Volkswagen has awarded PHD its $3.86 billion global media buying and planning account, concluding a year-long review.
The Omnicom Group agency beat off competition from incumbent WPP’s MediaCom and Interpublic’s Mediabrands to the world’s fifth largest advertiser as reported by reliable sources.
The win consolidates media buying and planning in more than 30 countries, and extends PHD’s relationship beyond handling global media of Porsche and Bentley as well as Seat in the UK.
MediaCom has been Volkswagen’s global media agency since 1998, handing 90% of of its media buying and planning.
Volkswagen is the second largest car manufacturer by sales volume, second only to Toyota. Its brands include VW, Audi, Seat, Skoda, Porsche, Bentley, Bugatti and Lambourghini.
Volkswagen wants greater emphasis on digital and programmatic from PHD and the agency will take over the account in 2017.
In 2014, VW was found to to be cheating diesel emissions tests in the US, a scandal that cost the carmaker several billion dollars in costs which saw CEO Mr Winterkorhn retire voluntarily from the company.
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