Spirits producer Diageo has begun its first global review of media agencies. The company spends US$2.3bn on marketing each year.
In Australia, Leo Burnett does Diageo's media planning in addition to creative, with the buying part of the process overseen by Starcom Mediavest. Diageo handed over all agency work to Leos in 2014 in an effort to slash the roster and simplify the briefing process. Leos took over media planning work from the media agency Ikon.
Diageo's brands include Johnnie Walker, Smirnoff and Guinness, and in Australia the company spends roughly around $20 million on media each year.
In a statement, the company confirmed Australia is one of the markets included in the review.
“This review is about ensuring we are set up for the future and have the right agencies that can deliver in the fast-paced, globally-integrated digital media landscape. We feel now is the time to shift our strategy from a local fit for purpose agency model, to a fully leveraged global network solution, and conduct a full review of our media agency appointments across the globe,” the statement read.
The review aims to better integrate digital and media, but it is unclear whether the alcohol company is looking for a single network approach or a combination. Carat is Diageo's media agency in the US and UK.
Diageo will handle the pitch process with a closed shortlist of agencies.
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