Carat and BBJ win pounds 74m PSA media

Carat and BBJ have jointly scooped the pounds 74 million prize for PSA’s media planning and buying in a move likely to precipitate a merger between the losing incumbent, Initiative Media, and its sister media agency Western.

Carat and BBJ have jointly scooped the pounds 74 million prize for

PSA’s media planning and buying in a move likely to precipitate a merger

between the losing incumbent, Initiative Media, and its sister media

agency Western.



The win will see PSA separate the Peugeot and Citroen media accounts,

with BBJ handling the former, worth pounds 47.6 million, and Carat the

latter, worth pounds 26.8 million. However, it is thought that in a

first for the Carat Group, TV negotiations will be traded on the

combined volume for both agencies by a joint team of buyers.



The appointments largely fill a gap for each agency left by motor

manufacturers in the past 12 months. BBJ lost VW in a group

centralisation to MediaCom TMB last August, and Carat lost Nissan to

Manning Gottlieb Media’s TBWA.OMD in February (Campaign, 18

February).



Initiative’s loss re-opens the question of a merger with Western, first

mooted when Western’s grip on Vauxhall came under threat early last

year.



While Interpublic’s two media brands have merged in a majority of

countries, it has been prevented in the UK by the clashing car

accounts.



Little now stands in the way for a Western Initiative agency in the

UK.



Roy Jeans, the managing director of Initiative, said: ’Clearly, we’re

very disappointed, having done what was a brilliant job for PSA. Now we

are going to pause for breath before moving on.’



However, Initiative is pitching for the centralised pan-European Renault

account this week, and it is likely that the London office will now

become involved in the pitch with a view to competing for the pounds 84

million UK account against the incumbent, Optimedia.



Carat is also thought to have been involved in the Renault review, but

the PSA win makes it unlikely that this will progress, given that the

group is also tipped to win the pan-European BMW business, which is

expected to be resolved this week.



Ray Kelly, the chairman and chief executive of Carat Group UK, said: ’We

are extremely delighted to have been appointed to work for an

organisation with the stature of PSA. With the experience that we have

in the area, it is great to more than fill the gap.’



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