Yesterday the stock market welcomed this projectJust to negotiate a better price of outputHowever this radical point of view is no unanimityThe current global finance is preposterous24 million jobs per year and it is 10 million9 since the summer 2005 but decreased by 3225 m2 of shops concentrated in the new wing halfThis is not at all up on a model of string satelliteIn one night the LFNY and harvest more than 1In Britain the unions have not a penny moreEveryone knows since Mao that the revolution and the business are like the bicycle: as soon as it stops moving, it falls. To avert the fate, urban furniture specialists therefore built the small Queen in selling to municipalities wishing to green their balance and less polluting their citizens. They do not have the means to upgrade to a full fleet of bicycles That never mind, JCDecaux and Clear Channel, the two main competitors, provide them in bikes and maintain them almost free of charge. After Rennes, then Lyon or Marseille, Paris will have to turn the happiness on two-wheelers in July, just for the opening of Paris beach. And more, they fight as a rag to do so. In 2006, the City Hall launches a tender ambitious to equip the capital of 3,000 bikes over 200 stations. Last December, the American Clear Channel, who already team the city of Rennes, lack of win development by providing 14,000 bikes and 1,000 stations. Who says better JCDecaux has admitted defeated pas, attack to justice, gets the relaunch of the tender and won the part after a mad outbid 20,000 bikes distributed in 1,450 stations, one every 300 metres! This is the miracle of the business, the multiplication of small bikes by the grace of the goddess pub.
In 1964 Jean-Claude Decaux adapts to the world of display a former concept but very much in vogue today (see Internet or free newspaper): the grant of a service by advertising. He gets in Lyon the contract of the shelters, it installs for free in exchange for the advertising that appears on the wall of the shelter. This stroke of genius paves the way for the concept of urban furniture. It will be the glory and wealth of his company, now world leader in the field. Suddenly, he meets a double need, the municipalities, who want to equip their town to lower costs and advertising advertisers for many locations in the downtown. But it also creates an annuity of exceptional situation: exclusive contracts for long term of 15 to 20 years, and sites protected, even while communities reduce regulations kicked vested spaces to the traditional view. The result, with gross margins of 40 against 16 for the display.
Therefore, the group will expand its right-of-way in most major cities of France and make flower, next to the bus shelter, columns of information, masts of signalling, superloos and other supplies and more and more sophisticated services, to the municipal bikes. A situation that has attracted the wrath of competitors, particularly in the field of view, and that earned the group a regular attendance of the competition Council.
This golden period was completed towards the end of the 1990s for two reasons. The first French market saturation. It essentially becomes a contract renewal with now experienced municipalities, which are more reluctant to play competition to raise the bidding. This is what showed the bitterness of the struggle for the renewal of the contract of Paris: requirements (bikes) and royalty sharp increase, with more, stress decrease of 20 the number of advertising spaces. In total, an initial investment of more than EUR 80 million for a sales advertising of 60 million a year in cruise speed.
Then, seen, competition strengthens and the Americans Clear Channel or CBS (ex-Viacom) browsed upon each year a little bit of French cheese, including through political changes. Do not run the risk of slow decay, JCDecaux was therefore both diversify its businesses and to strengthen international.
The group is therefore developed largely in the classic view (in France, he purchased the future network in 1999) and advertising on the premises of transport, such as train stations and airports. Today, the furniture is still half of the turnover, and the three quarters of profits. But it is the sector which displays the lowest growth. As to the weight of the France, it went from almost the half of sales, at the end of the last century, less than 30 today, and the movement should intensify.
Today, Jean-François and Jean-Charles Decaux, the two sons of Jean-Claude and co-directors of the company, are facing two major challenges: escape to the decline of the hearing of the other media (non-Internet) and complete the conquest of the international. With fragmentation of the hearings of the television due to the explosion of digital and the erosion of the dissemination of newspapers, external communication becomes the last major mass media. All the more effective that people spend more time out of home, car or transportation. Remains to marry this mode of age-old communication with new technologies: targeting at the end of the hearings, with the crossing of data marketing on attendance at the sites, and gateways to digital with posters interactive, able, for example, to send a message on a telephone mobile.
As the international group weaves his canvas patiently for many years outside Europe, as in the Japan, where it is now present in 9 of the largest cities of the country. His breakthrough is slower than in the United States, its two main competitors fee, even if it is present in flagship cities such as Chicago, Los Angeles and Boston, and especially in major airports. This is why it observed with interest his main competitor Clear Channel in fight currently trouble with some of its shareholders. Which might lead to shed its external communication activity. But swallow the world number one is difficult for a family group which is not to lose control of his company, which he still holds about 70 percent of the capital. As in the automobile or the media, the conquest of the first market of the world deserves. Only certainty, JCDecaux intends to be an active player in the consolidation of a trade already concentrated since the first three have already set a third of the world market. Because, as for advertising agencies, the cyclical risks in the field of transport (indexed directly on the evolution of air traffic) and the growth of investment grow to the size race. The French therefore sentenced to pedal more quickly and more hard to continue to make the race at the top.
