Havas
Encyclopedia
Havas is the second largest advertising group in France and is a "Global advertising and communications services group" and the sixth-largest global advertising and communications group worldwide, operating on the communications consulting market through three main operational divisions:
main market.
Havas was the first French news agency
, created in 1835. The Agence France-Presse
(AFP) news agency comes from it. Havas was acquired by Vivendi
in 1998, and renamed Vivendi Universal Publishing. VUP in turn merged with Lagardere
to become Editis in 2004.
French corporate raider Vincent Bolloré
, through his holding company the Bolloré
Group, is the main shareholder, controlling 26.41% of the share capital as at 20 July 2006. Bolloré is also the Chairman of the Havas board (Président du conseil d'administration).
. He created the first French press agency in 1835.
In 1975, Havas Conseil became Eurocom, holding company of a Group of subsidiaries specializing in various communications activities.
Since the 1970s, the Group has grown significantly in France and internationally, both in the communications and media buying sectors, by broadening the scope of services that it offers and expanding into new communications techniques and technologies.
Havas was first listed on the Paris Bourse (now the Euronext Paris
) in 1982. The principal milestones in the Group’s strategic development are the following:
SNC was a listed communications group controlled by Daniel Snyder
, and their activities were mainly outsourced marketing services, such as Direct marketing
, database marketing
, proprietary product sampling, sponsored information display in prime locations, call centres, field sales.
Traditional advertising services consist of defining the nature, content and illustrating the advertising message for dissemination through traditional media: television, radio and print and display advertising for the promotion of products or brands.
Other marketing services would include marketing strategies designed to acquire customers or clients through specific or specialised audience targeting. These would include direct marketing
, sales promotion
, corporate communications
, Healthcare Communications, internal communications
, Television sponsorship, Design, human resources
communications, New media & interactive communications
, media planning and media buying
.
- Euro RSCG Worldwide
- Havas Media
- Arnold WorldwideArnold WorldwideArnold Worldwide is an advertising agency headquartered in Boston, Massachusetts. The agency has 15 offices in 12 countries, including Amsterdam, Boston, Lisbon, London, Madrid, Melbourne, Mexico City, Milan, New York, Prague, São Paulo, Shanghai, Sydney, Toronto and Washington DC...
Introduction
The company which today bears the name Havas is itself a former subsidiary of the original Havas which acquired the rights to the name in 2002. It is a holding company headquartered in the outskirts of Paris and listed in the EuronextEuronext
Euronext N.V. is a pan-European stock exchange based in Amsterdam and with subsidiaries in Belgium, France, Netherlands, Portugal and the United Kingdom. In addition to equities and derivatives markets, the Euronext group provides clearing and information services...
main market.
Havas was the first French news agency
News agency
A news agency is an organization of journalists established to supply news reports to news organizations: newspapers, magazines, and radio and television broadcasters. Such an agency may also be referred to as a wire service, newswire or news service.-History:The oldest news agency is Agence...
, created in 1835. The Agence France-Presse
Agence France-Presse
Agence France-Presse is a French news agency, the oldest one in the world, and one of the three largest with Associated Press and Reuters. It is also the largest French news agency. Currently, its CEO is Emmanuel Hoog and its news director Philippe Massonnet...
(AFP) news agency comes from it. Havas was acquired by Vivendi
Vivendi
Vivendi SA is a French international media conglomerate with activities in music, television and film, publishing, telecommunications, the Internet, and video games. It is headquartered in Paris.- History :...
in 1998, and renamed Vivendi Universal Publishing. VUP in turn merged with Lagardere
Lagardère
Lagardère may refer to:* Lagardère Group* Jean-Luc Lagardère* Arnaud Lagardère* Lagardère, a commune of the Gers département, in France...
to become Editis in 2004.
French corporate raider Vincent Bolloré
Vincent Bolloré
Vincent Bolloré is a French industrialist, corporate raider and businessman.He heads the family investment group Bolloré and is ranked 736th richest person in the world according to Forbes, with an estimated fortune of US$1.7 billion...
, through his holding company the Bolloré
Bolloré
Bolloré is a French investment and industrial holding group headquartered in Puteaux, on the western outskirts of Paris, France. The company, a paper-energy-plantations-logistics conglomerate, employs 28,000 people around the world....
Group, is the main shareholder, controlling 26.41% of the share capital as at 20 July 2006. Bolloré is also the Chairman of the Havas board (Président du conseil d'administration).
