P&G chooses Starcom and Carat for US media planning

NEW YORK - Procter & Gamble has selected Starcom MediaVest Group and Carat to handle its ad planning in North America, in a deal believed to be worth up to $3.5m.

P&G spent $2.7bn (£1.46bn) on advertising in the US last year and has been expanding its advertising to include less television and print, with more emphasis on internet campaigns and sophisticated promotions. Starcom and Carat will be responsible for helping P&G distribute its spending across new media outlets.

Jim Stengel, P&G's chief marketing officer, said: "Today's marketing model is broken, brands that rely too heavily on mainstream media will lose touch."

Cindy Tripp, who led the P&G review of agencies, said: "It's all about the ability to put the consumer at the centre and being able to understand her, when and where she wants to hear about the commercial messages."

P&G is one of the world's largest advertisers and produces packaged goods from Crest toothpaste, to Pringles crisps and Pampers nappies.

Starcom MediaVest, a unit of France's Publicis Groupe, won the businesss for P&G's fabric care, home care, health care, and beauty care businesses. Carat, owned by Aegis, will handle planning for baby care, pet care, family care, snacks and beverages.

The three-month battle to win the account saw bids from Grey Global Group's MediaCom, Havas's MPG and Omnicom's Targetbase.

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