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A summary for Corporate Marketers, Media Sales Executives and Advertising Agencies to see what clients are moving into the market and/or targeting Latin American consumers right now.

To subscribe to Portada’s Interactive Database of Marketers targeting LatAm consumers, please contact Sales Research Manager Silvina Poirier silvina@portada-online.com.

For prior Sales Leads LatAm editions, click here.

  • Revlon

Revlon has consolidated its US$400-million plus multi-brand global advertising account with WPP’s Grey and Mediacom. Grey will provide integrated communications services, including traditional and digital advertising and promotion and activation marketing for our brands, including Revlon, Elizabeth Arden, Almay, CND, Cutex, Sinful and many of our key fragrance brands, including Charlie, Britney Spears, Curve, Tapout and Elizabeth Taylor. Mediacom was already handling Revlon brand in the U.S. Now, the agency will have its duties expanded to become global media planning and buying agency of record across all brands.

 

 

  • Michelin

French tire manufacturing Michelin has awarded Havas Media its global media business following a competitive pitch. Incumbent MediaCom participated in the review, AdWeek reported. Michelin spends and around US$100 million annually on ads globally and more than US$25 million in the U.S. Havas will handle media planning and buying duties for all of the company’s major markets including the United States, Mexico, Canada, France, Spain, Germany, the United Kingdom and China.

 

 

 

 

  • UBER

Uber app has released its new campaign for Latin America, in which the brand highlights the reasons why more and more people decide to become Uber drivers. The campaign “Manera Diferente” was created to be broadcasted on TV and seeks to portray the potential of becoming a Uber driver. In addition, the app will launch a series of videos that will compile the best moments of different testimonies. Uber’s creative team was inspired by quantitative surveys conducted among drivers and users of the company to develop the campaign. The campaign will include pieces for radio, print, out of home and digital strategy, fully integrated with differentiated formats such as dynamic videos, in-app programmatic media and vertical video formats.

 

To get detailed contact information about the DECISION MAKERS BEHIND THESE CAMPAIGNS AND ACCESS AN INTERACTIVE DATABASE OF MORE THAN 2,500 MARKETERS targeting LatAm consumers, please contact Sales Research Manager Silvina Poirier silvina@portada-online.com to activate your subscription.

 

 

  •  InterContinental Hotels Group / Crowne Plaza

InterContinental Hotels Group (IHG), one of the world’s leading hotel companies, announces the opening of the new-build 155-room Crowne Plaza Puebla hotel, marking the brand’s arrival to this important Mexican city. With an investment of more than US$17 million by Consorcio Hotelero GR5, S.A. de C.V., the hotel is the first property to open in Mexico under the Crowne Plaza Accelerate brand transformation. The Crowne Plaza Puebla hotel is located at Blvd. Hermanos Serdán 794, Col. San Jerónimo Caleras, Puebla. IHG has hotels in nearly 100 countries, with 225 hotels and 38,133 rooms throughout Mexico, Latin America and the Caribbean. With roots in Latin America, IHG’s first InterContinental hotel opened in Belem, Brazil in 1946.

 

 

 

  • Hyatt

Hyatt Hotels Corporation in conjunction with LATAM Hotel Corporation and GHL Hotels, announced the opening of Hyatt Centric Guatemala City, the brand’s first hotel in Central America. Hyatt Hotels Corporation, a global hospitality company, has a portfolio of 13 premier brands, including 708 properties in 56 countries.

 

 

 

 

NEW FEATURES TO PORTADA’S INTERACTIVE DATABASES
We have incorporated new features to the interactive database of corporate marketers and agency executives targeting LatAm consumers:
New Leads: Weekly more than 20 new leads uploaded to the Database by the Portada team as well as the contacts related to the above weekly Sales Leads column written by our editorial team.
Download the Database: Download the full Database in Excel Format.
Search Database: You can search through a user-friendly interactive Interface: Search Fields include: Name, Company/Agency, Job – Title, Address, Zip, E-mail, Accounts (Agency), Phone, Related News.

