Ben Bold
Nov 24, 2021

Volkswagen Group reviewing multibillion-dollar global media account

Review, which covers group brands including VW, Audi, Skoda and Seat, will kick off in 2022. PHD's contract expires in 2023

Volkswagen Group reviewing multibillion-dollar global media account

Volkswagen is reviewing its global media planning and buying account – spanning brands including VW, Audi, Skoda and Seat – which is currently held by PHD.

The Germany-based automotive giant spent around 1.5bn euros on its flagship VW brand alone in 2020. The media review – which was first reported in the German HorizonT – is part of a statutory process, with Omnicom-owned PHD's contract set to expire at the end of 2023. The previous global review lasted a year.

A spokesperson for Volkswagen confirmed the news, and issued Campaign a statement, which said: "In the coming year, there will be a regular tender for the Volkswagen Group's media agency contract, which has been in place since 2016 and runs until the end of 2023.

"This will be the responsibility of Jason Lusty, who has taken over group marketing in addition to brand and marketing strategy. We ask for your understanding that we are not providing any further details."

PHD was appointed in 2016 – taking over the account in 2017 – clinching Volkswagen Group's then-estimated $3bn business (£2.35bn).

It was understood at the time that Volkswagen wanted a greater emphasis on digital and programmatic from PHD.

Before appointing PHD in 2016, Volkswagen Group had used WPP's MediaCom since 1998. PHD already had a relationship with the automotive firm, handling its luxury brands Bentley and Porsche globally and Seat in the UK.

(This article first appeared on CampaignLive.co.uk)

Source:
Campaign India

Related Articles

Just Published

9 hours ago

Can Bluesky disrupt social media marketing in India?

With its user-base growing rapidly, will this decentralised platform shake the dominance of giants like X, while redefining the audience engagement rules for brand advertisers?

9 hours ago

What Chrome’s potential spin-off means for browsers ...

As the Department of Justice pushes for Google to divest Chrome, the ripple effects could redefine browser competition, shake up web standards, and disrupt the advertising ecosystem as we know it.

9 hours ago

When creativity misses the mark: What brands can ...

While creativity is currency in advertising, Branding Area’s marketing director states that even the richest ideas can bankrupt a brand’s message when mishandled, while nodding at Jaquar’s latest campaign.

10 hours ago

It's time we stopped treating Gen AI like our dirty ...

All this heated discourse about AI in creativity misses a simple truth: This revolution isn't waiting for universal approval. It's already here—time to trade the resistance for renaissance.