IPG Clings Onto J&J's US Media Business

16 July 2007

NEW YORK: Interpublic Group has held on to Johnson & Johnson's media buying and planning in the US but has lost the business in Europe, Latin America and Australia after the healthcare giant put the $3 billion (€2bn; £1.4bn) account up for grabs earlier this year.

New Jersey-headquartered J&J, whose brands include Neutrogena and Listerine, has unveiled a new roster of media agencies that will deal with the business no longer handled by IPG.

European media buying duties go to Aegis Group's Carat, while Omnicom Group's OMD buying unit will work for J&J in Australia and Latin America.

UK independent Naked has been given a new "communications planning" role which, it is widely expected, will result in a speeding up of ad dollar migration to non-traditional media such as online and events and sports marketing.

J&J's cmo and worldwide vp, Kimberly Kadlec, says the new planning task "really fills in a gap of strategic thinking that we weren't getting before".

IPG, which is still in the recovery room after a string of accounting problems and client losses in recent years [WARC News: 28-Jun-07], will have breathed a sigh of relief that the fallout from the review was relatively contained.

Comments ceo Michael Roth: "The results of this review demonstrate that our new offering is on target in a number of key geographic regions. While there remains work to be done to get all of our media capabilities to where we want them to be, today's news is a clear indicator of solid progress."

Data sourced from Wall Street Journal Online; additional content by WARC staff