Publicis Sinks After Scrapping Target on Weak U.S. Ad Spending

  • Agency network blames performance on drop in traditional ads
  • Publicis is pouring money into digital as old media shrink
Times square in the rain.Photographer: Tony Eccles/Moment Open
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Advertising group Publicis Groupe SA plunged after dropping its revenue target for the year as it weathers a prolonged decline in TV and billboard work for consumer goods clients in the U.S.

A push into digital marketing by the Paris-based agency network wasn’t enough to revive growth in the second quarter, when a 0.1% rise in sales missed analyst forecasts. Publicis also reported another drop in traditional marketing in North America, where the company gets more than half of its business.