CUB moves from Mediacom after 17 years as AB InBev switches to PHD
Anheuser-Busch InBev’s Australian media account has moved from Mediacom to PHD, ending the agency’s 25 year relationship with Carlton and United Breweries.
Mumbrella understands Mediacom Melbourne resigned the account, and PHD will take over media duties for AB InBev’s CUB’s brands, including Victoria Bitter, Great Northern Super Crisp, Pure Blonde, Strongbow Classic Apple Cider and Crown Lager.
I love that media agenices always claim to win accounts based on brilliant thinking but claim to lose them on price…
Mediacom just got beaten by their own game.
Well I’m sure the massive fee they’ve put forward on Vic Govt will more than cover the loss.
Maybe, but they’ll be running a very fine line after going very low with Vic Gov. This is why the MFA or a 3rd party needs to step in and set benchmarks, otherwise financial stability and sustainability in the media industry will be non-existent.
@OpenMike – it’s always just price
MediaCom actually pulled out of this because they couldn’t agree to commercial terms/ prices and guarantees demanded of this client.
Such as guarantee me this media pricing and if you don’t get it, you pay the difference
Some agencies like PHD are happy to make that commitment and win the business. Others like Mediacom are not . That’s the market these days.
Maybe not this time round, but Mediacom have been known to do this on other occasions. Others agency groups lost out of VIC Gov after they weren’t able to agree commercial terms as well.
Certain holding companies will do whatever it takes. Especially when their main brand can’t win a thing.
It’s simple, MCOM had already guaranteed CUB/SAB Miller pricing that had an effect on the whole agency (nationally). They had to do the same for VIC Govt but couldn’t do both due to VIC Govt’s volume. Whilst AB InBev was a big prize the spend is nothing like the $30m quoted. Can’t win ’em all, especially when you have to give away so much!