News Corp drops media agency UM for Mediacom
Australia’s largest newspaper publisher News Corp Australia has dropped its media agency UM after only just over two years, in favour of Mediacom, Mumbrella can reveal.
The move comes on the same day Mediacom released the findings of an audit report which showed staff at the agency had forged TV campaign reports for three of its biggest clients for at least two years.
But in a show of confidence for the beleaguered Mediacom, Mumbrella understands that Damian Eales, chief marketer of News Corp, this morning informed UM of the decision to move the newspaper marketing budget, thought to be worth $10m.
When contacted Mark Pejic referred enquiries to Eales while Mat Baxter has now told Mumbrella: “we wish Mediacom and News Corp well in their future relationship.”
TYPO – “GroupM’s Foxtel win Foxtel” – think that should read Mediacom
What no pitch process, reason etc etc. Something seems a little strange. Plus going to Mediacom after moving FOXTEL out. What’s the real story Nic?
Thanks, GaryS – now fixed.
Cheers,
Tim – Mumbrella
Any News Corp contribution to a value bank?
Is it just me, or is this can of worms getting bigger and more wriggly?
Is it because UM is no longer a media agency?
With Eales working with Mediacom at both DJs and Westpac this was always on the cards.
Would like to think its a coincidence its announced the same day as the findings from Mediacom debacle. Think its going to take a bit more than this to get rid of the negative PR around Mediacom over the coming weeks.
So Yum are sticking with Mediacom and News are moving to Mediacom; why? Perhaps it’s because as big spenders they get more “value” than other clients (who’s spend helps generate the value).
Nothing says you’re no longer a media agency than being dropped by the worlds largest media group. To the tireless innovators at UM, this is great win for a former media agency. Losing is the new winning in these transformational times.
If anyone was ever going to solve News’ circulation challenge it was UM. Coloured mastheads celebrating each day of the week will forever be one of those unrealised innovations.
Transformational Progression Proprietor…my point exactly but thank you for spelling it out for those that missed the subtle nuances of my earlier comment.
@Transformational Progression Proprietor wow you’re a bitter one aren’t you.
“The deal John and Mark Pejic put on the table”. I can’t believe someone just said this…
This clumsily worded PR release couldn’t have come at a worse time.
It’s just poured more petrol on the pyre……
lucky this won’t be reflected in the media billings wins and losses for UM as they are no longer a media agency lol.
Nothing like dropping your knickers for a client. Love the race to the bottom in the world of media. Let’s keep on lowering our prices, doing more work for free, after all we do this because we love it, right?