The Trade Desk Faces Major Setback as Publicis Cuts Ties
Publicis Groupe, the world’s largest advertising agency, announced it will no longer recommend The Trade Desk (NASDAQ: TTD) as a demand-side platform due to violations found in a recent audit. Publicis cited multiple breaches of their master services agreement, including improper fee applications. Following this news, The Trade Desk’s shares plunged 7.4%, marking a 12% decline from their recent peak.
The Trade Desk has seen substantial difficulties recently, with shares down over 80% from their peak a little over a year ago. Growth has significantly slowed, and the company has missed its own performance guidance. Compounding its challenges, other ad agencies like Dentsu and WPP have also distanced themselves from The Trade Desk’s OpenPath supply optimization product.
