Philips, the Dutch electronics giant, has decided to hand its pounds 7
million UK media planning and buying to TMD Carat, despite the fact that
TMD’s sister agency, BBJ Media Services, originally pitched for the
BBJ was the UK representative of Carat when the media network
successfully pitched for Philips’ entire centralised dollars 200 million
pan-European media account earlier this year (Campaign, 26 January).
However, Philips is understood to have pressed Carat to switch the
account here into TMD, the UK’s second-largest media buying company with
billings in excess of pounds 380 million.
TMD has extensive experience in the electronics market and handled the
Braun media account in the UK until earlier this month (Campaign, 22
March). Carat was forced to resign its Braun business around Europe
after picking up Philips, and TMD’s UK Braun business has now moved into
BMP Solutions in Media.
A Philips insider confirmed that the company had been keen to work with
TMD because of its Braun experience and also because ‘it’s bigger and
has more weight in the market’.
An official statement from Carat said that the agreement between Philips
and Carat was ‘to match best experience wherever possible’.
Ray Kelly, the chairman and chief executive of Carat UK, added: ‘This is
in no way a reflection on BBJ and the service it offers. BBJ will
continue to enjoy the support of the Carat Group as a key Carat brand in
the UK, and will benefit from the continued investment and success of
Jerry Buhlmann, the managing director of BBJ, commented: ‘We hadn’t met
the client and we hadn’t put lots of work into it. Philips is in
competition with Braun and it is quite natural that the client would
want to harness the experience of those who had worked on Braun across
Carat owns TMD outright and 75 per cent of BBJ.