Join us at PORTADA Mexico!

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A summary for Corporate Marketers, Media Sales Executives and Advertising Agencies to see what clients are moving into the market and/or targeting Multicultural consumers right now.

To subscribe to Portada’s Interactive Database of Marketers targeting U.S. consumers, please contact Sales Research Manager Silvina Poirier silvina@portada-online.com.

For prior Sales Leads editions, click here.

  • Con Edison

Havas New York has been appointed new agency of record of energy giant Con Edison after a competitive review led by Joanne Davis Consulting. Havas will handle both creative and media duties for the company, which serves most residents of New York City and the surrounding area including Westchester, Orange and Rockland counties.WPP’s Possible handles digital for Con Ed. Con Ed is a privately owned company that spent US$6 million marketing budget in 2016, according to Kantar Media. Con Ed spent around US$7 million the previous year.

 

  • Southwest Airlines

Southwest Airlines will conduct a media agency review after working with Dallas-based Camelot Strategic Marketing & Media for more than 30 years.Camelot resigned the business and will not to participate in the review. Southwest Airlines said it is working with Select Resources International to conduct the search and is expexted to make a selection by late September. Southwest Airlines spent US$203 million in measured media in the U.S. in 2016, according to Kantar Media.

 

 

  • At&T

Soccer United Marketing (SUM)Major League Soccer’s commercial arm, announced a multi-property sponsorship extension with AT&T. The agreement renews AT&T’s status as the Official Partner of Major League Soccer (MLS), U.S. Soccer and the Federación Mexicana de Fútbol (FMF), via the annual Mexican National Team U.S. Tour.The multi-property sponsorship is a multichannel approach with brand integration across broadcast, digital, video, content, in-stadium exposure, and on-site activation at key events.AT&T will become the presenting sponsor of MLS’Decision Day, the final day of the regular season when every team plays at the exact same time. The result is the most intense and dramatic two hours of the MLS season as teams fight for playoff positions. This year’s Decision Day is Oct. 22. AT&T also has a strong presence across a number of promotional vehicles, including the AT&T Goal of the Week, Month, and Year voting platforms and The Movement presented by AT&T, an online MLSsoccer.com series that explores the growing soccer movement and culture in North America. AT&T has been a sponsor of MLS since 2009.

 

NEW PORTADA RESEARCH REPORT: “Content Marketing Initiatives targeting Hispanic and Multicultural Audiences”. The report is filled with intelligence for brand marketing executives targeting multicultural consumers – the majority of consumers in many major U.S. markets –  as well as for media and marketing tech vendors. This report provides a description of 20 content marketing initiatives. Each program’s main elements are described (Brands involved, Target Audience, Owned Properties, Paid Media Program, Key Influencers) are summarized and the agencies and brand decision makers behind them are listed. Described companies include: Avocados from Mexico, Barilla, Best Western, Ford, General Mills, Hershey’s, Kellogg, Kimberly Clark, Kraft, Makita, Miller Coors, Nestle, Procter & Gamble, State Farm, Sprint, Unilever, Verizon, Vilore and Wonderful Pistachios. Buy the report here  Upgrade to “Research Plus Membership” for only US$ 999 and access this report and 9 more!

 

  • Dietz & Watson

Philadelphia-based Dietz & Watson, an American manufacturer of delicatessen foods, has launched both a media and creative agency review. Search consultant Pile & Co. will manage the process. The company’s creative agency Allen & Gerritsen will not participate in the review. Philadephia-based MayoSeitz Media is the media agency incumbent. D&W spent US$12.4 million on ads in 2016, according to Kantar Media, up sharply from the US$7.7 million the firm spent in the prior year.

 

 

 

  •  Gap

Clothing retail chain Gap has started a review to find an agency to handle its U.S. digital media buying and planning, Adweek’s Agency Spy reports. According to Kantar Media, the chain spent us$178 million on paid U.S. media last year and in first quarter that total was us$42 million. Gap does not publicize its media agency relationships.

