P&G Shifts Agency Assignments In China

China-JapanProcter & Gamble has rejiggered its media assignments in China -- where it spends a hefty $500 million a year on ads -- after a three-month evaluation, according to sources.

The client’s two main incumbents -- WPP’s MediaCom and Publicis Groupe’s Starcom -- remain in place, with slightly altered marching orders.

Starcom will now handle all media buying for P&G in the market -- adding about $100 million in print, outdoor and digital to its existing $400 million TV buying assignment, according to sources familiar with the situation. Those non-TV buying duties had previously been handled by MediaCom.

On the planning side, P&G shifted several hair care products, including Head & Shoulders and Rejoice from Starcom to MediaCom, consolidating the planning for the hair care and beauty categories with the latter. The planning shifts, covering about $100 million of ad spend, give MediaCom more than half of the client’s planning assignment in the country, including products under the Gillette brand.

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Sources said the shifts were designed to improve both buying efficiencies and knowledge and planning insights without going through the disruption of a full-blown media review. For MediaCom, the added planning duties in China come about eight months after P&G consolidated its estimated $400 million planning assignment for Japan with the agency.

Last fall the agency also won the client’s estimated $350 million media assignment for five Southeast Asia markets after a review, including Singapore, Malaysia, Indonesia, Vietnam and Thailand.

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