Madwell loses Verizon, a major client, internal agency memo shows

Verizon appears to have ended its relationship with embattled agency Madwell, according to an internal memo from the agency obtained by AdAge. The shift comes just over a month after it was reported that the agency was experiencing financial troubles. The email, sent today from Chris Sojka, the agency’s CEO, reads: “On Friday Verizon utilized a provision in their Master Service Agreement with us to terminate Madwell, effective immediately. As of that moment, they are not our client and we are not their agency. Our lawyers and theirs will speak today to begin unspooling the situation.” It continues: “No information was provided as to the reason, however, in order to unilaterally terminate a contract without notice, and for cause, the potential reasons must fall within a very narrow window of actions. For example, if confidential Madwell internal communications ended up in the press, that could trigger a consequential reevaluation of Madwell’s tenure as an agency.” Neither Sojka nor Verizon was immediately available for comment. After this story was published, a Verizon spokesperson sent the following statement: “Verizon is discussing the path forward with Madwell. Their team has always demonstrated great drive, passion, and creativity, and we are proud of the work our partnership has produced over the years.” In the email, Sojka said the decision by Verizon, for which the agency handled its Visible business, would “remove 8 figures from Madwell’s annual projections instantly.” “In no uncertain terms I’d like to convey that we disagree with the approach Verizon used. When we learn of their actual reasoning, we may very well disagree with that too,” the email continued. “Visible was one of the most incredible, important, creative, and rewarding journeys I’ve ever had the privilege of being party to,” Sojka wrote. “Everyone who worked on this last campaign delivered something exceptional. At the top of March we received the most remarkable accolades in our review, a testament to your originality and fortitude. And the strategic impact we delivered speaks for itself, taking a company from 0 customers to millions.” It finished with, “My gratitude extends to the many Madwellians past whose shoulders we continue to stand on.” Madwell had been working with Visible since 2018 and launched notable campaigns for the brand, including its “Nada Yada Yada” work starring actor Jason Alexander in 2023. Madwell also launched “The Reset” for Verizon, which won a gold Clio in 2022. The Visible brand is under the Verizon Value division, which recently hired former Amazon Ring marketer Mary Sagripanti as its new CMO, replacing Cheryl Gresham, who in February left for Starbucks.

Madwell loses Verizon, a major client, internal agency memo shows

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