McDonald's Is Putting the Squeeze on Agency Profitability, Making the Ad Industry Uneasy

Sources say the fast food giant's demands are 'unheard of'

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The ongoing McDonald's creative review initially included all three of the ad industry's largest holding companies. But WPP made headlines earlier this month for bowing out (leaving incumbents Publicis and Omnicom in the running), and the alleged reasons behind its decision are even more intriguing.

The client required competitors to complete their respective pitches in 60 days, with a June 30 deadline, and presented contracts forbidding future partners from turning a profit on base compensation, according to sources with direct knowledge of the matter.

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