GAP CONSOLIDATES TV BUYING WITH PHD USA

Work Includes Gap, Old Navy and Banana Republic Brands

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SAN FRANCISCO (AdAge.com) -- The Gap Inc. has consolidated its TV media buying at Omnicom Group's PHD USA, the retailer said.

The win covers U.S. TV media buying for the three Gap chains, Gap stores, Old Navy and Banana Republic.

Other contenders
PHD had worked on a number of

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Gap brands. Other contenders included Publicis Groupe's Starcom; Grey Global Group's MediaCom and Havas' Media Planning Group.

Gap will continue to handle print buying in-house, a spokeswoman said.

The Gap reported 2002 advertising expenditures of $495 million. In 2002, Gap spent $242 million on U.S. network, cable, syndicate and spot TV, according to TNS Media Intelligence/CMR.

Marketing overhaul
The Gap, under new CEO Paul Pressler, is in the process of updating the retailer's marketing with moves such as a brand segmentation study from Publicis Groupe's Leo Burnett, Chicago. When the media review was launched, the Gap said it wanted to be "sure we're getting the best value" for media dollars.

Laird & Partners, New York, handles creative for the core Gap stores, while Banana Republic and Old Navy handle creative in-house.

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Richard Linnett and Wayne Friedman contributed to this report.

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