Despite a tough year in the marketing and PR industry, Discus Communications grew by four percent in 2009. The agency’s focus on integrated communications and ability to adjust the business to customer needs are the most important factors for growth during the credit crunch.
Discus’ gross profit for the fiscal year 2009 was EUR 1.13 million compared to EUR 1.01 million in 2008, which corresponds to a growth rate of four percent. After tax profits fell by 24 percent and accounted for EUR 107,168 in 2009 against EUR 147,357 in 2008. The average number of fulltime employees in 2009 was eleven compared to nine in 2008.
“We are more than happy with the annual accounts, considering how many other agencies in our industry have experienced a decline. I am certain that this year will be remembered in the marketing, advertising and PR industry,” says Niels Christian Jensen, managing director at Discus Communications. He points out that Discus has felt the credit crunch to some extent:
“Despite our growth almost 20 percent of our customer base has changed compared to last year – a turnover we have never experienced before. These are primarily international customers which have cut down on marketing budgets or completely ended activities in the Nordics.”
Discus Communications, which specialises in integrated communications for technology companies, has also experienced increased demand for integrated communications projects with focus on business development and sales generating activities. Another trend has been increased focus on public relations. This corresponds to a mini poll which Discus executed among marketing managers a year ago. The poll showed that 84 percent of the companies in question planned to cut down on marketing budgets and focus their limited resources on PR, events and digital marketing.
“Many of our clients have cut down up to 80-90 percent of the advertising budgets and placed the remaining 10-20 percent on top of existing PR budgets, which means that Discus has been less vulnerable during the financial crisis,” says Niels Christian Jensen. Apart from that our customers benefit from the synergy in keeping marketing and communications activities with one agency. In this way, they can turn up and down on activities according to needs and budgets, which is perfect in a time of crisis.”
The management expects the fiscal year 2010 to be characterised by client relations based on project work, which requires great flexibility and resource management from the agency. In addition, clients will have an increased focus on RoI and documentation of communications activities.