 

 

 

 

  • Michelin

French tire manufacturing Michelin has awarded Havas Media its global media business following a competitive pitch. Incumbent MediaCom participated in the review, AdWeek reported. Michelin spends and around US$100 million annually on ads globally and more than US$25 million in the U.S. Havas will handle media planning and buying duties for all of the company’s major markets including the United States, Mexico, Canada, France, Spain, Germany, the United Kingdom and China.

 

 

 

NEW FEATURES TO PORTADA’S INTERACTIVE DATABASES
We have incorporated new features to the interactive database of corporate marketers and agency executives targeting U.S. consumers:
New Leads: Weekly more than 20 new leads uploaded to the Database by the Portada team as well as the contacts related to the above weekly Sales Leads column written by our editorial team.
Download the Database: Download the full Database in Excel Format.
Search Database: You can search through a user-friendly interactive Interface: Search Fields include: Name, Company/Agency, Job – Title, Address, Zip, E-mail, Accounts (Agency), Phone, Related News.

Join us at PORTADA Mexico!

 

In the below Sounding Off-Thought Leadership article, Ernest Riba, Head of Business & Product Development at Havas Media Group Argentina explains that technological brands lead in all global brand valuation models and that the success of these emerging brands is different to the one achieved by traditional mass consumer brands which typically relied on high ad investment.

Although the issue of brands with purpose has been a recurring one in recent years, it seems that its appearance in mainstream marketing has unleashed a latent conversation aimed at discussing the potential and limitations of an approach that recently is being held out as a universal formula for any brand in any market or context.

In order to explain this boom in interest in the purpose [of a brand] from the perspective of marketing and advertising, we can look at it in different ways. There are those who relate the need for building brands from its purpose with a society that is leaving aside the culture of image linked to consumption and mass media, demanding companies with a greater commitment toward their fellow citizens and ecosystem. That would be the optimistic view. The one that indicates new generations like committed, entrepreneurial young people connected globally who demand brands behave in the same way that they do.

There are others who believe the opposite is true.  Are we looking for new values in brands that represent us better? Or do we continue to look for what we want to have but do not have in them? Seen that way, consumption continues to act as a vehicle to channel and deepen anxieties that living in our society generates for us. The image culture would not necessarily be replaced but rather deepened in a more holistic sense of beauty that includes not only the need to be taller, younger and more beautiful but also more committed, more entrepreneurial or solidary.

Both approaches have probably been part of the reason and each individual will take a position based on how they slept the previous night. What is certain is that when asked to specifically explain the explosive interest in the world of marketing, given the history of the discipline, the second perspective is more convincing than first.

Without delving any deeper, in recent years, we have seen the emergence and new leadership of technological brands in all global brand valuation models, from very little to nothing based on traditional brand models, associated with mass consumption. In Meaningful Brands 2017, the global study conducted by Havas, which has been measuring brands based on their contribution to people’s quality of life for ten years, the top five brands that lead the global ranking today are technology brands. And that is not all. Other brands with less intensive advertising investments, like retailers or hotels, are also growing.

This paradoxical situation, in which today the leading brands are the ones that the pioneers of mass consumption historically looked down on from above, is moving the foundations of marketing. That is why when we speak about purpose, one cannot help but wonder if the people who have lost the purpose are not the marketers and advertisers, rather than the brands we work with.

Either way, there is a strong consensus that we need brands that capture and express a strong purpose. What we could call their raison d’être. It’s their why or for what, as different as both approaches may be. That is why it is important to ask which purpose we are talking about. What we mean exactly. Otherwise we fall into the temptation or the trap into which we already fell regarding innovation in recent years: Embrace a diffuse idea and navigate the uncertain waters between blurred projections that never moved away from the traditional axis of marketing and advertising.

When we speak about purpose, one cannot help but wonder if the people who have lost the purpose are not the marketers and advertisers, rather than the brands we work with.

