- Ad Age has reported that spirits giant Diageo is putting its $2.3 billion in global media under review as it looks to compete in the “integrated digital landscape.”
- The overall process is secretive with the firm not divulging its current agency relationships beyond confirming they are four global networks based in the U.S. and UK, with Carat named as one those four agencies.
- Diageo -- parent company to brands including Johnnie Walker, Smirnoff and Guinness -- also wouldn’t disclose if it was planning on consolidating its global media to fewer than four agencies.
Although it’s likely 2016 will be nothing like 2015’s “reviewageddon” that found $26 billion in ad spending under review by late June, news about major reviews have already been trickling out this year and if nothing else, every announcement sends a new shiver through the agency world. Last year's reviewageddon encompassed some of the largest brands and biggest spenders in worldwide advertising – and the multi-billion dollar amount matched the previous three years of agency reviews combined.
Because advertising is shifting toward digital, the new norm might be regular shake-ups of long-standing relationships as brands, like Diageo, look toward a digital future.
"Diageo can confirm that it is calling an agency review across its global media buying and planning services. The company will handle the process itself with a closed shortlist of agencies," the U.K.-based company said in a statement obtained by Ad Age. "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."
According to Ad Age's Datacenter, Diageo spends about $2 billion on marketing around the world and $800 million in the U.S.