Omnicom’s big task ahead: Integrating overlapping teams and keeping clients aligned

As Omnicom begins absorbing Interpublic Group (IPG) into its global fold, industry leaders warn that the world’s largest advertising holding company may have completed only the easy part—closing the acquisition. The real challenge lies ahead: managing overlapping workforces of two distinct cultures, pacifying unsettled clients, and navigating a massive layoff wave.

More than 4,000 jobs are expected to be cut globally as Omnicom restructures both IPG’s and its own creative and media operations. This aggressive restructuring—retiring iconic creative brands like FCB, MullenLowe and DDB, while leaving the future of IPG’s media shops still unclear—has triggered anxiety across the ecosystem. Insiders describe the moment as “historic but destabilising,” with employees and clients awaiting clarity.

The scale of the consolidation aligns with earlier statements from Omnicom CEO John Wren, who in an earnings call had emphasised the need to streamline operations and achieve up to 40% cost savings across overlapping global operations.

With thousands of employees and overlapping client rosters, India is expected to be one of the most complex markets to stabilise, analysts say. 

Besides, even after a week of the merger, leadership clarity remained elusive for media brands in India, including Initiative, Interactive Avenues, Lodestar, and Rapport, along with Omnicom’s own OMD, PHD, and Hearts & Science. 

So far, only Kartik Sharma has been appointed the CEO of Omnicom Media India and former IPG Mediabrands head Amardeep Singh has been given the COO role, announcements on rest of the leadership are expected soon. According to sources, all media agencies and their leadership teams of both sides are likely to be retained—albeit under rebranded identities aligned with Omnicom's global architecture. 

“Omnicom’s biggest challenge now is not structural—it’s human,” said Ashish Bhasin, Founder of The Bhasin Consulting Group. “They now have to manage two workforces and two sets of clients, each with their own culture and expectations. If this becomes merely an Excel-sheet exercise for cost savings, the ship could topple before any synergy is realised.”

Meanwhile, staffers are having sleepless nights mulling over their future prospects. IPG’s media agencies in India currently have a combined headcount of around 1,200, while Omnicom Media Group employs roughly 500. Their creative and other units add several hundred more staff. 

"Merging two large teams is always challenging. There’s a lot of uncertainty about reporting structures, roles, and how the combined culture will shape up. Everyone is watching closely to see how leadership manages this transition,” said an executive of the combined entity.

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“Clients Don’t Wait for Stability”

IPG Mediabrands India managed nearly $2 billion in billings in 2024, compared to Omnicom Media Group’s $500 million in the same period. The combined entity will be just next to WPP which commanded nearly $6 billion of billings in 2024. 

In 2025 alone, OMG India secured over 10 major new clients, deals collectively worth more than USD 40 million. Among the wins are Kimberly‑Clark, Zurich Kotak General Insurance, Atomberg, Double A, Michelin, Watertec, and Bondbazaar. The agency also clinched the mandate for Marico, its largest India win since the marquee Tata Motors account. The merged entity's expanded roster includes Amazon and BMW India too.

"Clients are naturally concerned about how the merger might affect service and strategy. The focus now is on maintaining consistency and reassurance while navigating internal changes,” said a media buyer.

Another senior network leader said, “Clients don’t buy holding companies—they buy people and continuity. The moment they sense instability or delayed decision-making, they start scouting. India is a fast-moving market. Omnicom would prefer stability over disruption and hence it is likely to retain all leaders across both the media ecosystem.”

Client portfolios are where this merger becomes existential, not academic. Many marquee brands across categories—auto, FMCG, BFSI, retail, tech—have long-standing exclusivity clauses and fiercely guarded strategic mandates. When agencies consolidate or switch parent networks, clients often reassess the long-term fit: Will their business be prioritised? Will their confidential data be ring-fenced? Will their team remain intact?

“In India, where pitch cycles are short and procurement-led evaluations are ruthless, any ambiguity becomes a migration trigger,” says an executive, adding, “Marquee leaders carry decades of institutional memory and client trust; losing even a handful can trigger cascading exits across teams and portfolios.”

Merger of philosophies

This is not a merger of processes—it is a merger of philosophies. IPG and Omnicom have historically operated with different cultural codes, incentive structures, tech stacks, and performance expectations. One side is known for operational stability; the other for aggressive brand power. For employees, the disruption isn’t the new logo—it’s a new way of working, selling, reporting, and being evaluated. 

“Legacy brands like DDB, FCB, or MullenLowe are not just company assets—they are symbols of creative history, alumni prestige, and industry identity. Retiring such brands may look rational on a balance sheet, but it risks alienating generations of clients, talent, and even cultural capital. In a sector obsessed with storytelling, killing beloved brands without narrative transition can fracture loyalty,” Bhasin noted. 

Bhasin remarked, “Ad agencies build brands for the world, yet often mishandle their own. Watching iconic names being absorbed feels like a personal loss—much like JWT under WPP. However, these decisions are being driven globally across 120 markets, with Omnicom prioritising synergies and cost-saving.”

The challenge is not renaming—it is reframing. Unless Omnicom creates a compelling brand migration story that explains the ‘why’ and the ‘what next,’ they risk discarding decades of goodwill and replacing it with internal resentment and market scepticism, a brand strategist shares. 

Next 12–18 months crucial

Experts believe the next year to 18 months will determine whether Omnicom’s integration becomes a strategic success or a cautionary tale. On one hand, they now command unprecedented global scale; on the other, they face the delicate task of balancing cost savings with stability, efficiency with legacy, and global mandates with local sensibilities.

Clearly, efficiency will be the driving force post the merger, and maximising it will inevitably lead to deep cuts across both agency systems. It feels like a repeat of WPP’s brand mergers—brutal surgery that’s bad for morale, markets, and business, said Meenakshi Menon, veteran industry expert.

Menon added, “From what I hear, the jockeying for survival has already begun. In some ways, those who get axed are the lucky ones—they know what follows. The ones retained will be groping in the dark, while the rest of us watch from the sidelines.”

This is a once-in-a-generation reset. Omnicom has the scale, but without cultural alignment, that scale alone won’t carry the combined entity forward, added another strategist.

“Let’s be frank—this is not a merger; it is an acquisition. Omnicom has the potential to build something truly formidable. But advertising is a people business. You cannot fix culture with spreadsheets, and you cannot replace relationships with org charts. The real work starts now,” Bhasin said.