: Do something wonderful
Lo something wonderful. intel XK af Ht tte 38
Slide 39: Q&A