Omnicom Media Group, the big winner in the P&G review, today said it's planning to launch a third agency network for which P&G will be the charter client.
The company didn't share any more details.
Omnicom Media Group is the Omnicom media agency network that houses individual agencies OMD and PHD, as well as specialist units such as digital buying, technology and data arm Annalect and search group Resolution.
The move comes on the heels of today's news that P&G would award the bulk of its North American business to Omnicom Media Group, and another sizeable portion to incumbent Carat. Omnicom's stock jumped to an intraday high of $77.09 early this afternoon, up from an opening price of $75.01. The stock traded just above $76 at mid-afternoon, up a little more than 1% for the day.
While P&G is a massive win, it is also a massive conflict with some of the big brands the network already supports. A third agency creates a firewall and a new business hub, opening Omnicom Media Group up to business in categories that its existing shops already serve.
PHD currently supports Unilever and SC Johnson. OMD counts Clorox and Henkel as clients. In addition to packaged goods, the shops' client portfolios span nearly every category, including QSR (McDonald's), retail (J.C. Penney, Walgreens), consumer electronics (Apple), media (Disney) and pharma (GSK) among others.
A new agency also provides P&G with a customizeable agency, and puts to rest longtime speculation that Omnicom Media Group would at some point launch a third shop. Since P&G has decided to divvy up the agency business by product instead of region, Omnicom Media Group's new shop likely will also exist across regions. The review spanned the U.S., Canada and Puerto Rico.