Moving houses, not flipping a switch: Insider says Omnicom–IPG shift runs through 2026

New Delhi: Even as Omnicom Group proceeds with integrating Interpublic Group (IPG) into its global framework, a move that places MullenLowe Lintas under TBWA, insiders say the merged entity’s assumption of a January 1, 2026, transformation is far from reality. 

According to a senior Lowe executive, who requested anonymity, the date is illusory, with the true restructuring expected to run through the entirety of 2026.

The executive underscored that the on-ground situation today remains largely unchanged despite the high-profile leadership announcements. “It is business as usual at the moment,” the senior leader said, adding that only the top leadership layer has been finalised so far. Everything else, from reporting structures to email IDs, continues exactly as it did before the merger.

A merger too complex to move on a fixed-day switch

While the global industry has been treating January 1 as a reset moment, the executive says such expectations ignore the scale and complexity of this integration.

With dozens of agencies, overlapping capabilities and deeply entrenched legacy systems, a shift that early is impossible. “Transformation will take the whole of 2026. January 1 is an illusory date, not an operational one,” the executive said.

No job cuts so far

Significantly, there have been no local job cuts linked to the merger. Any significant pruning or restructuring, the executive said, “has already happened much earlier.” The next phase will be about smaller adjustments, such as eliminating duplicated processes, resolving conflicting business accounts and assessing resource deployment.

Eventually, the organisation will need to rationalise manpower. This includes asking how many people are actually needed, whether the system can run with fewer, who might retire in 2026 and whether certain employees should receive golden handshakes. “There are endless possibilities,” the executive mentioned. 

2026: A full year of back-and-forth decision-making

Beyond staffing, even basic administrative elements will require extensive reworking, from branding and letterheads to visiting cards, contracts and operating guidelines.

“The whole of 2026 will go in back-and-forth decision-making,” the senior official said, outlining the magnitude of the task. The executive predicted considerable administrative chaos at the start, particularly when aligning operational norms. With Lowe now moving under TBWA, even working-day structures and internal processes differ enough to create friction before stabilising.

For the immediate future, client deliveries will remain unchanged. Only once transition teams begin work will sensitive portfolio decisions start, including redistribution of Unilever and non-Unilever business, resolving brand conflicts and determining who handles what in the new structure.

It remains unclear whether the merged entity will function as one consolidated agency with multiple teams or separate agencies operating under a unified umbrella. Contract renewals scheduled next year may influence the final shape.

The executive anticipated that creative leadership integration would become one of the most complex components of the restructuring. Two creative heads coming from different organisations, new reporting lines, merged team responsibilities and the need to rebuild collaborative dynamics will require significant time and cultural effort.

“Leadership was announced only yesterday. They haven’t even physically begun integration,” the executive noted, likening the process to “moving houses. You pack, shift, settle and then rearrange”.