What: Sprint is reviewing its media planning and buying assignment for the first time in 10 years.
Why it matters: Mediavest, the incumbent since 2011, is expected to defend.Sprint spent around US$700 million in media in 2016.
Telecom giant Sprint is reviewing its media planning and buying assignment for the first time in 10 years. Last year, the company conducted a review for its’ creative AOR business won by agency Droga5. Alma is Sprint’s Hispanic creative agency. The Hispanic market is a key growth market for the telecom giant.
Media planning and buying incumbent Mediavest is said to defend in the upcoming review. Mediavest was assigned the account back in 2011.
Sprint total advertising expenses were of US$1.3 billion in its fiscal 2016, according to its latest annual report. Approximately around US$700 million of that total is earmarked for media spend.
Dave Tovar, Sprint’s Communications VP, confirmed that the review was being conducted and that Mediavest will take part in it.
“We’re in the midst of a multi-year turnaround plan,” says Tovar. “One aspect happens to be an effort to reduce our overall operating expenses as a company by $2 billion exiting fiscal year 2016, which ends March 31. This review is part of that broader effort.”
Former head of Hispanic advertising Roger Solé became chief marketing officer in December 2015, Adege reports. Solé moved all production work in-house, creating a new content unit called Yellow Fan.