About the Merger:

Omnicom Group Inc. (NYSE: OMC) and Publicis Groupe SA(Euronex Paris: !"####$%#&'') (e) (a*e si+ned a de,ini i*e a+reemen ,or a mer+er o, e-uals. crea in+ (e /orld0s leadin+ compan) in communica ions. ad*er isin+. mar1e in+ and di+i al ser*ices. /i ( combined 2#$2 re*enue o, 322.' billion 4 5$'.' billion. 6ased on closin+ prices on 7ul) 28. 2#$%. Publicis Omnicom Group /ill (a*e a combined e-ui ) mar1e capi ali9a ion o, approxima el) 3%&.$ billion 4 528.& billion. :(e mer+ed +roup o, more (an $%#.### emplo)ees /ill be excep ionall) /ell posi ioned o ser*e clien s0 e*ol*in+ needs. (elpin+ (em o build (eir brands and +ro/ (eir businesses in (e rapidl) c(an+in+ communica ions landscape. Publicis Omnicom Group is expec ed o be lis ed on (e NYSE and Euronex Paris. raded under (e s)mbol OMC. and o be included in (e S;P &## and CAC <#.

Impact:
For Clients: brin+s lar+er scale and scope o (eir bi++es (eore icall) /ill reduce prices ,or (em. clien s. /(ic(

$. I

2. :(is presen s an a/,ul con,lic o, in eres ,or (e compan). as (e a+encies are exposed o compan) secre s.

For the Group itself:

$. :(e) (a*e become (e bi++es ad*er isin+ compan) in (e /orld. 2. :(e) /ill be sa*in+ 3&## million in cos s. %. :(is mer+er /ill res ore balance o, po/er be /een radi ion ad*er isin+ +ian s and (e ec( +ian s o, Silicon =alle) suc( as Goo+le and !aceboo1 and ri*als includin+ >PP. In erpublic and ?a*as.

<. As a combined en i ). (e) /ill cer ainl) be po/er,ul in media

bu)in+ and s ron+ /i ( procuremen ne+o ia ions. In,ac . (e bi++es impac is li1el) o be in media bu)in+ /(ere (e) /ould be bi++er and more po/er,ul.

&. :alen mana+emen can also be an issue. :(e media business is one (a is run b) people. no mac(ines in ,ac ories. and (is can be a (u+e mana+emen c(allen+e. I, no (andled /ell. (e /(ole can become smaller (an sum o, (e par s.

For the Business:

$. Crea i*i ) /ill be c(allen+ed as (e ,ear is (a (ere0s oo muc( mone) a s a1e ,or (eir a+encies o consis en l) a1e crea i*e ris1s. :(ere /ill be a s ron+ pus( o be more reac i*e as in es and op imi9a ion. personali9ed con en and cus omi9ed o,,ers . 2. :(e di,,erence /ill be /(ile (e a+encies are spendin+ more mone) on di+i al. (e media spend is +oin+ o be lo/er mos l) as a resul o, be er ar+e in+. measuremen and pro*en e,,ec i*eness increases.@ So. (e adAindus r)0s onA+oin+ economic s(u,,le is one /a) o unders and (e impera i*e o, (is deal. %. Bi+i al ad*er isin+ /ill be a 3$$8 billion mar1e (is )ear. /i ( Nor ( America alone sna++in+ 3<&.$2 billion o, (a o al. And spendin+ on mobile ad*er isin+ /orld/ide is expec ed o increase 'C.' percen o 3$&.D billion (is )ear up ,rom Eus 3D.D billion las )ear. <. Bi+i al ad*er isin+ /ill rei+n:>(ile ad a+encies radi ionall) (a*e been abou :=. radio.and prin . s a s s(o/ (a di+i al is +ro/in+ *er) -uic1l).A 388.%& billion. := ad spendin+ (is )ear is s ill a(ead o, di+i al. bu i is +ro/in+ a a slo/er pace. Online ec(nolo+ies /ill con inue o disrup indus ries. and si+ns poin o di+i al ad spendin+ e*en uall) a1in+ o*er :=. &. More consolida ion::(e ad*er isin+ business. consolida ion o,,ers some a rac i*e ad*an a+es. Crea i*i ) and economies o, scale are /o ob*ious reasons o mer+e. bu (ere0s more. Scale pro*ides bi+ a+encies be er ne+o ia in+ po/er. Con rollin+ <# percen o, ad spendin+ in (e /orld. (e proposed Publicis Omnicom Group can le*era+e i s si9e /(en al1in+ o media companies and publis(ers. !rom (e clien s0 perspec i*e. (a*in+ an a+enc) (is bi+ /ill ma1e i more di,,icul o ne+o ia e ,ees. 8. Ba a is (e name o, (e +ame:Access o consumer da a /ill bene,i (e Publicis Omnicom Group. bu i is also po en iall) a +ood deal ,or clien s. A leas in (eor). /i ( more da a. (e +roup can pro*ide smar er decisions o ad*er isers. 6u . no e*er)one is con*inced (a (e mer+er /ill resul in be er da a capabili ies. Clien s +enerall) o/n (e ri+( s o consumer da a. so mer+in+ /o ad a+encies /ill no necessaril) resul in more da a s(arin+. !ur (ermore. a+encies don0 need scale o ex rac *alue ,rom bi+ da a.In an) case. (e ,ac (a da a is par o, (e con*ersa ion abou (is deal (i+(li+( s (e +ro/in+ impor ance o, collec in+. mana+in+. and ma1in+ sense o, consumer da a. '. More personali9ed ad*er isin+: :(e Publicis Omnicom deal demons ra es (o/ (e business o, mar1e in+ is becomin+ more personali9ed. :radi ionall) as1ed /i ( campai+ns (a (a*e mass appeal. mos a+encies are no e-uipped o enable personali9ed ad*er isin+. :(e personali9a ion o, ads is Eus +e in+ s ar ed. >(ile (e use o, coo1ies (as been in place ,or a /(ile no/. (o/ ad*er isers u ili9e (e da a is becomin+ more sop(is ica ed. A small number o, ad*er isers no/ use ,as Apaced. al+ori (mic biddin+