History and evolution of the Havas name
Havas is the family name of Charles-Louis HavasCharles-Louis Havas
Charles-Louis Havas was a French writer, translator, and founder of the news agency Agence France-Presse .Born at Rouen, Havas can be regarded as the founder of the concept of a press agency. He translated information from abroad for the French national press, aware of their growing interest in...
. He created the first French press agency in 1835.
| Year | Event |
|---|---|
| 1879 | The Havas news agency incorporated as a Société Anonyme S.A. (corporation) S.A. designates a particular type of corporation in various countries, mostly those employing the civil law. It originated in Spain during the 16th century. Depending on language, the abbreviation stands for various phrases meaning anonymous society, anonymous company, anonymous partnership, or... (plc Public limited company A public limited company is a limited liability company that sells shares to the public in United Kingdom company law, in the Republic of Ireland and Commonwealth jurisdictions.... ). |
| 1920 | Havas merges with the Société Générale d'Annonces and becomes the leading press manager (later extended to radio and cinema domains). |
| 1923 | started billboarding. |
| 1945 | The Havas news agency is nationalised after the fall of the Vichy government. Starts up in the travel business. (later extended to free newspapers, professional and other publications) |
| 1968 | Creates Havas Conseil S.A. to become advertising and media consultants |
| 1975 | Havas Conseil S.A. changes its name to Eurocom |
| 1987 | The Havas news agency is privatised and becomes Havas S.A. |
| 1996 | Eurocom S.A. changes its name to Havas Advertising S.A. |
| 1997 | Havas SA absorbs C.E.P. Communication |
| 1999 | Vivendi Vivendi Vivendi SA is a French international media conglomerate with activities in music, television and film, publishing, telecommunications, the Internet, and video games. It is headquartered in Paris.- History :... takes over Havas (100%) |
| 2000 | Havas renamed Vivendi Universal Publishing, and sells off Havas Advertising |
| 2002 | Havas Advertising buys out the name Havas |
Havas Conseil S.A.
By 1968, Havas had become a diversified group which had, inter alia, communications and advertising interests. These interests were incorporated into a société anonyme, Havas Conseil S.A., which expanded its business rapidly.In 1975, Havas Conseil became Eurocom, holding company of a Group of subsidiaries specializing in various communications activities.
Since the 1970s, the Group has grown significantly in France and internationally, both in the communications and media buying sectors, by broadening the scope of services that it offers and expanding into new communications techniques and technologies.
Havas was first listed on the Paris Bourse (now the Euronext Paris
Euronext Paris
Euronext Paris is France's securities market, formerly known as the Paris Bourse, which merged with the Amsterdam, Lisbon and Brussels exchanges in September 2000 to form Euronext NV, which is the second largest exchange in Europe behind the UK's London Stock Exchange...
) in 1982. The principal milestones in the Group’s strategic development are the following:
| Year | Event |
|---|---|
| 1991 | Eurocom Eurocom Eurocom is a British video game developer founded specifically to develop games for the Nintendo Entertainment System. Since then Eurocom has expanded to several other platforms including handheld game systems and most major video game consoles.The company was once famous for its arcade to console... acquires the French advertising group RSCG, leading to the creation of the Euro RSCG Worldwide advertising network. RSCG had been the lead advertising agency for Peugeot Peugeot Peugeot is a major French car brand, part of PSA Peugeot Citroën, the second largest carmaker based in Europe.The family business that precedes the current Peugeot company was founded in 1810, and manufactured coffee mills and bicycles. On 20 November 1858, Emile Peugeot applied for the lion... . |
| Start year | End year | Event |
|---|---|---|
| 1996 | Eurocom changes its name to Havas Advertising and creates four operating divisions, Euro RSCG, Campus, Diversified Agencies, and Médiapolis. American Bob Schmetterer is named Chairman and CEO of the largest division Euro RSCG, whose headquarters are moved to New York in 1997. | |
| 1998 | Compagnie Générale des Eaux, which changed its name to Vivendi Vivendi Vivendi SA is a French international media conglomerate with activities in music, television and film, publishing, telecommunications, the Internet, and video games. It is headquartered in Paris.- History :... , acquires control of Havas and its subsidiary Havas Advertising. Vivendi is to later consider its advertising and communications interests no longer strategic. |
|
| 1998 | 2001 | Following the wave of consolidation within the advertising/communications sector, Havas Advertising adopts an aggressive acquisition strategy in order not to become a takeover target following its independence from Havas. In order to become a bigger and more global player, it acquired MPG and Snyder, as well as around one hundred specialized agencies in America United States The United States of America is a federal constitutional republic comprising fifty states and a federal district... , Europe and the Asia Pacific region. This strategy has been criticised by Maurice Levy Maurice Lévy (Publicis) Maurice Lévy, born 18 February 1942 in Oujda, Morocco, is a leading French businessman currently the chief executive officer of Publicis and has served in that role since 1987.- Career :... as "reckless". |
| 1999 | Creation of "Media Planning Group" by combining the media planning and buying activities of Media Planning, S.A., a Spanish company controlled by Léopoldo Rodés Castañes and his family, with Médiapolis, the Company’s then existing media planning business. Havas initially acquired 45% of MPG, which was increased to 100% in May 2001. With MPG, Havas offers a wide range of media services in major markets worldwide. | |
Acquisition of Snyder Communications Inc.
