Credit: Anastassia Anufrieva via Unsplash
The Western Australia Government has shed new light on the reasons behind its overhaul of media and creative services procurement, confirming the move was driven by a need to modernise and expand its current approach.
As previously reported by AdNews, the state government is preparing to roll out the Media and Creative Services Common Use Arrangement (CUA), which will replace the existing model next year.
The Department of Treasury and Finance (DTF) told AdNews the overhaul aims to better align government procurement with evolving market expectations, agency needs and WA’s strategic priorities.
This is also the largest media account in the state with an estimated $60 million in media billings.
“This procurement activity seeks to establish a replacement arrangement for the existing CUA,” a DTF spokesperson said.
“There are a number of scope and structure enhancements which have been informed through consultation with stakeholders and government agencies.”
Despite timing overlap, the DTF also confirmed the decision was not influenced by the Federal Government’s recent shift to a “village” model for its advertising roster.
“Development of the new CUA commenced prior to the Federal Government’s announcement and is unrelated,” the spokesperson said.
The new framework is expected to drive greater value for money by balancing price with quality, innovation and the delivery of strategic outcomes.
Environmental, social and economic considerations have also been factored into the design of the new model.
While the new framework retains access to core media planning, buying and booking services, it also introduces broader capabilities and more flexibility, shaped by stakeholder consultation across government and industry.
The amendments also make media strategy and planning mandatory under the CUA, with only two media agencies appointed to handle all media strategy and buying.
Carat and Initiative currently hold those contracts, which are due to expire this month.
The CUA’s development included an extended engagement period with stakeholders, with a draft tender released publicly in April.
Industry and agency feedback regarding the changes was collected over a five-week period but remains classified.
However, Independent Media Agencies of Australia CEO, Sam Buchanan, was publicly opposed to the move.
"Several departments have voiced their frustration with the current master media agency agreement, based on lack of service, expertise and value from the CUA providers," he said.
"By including media strategy and planning as part of the compulsory CUA, these frustrations would only be exacerbated.
“These departments want more choice, not less, and this proposal fails to recognise the reality of government advertising and the need for flexibility and diversity in media agency appointment."
More details about the changes are expected to be released later this month.
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