It’s not about revenge on WPP, but building new businesses – says APAC S4 Capital CEO Michel de Rijk
In a candid discussion with Mumbrella’s Dean Carroll, new S4 Capital Asia-Pacific CEO Michel de Rijk sets out what is in store from Sir Martin Sorrell’s new venture – and it is not ‘revenge’ on his former company WPP
In terms of acquisitions, what type of companies will you be looking to buy and why?
“S4 Capital is looking to acquire companies in the content, digital media planning and buying and first party data space. This can be global or regional operating businesses.”
Why Singapore as your base and why Singapore as S4 Capital’s APAC HQ?
“Singapore has a successful MediaMonks operation, great support from government bodies, access to local and regional clients, qualitative talent and happens to be my homebase for the last seven years.
“Avoiding the disruption of moving my family to another country makes sure I can fully focus on the success of S4 Capital.”
Will you be building your own team as well as making acquisitions and, if so, what will that team look like?
“It will be a combination of both. Sir Martin is looking at a few acquisitions and with these key assets it will be our focus to grow organically across the region.”
What prompted you to make the switch from WPP to the new company of the former WPP boss?
“I have had great years with WPP, GroupM, Xaxis and I am thankful for the opportunity. Being able to build a start-up within a holding company is truly an experience of a lifetime.
“After Xaxis, being able to spread the power of cutting edge technology across the wider group with [m]Platform and help other ‘start-ups’ during my last remit for the Performance Media Group completed a journey.
“I realised that my true passion is to build new, innovative businesses from the ground up. When Sir Martin called and explained to me his new vision, I was interested.
“Follow-up conversations with the MediaMonks management was the final confirmation, for what I believe is an amazing journey to come.”
What can S4 Capital offer clients that no other holding company or agency does?
“Bridge the gap between creative production and digital media execution to deliver better ROI to advertisers. Faster, better and more efficient.”
What is the end goal for 2019, what are the key things you want to achieve in the next 12 months?
“Establish a content, media planning and buying offering in our key regional markets (China, Singapore, Australia, India & Japan).”
Did you resign from WPP or were you pushed?
“Resigned.”
Does your relationship with Martin Sorrell go back a long way?
“I have worked for WPP for seven years.”
What do you admire most about him?
“Admire is a big word, but for someone who has achieved everything in this industry that is possible, to start a new company and be determined to make it his biggest success, is something to respect and be part of.”
Which market in Asia has the biggest potential for S4 Capital and why?
“Asia-Pacific as a region is a huge opportunity for S4 Capital. We have set our focus on a few key markets now, but long term we want to be able to serve all our clients in all markets.
“In what order it will happen depends on where our clients want us to support them.”
Is S4 Capital going to remain as the name of the company for the long term? It is not the most engaging moniker for a client-facing organisation.
“S4 Capital is not the client-facing brand. I’m sure over time our positioning will be more clear.”
What is the reporting structure within the company? Do you report straight into Martin Sorrell?
“It is a flat organisation and we all work closely together as a management team.”
Who do you see as S4 Capital’s competition now?
“There is no company you can compare with S4 Capital; there are several competitors in the different areas S4 Capital is or will be active.”
What do you say to those out in the market who say that S4 Capital just looks like a revenge play against WPP?
“It’s the short-sightedness of ‘those’ that surprises me the most.”
Dean is the publisher at Mumbrella Asia. He is an experienced British journalist, who has worked in a number of international markets including Singapore, Australia, Dubai, Switzerland and the United Kingdom. As well as his media work, he is also a published academic.
Zero respect for such people, including those who will join S4M, starting with Sorrell himself. These are people who blatantly defect. Actions speak older than words – so while you may say there is no revenge… there is! It’s just morally so wrong! One can have the best team but without integrity there is nothing. Where is honour and business ethics?
ReplyPlease elaborate, what is wrong with anyone joining this venture?
I guess you can always discuss SM’s motives and actions, but for anyone else joining later I don’t see the issues.
If you look beyond SM and WPP it is quite an interesting venture to follow and to join at this time must be quite exciting for anyone with an entrepreneurial spirit, looking at the plans they are communicating.
ReplyIf you trace back, the very foundation of S4M is to take WPP head. on. You can call it what you want or rationalize it any way you like l, but the fact Sorrell formed S4M with [Edited under Mumbrella’s community guidelines] on his mind is undeniable!
Ethics would say exit in honour and with respect and do not take advantage of information one has from a previous employer. Yet he [Edited under Mumbrella’s community guidelines] and acquired. Media Monks. Now is on a mission to cherry pick people from WPP itself.
Why and how do you look beyond SM and WPP. This is in the DNA. And that’s impossible to change.
Not only employees, even clients must think before parking their business in agencies. And the company one keeps speaks volumes of onsleself or of a brand.
ReplyMichel says – “…for someone who has achieved everything in this industry…, to start a new company and be determined to make it his biggest success, is something to respect and be part of.”
Something to Respect? Indeed…but also something to Suspect! Why would a person at 73 years of age want to start all over again? It’s like adopting and nurturing another baby only so that it can compete with the first child, now separated. Anyone being a part of this, subscribes to this philosophy.
ReplyWPP grew by buying (with borrowed money) agencies that had long standing client revenues.
ReplySMS then maxed out margins by trimming the fat and gutting staff of the acquired shop.
It’s a different story today.
Agencies are already lean and clients have no loyalty.
The cost of funds has also soared.
I doubt SM will play with his own money.
The moment rate-cards were replaced by hourly-rates was the time when the focus shifted from creativity to margins.
ReplyAnd you believe this industry runs on ethics and loyalty ?
The industry is so incestuous that mosts the talent have done some merry go around working for multiple agencies. So what’s wrong if someone joins another company?
Ethical? Aren’t the big networks all under probe by ANA/FBI for all the wrongdoings or would have at least gone through some financial or ethical scandal before? There is so much more hidden under wraps which is not published in media.
So cut the chase and just accept that this is what you call evolution and change, whether it’s within the industry or the mindset.
ReplyNothing wrong in joining another company. Something wrong In joining a company that is built with poor intentions. Speaks volumes of people and brands joining this.
ReplyAs quoted by Sir Martin Sorrell, “the best form of revenge would be building a significant and successful new-era, new-format, new-approach agency”…
Words said at his recent interview with Campaign in London. 2 days ago.
So much for the headline of this article!
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