As the saying goes, adding two plus two need not always get one a four! That’s what a section of the media did, only to earn a swift rebuttal, much to the comfort of Cheil Communications. Hyundai Motors is in the process of a global review for its media business, but it is not shifting its account from Cheil – not as yet. In other words, the account has not shifted to ZenithOptimedia, says Hyundai Motors.
To put things in context: news of the account shifting to ZenithOptimedia in India was published in a section of the media yesterday, January 3. Today, in an official note, C Y Park, GM, Marketing, Hyundai Motor India Ltd., has refuted this news, stating, “Hyundai Motor Company Korea is in the process of taking decision with respect to a global media agency. The appointment of a global media agency by itself does not and will not necessitate shift in India…As of now, there is neither a shift nor any immediate plans for the same.”
In a communication to Ben Heo, MD, Cheil Communications, Park stated, “We would like to regret appearance of misinterpreted news in some sections of media on the subject in reference (media duties). This letter is to refute the said news…”
As is known, the auto major has been shopping for a global media agency and a decision was expected in January 2006. The account is pegged in the region of Rs 50 crore. The pitch process is being supervised out of Korea and the agencies involved at the global level are MediaEdge, ZenithOptimedia, Carat Media and Initiative Media. For the record, in India, neither Initiative nor MediaEdge were involved in the presentations.
In addition to the point that a global media agency by itself does not and will not necessitate a shift in India, Park has also mentioned: “Moreover, the shift in India – if any – will be strictly as per a detailed schedule decided upon by Hyundai Motor India Ltd. Any such shift in India will be communicated in writing and only by Hyundai Motor India and not by Hyundai Motor Co., Korea.”
At present, Cheil Communications handles the creative business of most of the Hyundai brands, while Saatchi & Saatchi have been entrusted with the creative duties of Santro and Getz.
In another development, Hyundai Motor India has announced its plans to launch its own agency in India called InnOcean by early 2006, which will look after the creative business of all the Hyundai brands.