By Revelations from local media have shown that the French business of Clear Channel worked with McKinsey & Company on developing a new strategy following its acquisition.
McKinsey’s plan was at the straightforward: drive growth for the company by creating new value, especially in the area of outdoor advertising, which currently only makes up around 20% of its turnover. The main goal is to increase the commercial market share for the company in a market that is growing substantially (over 5% in 2023).
The plan by McKinsey & Company also earmarked the return to profitability as a key priority. This journey will not just build on printed advertising, but also embrace the full breadth of digital forms, including social media like TikTok and Instagram.
Clear Channel in France was part of parent company Clear Channel Outdoor Holdings, a US-headquartered multinational and one of the world’s largest outdoor advertising companies. The French subsidiary was not doing badly for itself: It saw a turnover of €245 million in 2022.
The company is present in 50 cities with a population of over 100,000, in 4,000 smaller municipalities, and in the top 25 malls across France. Clear Channel has around 800 employees across France.
According to Didier Quillot, senior advisor to majority shareholder Equinox, the outlook for Clear Channel in the French market is positive. He points at the enormous potential for the advertising company, with opportunities in accelerating investment in digital and in forging new partnerships. “Clear Channel is a challenger in a growing market and the company has a DNA of innovation,” he said to French publisher Le Figaro.
Quillot in particular noted the great opportunity that will come with the highly-anticipated 2024 Paris Olympics, set to begin in early summer. That will include mobile, TV, and radio media in digital form, which he highlighted is cheaper, more effective, and accessed far more by a younger audience.
Equinox acquired the French business of Clear Channel in October last year, reportedly for the sum of €42 million. Clear Channel has meanwhile rebranded as Cityz Media.
