Confusion surrounds Tourism NT’s appointment of 16 agency strong panel
Tourism Northern Territory has today announced it has appointed a panel of 16 agencies on the $8m a year account, with a lead creative and lead media agency set to be decided in the coming weeks, Mumbrella can reveal.
The tourism body has released the full list of agencies on the account showing a total of 16 agencies, including eight from the Northern Territory, will provide domestic creative and media services, with the incumbent Publicis agencies, retaining spots on the panel.
Publicis’s Mojo and ZenithOptimedia are both on the panels for creative and media respectively, with the group tendering successfully for four of the five categories covered by the contract; creative, media, photography, filming and editing, and digital.
Mumbrella understands there is some confusion amongst agencies on how the panel structure will work, with some agencies thought to have pitched on the basis they would win the entire account. It is understood a conference call will be held next month to brief the successful agencies and discuss the panel structure.
This conjures visions of a flock of seagulls fighting over $2 worth of hot chips! Good luck building a client/agency relationship here.
You’ll never, never know…
They just should use the creative talent at The NT News, they seem to be able to get Crocs into their Headlines, real creative with a bite. What a joke.
On everything but digital requirements.
Aren’t they are digital company?
Poor Publicis – can’t be too happy about that result. No prize for guessing where the ‘confusion’ came from.
5 separate media agencies appointed to handle $5m of spend.
This should go well..
Executive Director of Marketing Adam Coward certainly isn’t living up to his surname with this decision is he?
(Edited under Mumbrella’s comment moderation policy)
Certainly not a coward, unless he was afraid of making an actual decision….
Just a thought on the economics of such an arrangement….follow the maths for a moment:
Let’s just assume for pure theatre that we are back in the heady days of 10% media commission plus 7.5% service fee.
On an $8,000,000 annual budget that would equate to $1,400,000 agency revenue.
Assume that all 16 agencies are kept equally busy for 12 months that’s $87,500 each.
At average head hour rates of $250 that’s 350 head hours a year per agency.
That works out to be 7 hours a week allowing for a 2 week closure over Christmas and New Year.
That works out to be 1 hour and 24 minutes per day.
If each agency has a team of 7 people working on the account they would get to work 12 minutes each per day for the agency to break even.
And, don’t forget that’s calculated on a very old, and generous remuneration model.
The real numbers might make for an interesting NT News headline – Advertising and Marketing Industry shed crocodile tears for Tourism NT account perhaps?
Don’t suppose there were any pitch consultants involved in this process by any chance?
Did any agency pitch not get invited to join the panel?
They’re probably the real winners!
Wow, I’ve got nothing. This is…… yep got nothing.
NT Tourism seem to have been too long out in the sun without a hat.
hahaha. This would be funny if it weren’t so sad.
If any of those agencies had any spine, they would tell NT ‘Thanks, but no thanks’.