Vodafone hands over £800-million ad contract to Omnicom's OMD

29 Aug 2009

In a major blow to Sir Martin Sorrell's WPP, Vodafone has handed over its £800 million media planning contract to global marketing group Omnicom's OMD unit yesterday.

The contract was one of the largest advertising deals up for tender this year.

Media reports earler suggested that WPP, which has strengthened its relationship with Vodafone this year by winning its global brand strategy account,  is almost on the verge of picking up the prestigious contract (See: WPP team to handle Vodafone account).

The deal, which covers all of Vodafone's media buying activities in 20 countries, consolidates all of Vodafone's media buying, from newspaper space to advertising slots on TV and radio, in every market except the US, South Africa and France, where it does not own all of the local business.

Vodafone's US and French media interests, through Verizon Wireless and SFR, respectively, have not been included in the review, neither have Russia or South Africa.
The mobile phone giant confirmed today that it had handed the contract to OMD this morning after a lengthy tender process.

Carat, a unit of Aegis, the UK advertising company, was knocked out of the running this month.