As part of General Motors’ efforts to build efficiencies and reduce costs and agencies, it has consolidated its $3 billion global media-buying and planning account with London-based Aegis' Carat unit. In a statement, Joel Ewanick, GM's global chief marketing officer, said that they hoped to get a media-agency partner that’s sophisticated enough to leverage global marketing opportunities.
He said that Carat uses an innovative approach to boost significant marketing value. Its service model was modified to align well with is global and regional brands and it’s also in a unique position to help it form strong media partnerships and boost significant global efficiencies.
There’s still a pending decision for a creative review for Chevrolet, GM's biggest brand. The two huge pitches were launched in late 2011 with a target for savings and efficiency. Martin Cass will globally run the media account and will be supervised in the U.S. by Doug Ray, the Carat President. This selection came after a review by the third-biggest worldwide advertiser, as ranked by the Advertising Age Data Center.
The Data Center provides an estimate that in 2009, GM spent $3.37 billion on global media. According to the 2011 annual report, GM reported worldwide advertising costs of $4.26 billion in 2010.
GM's global marketing team, which is led by Ewanick, handled the review, with the assistance of search consultancy R3:JLB. In an interview with Automotive News, Ewanick said that GM hopes to see a drop in expenses of millions of dollars, or more, simply by cutting the number of marketing partners it works with worldwide.