- On 4 April 2000, at the height of the M&A frenzy, Havas Advertising agreed to acquire Snyder CommunicationsSnyder CommunicationsSnyder Communications Inc. was founded in 1988 by Daniel M. Snyder and his sister Michelle Snyder. Their activities were mainly outsourced marketing services, such as Direct marketing, database marketing, proprietary product sampling, sponsored information display in prime locations, call centres,...
, Inc. (SNC) in an all-share transaction, where SNC was valued at US$2.1 billion. Just prior to the takeover, the market capitalisation of SNC was just US$1.3 billion.
SNC was a listed communications group controlled by Daniel Snyder
Daniel Snyder
Daniel M. Snyder is the current owner of the Washington Redskins American football team, owner of the Dick Clark Productions television production company, and primary investor in Red Zebra Broadcasting, which is home to the Redskins Radio Network. Snyder has a net worth of $1.05 billion...
, and their activities were mainly outsourced marketing services, such as Direct marketing
Direct marketing
Direct marketing is a channel-agnostic form of advertising that allows businesses and nonprofits to communicate straight to the customer, with advertising techniques such as mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional...
, database marketing
Database marketing
Database marketing is a form of direct marketing using databases of customers or potential customers to generate personalized communications in order to promote a product or service for marketing purposes...
, proprietary product sampling, sponsored information display in prime locations, call centres, field sales.
- SNC's three divisions: Bounty SCA Worldwide, Arnold Communications and Brann Worldwide were respectively merged with Euro RSCG, Campus, and Diversified Agencies. Arnold Communications becomes Havas' second network, Arnold Worldwide PartnersArnold WorldwideArnold Worldwide is an advertising agency headquartered in Boston, Massachusetts. The agency has 15 offices in 12 countries, including Amsterdam, Boston, Lisbon, London, Madrid, Melbourne, Mexico City, Milan, New York, Prague, São Paulo, Shanghai, Sydney, Toronto and Washington DC...
. - as part of the SNC deal, Havas Advertising lists American Depositary Shares (ADSs) on the NASDAQNASDAQThe NASDAQ Stock Market, also known as the NASDAQ, is an American stock exchange. "NASDAQ" originally stood for "National Association of Securities Dealers Automated Quotations". It is the second-largest stock exchange by market capitalization in the world, after the New York Stock Exchange. As of...
National Market System. - The deal was completed on 25 September.
- The stake belonging to VivendiVivendiVivendi SA is a French international media conglomerate with activities in music, television and film, publishing, telecommunications, the Internet, and video games. It is headquartered in Paris.- History :...
is diluted to 40% following the acquisition.
