CMO interview: GroupM CEO Mark Lollback on marketing, media, transparency and technology

The former McDonalds chief marketing officer and now chief of GroupM shares his views on business transformation, the agency-client relationship, transparency, technology innovation and data utilisation

Mark Lollback
Mark Lollback


There’s no doubt the media industry is going through fundamental change, and agencies are at the pointy end of the stick. The list of challenges is a hefty one: Ad viewability and adblocking, trust erosion around media agency charging practices, changing client relationships thanks to digital and customer data disruption and an adtech explosion, to name a few.

But finding a way out of the chaos is exactly the way GroupM’s CEO, Mark Lollback, likes it.

Having spent many years as a client-side marketing leader, most recently as CMO of McDonalds Australia, where he helped turn around the fast food chain to deliver stronger long-term customer value and sustainable business growth, Lollbank joined GroupM in April, taking over the reins from John Steedman.

Six months in, Lollback caught up with CMO to talk about the shift from client-side CMO to agency CEO, the state of the media landscape, the role technology is playing in GroupM’s transformation and that whole issue of transparency.

A mandate for change

Lollback says what attracted him to the GroupM post was the willingness for fresh, disruptive thinking.

“Coming from a CMO role, I have a unique perspective of not only understanding media, but also what is and isn’t important to marketers and the business side, and what role media should be playing that perhaps it’s not playing,” he says.


Labelling himself the “client CEO”, Lollback groups his priorities into three buckets: Relationships; people and talent; and technology.

“Relationships to me are about not just having a beer with a client in the pub, it’s how close and how much we understand their business, and how passionate we are about it,” he says. “At McDonalds, nobody could become a supplier unless you worked in the restaurant and had been part of that. It’s a great way to get close to the business and demonstrate you genuinely understand it.

“For me, it’s about how our agencies build those really strong, quality relationships that are deep and high value. That’s an area we can improve on.”

Talent is another priority, and Lollback highlights the shortage of resources in the industry. He attributes this to multiple reasons, the first being the breadth of job opportunity in the marketing and advertising sector today.

But he also lays the blame for shortages at agencies themselves. “Rather than trying to find new talent, there is a lot of stealing talent amongst ourselves,” he says. “I want to look at how we change that dynamic as well and make those people feel more valued.”

In addition, Lollback questions whether agencies are hiring the right people for the right jobs as the roles and types of people coming into the workforce changes. An emphasis on analytical and client management skills, for instance, is key.

On the technology front, GroupM is making significant investments into core capabilities that can be utilised across its portfolio of agencies. Lollback points to proprietary media products, including ad serving offering, Plista, and programmatic platform, Xaxis, as examples.

“We have spent $27m building Xaxis to be the premiere programmatic system, and there is a pipeline of $45m to keep building that out,” he says.

GroupM’s data room meanwhile, is expanding to both improve targeting and media efficiency as well as turn data into insights that can be leveraged with clients. Building out external technology alliances is another string in the bow, and the recent relationship with ad verification player, Moat, is one of the ways GroupM is embracing emerging technologies.

Another tech innovation, codenamed Project Compass, will launch later this year. The project aims to provide GroupM with a centralised data spine and tech stack that can take client data, connect it to the agency’s data pools, then use that for segmentation, media targeting and attribution.

“This project will enable CRM to connect with our customer data and marry it, and out of that will be new segments but more importantly, look-a-like profiles which we can use for better targeting,” Lollback says. “We can plug that data into our data spine, mix in third-party data for attribution, then take that and put it through our Xaxis platform, so it’s connected up.”

Such technology disruption is triggering a major change in the way media agencies interact with clients. As a former CMO, Lollback has been on the receiving end of media agency work, and he believes agencies could do a better job of simplifying and educating clients about what’s really going on with technology. It’s why GroupM recently launched its custom video series, Tech Talks video series in August.

“Our whole organisation in the past has been focused on scale; I’m trying to move to smarts,” he says. “All of the conversations I’m having with the team and clients are based around the smarts we have, and how we apply those to your business to get better outcomes.”

Taking a horizontal approach

One way GroupM’s parent company, WPP, is looking to simplify how clients tap into its agencies smarts is by taking a ‘horizontal’ approach. This sees the group providing bespoke solutions to larger clients streamlining a breadth of capability via one client-facing team.

Lollback points to the Global Team Blue group managing WPP’s global relationship with car manufacturer, Ford. The single client-facing team has key communication and media skills but then taps into the diverse set of media, creative and PR capabilities stretching across the WPP group as required.

“As a CMO, one of the most frustrating things as the industry is fragmenting is the number of agencies you have to deal with - it is getting out of hand,” Lollback says. “When we looked at the digital landscape alone for McDonalds, we had 14 different agencies touching our digital assets.

“In this new model, whether you have a PR, digital, social or advertising problem, you go into one small central team of capabilities that specialise in each of those areas. It’s then that team’s job to get the best of WPP. You are helping to simplify things for the client, while still bringing them choice.”

WPP has 45 of these teams running globally with clients and Lollback is keen to bring the model to GroupM. These teams are also culturally closer to the client’s team, something marketers are increasingly asking for.

“They become true partners,” he says. “Plus the client knows that team they’ve helped handpicked are absolutely behind them.”

This approach could help stem rapid churn by keeping staff in strategic roles for longer, Lollback continues. “Strategically, a client services lead is a role you don’t want to be churning. But if there are junior people doing the trading or buying and they do that for 18 months then move on, it’s not as big a deal.

“But that all gets caught up in the noise of churn. We can separate that out and manage those relationships better at the same time.”

Up next: Lollback answers the big questions on ad viewability and transparency

Join the newsletter!

Or

Sign up to gain exclusive access to email subscriptions, event invitations, competitions, giveaways, and much more.

Membership is free, and your security and privacy remain protected. View our privacy policy before signing up.

Error: Please check your email address.
Show Comments

Blog Posts

Does your brand need a personality review?

There are five tell-tale signs your brand needs to take a long hard look at itself.

Charlie Rose

Senior Strategy Consultant, Principals

How to create profitable pricing

How do we price goods and services? As business leaders, we have asked ourselves this question since the history of trading.

Lee Naylor

Managing partner, The Leading Edge

Sport and sponsorship: The value of event sponsorship

Australia’s cricketers captured the nation’s attention during their recent run to the semi-final of the ICC Men’s World Cup. While the tournament ultimately ended in defeat, for over a month it provoked a sense of belonging, hope and empowerment for millions of people across Australia. Cricket, and sport in general, has a near-unique ability to empower individuals, irrelevant of their background, demographic or nationality.

Nikhil Arora

Vice-president and managing director, GoDaddy India

I should check these guidelines. I think it's important for me. Thanks for the info!

Juana Morales

IAB releases social media comment moderation guidelines

Read more

I didn't know about that. Thanks!

Jamison Herrmann

Twitter 'recap' helps you catch up with missed tweets

Read more

😂😂😂😂😂😂😂😂

Max Polding

What it takes to turnaround an iconic Australian brand

Read more

I spend a lot of time in my professional life as a provider of marketing solutions trying to persuade customers that CX, UX, UI and Custo...

sketharaman

Gartner VP: Why CMOs and CIOs must band together to make CX a discipline

Read more

I live the best deals at LA Police Gear.

Tyrus Rechs

6 Ways to ramp up Social Media to Your Web Design

Read more

Latest Podcast

More podcasts

Sign in