s)s ems o deli*er rele*an displa) ads /i (in seconds.Consumers can expec o see ads ar+e ed more speci,icall) a (em. D. Consumer ,eedbac1 /ill be in e+ral:>i ( bi+ da a comes bi+ researc( oppor uni ies.As ad*er isers experimen more /i ( personali9ed ad*er isin+. researc( needs o become more s ra e+ic. Smar companies /ill inEec consumer insi+( s bac1 in o (e researc( prac ice. 6i+ da a allo/s companies o measure be(a*ioral and ransac ional da a. bu i doesn0 re*eal a i udinal da a. :o deli*er rele*an ads (a people /ill ac uall) li1e. companies /ill need o be er unders and /() people do /(a (e) do. and (e) can onl) ac(ie*e (is b) al1in+ o (eir cus omers.Consumers /ill also be in e+ral in cra, in+ crea i*e con en .

For the Shareholders (e corpora ion exis s o bene,i i s s(are(olders. Since all )ou (a*e o be able o do is spell FbAiA+ dAaA Aa@ o +e a $#G s oc1 price bump. (e promise o, pullin+ o+e (er (e bi s and b) es o, e*er) ar+e audience member in (e /orld is a bi+ s re c(. Assumin+ re+ula or) appro*al. i /ill a1e )ears o sor ou /(a (e end a+enc) produc /ill loo1 li1e.

For the Agency Employees In (e comin+ mon (s. expec o see a lo o, senior a+enc) people bee,in+ up (eir Hin1edIn pro,iles and suddenl) de*elopin+ a need o s(o/case all (e ma+ni,icen (in+s (e)0*e accomplis(ed. A mer+er is a +rea ime ,or mana+emen o o,,load an)one (a mi+( (a*e an) sor o, alen or s(o/ si+ns o, ac uall) belie*in+ some o, (e ()pe bein+ spe/ed un o (e /orld b) (e MarCom people. Also. upAandAcomers /(o pose a (rea o corner o,,ice (olders /ill li1el) +e (e boo .

For the Consultants :(e consul an s /ill be marc(ed in I in dro*es I o (elp elimina e redundancies. decide on crea i*e posi ionin+ and. in +eneral. (elp ,i+ure ou /(a o ma1e o, (e mess o come.

For the Publishers

Media !endors

A+encies are s ar in+ o compe e /i ( publis(ers li1e Goo+le and !aceboo1 in (e media sales depar men since so man) (a*e disco*ered (e massi*e pro,i mar+ins o be (ad b) bu)in+ ad space ,or a dollar and sellin+ i o clien s ,or ,i*e dollars. In (e s(or erm. (e sell side /ill con inue o see bi+ +ains /(ile (e Fa+enc)@ s ru++les o rede,ine i sel,.

