Volkswagen Group consolidates $2.5 bn global media mandate with PHD
Volkswagen Group has confirmed that it will consolidate all its media planning and buying business with PHD from January 2017. In what is reportedly the largest globally consolidated account win in history, the intensive pitch process saw PHD pitching against incumbent MediaCom and IPG Mediabrands, as per the PHD Media website.
PHD will manage all eight VW Group brands – Volkswagen, Audi, SEAT, Skoda, Porsche, Bentley, VW Commercial Vehicles and MAN and spans 35 markets. VW Group is set to become the world’s largest car company this year and is the world’s fifth largest advertiser – billings are estimated to be in excess of $2.5 billion.
In India, MediaCom is the incumbent agency and has been handling the media duties since 2007.
According to an official statement from the VW Group, “New digitalisation possibilities and new ways of targeting specific groups are to be put to much greater use in media planning. Following a review of the overall budget and an intensive pitch over a period of eight months, a new contract has been awarded for the global media budget of the Volkswagen Group. The media holding of the Omnicom Group stood out against the competition and convinced all the Group brands involved by providing trends-setting impetus in media management and a broad-based, strategically sound service range.”