More good news for Publicis Media on the Coty new business front. Last year Zenith, the Publicis Media agency, won the consolidated Coty media business after a review, with annual ad spending estimated at $600-plus million.
Now Coty has selected Publicis Media again, with Zenith taking the lead, after another global review to handle all of the Procter & Gamble brands that are joining Coty as well. That adds another estimated $300 million in spending to the assignment or more than $900 million total.
The P&G brands joining Coty are part of a $12.5 billion acquisition that was announced last year that Coty recently said is expected to be completed in October.
The acquisition includes P&G’s Fragrance, Color Cosmetics and Hair Color Businesses that include fragrance brands such as Hugo Boss and Gucci, and the cosmetics brands COVERGIRL and Max Factor. The acquisition also includes hair color lines such as Wella and Clairol.
Bringing together Coty and the P&G Specialty Beauty Business is expected to create one of the world’s largest pure-play beauty companies with advertising and promotional spend estimated at well over one billion dollars. According to Publicis, it is expected to establish Coty as the global leader in fragrances, the second largest in salon professional products, and the third largest in cosmetics. Coty estimates the combined business will generate about $9 billion in revenue based on its fiscal 2015 performance.
“Zenith has been a trusted partner for Coty. We are excited to expand our partnership with them as we look to elevate the quality of our media while taking advantage of our new scale, as we strive to become over time a global industry leader by being a clear challenger in Beauty,” stated Camillo Pane, CEO Designate, Coty.
“We are thrilled to broaden our partnership with Coty. It’s a tremendous endorsement of our Publicis Media vision unveiled earlier this year and the transformative power of our capabilities, talent and collaborative approach to driving our clients’ businesses forward,” stated Steve King, CEO, Publicis Media.