Reckitt Benckiser launches review of $1.8bn global media account

Reckitt Benckiser, maker of Dettol, has launched a review of its $1.8 billion global media account, the company said in a statement.

The move comes four years after the company’s last global media review, which tapped Publicis Groupe’s Zenith and Havas Media Group after a pitch that also included participants from WPP and Omnicom. The company expects the process to be completed by year end and take effect January 1, 2014. Zenith handles Reckitt Benckiser media in the US The review doesn’t affect creative assignments, led by Havas globally.

The company’s media review is likely to be particularly closely watched as it’s the first to come after Publicis, whose Zenith unit holds a big chunk of the account, announced plans to merge with Omnicom earlier last week. Conflict, however, is unlikely to be an issue, since Reckitt Benckiser already worked with rival Procter & Gamble Co. within Publicis Groupe’s media agencies. But the Reckitt Benckiser review could test the theory that the combination will provide added clout and efficiencies for clients. Tony Brand, Reckitt Benckiser’s North American communications director, said in an e-mail statement that, “As due diligence, Reckitt Benckiser periodically reviews its media services to ensure it gets the best service capabilities and value for money. This process will allow us to do that. Havas and Publicis have shared the majority of our business across global markets since 2009. This is not a comment on the quality of the relationship or service.”

Brand added that the incumbents are “able and encouraged to participate,” saying “we will consider all options available. Davies, who will be leading the review, is a veteran of WPP’ Mindshare and Interpublic’s Initiative, but was most recently a media executive with Unilever.

The company reported it spent 12.7 percent of its $14.5 billion in sales last year on “brand equity investment,” a more inclusive measure of media spending that also incorporates such things as the costs of creating owned and earned media. – Adage