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Airfoil Public Relations Downsizes After Microsoft Enterprise Loss

Airfoil Public Relations downsizes and relocates after losing the Microsoft Enterprise account — 20% of revenue. Four new client wins, office moves in Michigan and Northern California, and CEO Lisa Vallee-Smith on the rebuild.

Profiled

Jun 4, 2018

Desk

EPR Editorial Team

Firm summary

Airfoil Public Relations is downsizing and relocating after losing about 20 percent of its business when the Microsoft Enterprise Product Group ceased to be part of Microsoft's long-term plans. The Microsoft Enterprise account was Airfoil's largest client. Airfoil is a Detroit-founded PR firm specialized in technology, corporate strategy, and campaign work.

The immediate operational consequence: office moves. Airfoil is shifting its Michigan headquarters from the Southfield Town Center to a more urban location in Royal Oak. In Northern California, the firm moved from Sunnyvale to downtown San Jose over the summer.

The Post-Microsoft Rebuild

Airfoil now runs six employees in San Jose, plus one in New York City servicing the new WorkWave account. WorkWave provides integrated services to mobile workforce companies in field service, transportation, and logistics.

The firm has announced four new client wins to offset some of the lost revenue:

Ambassador — a referral marketing platform that helps companies track, manage, and analyze referrals.

NH Learning Solutions — a network of 17 centers across 10 Midwestern and Northeastern states, including Connecticut, Illinois, Massachusetts, Michigan, New Hampshire, New Jersey, New York, Ohio, Pennsylvania, and Rhode Island.

Automation Alley — a startup accelerator focused on growing the Southeast Michigan economy.

Glance Networks — a customer service platform serving 3,000 healthcare, financial services, technology, SaaS, retail, and travel and leisure organizations.

Can the Rebuild Cover a 20% Loss?

Losing Microsoft was a material blow — 20% of revenue from a single top client is the kind of loss that reshapes an agency. The question for Airfoil is whether the four new accounts can replace the run-rate.

Founder and CEO Lisa Vallee-Smith framed the timeline directly. "We won't realize that new revenue until next year," she said. "Our fiscal year starts in January. Our folks are going for renewals now."

The near-term consequence is a hiring freeze. Beyond an accounting hire in Michigan, Vallee-Smith said Airfoil has no plans for significant staff expansion through the first quarter of the following year. The firm is repositioning around a smaller footprint and a rebuilt book — the standard playbook for an agency working through a major-client loss.


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Editorial assessment by Everything-PR, based on public record and archive coverage. No firm-supplied marketing copy, no paid placement.