As Charles was talking to Backer & Spielvogel Chairman Carl Spielvogel about joining the international committee of the Metropolitan Museum of Art, Maurice broke into the conversation with a suggestion that they discuss a buyout, and, a month later, the deal was completed.
The brothers opened their doors in 1970 with three clients worth $1.5 million (Lee, 1986). By 1986, the company was worth 250 times that much and included such clients as British Prime Minister Margaret Thatcher, British Rail and British Petroleum and was ranked among the top 10 agencies. The brothers were the leading proponent of the concept of building a complete global communications network. After 16 years in business, they owned a sales promotion company, a public-relations firm, a design company and an executive search company, all of which were giants in their own right.
In 1985, Saatchi & Saatchi bought the noted market-research company Yankelovich, Skelly & White and a Philadelphia-based management consulting firm, the Hay Group. Robert S. Shulman, a former executive of Yankelovich, Skelly & White, who left and created his own company, Clancy Shulman, whose clients included American Express and H. J. Heinz, rejoined Yankelovich when Saatchi & Saatchi purchased both firms (Gannes, 1986). In 1986, they were pursuing buying Chicago's Tatham-Laird & Kudner ad agency and the Los Angeles-based firm Chiat-Day. Their campaign line "Labour's not working" is largely credited with putting Margaret Thatcher at 10 Downing Street, and their campaigns for British Airways and Guiness Stout have been widely praised.
On April 14, 1986, when Saatchi and Saatchi was the world's fourth-largest advertising agency, it made a $50 million cash downpayment for the U.S. agency Backer & Spielvogel and at the same time made a stock offering that was expected to raise more than $600 million. The acquisition was considered brash, since the company's billings at the t...
The Provision of Advertising and Creative Marketing Services. (1969, December 31). In LotsofEssays.com. Retrieved 07:08, May 06, 2016, from http://www.collegetermpapers.com/viewpaper/1303753520.html