What’s $300m anyway?
WPP is closing Triad, the shopper marketing agency it bought for $300m in 2016.
WPP’s GroupM says: “The dramatic changes in the retail industry, coupled with the economic conditions triggered by the global pandemic, have brought us to the difficult decision to close Triad. We are proud of Triad’s role as an early retail media pioneer, as evident in the successful sale of its proprietary technology and engineering team to Sam’s Club in Fall of 2019. Our heartfelt gratitude to Triad for its leadership, customer innovations and retail media inventions.”
Walmart’s Sam’s Club was the foundation client of Triad.
Last November WPP sued the two private-equity firms that previously owned Triad, plus three former Triad executives and an insurance company that indemnified against losses on the deal, claiming it lost more than $120 million.
At its peak Triad had revenue of $100m. The Florida-based firm’s other clients included CVS, Kohl’s, Staples, Office Depot, and Bed Bath & Beyond.
This is an update for an earlier story.