Enfatico is Italian for emphatic or pompous. Just over 18 months ago WPP won the contract to build a global marketing agency from scratch to service Dell and named it Enfatico. The firm was meant to bring all of Dell’s marketing, advertising and PR under one roof, cutting costs and eliminating the problems others have had when trying to offer an integrated service. It was a bold, ambitious plan. At the time WPP said Enfatico would use the model to win other clients in time. Well, at this stage Dell is the only major client Enfatico ever had (they did have one other client: Progress Software) and Enfatico itself has been rolled into Y&R. So does that mean the experiment failed? Officially Dell will deny any failure but it clearly hasn’t been a roaring success. If it had, then Dell would be one of many clients for the agency and Enfatico would be growing like a weed.
So why has Enfatico not been an emphatic success and instead been something of a pompous failure? From the start the agency had a significant problem that was meant to be its main asset – namely that it had only one client. Hiring top talent to work on just one account was always gong to be a challenge. It’s also not a great business model. After all, does a client truly want to buy 100% of the time of all the people in the firm?
The other great problem for Enfatico is that it didn’t appear to have total buy in from the client side. Rumors constantly circulated that different departments liked their old agency partners and wanted to go back to the way things were before. This makes it really tough to keep a client. Agencies and clients have to be a team, this is especially true with larger clients where there are so many moving parts.
Does all this mean the days of a single global agency are over? I very much doubt it. I think it simply means the Enfatico model didn’t work. That said, I’m sure WPP will try the model again.
So the news is now out that WPP is to create a dedicated agency for advertising, PR etc which is code named Da Vinci for Dell. It’s a bold move for the business and one that will likely have its share of successes and failures. The biggest challenge is clearly going to come on the talent front. Perhaps not so much at the beginning when it’s all ‘new’ but down the track when the client is past the honeymoon phase and the real work has begun. It will be then that the new agency will have to sell people on the benefits of only working on one piece of business. Star talent will not want to feel like a contractor that’s for sure. What is certain is that this move will be watched by others to see what can be learned.