Oil and Natural Gas Corporation (ONGC) has decided on its media and creative agencies. The account has been divided into two Tiers. Tier 1 includes RK Swamy BBDO, Lowe and Grey Worldwide, while Tier 2 includes Saatchi & Saatchi and PerceptH. The size of the business is estimated at upwards of Rs 40 crore.
It may be recalled that a pitch had been called as there is a lock-in period of 2-3 years of agency empanelment. The incumbent agencies are Rediffusion Y&R, Grey Worldwide, RK Swamy BBDO and Bates141. The empanelment of these four agencies was announced in November 2007. As per the contract, the empanelment was valid from December 2007 to December 2009.
Prior to that, Grey Worldwide and RK Swamy BBDO had been empanelled with ONGC at the end of 2004 for around two and a half years. Rediffusion Y&R and Bates141 were then brought on board for the first time. The media arms of these agencies were responsible for the media planning and buying.
ONGC is a public sector petroleum company in which the Government holds a 74.14 per cent stake. The other stakeholders include Indian Oil Corporation and Gas Authority of India Ltd.