A good test of purpose adapted to the advertising trajectory is the proliferation of cause marketing. A perspective where brands are semi-artificially tied to social or environmental causes and that, in their more sophisticated versions, enable the participation of citizens through product consumption. In this dominant approach, the choice of cause continues to be made in terms of originality and ownership. That is to say, history remains central to value creation, more so than scope or direct impact on the people who ultimately buy the product. Something fresh and inspiring for the category and distinctive for the brand is prioritized over its centrality in people’s lives.

Not only is this the predominant form, it is also valid and in force. Nevertheless, a review of Havas’s ranking of Meaningful Brands reveals that the brands that operate in this regard lag far behind those that lead in terms of meaning for the people.

What can we learn from technology brands?  What is the explanation behind their leadership?

It is dangerous to simplify, but I understand that first, their purpose is rooted is the company’s main activity. Its contribution to people’s well-being is made mainly, although not only, through its products and services. In second place, this practice goes hand-in-hand with a society-based project. Not only does it express the company’s values but it also forges ahead toward an imagined society. Not only does this translate into communication but also into how it treats its employees or suppliers, use of materials, handling of waste, production or labeling processes; among others. Its purpose, therefore, is not an accessory matter but a central aspect of the company.

Connecting brands and purposes implies putting them at the service of society; at the service of culture and at the service of individuals with a real ambition of transformation. With the will to contribute to the life of the people directly, from the heart of their practice and in fundamental aspects of day-to-day tasks.

Perhaps that is why in the context of accelerated progress, within the framework of the information society, software companies are the leaders of meaning. The rest can ask themselves what they can learn from them. Or perhaps it is the other way around:  What space do they leave to the rest?

Ernest Riba, a 35-year-old Catalan with vast experience in brand and business strategies in highly competitive markets, is a graduate in advertising and has a marketing and social anthropology degree. He is currently based in Buenos Aires, where he has been part of the Havas Media Group team since 2016 as Head of Business & Product Development. Previously, he worked at Wunderman as responsible for both brand strategies and the agency’s intrapreneur team.

 

Victor Lopez, Head of digital media at Havas, who will be participating in the session “Panregional Marketing Death Match on June 8 (Day 2)  at our upcoming PortadaLat conference in Miami  says that he is sensing “more optimism around panregional marketing this year.” Lopez also tells us that social and video have come to the forefront and shares his latest experience on  their use in marketing efforts.

Portada: You mention that while still challenging the Miami based panregional market is improving this year, can you please elaborate on that? What media and categories do you see growing?
V.L: “The region has had a couple of very challenging years. This year we are sensing more optimism in the region and it has been confirmed by increased budgets from clients who are willing to invest more because they too are anticipating growth. In terms of media, we see social as a solid growth area, video also continues to play a very important role for Latam campaigns.”

Portada: You mentioned also that Social has potential as a panregional (Miami based) marketing category, can you pls elaborate on that?
V.L: Our clients’ social campaigns have matured in scope and sophistication over the years, social has moved from just another tactic in the plan to being at the center of the strategy. With the expected growth in the region this year, Social will continue to play an important role. “

 With video we are seeing better performance with private deals on premium sites.

Portada: Has Havas used VR technology for its clients?  If so, please explain.
V.L: “Havas has proposed this to a couple of clients, but I think they are afraid of making users dizzy! No seriously, we have it as an offering and are aware of the many possibilities it can be used for. Another thing we are excited about are messenger chat bots, they add a one on one communication with users not seen since email marketing!”

The biggest shift in video is that clients are moving past pre-roll and outstream into more interactive formats.

Portada: What other innovative technologies have you used for video marketing lately?
V.L:”I prefer to use things that are “effective” vs. “innovative” , however, I think the biggest shift in video is that clients are moving past pre-roll and outstream into more interactive formats. In terms of branding objectives, with video we are seeing better performance with private deals on premium sites.”

 Clients may be afraid that VR makes user dizzy!

Portada: Can you talk about what new clients Havas has gotten over the last few months?
V.L: We have a lot of reasons to be excited for this year with new business, but I think the real story is in how our current clients are growing in different ways. We are seeing clients more willing to test new channels, formats and open to new ideas- that to me is as good as winning a pitch.”

