Vice and WPP’s media investment arm GroupM have signed a multi-million dollar advertising deal tapping into the company’s international expansion plans, suggest media reports.
According to the deal, GroupM will use Vice's insights, content and data to put together an advertising platform across all of Vice's global multi-screen and over-the-top properties. The deal was announced at the Dmexco conference in Cologne, Germany.
While the exact terms and nature are yet to be disclosed, media reports suggest that it could run into hundreds of millions of dollars in ad spending with a multi-year, multi territory deal.
GroupM handles more than $102 billion in advertising billings, according to research company Recma. GroupM said it handles one out of three ads globally.
"It's not just (giving advertisers) first look, it's trying to innovate and initiate ideas. It's something we'd love to do more with Google and Facebook to be honest with you, but they seem to be (harder to work with). I think less so with Google, they seem to be proactive recently maybe because some of the regulatory issues they've had to deal with. But, Facebook certainly because of their success have become a little more difficult to deal with," said Martin Sorrell, CEO, WPP in an interview to CNBC.
In June, Vice had announced its plans to expand its presence to 51 territories including India, the Middle East and Africa.
It will also add a 24-hour TV channel in Australia and New Zealand, where it already has a robust digital and mobile presence. Vice's US cable channel Viceland was launched in February 2016, and HBO news show is set to start on Oct. 10.
WPP currently has an 8.5 percent stake in Vice. It had owned up to one-tenth of the company at a given point but has since sold some shares.