Verizon Creates 'New' Brand With Advertising, Media Regrouping

Verizon Communications' decision to consolidate its nearly $2 billion advertising and media accounts among half its normal roster of agencies will not only save the company money, it is designed to create one look and feel across all its businesses.

The telecommunications giant is folding in the marketing and media accounts of Verizon Wireless to create a team of 10 of Interpublic Group's McCann Worldwide Group agencies. The new roster was culled from agencies that were all currently employed by Verizon. The work had been handled by a group of 20 agencies.

McCann Erickson will handle creative; Zenith is responsible for media buying; Universal McCann is in charge of media planning; Global Hue and Ad Asia are responsible for multicultural; Moxie is responsible for online creative, planning, and buying; RGA is handling digital design; Landor Associates is in charge of brand identity and naming; MRM is doing direct marketing, and Momentum is responsible for sponsorships.



The company said last week in a statement that the decision follows an internal organizational change made in January under which John Stratton was appointed executive vice president/CMO, responsible for marketing and brand initiatives of all the Verizon business groups.

Stratton's appointment came just as Verizon's largest rival, AT&T, had completed its merger with BellSouth and was beginning to rebrand the properties it gained in the merger, including Cingular Wireless, and offering bundled services around which it has centered several advertising campaigns.

Stratton said in the company statement that having fewer agencies on the team would allow Verizon to "leverage key creative teams and develop one immediately identifiable Verizon brand. It is an essential step in a process that will help us continue to lead the industry in providing quality voice, data, entertainment and business solutions."

The statement also mentioned the significant cost savings that can be realized by combining these efforts, as well as the creation of a "common look and feel across the company's lines of business."

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