Some more "esearc(::

$. Digital gets more respect. :(e 3%&Abillion mer+er underscores (e s(a1eup di+i al ad*er isin+ (as (ad on (e massi*e +lobal ad indus r). In par icular. (e /o a+encies are Eoinin+ o+e (er o bee, up (eir di+i al adAbu)in+ capabili ies J in e+ra in+ da a in o e*er) (in+ (e) do and ac1no/led+in+ (e diminis(in+ role o, radi ional o, mediaAbu)in+ approac(es (a rel) on (uman rela ions(ips be /een media bu)ers and publis(ers o bu) and sell ad space. In (is di+i al. da aAdri*en ad*er isin+ /orld. consumers can expec o see more rele*an . ar+e ed ads (a be er mee (eir needs as iden i,ied b) (eir di+i al ,oo prin s on (e In erne . 2. Programmatic media buying continues to move to the mainstream on Madison Avenue. In a pro+ramma ic /orld. a+encies (a*e o Fac more li1e Goo+le@ and bu) more and more o, (eir ads *ia au oma ed exc(an+es J o (er/ise (e) /ill no be able o compe e /i ( Silicon =alle) ad*er isin+ +ian s li1e Goo+le and !aceboo1. (Alread). (e mar1e caps o, (ese /o companies d/ar, (e combined si9e o, OmnicomAPublicis.) :o+e (er. (e /o a+encies /ill (a*e more access o compre(ensi*e consumer and campai+n da a. and more (e, be(ind (eir mediaAbu)in+ po/er (a /ill enable (e combined compan) o a ain pre,eren ial pricin+ ,rom exc(an+es. :(e combined en i ) /ill be be er e-uipped o succeed in a di+i al. pro+ramma ic media /orld. %. Ad tech companies and agencies become best friends. >(a does (is mean ,or ad ec(nolo+) companiesK I 0s +ood ne/s. because OmnicomAPublicis Eus made a (u+e *o e o, con,idence ,or di+i al ad*er isin+. :(e)0ll need rus ed par ners o (elp (em bu) billions o, ad impressions a scaleL op imi9e and measure (e per,ormance o, (ese adsL and a ain no Eus sales and con*ersion ,rom di+i al clic1s. bu ,ind /a)s o le*era+e da a o impro*e brand reac( and recall. <. Digital advertising holds great promise, but unlocking that promise is not easy or cheap. Bespi e (e massi*e scale o, eac( o, Publicis and Omnicom. (eir leaders belie*ed (a e*en more scale /as needed o ,ull) unloc1 (e po en ial o, di+i al. da aAdri*en ad*er isin+ ,or (eir clien s. 6) a++re+a in+ (eir ,inancial and (uman resources. (e combined en i ) belie*es i can be er deli*er on sol*in+ >anama1er0s dilemma J F(al, o, (e mone) I spend on ad*er isin+ is /as edL (e rouble is I don0 1no/ /(ic( (al,.@ &. Emerging markets hold great promise, but also are not cheap to enter and exploit. Bespi e (eir respec i*e +lobal ,oo prin s. /i ( presence in all emer+in+ mar1e s. (e /o companies decided i /as be er o Eoin (eir respec i*e emer+in+ mar1e s e,,or s o be er mee (e needs o, (eir clien s. Besi+nin+ ad campai+ns ,or (e ran+e o, mar1e s. alon+ /i ( (e blur o,

c(annels. de*ices. publis(ers. and ad uni s. is bo ( ime consumin+. complex. and expensi*e. :(e combined en i ) s(ould be posi ioned o more cos e,,ec i*el) address (ese clien needs in (e e*ol*in+ ad*er isin+ ecos)s em. 8. Brand advertising and digital sit at the same table. >i ( ad ec( ,irms as (eir par ners. OmnicomAPublicis /ill be er be able o supplemen := and prin o embrace di+i al ,or mul imillionAdollar brand campai+ns. :(e me+aAa+enc) (as one (u+e ad*an a+e: &#M )ears o, experience crea in+ brand messa+es. Goo+le. !aceboo1. and o (er di+i al publis(ers are s ill learnin+ (e ropes /(en i comes o urnin+ di+i al ads in o brandin+ *e(icles. OmnicomA Publicis. in par ners(ip /i ( ad ec( companies. could be a po/er,ul eam o brin+ di+i al and brand ad*er isin+ o+e (er a las .