The Stagwell Group LLC – a newly founded marketing communications company – has already reached an advantage in the marketing industry. They signed confidential contracts with as many as eight companies for the agency’s services set to launch in the fall of this year. A bit of trivia: The LLC is named in memory of 17th Century Maryland landowner, Thomas Stagwell.
After having raised $250 million in investment capital, Washington, DC-based The Stagwell Group LLC will offer digital marketing services beginning in September. This change happens when founding principal, Mark Penn, steps down from his position as Chief Insight Officer for Microsoft.
During his tenure at Microsoft, Penn honed his talents and insights on data analytics, designing unique business and marketing models allowing Microsoft to forge new paths in the technology industry. Penn also forged Microsoft’s advertising campaign against Google’s tactics on user privacy practices.
Stagwell – a SEC registered investment advisory company – will invest in advertising, research, data analytics, public relations, and digital marketing services. Stagwell’s edge in the industry will be Penn’s talents, insights, and experience offered to clients seeking to grow through state-of-the-art digital advertising and PR campaigns.
Stagwell Group has the leveraging capacity to expend $750 million in digital technology acquisitions. The company’s target clientele will be businesses desiring Stagwell Group’s “digital-first” philosophy for advertising and PR. This was affirmed in Penn’s announcement about his impending departure from Microsoft in a statement to The Wall Street Journal.
Using technology and data to create informative advertising and PR formulates Stagwell’s focus on companies desirous of becoming digital-first in marketing. Another foothold in the marketing industry that Stagwell prizes is the networking reach of one of its major investors, former Microsoft CEO Steve Ballmer. “Ballmer is the greatest investor anyone in marketing could hope to have, given his incredible experience, contacts and knowledge,” says Penn.
Penn’s plan is to invest in medium-sized companies with the potential for vigorous growth as digitally-based enterprises. Penn has a vision for Stagwell Group to exceed services presently offered by the top advertising and PR companies in the world. He plans to do so by combining quality and creative advertising with state-of-the-art data analytics. “There’s a lot of room for new blood in the advertising and marketing industry,” opined Penn to The Wall Street Journal.
Penn believes he has identified a “huge opening” for Stagwell’s investment in data analytics because television advertising – as well as other traditional forms of marketing – are being usurped by digital technologies. Penn’s vision of this opening in the market is shared by core investor Balmer said in his statement to PR Newswire, “I believe in the ability to invest, grow and even shake up firms in the marketing industries.”