The cosy cartel that controls the buying of media in Brazil - the globe’s ninth richest nation (by GDP) - is aligned in the cross-hair sights of Aegis Group’s media network Carat.
Later this year Carat plans to open an office in Brazil – the first media planning and buying shop to do so. The absence of such specialist activities is due to rules laid down by Conselho Executivo das Normas-Padrão, the industry body that effectively controls all ad-related activity in that country.
CENP allows payment of media commissions only to full service agencies. But Carat hopes to pull off a diplomatic coup by inserting its toe delicately in the door while fostering good relations with the governing association. Not surprisingly it declines to explain how it will achieve this.
The local operation will be run by Otavio Martins and Antonio Murena Junior, presently with Aegis-owned Copernicus Marketing Consultancy, which maintains offices in the USA, São Paulo, Brazil, and elsewhere.
Explains Martins somewhat mystifyingly: “We can't really operate because of CENP, but we are studying a way to do it without harming CENP and its rules.”
A cryptic statement by Carat’s New York office failed to shed any further light: “We understand the restrictions and are in the early stages of evaluating our options,” a spokesman said.
Data sourced from: AdAge.com; additional content by WARC staff