PortadaLat Registration: We have added new Ticket Types to Meet Your Needs!

GENERAL PASS: Attend the overall PortadaLat event on June 7 and June 8. All sessions, keynotes, networking, food and beverage included! (US$549)
VIP ATTENDEE: Meet up to 5 high-level brand, agency or media executives of your choice attending or speaking PortadaLat. These 10-minute meetings will take place in a separate room during the first and second day of PortadaLat and are designed to help you build valuable relationships. General Pass offer is included. (US $ 1,999).
DAY 1: SPORTS AND TRAVEL MARKETING DAY (June 7):  
The first day of PortadaLat will focus on how technological innovation is impacting key segments of business and marketing with emphasis on Travel and Sports. All sessions, keynotes, and marketing-tech showcases are included as well as light food, sandwiches and beverages. (US $199)
DAY 2: BRAND INNOVATION DAY  (June 8)
The second day at PortadaLat will celebrate Brand Innovation and showcase how leading companies are boosting brand equity and increasing their relevance in a disruptive environment in Latin America and the U.S. Breakfast, Lunch and Evening Reception Food and Beverages included. (US$ 549!)
Secure your spot and start the PortadaLat journey!

A summary for Corporate Marketers, Media Sales Executives and Advertising Agencies to see what clients are moving into the Latin American market and/or targeting Latin American consumers right now.

CHECK OUT PORTADA’S INTERACTIVE DIRECTORY OF CORPORATE MARKETERS AND AGENCY EXECUTIVES TARGETING LATIN AMERICAN CONSUMERS! with newly introduced upgraded features (see at the bottom of this article. 15 NEW LEADS HAVE JUST BEEN UPLOADED. To acquire the database, please contact Silvina Poirier at 1-800-397-5322  or e-mail her at silvina@portada-online.com.

Click here for previous Latam Sales Leads editions

  • FullSix Media by Havas

images (1)Havas Group is launching FullSix Media, its third full-service media network operating alongside flagship Havas Media and Arena Media. The new network, dubbed FullSix Media, was created on the foundation of FullSix Group, a Paris-based digital marketing services shop it acquired last year for $75 million.The new network, which launches Sept. 1, integrates FullSix with Havas’ preexisting Forward Media unit, to form a new global media services practices with operations across Europe, Latin America and the U.S, Mediapost reports.The new entity will be headed by FullSix Group Founder and CEO Marco Tinelli, former WPP exec.Tinelli joins the Havas Media Group’s executive committee.

 

  • GlaxoSmithKline Consumer Healthcare

4f04e6a303341df5bbe81beafdf29f33_400x400GlaxoSmithKline Consumer Healthcare consolidated its global agency roster to nine shops across advertising, digital, content, PR, expert marketing and shopper marketing to support its brands.Edelman has been appointed for content and PR.Media will continue to be managed by Omnicom’s PHD and WPP’s GroupM.

 

 

 

  • L’Oréal / IT Cosmetics

descarga (6)The French cosmetics giant L’Oréal is about to make its largest acquisition, according to a report published by Bloomberg. The French cosmetics giant has agreed to acquire IT Cosmetics in an all-cash transaction valued at US$1.2 billion.IT Cosmetics will join L’Oréal’s Luxe division.The acquisition is hoped to spur further growth in the North American market, compensating for the slowdown witnessed in Asia and Latin America.

 

  • Garbarino

descarga (7)Agency Don Connect has released “La cocina es nuestra” (“The kitchen is ours”,) Garbarino’s new campaign, which invites everyone to conquer their own kitchens and encourages to make any kind of recipe using the appliances Garbarino offers. The campaign includes a 50 ” and 15″ TV spots, graphics, social networks, SOPs and 3 videos with digital content. Garbarino’s media agency in Argentina is Zenith.

