The advertising industry is bracing for the domino effect after Y&R Advertising poached high-flyer Paul Catmur from DDB yesterday.
The executive creative director for the Asia Pacific region at DDB, Catmur will be Y&R executive creative director for Australia and New Zealand.
Top-end departures often create a knock-on
effect in the close-knit industry, increasing the prospects for more executive poaching.
Agencies end up paying extra to hold on to their most valuable talent.
Saatchi & Saatchi creative director Toby Talbot was recently paid a substantial sum to head off an offer from Y&R.
DDB confirmed it is now looking for a replacement for Catmur.
Catmur's seven years at DDB have coincided with a time it has moved from a middle-sized agency to the top rung once dominated by Saatchi & Saatchi and Colenso BBDO.
Catmur will be one of six executives that own 30 per cent local shareholding in Y&R New Zealand and will have a seat on the global creative board for Y&R, which is among the biggest advertising agencies in the world.
Big advertising agencies typically sell themselves on three offerings: creativity, backed by a plethora of advertising awards; the quality of relationships with clients; and the ability to reach the target market in the most cost effective way.
DDB is perceived as having a particularly strong creative output under Catmur.
He is credited with acclaimed award-winning ad campaigns for McDonald's Restaurants and Sky Television.
In typical ad agency hyperbole, Y&R described the hiring of Catmur as a coup.
But obtaining Catmur's talent is significant in a local industry seeing more and more corporates based out of Australia and considering ad campaigns for both countries. Y&R chief executive Jon Ramage said that a vacancy had existed for some time but it would continue to look for new key staff including a creative director to oversee day to day work from its Auckland agency.
The departure of key staff can also be used to undermine relationships with clients.
This is more typically the case with senior account directors, or "suits", who have more direct relationships with clients. The poaching of a key creative talent can be used to coax clients away.
Catmur leaves DDB tomorrow and starts at Y&R early next year.
Advertising industry executives said a creative director with Catmur's oversight of both Australia and New Zealand could command a salary of about $500,000 per year.
