Omnicom wins $1.8 bil Chrysler prize

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DaimlerChrysler tapped Omnicom Group's BBDO Worldwide to handle the Chrysler Group's $1.8 billion consolidated, global creative and media account, winning a shoot-out between two incumbent Chrysler agencies. BBDO topped True North Communications' FCB Worldwide. BBDO in January will launch a new Detroit agency called Pentamark to handle its newly won account. DaimlerChrysler had cited a desire to reduce costs in staging the review, and an executive close to the review estimated the carmaker will save more than $50 million a year. The executive also said DaimlerChrysler will have a representative on the Pentamark board. Before the review, BBDO's Troy, Mich., office handled an estimated $750 million in national and regional Dodge dealer accounts. Its PentaCom subsidiary had the $1.7 billion media planning and buying account for all DaimlerChrysler brands in the U.S., plus buying for Mercedes-Benz. FCB loses the estimated $800 million national and regional Chrysler, Plymouth and Jeep dealer accounts. BBDO executives said early in the review process in September they thought they had the upper hand because of the agency's InterOne Marketing Group, also in Troy. That DaimlerChrysler-dedicated shop wasn't part of the review, but it has a substantial chunk of the carmaker's business, an estimated $375 million in spending.

Copyright November 2000, Crain Communications Inc.

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