M&C Saatchi Advertising Los Angeles is ceasing operations after nearly two decades due to the financial impact of the coronavirus pandemic.
“M&C Saatchi Advertising LA will cease operations from 15 April due to the financial effects of COVID-19,” M&C Saatchi said in a statement. “M&C Saatchi Performance LA and M&C Saatchi Sport & Entertainment LA are unaffected and remain open in LA and Worldwide.”
Performance marketing has overtaken advertising as the larger division for the Los Angeles office in recent years, while sports and entertainment was a recent addition. A source with knowledge of the agency estimated around 20 people were impacted by the division closing.
“As you can imagine, myself, Kate Bristow and Maria Smith, the three Partners in the LA office, are deeply saddened, and devastated for our amazing staff and clients, all of whom have been incredibly supportive in this difficult time,” partner and managing director Rebecca McGough said in a statement.
The news follows a series of impactful departures for M&C Saatchi over the past couple of years. Longtime M&C Saatchi North America CEO Huw Griffith died in September 2019 at the age of 55. Last December, co-founder Maurice Saatchi left the agency, along with three non-executive directors, amid an accounting scandal.
We will update this post should we receive any further information.