Joining the ranks of other big publishers that have muscled into media services, Bloomberg Media is building capabilities in various areas, including marketing and media, to function as a true broad-spectrum ad agency and media consultancy, according to Adweek, which first reported the news.
Developed under the leadership of chief commercial officer Andrew Benett, the former CEO of Havas’ Creative Group who joined Bloomberg in June, the new agency and consulting operation will draw on resources from across Bloomberg Media, including its formidable financial data and research capabilities of divisions like Bloomberg Intelligence, as well as the output of over 2,700 journalists and analysts, Adweek writes.
Some of the analytic power behind the business will come from Bloomberg AIQ, a year-old artificial intelligence initiative focused on media content, which will provide services including audience modeling.
Bloomberg Media CEO Justin Smith said the new in-house agency will offer advertisers integrated marketing and consulting services, complementing multi-platform media sales. The company plans to build out specialty areas serving categories like financial services, automotive, luxury and lifestyle, among others.
The agency’s services cost advertisers at least $150,000 per month, and Bloomberg Media has already signed five clients in categories spanning tech, finance, auto and retail, including CA Technologies and Hartford Funds.
Bloomberg Media is also cutting a number of personnel as part of the transition, with around two dozen staffers laid off last week, including three group ad directors, although these cuts may be balanced by new hires for the agency operation.
Digital revenue accounts for half of total revenues for Bloomberg, which recently revealed a number of new digital ad products.
One product, Trigr, analyzes data from the company’s core Bloomberg Terminal service to help marketers decide when to reach customers with advertising, based on financial events and trends. The product promises to dramatically shorten the amount of time it takes to respond to factors like changes in gas prices or stock swings.