Key Facts

Headquarters

111 Eighth Ave.
New York, NY 10011

Phone: 212-981-7600
Fax: 212-981-7525

Industry

Advertising and Marketing, Public Relations

Ticker Symbol

subsidiary of Interpublic (IPG)

Staff

Population: 953
1 year change: 2 percent

Financial

2006 U.S. revenue: $160 million
1-yr. growth rate: 7 percent

Deutsch, Inc.

Company Overview

Highlights

Graded a B overall on the 2007 Adweek Agency Report Cards.
Owned by the Interpublic Group of Companies.

Founded as a print-focused boutique ad agency in 1969, Deutsch is now a major player in the industry. In recent years, the agency has produced notable work such as the Coors Light “Wingman” ads and the California Milk Advisory Board’s ads featuring talking cows. Deutsch saw double-digit revenue growth each year between 1997 and 2004. 2005 was a different story, though: Revenue dropped by 10 percent during the year, and headcount fell by the same percentage.

For a number of years, CEO Donny Deutsch (son of founder David Deutsch) had been spending more time working on his cable news show, The Big Idea with Donny Deutsch, than on running the agency; in 2005, he stepped down from the chief executive post.

CEO Linda Sawyer is now at the helm. Under her watch, the agency has reversed its losses and shown modest growth. In June 2007, the agency unveiled a strategic partnership with New Jersey-based PR powerhouse MWW Group, also owned by Interpublic, to allow the duo to tap each other’s strengths and offer a broader range of services to accounts.

Among the agency’s clients are Johnson & Johnson (St. Joseph aspirin), Old Navy, Starwood Hotels & Resorts, TGI Friday’s, and Verizon Business. Wins in 2006 included the $60 million IKEA and $150 million DirecTV accounts, as well as Circuit City’s $150 million media planning operations. Wins in early 2007 included the Olympus Imaging America and Wildlife Conservation Foundation accounts.

Offsetting these was the loss of the Expedia and Novartis Diovan accounts, valued at $170 million and $20 million respectively. The agency, which is known for doing a better job of retaining employees than its competitors, maintains offices in Los Angeles, New York, and Toronto. In addition to advertising, it does direct marketing and PR.