The world’s largest luxury goods giant, the French company, Louis
Vuitton Moet Hennessy, has taken its UK media business out of CIA
Medianetwork and handed the entire pounds 10 million centralised account
to Initiative Media.
The company had considered centralising its media planning and buying
around Europe into a single pounds 115 million account, and has been
holding talks with Carat, Initiative, CIA and Mediapolis about the
opportunities for consolidation. All four agencies were on the LVMH
roster in different local European markets.
LVMH’s media business is currently centralised on a market-by-market
basis, but this latest exercise was designed to determine whether any
further efficiencies were achievable through a full centralisation.
Last week the company decided there were no additional advantages to be
gained at this stage from appointing a single media network and called
off the pan-European review.
But LVMH decided to make some local changes in individual markets - in
the UK it is parting company with CIA, which has handled the business
for the past four years.
Initiative Media will take on the UK account from the autumn. The
appointment means Initiative now handles the business in a number of key
territories, including the French home market, where adspend tops pounds
40 million, and also in Germany.
The LVMH portfolio includes Louis Vuitton luggage and leather goods,
Moet & Chandon, Dom Perignon and Veuve Cliquot champagne, and the
Givenchy, Christian Dior, Guerlain and Kenzo fragrance, cosmetics and
No-one at Initiative Media was available to comment on the win.