BMW consolidates with Omnicom—behind the decision to unify US creative, media, CRM and more

BMW has consolidated its U.S. creative, digital, CRM and social media accounts with Omnicom, following a decision earlier this year to award the holding company its media planning and buying business. Goodby Silverstein & Partners, which has handled the creative account since 2018, will keep lead creative duties as part of a cross-functional team including other Omnicom shops. 180NY will take the lead on social media, replacing independent agency Anchor, while CRM will be led by The Javelin Agency, which replaces Interpublic’s Performance Art. Omnicom’s Critical Mass, which was awarded the media account in October, will also spearhead digital in the new setup. Recent news: BMW to return to the Super Bowl in 2024 after hiatus The cross-functional team will also handle BMW-owned Mini, whose creative account has been at Pereira O’Dell. The decision also means Dentsu’s Merkle will no longer handle Mini’s CRM. Also now under Omnicom’s remit are marketing for BMW Group Financial Services, which handles vehicle financing for consumers, as well as so-called Tier 2 advertising, which includes regional advertising that is often used to plug sales incentives and is closely linked with individual dealer efforts. The contract begins April 1, 2024, according to Marcus Casey, chief marketing officer for BMW of North America. (The media account starts Jan. 1). He noted that the Omnicom unit will take on a special moniker that has not yet been established, as well as maintain a central office in New York. BMW of North America is based in Woodcliff Lake, New Jersey. “We like people close,” Casey said. The BMW brand (including corporate advertising, cars and trucks, but excluding motorcycles) spent $99.7 million on U.S. measured media in 2022, up from $80.5 million in 2021, according to Vivvix, including paid social data from Pathmatics. That includes $12.3 million for Mini in 2022, about the same spent in 2021. Look back: Ad Age World’s Largest Advertisers 2023 One spine BMW declined to disclose the finalist agencies involved in the lengthy review, although IPG’s Martin Agency was among the creative shops pitching. (IPG’s UM had been the incumbent on the media business.) Ebiquity was the consultant on the review. Leslie Barrett, GS&P president and partner, in a statement said: “We are proud of the innovative work and business results we have achieved with our clients over the last five years. We look forward to shaping the future of the Ultimate Driving Machine together and expanding our partnership with Mini, an equally beloved brand.” Martin Agency Chief Creative Officer Danny Robinson stated: “There is often more to be learned in a loss than in a win. We’ve learned a lot during this 18-month review, and it’s clearer than ever what we’re fighting for.” The Omnicom consolidation continues the trend of clients seeking dedicated cross-functional solutions from a single holding company, an arrangement that often can result in cost savings. Casey in an interview said “costs are always a factor” in the automotive industry, adding that there are “some advantages when you create those kind of synergies” with a consolidated holding company approach. But BMW also wanted to “create something where everybody works together,” Casey said. “I see a lot of advantages on the data side, creating that one spine that nurtures everyone.” The Omnicom agencies in the group “will have their separate disciplines. But we don’t want to even think in those disciplines as much anymore when we think about integrated campaigns,” Casey said. Patrick McKenna, who heads marketing for Mini USA, noted that it has worked with Critical Mass on digital marketing since 2019. “We’re excited to take our relationship with Critical Mass to the next level, to essentially have digital media, creative, social, CRM, all under one roof. That, for a brand like Mini with a distinctive unique voice and iconic brand, is very appealing,” he said. More news: Top account reviews of 2023 Samantha Stringfellow, executive VP and client partner at Critical Mass, is expected to lead the bespoke unit, according to Omnicom. “With data and digital marketing at the core, we’re confident that this agency model will help usher in the future of reaching BMW customers with premium, seamless, highly connected experiences,” she said in a statement. Critical Mass was the incumbent digital shop for BMW and Mini. Omnicom also has a dedicated agency unit for BMW rival Mercedes-Benz called Team X that was established in 2021. Asked about any conflict concerns, Casey said BMW is using separate Omnicom agencies that will be separated by a “walled garden” from the Mercedes shops. (Omnicom has also long serviced its Nissan business with a dedicated unit.) BMW’s 2024 marketing plans include a 60-second Super Bowl ad that it previously confirmed would be handled by Goodby. The ad is expected to include an electric vehicle. Strong EV sales have helped BMW outpace Lexus and Mercedes for second place in the luxury auto sales race as of the year’s first nine months, according to Automotive News. Tesla has the top spot. Super Bowl commercials Tracking the latest brand and agency plans Enter here

BMW consolidates with Omnicom—behind the decision to unify US creative, media, CRM and more

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