 

 

 

INTRODUCING NEW FEATURES TO PORTADA’S INTERACTIVE DATABASES
We have incorporated new features to the interactive database of corporate marketers and agency executives targeting U.S. consumers:
New Sales Leads: Weekly more than 20 new leads uploaded to the Database by the Portada Team as well as the contacts related to the above weekly Sales Leads column written by our editorial team.
Download the Database: Download the full Database in Excel Format.
Search Database: You can search through a user-friendly interactive Interface: Search Fields include: Name, Company/Agency, Job – Title, Address, Zip, E-mail, Accounts (Agency), Phone, Related News.
SPECIAL INTRODUCTORY OFFER:
For a short period of time we are offering the database for an introductory annual subscription of US$ 899!
Read the Frequently Answered Questions. (click on link “the most commonly asked questions…” and/or contact Research/Databases Sales Manager Silvina Poirier at silvina@portada-online.com.

A summary for Corporate Marketers, Media Sales Executives and Advertising Agencies to see what clients are moving into the Hispanic market and/or targeting Hispanic consumers right now.

Check out Portada’s Interactive Database of Corporate Marketers and Agency Executives with newly introduced upgraded features (see details at the bottom of this article). 15 NEW LEADS HAVE JUST BEEN UPLOADED. To acquire the database, please contact Silvina Poirier at 1-800-397-5322 or e-mail her at silvina@portada-online.com.

For prior Sales Leads editions, click here.

  • Delta Air Lines

descarga (3)Delta Air Lines has selected Atlanta-based agency Moxie, part of Publicis Media, as its new social media agency following a competitive review. Moxie will manage social efforts, including strategy, content creation and analytics, across Delta’s core channels: Facebook, Instagram, LinkedIn, Twitter and its “Taking Off” Tumblr page. Media was awarded to Omnicom’s PHD in April. Last year it consolidated global digital duties with WPP’s AKQA.

 

  • BMW

DejX49rF_400x400IPG’s UM is retaining BMW’s US$300 Million U.S. media account after the carmaker decided to keep its U.S. media agency assignment following a 14-month review that began in May of 2015.BMW spent about US$185 million on ads in 2015, according to Kantar Media.UM won the account in 2009.

 

 

 

 

  • Fantástico 

CnWxExCWIAAnnFjFantástico, the free, hyper-local, mobile-optimized site that provides Latino consumers with a ticket-purchasing experience that is entirely in Spanish from homepage to checkout, announced it will launch its first consumer ad campaign in the New York market next week. The campaign, a comprehensive Spanish language grassroots effort that includes subway ads, digital, street teams and branded promotional materials, will target Hispanic consumers looking to purchase tickets on the mobile devices they use the most and in the language they speak. The advertising features a contest with weekly prizes of tickets to popular events.Fantástico was introduced last month into the New York market by Schramm Marketing Group, the marketing agency specializing in multicultural marketing and ticket sales promotions. The website, www.Fantastico.nyc, caters to the region’s large Spanish-speaking community in the nation’s sports and entertainment capital. The campaign will specifically target this demographic with strategically placed advertisements on select platforms and trains of the number 7 subway line, which is heavily populated with Hispanic commuters as well as New York Mets game attendees en route to CitiField in Flushing Meadows, Queens.

  • FullSix Media by Havas

images (1)Havas Group is launching FullSix Media, its third full-service media network operating alongside flagship Havas Media and Arena Media. The new network, dubbed FullSix Media, was created on the foundation of FullSix Group, a Paris-based digital marketing services shop it acquired last year for $75 million.The new network, which launches Sept. 1, integrates FullSix with Havas’ preexisting Forward Media unit, to form a new global media services practices with operations across Europe, Latin America and the U.S, Mediapost reports.The new entity will be headed by FullSix Group Founder and CEO Marco Tinelli, former WPP exec.Tinelli joins the Havas Media Group’s executive committee.

