Media independent Empower has laid off 34 people, approximately 15% of its staff, given a more somber outlook for 2023 that didn’t support hiring moves made during rapid growth in prior years, said CEO Jim Price.
“We had such huge growth in 2021 that, frankly, we were a little overstaffed anyway in 2022,” Price said. “We kept that staff to essentially plan for some growth that clearly 2023 is not going to allow anybody to have.”
Price likened the move to recent layoff announcements from tech giants such as Amazon and Salesforce, which staffed up heavily during recent growth years and now are announcing layoffs. The layoffs won’t affect clients, Price said, and are focused primarily on the media investment team.
One large client, which had been spending in the $30 million to $40 million annual range, including linear TV, has cut spending plans significantly, Price said.
“That was kind of a surprise to us,” Price said. “And that contributed to us having to make these changes.”
The Cincinnati-based agency also has substantial business in creative, data and analytics, with offices in Chicago and Atlanta, the latter opened in 2021 after Empower became the media agency of record for Newell Brands. It was founded in 1985 by former Procter & Gamble Co. media executive Mary Beth Price, Jim’s mother.
The agency grew 15% even in 2020, a year when most agencies saw revenue decline, earning it a spot as a standout on Ad Age’s Agency A-list. It grew revenue by an even faster 30% in 2021, according to its A-list application.
