Yogurt and water marketing giant Danone has selected GroupM agencies to handle media duties in Europe as part of a global agency review the company kicked off earlier in the year. All four shops—MediaCom, MEC, Mindshare and Maxus—will handle parts of the European assignment.
The company spent more than $600 million in Europe, the Middle East and Africa in 2012 according to Recma, most of it earmarked for Europe. Global spending by the client totaled nearly $900 million last year, per Recma.
Danone confirmed the assignment, covering 24 European countries. “The decision reflects the Group’s desire to develop a new media model around consumer engagement with its brands. Its new integrated model spans a range of media putting digital technology in the forefront and will sharpen the focus of brand-based communications,” Danone stated.
As a result of the consolidation review, Havas Media and Omnicom will leave the client’s European media shop roster. Danone thanked them for their “excellent work.”
Danone kicked off the review process in May. The U.S. portion is said to be still under review. The firm spent about $80 million on ads in the U.S. in 2011, according to Kantar, but the client has indicated that it sees the U.S. as one of its “high growth potential” markets.
Havas Media retained the North American portion of the assignment when it was reviewed three years ago. Up to now it also handled media duties for the client in its home market of France, Spain and Portugal.
Last year, Danone reported sales of approximately $24 billion. Its footprint has changed dramatically over that past 15 years. In 1997, 80% of company sales were derived from Western Europe, whereas now the region accounts for just 38% of sales, while emerging markets account for 51% of sales, according to the company.