The account will involve O&M Public Relations, OgilvyOne Direct and O&M Promotions, working together in India, China, Hong Kong, Australia, New Zealand, Korea, Japan, Taiwan, Philippines, Indonesia, Thailand and Singapore.
The assignment is fee-based, says Tim Isaac, O&M's regional director for worldwide client services. The initial project, a consultancy study of Philips Lighting's wholesale and retail process, will last for three months. Both O&M and Philips anticipate that the relationship will expand afterwards to include the full range of promotions, direct marketing and public relations activities. Euro RSCG will continue to handle all above-the-line advertising for Philips Lighting in Asia.
Philips Lighting VP in Asia Pacific Kenneth Yue says the appointment is "an exciting step forward in developing Philips' relationships with its consumers in the region."
There was no formal pitch, "just some informal discussions" with four agencies, he adds. "We chose O&M because they have everything - promotions, public relations and direct marketing - under one roof. We preferred that for convenience. But so far this is not a full alignment. The proof of the pudding is in the eating and we'll wait until this project has been completed before making a commitment," he says.
The appointment comes on the heels of the Jaguar account win and new business by American International Group (AIG) and New World Development, a property development firm, in Hong Kong. Both are full-service accounts and the campaigns for each are expected in the fourth quarter of this year, according to Royce Yuen, managing director of O&M Hong Kong.
Copyright June 1998, Crain Communications Inc.