Our six objectives
Fifth, as we move up the margin curve, we intend to place greater emphasis on revenue growth. One legitimate criticism of our performance against the best-performing competition is our comparative level of organic revenue growth. 2000 was a bumper year but unsustainable. In 2001, we disappointingly moved back into the middle of the pack. But there was a significant revival in 2002 and 2003, when we were one of only two of the major companies that showed revenue growth. 2004 was punctuated with a number of high-profile wins, resulting in the second strongest organic growth performance in the industry, and 2005 and 2006 saw strong growth again among the leaders in the industry.
Our run of new business wins in 2007 was unprecedented in the 22-year history of WPP, and revenue growth again impressed against the competition, particularly the Big Four. Our practice development activities are also aimed at helping us position our portfolio in the faster-growing functional and geographic areas. So far in 2008, the Group has made acquisitions or increased equity interests in Advertising and Media Investment Management in China, the UK, the Netherlands and the Middle East; in Information, Insight & Consultancy in China and the US; in Public Relations & Public Affairs in China, India and the UK and in direct, internet and interactive in China, the US, Israel and Belgium.
These acquisitions continue to move us forward to our previously described strategic priorities; expanding the market shares of our businesses in Asia Pacific, Latin America, Africa and the Middle East to one-third; in marketing services to two-thirds; and in Information, Insight & Consultancy, direct and interactive, to one-half.
We intend to expand our strong networks – Ogilvy & Mather, JWT, Y&R, Grey, United Group, Bates 141, MindShare, Mediaedge:cia, MediaCom, Research International, Millward Brown, KMR, Hill & Knowlton, Ogilvy Public Relations Worldwide, Burson-Marsteller, Cohn & Wolfe, GCI, OgilvyOne, Wunderman, OgilvyAction, G2, CommonHealth, Sudler & Hennessey, Ogilvy Healthworld, GHG, The Brand Union, Landor and Fitch – in high-growth markets or where their market share is insufficient.
In 2007, we strengthened our position in Advertising and Media Investment Management in the US (including digital), the UK, Austria, France, Germany (including digital), Hungary, the Netherlands (including digital), Russia, Spain, South Africa, Brazil, Colombia, Australia, China and Japan; in Information, Insight & Consultancy in the US and the UK; in Public Relations & Public Affairs in the US; in Branding & Identity in Ireland and Dubai; in Healthcare Communications in the UK and in direct, internet and interactive in the US, Canada, Belgium, Germany, South Africa, the Middle East, Brazil, Chile, Mexico, Korea and Singapore.
We will also enhance our leadership position in Information, Insight & Consultancy by further development of our key brands with particular emphasis on North America, Asia Pacific, Latin America and Continental and Eastern Europe. We will accelerate our growth of research panels and have established a Kantar-wide operational capability. We will reinforce our growing position in media research through KMR, which includes our investments in television audience research through IBOPE, AGBNielsen Media Research and Marktest, which, combined, are the market leaders outside North America.
In addition, we intend to reinforce our worldwide strength in direct and interactive marketing and research through our traditional channels such as OgilvyOne, Wunderman, G2, RMG Connect, Blanc & Otus and Lightspeed. Although the early 2000-2001 compressions in financial valuations initially offered significant opportunities, we will now also invest directly in the new channels through start-ups, particularly as US and French valuations in search, for example, have become prohibitive, despite the financial crisis. Other opportunities will be sought to enhance our online capabilities.
Lastly, we will continue to develop our specialist expertise in areas such as healthcare, retail and interactive and to identify new high-growth areas.