| Year | Event |
|---|---|
| 2002 | Following the decision of Havas to rename itself Vivendi Universal Publishing and to divest itself of its remaining stake in the Havas Advertising, the name was acquired by the latter. "Havas Advertising" became "Havas" by decision of the annual shareholders meeting held on 23 May 2002. |
| 2003 | Strategic restructuring and reorganization of the Group around three core divisions announced September : Agencies from the Diversified Agencies division are sold or absorbed into the remaining divisions, Euro RSCG Worldwide (integrated communications); MPG (Media planning and buying) and Arnold Worldwide Partners (advertising). |
| 2004 | Havas completes its strategic reorganization. In July, Bolloré Bolloré Bolloré is a French investment and industrial holding group headquartered in Puteaux, on the western outskirts of Paris, France. The company, a paper-energy-plantations-logistics conglomerate, employs 28,000 people around the world.... Group starts to build a stake in Havas. In October, the Company completes a €404 million capital increase which enabled it to reduce its overall debt levels. |
| 2005 | Bolloré Bolloré Bolloré is a French investment and industrial holding group headquartered in Puteaux, on the western outskirts of Paris, France. The company, a paper-energy-plantations-logistics conglomerate, employs 28,000 people around the world.... Group, with a 22% stake, obtains 4 seats on the Havas Board at the Shareholders meeting, and seizes control of the Company. Chairman and CEO Alain de Pouzilhac was deposed in a boardroom coup Boardroom coup A boardroom coup is the sudden overthrow of the management or governing body of a corporation by an individual or small group of individuals, usually from within the company.-Notable examples:... on 21 June 2005. Vincent Bolloré Vincent Bolloré Vincent Bolloré is a French industrialist, corporate raider and businessman.He heads the family investment group Bolloré and is ranked 736th richest person in the world according to Forbes, with an estimated fortune of US$1.7 billion... succeeded as Chairman. Other board and management level changes followed. |
| 2006 | Havas names Fernando Rodés Vilà, son of the founder of Media Planning S.A. Leopoldo Rodés Castañes, as its new CEO in March. Havas remains listed on Euronext Euronext Euronext N.V. is a pan-European stock exchange based in Amsterdam and with subsidiaries in Belgium, France, Netherlands, Portugal and the United Kingdom. In addition to equities and derivatives markets, the Euronext group provides clearing and information services... , but announces its plans to delist from the NASDAQ NASDAQ The NASDAQ Stock Market, also known as the NASDAQ, is an American stock exchange. "NASDAQ" originally stood for "National Association of Securities Dealers Automated Quotations". It is the second-largest stock exchange by market capitalization in the world, after the New York Stock Exchange. As of... stock exchange as of 28 July 2006. |
Services
Havas’ business consists of providing communication consulting services, through traditional advertising in media, a multitude of various marketing services and media expertise.Traditional advertising services consist of defining the nature, content and illustrating the advertising message for dissemination through traditional media: television, radio and print and display advertising for the promotion of products or brands.
Other marketing services would include marketing strategies designed to acquire customers or clients through specific or specialised audience targeting. These would include direct marketing
Direct marketing
Direct marketing is a channel-agnostic form of advertising that allows businesses and nonprofits to communicate straight to the customer, with advertising techniques such as mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional...
, sales promotion
Sales promotion
Sales promotion is one of the four aspects of promotional mix. Media and non-media marketing communication are employed for a pre-determined, limited time to increase consumer demand, stimulate market demand or improve product availability...
, corporate communications
Corporate communications
Corporate communication is the message issued by a corporate organization, body, or institute to its publics. "Publics" can be both internal Corporate communication is the message issued by a corporate organization, body, or institute to its publics. "Publics" can be both internal Corporate...
, Healthcare Communications, internal communications
Internal communications
Internal communications is the function responsible for effective communication among participants within an organization.A relatively young profession, IC draws on the theory and practice of related professions, not least journalism, knowledge management, public relations, media relations,...
, Television sponsorship, Design, human resources
Human resources
Human resources is a term used to describe the individuals who make up the workforce of an organization, although it is also applied in labor economics to, for example, business sectors or even whole nations...
communications, New media & interactive communications
New media
New media is a broad term in media studies that emerged in the latter part of the 20th century. For example, new media holds out a possibility of on-demand access to content any time, anywhere, on any digital device, as well as interactive user feedback, creative participation and community...
, media planning and media buying
Advertising management
Advertising management is a career path in the advertising industry. Advertising & promotions managers may work for an agency, a PR firm, a media outlet, or may be hired directly by a company to develop branding for the company's product or service...
.
Trivia
- By agreeing to sell SNC, Daniel SnyderDaniel SnyderDaniel M. Snyder is the current owner of the Washington Redskins American football team, owner of the Dick Clark Productions television production company, and primary investor in Red Zebra Broadcasting, which is home to the Redskins Radio Network. Snyder has a net worth of $1.05 billion...
availed himself of the means to set another record: acquiring the Washington RedskinsWashington RedskinsThe Washington Redskins are a professional American football team and members of the East Division of the National Football Conference in the National Football League . The team plays at FedExField in Landover, Maryland, while its headquarters and training facility are at Redskin Park in Ashburn,...
team and their stadium for $800 million in May 1999, in the most expensive transaction in US sporting history.