MediaCom set to make Group M top buying unit

MediaCom will be integrated into WPP鈥檚 buying specialist, Group M, as early as the beginning of next year, according to its chief executive, Irwin Gotlieb.

Gotlieb said he would be looking to tie up the former Grey Global Group's agency links within local markets from this September.

The move will make the group the most influential media buyer in the UK, surpassing the Omnicom network's Opera buying unit and the combined buying conglomerate Magna Global, incorporating Initiative Media and Universal McCann.

The move follows the 拢1bn acquisition of MediaCom and the Grey creative agency by Sir Martin Sorrell's WPP, which was completed in March this year.

Gotlieb said that WPP is looking at the position that MediaCom will take within the group.

"We will be looking at integrating the local markets from September this year and will be looking to fully integrate MediaCom into the Group M structure by the beginning of 2006."

Group M was formed in early 2004 as a counterpoint to media owner consolidation. It negotiates media deals for MindShare, Mediaedge:cia, BJK&E, Mediaedge: cia Manchester and Media Insight, creating a 拢900mbuying giant in the UK with billings now standing at 拢1.1bn, according to GroupM's UKmanaging director Nick Theakstone.

MediaCom would add 拢794m to the billings total of Group M, according to Nielsen Media Research, taking it to the top of media buying operations in theUK.

The group has been bolstered by account wins including a place on the 拢300m global Danone roster along with OMD Group and the 拢894m worldwide Nestl茅 account partnering with ZenithOptimedia. The group also added its weight to the bid for the 拢555m Western European Unilever account picked up by MindShare late last year.

Theakstone said the buying group was set up to leverage negotiations for agencies across the WPP Group. "The market is consolidating, both on the media owner and media agency side and it is important that we are a dominant player in the market and Group M is the biggest purchaser of media in the UK."

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