  • Coronado Brewing Co.

imagesIndependent creative agency Grupo Gallegos  has been named creative AOR agency for Coronado Brewing Co., a San Diego-based brewery that continues to define West Coast craft beer. The appointment followed a competitive review.Sources close to Coronado Brewing Co. told Portada that the company does not work with a media agency. The agreement with Grupo Gallegos does not include traditional media buying, but brand activation.Coronado Brewing Co.’s beers are currently sold in 19 states, including California, Arizona, Colorado, Connecticut, Florida, New York, New Jersey and Nevada, as well as internationally. In May, Grupo Gallegos was named digital and social agency of record (AOR) for Hass Avocado Board. In addition, the agency is AOR of California Milk Processor Board, TurboTax and Foster Farms, among others. Grupo Gallegos is also a roster agency for Kia Motors America, focusing on the Hispanic market.

  • GlaxoSmithKline Consumer Healthcare

4f04e6a303341df5bbe81beafdf29f33_400x400GlaxoSmithKline Consumer Healthcare consolidated its global agency roster to nine shops across advertising, digital, content, PR, expert marketing and shopper marketing to support its brands.Edelman has been appointed for content and PR.Media will continue to be managed by Omnicom’s PHD and WPP’s GroupM.

 

INTRODUCING NEW FEATURES TO PORTADA’S INTERACTIVE DATABASES
We have incorporated new features to the interactive database of corporate marketers and agency executives targeting U.S. consumers:
New Sales Leads: Weekly more than 20 new leads uploaded to the Database by the Portada Team as well as the contacts related to the above weekly Sales Leads column written by our editorial team.
Download the Database: Download the full Database in Excel Format.
Search Database: You can search through a user-friendly interactive Interface: Search Fields include: Name, Company/Agency, Job – Title, Address, Zip, E-mail, Accounts (Agency), Phone, Related News.
SPECIAL INTRODUCTORY OFFER:
For a short period of time we are offering the database for an introductory annual subscription of US$ 899!
Read the Frequently Answered Questions. (click on link “the most commonly asked questions…” and/or contact Research/Databases Sales Manager Silvina Poirier at silvina@portada-online.com.

As we published last week Starcom Media Vest lost its Telefonica media planning and buying business to Havas Media after it won the pitch in July. Many observers of the agency and client world are shaking their heads. Five things you need to know about why Starcom lost the Telefonica business (approximately US$ 250 million a year) and its implications for the media buying and planning business of major agencies.

1. How did it happen?

TelefonicaThe decision to move Telefonica’s LatAm media business from Starcom (Publicis Groupe) to Havas Media Group (as well as Telefonica’s European Media business and O2 business from Publicis’ Zenith Optimedia to Havas) is part of an overarching business decision made by Telefonica chairman César Alierta following the purchase of Vivendi’s Brazilian broadband unit GVT for US$ 9 billion in September. Last, but definitely not least, Vivendi chairman and majority shareholder Vincent Bollore also owns a 36% stake in Havas and his son Yanique Bollore is CEO of Havas. The Telefonica Latam business was a bargaining chip in a much larger business deal involving the US$ 9 billion GVT broadband business.

The Telefonica Latam business was a bargaining chip in a much larger business deal involving the US$ 9 billion GVT broadband business.

It can be argued that while the transaction was not in accordance with open procurement rules by which Telefonica had awarded the media buying and planning business to Havas in July, the deal may benefit Telefonica stakeholders because it likely helped Telefonica to get a lower purchase price for Vivendi’s Brazilian GVT unit..

2. Was Havas part of the July pitch for Telefonica business?

Reliable sources tell Portada that Havas participated in the pitch won by Starcom Media Vest, as announced in  July,  and came in fourth position.

3. Why are media planning and buying businesses prone to be bargaining chips when there are even larger deals at stake?

Abstract metal connection concept earth  backgroundFor two reasons. First,  media buying and planning revenues for agencies can be very sizable chunks of business, particularly when they involve major advertisers who have hundreds of millions of media expenditures a year. A creative assignment will never amount to that type of revenue. Therefore media assignments are valuable chunks of business that can be traded and be part of even larger dealings as the Telefonica-Vivendi deal shows. Second, and also very importantly, media buying and planning assignments are relatively easy to move between agencies.Some observers argue that the media buying and planning business is a commodity as opposed to the creative business where a larger degree of know-how and insights are needed.

