Economy blamed; company searches for smaller office
LP&G is moving out of the Historic Depot, 400 N. Toole Ave., because the economy has cut its business.
Prominent downtown advertising firm LP&G Inc. is leaving its office in the Historic Depot, 400 N. Toole Ave., because the economy has decimated its advertising, marketing and public relations business.
The company trimmed its staff from 17 to eight on Wednesday and plans to scale back to two employees: principal Leslie Perls and brand strategy director Colleen Cutshaw. LP&G co-founder Barbara Peck had remained as public relations director after selling her interest in the company 2 1/2 years ago, but now will serve in a consulting capacity.
Perls and Cutshaw will relocate to smaller downtown offices and the rest of the staff may still be able to carry out assignments from home, Perls said.
“We asked employees to take their computers, files and office supplies with them,” Perls said.
LP&G’s revenue plummeted from $6.2 million in 2008 to $1.7 million this year, Perls said. Clients include University Physicians Healthcare, Susan G. Komen for the Cure, and the “Extreme Makeover: Home Edition” Tucson episode.
“We’re at the top of our game,” Perls said. “Then the financial well to keep this ship going went away.”
LP&G moved into the Historic Depot in September 2004 and based its business on $250,000-or-higher contracts. Those are gone, Perls said, and LP&G now handles jobs as low as $2,500.
“If we don’t reinvent this place, it will be no longer,” Perls said. “The rules have changed. We have the full intention to service our current clients in a more efficient and streamlined basis. Out of this death, there will be the birth of a new way of being.”