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Reckitt Benckiser media pitch update: Who is in, who is not?

02-July-2010
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Reckitt Benckiser media pitch update: Who is in, who is not?

As the Reckitt Benckiser media pitch is progressing, the number of participating agencies is decreasing. Sources informed that Allied Media expressed its disagreement with one of the pitch clauses and had not had a final word of in or out with Reckitt since. Prachar withdrew closer to the pitch – reason cited was an unviable commercial term.

The fight is said to be now between ZenithOptimedia and Lintas Media Group, but exchange4media could not independently confirm on the participation of the latter at the time of filing the report.

As exchange4media had reported on June 7, 2010, the Reckitt Benckiser media pitch had ignited a series of heated conversations within the industry. As is known, a combination of agencies’ own decisions to regret to participate and Advertising Agencies Association of India’s (AAAI) diktat to abstain from the pitch had made the Reckitt Benckiser media pitch one of the least contested pitches in recent times, despite the size of the client.

Following all kinds of industry conversations, there were four agencies that were in talks with Reckitt Benckiser finally.

While Allied Media officials were not available for comments, sources informed that after Allied Media did not agree with the commercial term that was to do with the agency volume bonus (AVB) clause, the conversation did not conclusively end with Reckitt in either direction.

Prachar officials, too, did not offer any comments, but the agency is said to have pulled out of the pitch closer to the beginning of the online bidding process.

ZenithOptimedia is understood to be an active participant in the pitch. In a conversation with the AAAI officials, the agency cited global alliances as a reason to participate in the Reckitt pitch. Many sources touted Lintas Media Group or Karishma Initiative to be the other agency in the pitch. While Lintas officials have stated in the past that they would not do anything that was not in line with industry practice, sources informed that Lintas, too, was in the fray.

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