British Ad Agency Moves Into Hollywood

The British advertising giant WPP Group recently made big waves on Madison Avenue by purchasing J. Walter Thompson and Ogilvy & Mather. It made more waves in Los Angeles on Tuesday by paying what the company said is up to $30 million for Seiniger Advertising, an agency that makes ads for films.

Seiniger is best known for creating promotional posters for the movies “Jaws,” “Moonstruck” and “Indiana Jones and the Temple of Doom.” It has also created various print and broadcast ads for a number of recent baseball films, including “Field of Dreams” and “Bull Durham.”

“Everyone wants to be in Hollywood,” said Tony Seiniger, who founded the agency 15 years ago and who will remain as president and chief executive. Among those who apparently want to be in Hollywood is Martin Sorrell, chief executive of WPP, who over the past two years has acquired two of America’s largest advertising firms, including J. Walter Thompson, which already has an entertainment group based in Los Angeles.

Advertising executives say the purchase by WPP, for stock and cash, is a sound one. “People are always going to make movies,” said Gordon Weaver, president of the Gordon Weaver Co., a Los Angeles outfit that specializes in film marketing. “And people are taking the entertainment marketing business for real now,” he said. “It’s no longer a lot of little boutiques.”

Plans Expansion

A spokesman for WPP said more purchases by WPP of similar film advertising companies may also be in the offing. “WPP likes to cover all the fast-growing areas,” said the spokesman. “And as you know, WPP is not in the business of dabbling.”

There are already plans to expand Seiniger from its Los Angeles base. “The only way we can grow is to expand into New York and London,” Seiniger said. During the next year, he said, the company hopes to open offices in both cities. The company also plans to begin creating ads for the television industry--including cable TV.

The 40 employees at Seiniger will join the massive payroll at WPP that now exceeds 21,000. Seiniger said his company has marketed more than 650 film campaigns since 1974.

Seiniger is now working on ad campaigns for the upcoming Oliver Stone film starring Tom Cruise, “Born on the Fourth of July.” It is also creating ads for the upcoming film “Chevy Chase’s Christmas Vacation.”

Seiniger said he contacted Sorrell about six months ago while visiting London. “I called him and he was fascinated by our business,” Seiniger said. “These are the kinds of businesses he likes--niche businesses where someone has lots of expertise but not a lot of competition.”