The radio giant, which was formed as a result of the £711m merger of GWR Group and Capital Radio Group in May 2005, had used Rocket for the planning and buying brief on the GWR account, ZenithOptimedia on the Capital Radio brief and MediaCom for Capital's regional Century network. Agencies on the roster had been expecting an account consolidation as a result of the merger.
Jim Cruickshank, group marketing director at GCap Media, said that the decision to appoint Rocket had been carefully considered.
He said: "The decision came down to the fact that GCap has to innovate, and we felt that Rocket and the PHD resource offered a level of thinking that was head and shoulders above the competition and we were very confident that Rocket was the agency that would help us identify original solutions."
Derek Morris, vice-chairman of ZenithOptimedia, said: "Although it’s a small loss, it's a sad loss, as we've held the account since Zenith opened its doors in 1988. Having said that, we wish them luck with GWR's incumbent agency."
This week GCap Media Group posted a slump in underlying pre-tax profits of 40% to £22.2m for the year ending March 31, following a decline in the advertising market and the revamping of Capital FM.
Revenue for the network decreased 12.7% to £220.2m from £252.3m in 2005, while the firm recorded a net debt of £76m, compared with £79m for the same period last year.
The group said the performance was affected by several factors, including weak advertising conditions, audience declines at heritage stations, mainly at Capital before its revamp, and the merger between Capital and GWR.
In the most recent Rajar figures, GCap's flagship station Capital Radio slipped to the number three position in London behind number one station Magic and number two station Heart.
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