Orange County’s largest advertising agencies posted an estimated 12.8% gain in revenue last year, the second consecutive year the group has surpassed the $1 billion benchmark.
The 48 companies on this week’s Business Journal list range from traditional agencies and in-house ad shops to smaller digital firms. They combined for $1.36 billion in revenue, up from $1.21 billion in 2014. More than half—26—posted increases, seven were down, and three reported no changes. Figures for the remaining 12 are Business Journal estimates.
It was also a year of corporate tweaks. Several companies changed their names, and there were three executive shifts and as many headquarters moves.
Agencies, ranked by revenue, include:
• Advantage Marketing Partners in Irvine, which last year debuted in the No. 1 spot as IN Marketing Services. It pulled in the biggest share of the group’s sales, posting a 36.4% increase in revenue to $495 million. The division of Advantage Solutions that focuses on in-store promotions and experiential advertising also added 55 people to its team for a total of 350.
• INNOCEAN Worldwide Americas LLC in Huntington Beach. It came in at No. 2 with an estimated $200 million in revenue and 280 employees last year. The advertising arm of Fountain Valley-based Hyundai Motor America Inc. got a new chief executive in Steve Jun to go with a $300 million initial public offering by parent INNOCEAN Worldwide Inc., which also invested $9.6 million in a joint venture with New York-based Horizon Media Inc. to form Canvas Worldwide LLC. Canvas now handles nearly $1 billion in media buying for Hyundai and sister carmaker Kia Motors America Inc. in Irvine.
• Agency Ingram Micro in Irvine, which moved up two spots to No. 3. It reported $80 million in revenue, up 4%, while its advertising staff levels remained flat at 70. Its parent company, technology distribution giant Ingram Micro Inc., was acquired in February for $6 billion by Chinese conglomerate Tianjin Tianhai Investment Co. Ltd. A month earlier the company announced a move from Santa Ana to 175,000 square feet at a Park Place office in Irvine.
• Pacific Communications, another in-house ad shop. The agency made its own moves—from Costa Mesa to the Irvine campus of parent Allergan PLC and down two spots on the Business Journal’s list. Pacific Communications reported a 12.7% dip in revenue to $57.6 million and placed No. 4. Its employee count was up 4.2% to 250.
• Rauxa in Costa Mesa, No. 5, which reported $56.5 million in revenue, a 5.3% decrease. The agency upped its staffing levels 16% to 65. Founder Jill Gwaltney added the chief executive title to President Gina Alshuler’s duties, though Gwaltney will continue to be involved in day-to-day operations.
• Wunderman in Irvine, No. 11, which didn’t move but added “Los Angeles” to its name. The agency had an estimated $25 million in revenue last year and 60 employees. It parted ways with long-time executive Dan Olson and named Jeff Browe managing director of its western region. Olson is now chief executive of The Loyalty Consultants in Orange County.
• Casanova Pendrill Inc., which shares a parking lot with Rauxa, placed No. 14. The division of the McCann global advertising network was up 31% to $23 million. Its employee base grew at an identical pace to 85.
• The Shipyard in Newport Beach. It placed No. 20 with $13.4 million in revenue, a 6.3% uptick. The agency dropped its “O’Leary and Partners” name in February after it was acquired by the Shipyard marketing firm in Columbus, Ohio, on undisclosed terms. Founder Steve O’Leary now serves as vice chairman of the combined operations, and Jim Harrington, president of the ad shop, took on the same title at Shipyard.
• Maricich Healthcare Communications reported a 114% increase in revenue to $7.5 million, good for the No. 26 position. The agency kept its headcount at 25.
• No. 27, Irvine-based Rhythm. It reported a 39% jump in revenue to $7.4 million and increased its staff by 22% to 44 as it prepared to mark its 20th anniversary. Chief Executive Craig Cooke attributed the double-digit growth to “our strong reputation in the industry and the expertise and loyalty of our Rhythm team,” many of whom have been with the digital agency for “five, eight, even 12 years.”
• Skiver Advertising Inc. in Newport Beach, No. 28. It added two words to its name and bid farewell to partner and Executive Director Sean Hardwick. He landed in Kansas City, Mo., after getting an “incredible offer” from independent agency Barkley, where he’s handling Applebee’s account. Skiver ended the year with $7.2 million in revenue and 17 employees.
