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.



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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