Starcom Media Nigeria wraps up 2013 with Etisalat & Nestle accounts. Reports coming from industry sources say two of Nigeria’s big spending advertisers have moved their media planning and buying to Starcom. First is Etisalat, Nigeria’s third biggest telecom network and one of the industry’s biggest spenders. The Etisalat account which until recently was housed by Media Reach OMD, moved over to Starcom following a global pitch involving the Starcom Mediavest Group (SMG) and the incumbent OMD.
While basking in the euphoria of this big win comes Nestle, the food and beverage giant, marketers of Maggi seasoning, Milo cocoa drink, Pure Life Water, Nescafe and several other resilient brands in the FMCG category. It was gathered that the Nestle business was delivered by a local pitch which saw the business moving from Media Share.
The Etisalat and Nestle wins are happening less than 12 months after the agency cornered the Coca-cola Nigeria account from Universal McCann and 24 months after Heineken consolidated its businesses in Nigeria with Starcom including the behemoth Nigerian Breweries Plc with an array of 10 media-busy brands in the beer, malt and carbonated soft drink categories. The Heineken Nigeria account also includes Consolidated Breweries Plc which came under the Heineken umbrella following the Dutch company’s acquisition of majority shares in 2010.
This colossal consolidation of new businesses places Starcom on the platform of a duel for the No.1 media agency in Nigeria in terms of billings, upsetting the table that had been a contest between Carat Media Perspectives and Media Reach OMD. To be No.1 in this market an agency needs to have one of the telecom businesses and a major brewery, two product categories that dominate the top 5 table of big spenders.
The development also leaves some agencies in a fight for survival. Media Share which recently after a long contractual business disagreement between its Prima Garnet group and Ogilvy Africa lost the Airtel business and the agency may have lost over 85% of its business with the flight of Nestle from the agency. For Media Reach OMD which still shows off accounts such as Guinness, Reckitt Benckiser, Promasidor and GSK, losing Etisalat may not be an end of the road but it sure points to a significant shift in the position of the agency and in 2014, more accounts are billed to be thrown to pitches.
Culled from: Brandworknigeria.com