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SapientNitro and Razorfish merge to become SapientRazorfish

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Publicis.Sapient, part of Publicis Groupe, recently announced the merger of SapientNitro and Razorfish to form SapientRazorfish, a supergroup agency which is designed to better fuse the significant experience and technology capability across the two businesses in response to client needs for digital expertise at scale. These changes come against a backdrop of increasing client demand to transform their businesses to be digital-first, given the increasingly connected consumer and the changing competitive landscape. This merger creates a new entity and unmatched leader as clients grapple with the dual objectives of change and speed; how to transform to be more digitally-driven businesses, and how to design and implement these changes at the rapid pace of change being dictated by the marketplace. SapientRazorfish is a new breed of digital transformation partner, able to reimagine the future through radical customer centricity built on an incredibly strong track record of delivering real change for clients.

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Alan Herrick

Alan Herrick, Chairman of Publicis.Sapient, said: “We have had great success in helping our clients with their transformation programs since the formation of Publicis.Sapient in early 2015. And across these engagements we are seeing several clear trends.”

  • Clients are pursuing strategies of customer intimacy given the plethora of real-time and digital touch points.

  • Additionally, data is an integral part of how intimately companies can know their customers and act in ways that add value to their customer relationships.

  • Finally, at the same time that clients are reinventing their interaction with customers they are simultaneously focused on improving operating efficiency through the use of technology across the enterprise.

He added: “By creating SapientRazorfish, and by implementing a more integrated management structure, we are combining the very best digital and technology assets in one combined unit. SapientNitro and Razorfish have been clear market leaders since the invention of digital. To now bring them together builds on the great success we have seen in many recent collaborations with clients.”

SapientNitro and Razorfish have, for many years, been the recognised leaders in digital and technology, including most recently when each was recognised in the sought after 'upper right' quadrant in the Gartner Magic Quadrant for Digital agencies in 2016, the Forrester e-commerce Wave in 2015 and Forrester innovation Wave in 2014. SapientRazorfish, when coupled with the full power of the Publicis.Sapient platform (which includes Sapient Consulting, with its deep industry and operational expertise, and DigitasLBi, with its powerful data-centred customer relationship management capabilities) is unique in its ability to help its clients define their digital business strategy and execute rapidly across complex organisations.

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Chip Register

Key management changes are summarised below:

  • Alan Herrick will move to the role of Chairman, Publicis.Sapient, focusing on strategy and market development at the Publicis.Sapient and Publicis Groupe level. Additionally, Alan will continue to advise our clients’ CEOs and their Boards as they consider how best to undertake digital transformation efforts.

  • Alan Wexler and Chip Register will become Co-CEOs of Publicis.Sapient, assuming responsibility for day-to-day business operations.

  • Alan Wexler will assume responsibility for the newly-formed SapientRazorfish as CEO.

  • Chip Register will continue in his role as CEO Sapient Consulting and will also lead a combined global practice and delivery structure, designed to better aggregate the incredible breadth of capability in industry consulting, experience and marketing, and technology and data.

  • Shannon Denton, currently CEO Razorfish, will assume the role of Chief Strategy Officer for SapientRazorfish and will also head global practices for Publicis.Sapient.

  • Publicis.Sapient will further emphasise a regional collaboration with Nigel Vaz assuming responsibility for an integrated management team in Europe and Asia while Chip Register and Alan Wexler will co-lead North America.

This new entity will further strengthen the digital leadership position of Publicis Groupe. Publicis Groupe is already the undisputed leader in digital, as its revenue distribution in digital is in a majority position totalling 54%, as outlined on the October 20, 2016 Publicis Groupe earnings call. This is well ahead of others in the marketing and media industries. In acquiring Sapient in 2015 and forming Publicis.Sapient, in moving to solution hubs in December 2015, and in forming the Power of One approach, Publicis Groupe is taking bold steps to more powerfully integrate at the Groupe level. The move to reconfigure Publicis.Sapient is consistent with the Groupe’s recognition of the continued rate of change in the marketplace, the changing needs of its clients and the demands to be increasingly more connected.

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Maurice Levy

Maurice Levy, Chairman & CEO of Publicis Groupe, said: “For the past 10 years, Publicis Groupe has been leading the way in reshaping our company to be more digital. From the acquisitions of Digitas, Razorfish, Rosetta and most recently Sapient, there is no question that we have set the pace. And when we formed Publicis.Sapient we integrated the strongest set of capabilities in digital, consulting and technology amongst any of our peer group. We are now taking this next, important step, to further integrate these formidable assets. SapientRazorfish is a powerful new entity in the marketplace uniquely combining customer experience strategy, omni channel commerce, and technology deployment to create a new breed of digital transformation partner pointed at today’s most critical client need; reshaping their businesses for the future. I am confident that Alan and Chip, together with the new Publicis.Sapient structure and management in place, will continue to drive digital revenue to our goal of 60% by 2018. Further, I am thrilled to have Alan Herrick working with me on the continued progress we are making at Publicis Groupe as I consider how best to position the Groupe and configure leadership across the many dimensions inherent in steering both our clients, and the Groupe itself, to a prosperous future.”

Alan Wexler and Chip Register, Co-CEOs Publicis.Sapient, added: “We are excited to assume responsibility for leading Publicis.Sapient. Since its inception in 2015, Publicis.Sapient has uniquely integrated Publicis Groupe’s formidable digital, technology and consulting assets to solve the most highly strategic problem for clients. Now we start this new chapter to further integrate in response to the increasing digital demands of our clients. We are proud to lead an incredibly talented and powerful leadership team that together will reshape the future for our clients and, we believe, the competitive landscape overall as markets reconfigure in new and interesting ways.”

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Alan Wexler

The newly configured Publicis.Sapient will begin fully operating in the new model effective January 2, 2017, although all management changes announced are effective immediately.

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