Procter & Gamble is to create its first roster of below-the-line
networks, a move that could hit the group revenues of its mainstream
roster, which includes Grey, Saatchi & Saatchi and D'Arcy.
P&G has traditionally put the bulk of its direct marketing and
promotional work through Grey Direct, Saatchi & Saatchi and the D'Arcy
agency IMP, while using dozens of smaller agencies in local markets.
P&G is concerned that some smaller agencies in local markets are
producing work that is adversely affecting its brands. While the
creation of the roster is not designed to penalise the three network
agencies, it will open the door for large networks to win a place on the
P&G recently created its first pan-European roster of interactive
agencies and sources close to the FMCG giant suggest that the marketing
services roster is likely to run along similar lines, with five or six
agencies competing for business. P&G has yet to decide whether to create
regional rosters or one global list
A source close to P&G said: "The big thing for P&G is how to make sure
that all activity is 'on brand' and stir up agencies to ensure they do a
Saatchis is currently P&G's favoured marketing services agency in the
UK, recently winning a large brief to launch a loyalty programme called
"Golden Households" to cross-sell products such as Ariel to its
However, P&G is known to have issued briefs recently to other network
direct marketing agencies besides Grey, Saatchis and IMP.
The household goods giant recently conducted a restructuring process
involving the formation of global business units to market product
categories internationally, backed by local teams implementing the
The decision to create a marketing services roster was taken at P&G's HQ
in Cincinnati with input from its European HQ in Geneva.