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Home / Business

NZ's 'most effective' ad agency axes more than 20 staff - sources

Damien Venuto
By Damien Venuto
Damien Venuto is a business writer for the New Zealand Herald·NZ Herald·
20 Jun, 2018 09:38 PM2 mins to read

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FCB offices in Auckland. Photo/File.

FCB offices in Auckland. Photo/File.

The ad agency declared New Zealand's most effective in the country at last year's Effie Awards has let go 20 of its staff.

Auckland-based FCB, one of the biggest ad agencies in the country, made the announcement about the job cuts internally to staff last week.

FCB chief executive Dan Martin would not comment specifically on the matter but confirmed there had been changes at the agency.

"Like any advertising agency we are constantly reviewing and adjusting our business in line with client requirements," Martin said in an emailed statement.

"It is not our policy to comment more specifically about employment matters out of respect for those directly involved."

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Separate sources told the Herald there were a total of 27 job cuts, following on from client losses at the agency, which is understood to have had over 200 staff on the books at the end of last year.

FCB recently lost the Paper Plus account to independent agency Contagion and the VW account to network-owned DDB.

In addition, the agency has also faced a loss of business with Noel Leeming taking some of its advertising work in-house. The decision by the Warehouse-owned retailer follows a similar strategic shift at the Warehouse Stationery last year, which resulted in another ad agency, 99, also cutting staff.

There has, however, also been good news for FCB this year, with the agency picking up the Samsung and VTNZ accounts from competitors, adding to a stable that includes Pak'nSave, Mercury, Mitre 10 and numerous other major clients.

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The agency is also in contention for a number of awards at the Cannes Festival of Creativity, the premier creative advertising awards event on the industry calendar.

According to an executive-level industry source, the recent account wins were not large enough to balance the losses of the other accounts at the agency.

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