Some observers argue that the media buying and planning business is a commodity.

4. Why is Telefonica a particularly difficult case?

Companies that are heavily regulated like telcos or utilities or where the government has a stake, like Telefonica, are more prone to politica decision-making and interference. The same way Havas was favored now in Telefonica’s decision, its predecessor Media Planning Group (MPG) lost the Telefonica business in 2006 when Spain’s centre-right government of president  Jose Maria Aznar lost the general election against the Socialist Jose Luis Rodriguez Zapatero.

5. Is Starcom going to diminish headcount as a result of losing Telefonica?

In the last few weeks, Starcom not only got the bad news of the loss of the Telefonica business, but it also lost the P&G Digital Latin America business to Omnicom Media Group. However, Portada has heard that, at least for now,  no headcount reductions in Starcom Latin America are being planned.

People change positions, get promoted or move to other companies. Portada is here to tell you about it.

José María Frígola – Havas Media Group Iberia ::: Eduardo Guichou / Claudio Salomone – Grupo Indalo Media ::: Gonzalo Santos – RSA Argentina :::  Luis Barragué – Headway Digital ::: Alejandro Ángeles – Yahoo! Mexico :::

Havas Media Spain has announced that Rafael Urbano, General Manager and  Manuel Cordero, Director of  Havas Sports & Entertainment, will leave the agency. The agency has announced the executives will be replaced by professionals with digital experience.  José María Frígola, CEO of Havas Media Group Iberia, will be in charge of the business until Havas announce the new hirings.

The Argentinean group Indalo Media has hired Eduardo Guichou as Commercial Director for its media: Radio, Pay TV, Internet and print media. Claudio Salomone has been named Commercial Director for public TV and Ideas del Sur.  Indalo Media is composed by Ideas del Sur, C5N, Radio 10, Mega 98.3, Pop Radio 101.5, Minutouno.com, Diario El Patagónico, Editorial Polar and Argentina Corre.

Headway Digital has appointed Luis Barragué as new global VP of Mobile. The executive has previously worked in Vostu as User Acquisition Performance Manager.

Alejandro Ángeles has been named Editor in chief of  Yahoo! Mexico.  Ángeles has worked as Editor for Grupo Expansión, Quién magazine and El Universal.

People change positions, get promoted or move to other companies. Portada is here to tell you about it.

Rafael Lima – Publicitas ::: Santiago Durán Mejía / Xepus Ginebra – Havas Media Group ::: Fred Díaz – Nissan ::: Bruno Cattori – Chrysler Group ::: Fraser Ridell – Mediacom

rafael-lima 156Rafael Lima is the new Digital Director at Publicitas in Miami. Previously he worked as Client Services & Business Development Director at  Havas Media. Before Havas, Lima was Sales & Business Development Director at StarMedia & Orange AdNetwork Americas (France Telecom Group).

 

 

Santiago Duran

Havas Media Group has hired Santiago Durán Mejía as its new Catalyst & Digital Director. Durán has previously worked in Carat as its Managing Director. The executive will be in charge of digital planning and strategies for Havas clients. Durán is replacing Xepus Ginebra who will be in charge of the Front Office in Havas Media. Ginera in his new role will be in charge, besides Catalyst & Digital business, of the PR, innovation, content, research and new business.

 

 

fred-diazFred Díaz has left Chrysler Group as President and CEO of Ram. The executive will work in Nissan as VP of Sales and Marketing.

 

 

 

 

bruno_cattoriBecause of Diaz´s departure Chrysler Group has restructured its staff and Bruno Cattori has been named President for Mexico.

 

 

 

 

Fraser Riddell (2)_0 159 x 159Mediacom is restructuring its business with a new division dedicated to international advertisers based in the United States. The new division, Mediacom Beyond Borders, will be led by Fraser Riddell who will leave his current role as global chief business development officer to become Mediacom’s global chief client officer.