Massive coup for media agency Ikon as it retains Vodafone against the odds
Media agency Ikon has pulled off an against-the-odds victory in its battle to hold onto key client Vodafone and seen off what had appeared to be a done deal by the Mitchell Communication Group.
The twist appears to be the final one in one of Australia’s most protracted media pitches.
Vodafone called the pitch last year. Initially incumbent Ikon, PHD and Universal McCann did battle. But the pitch was suspended in February when Vodafone agreed to merge with 3, in what has become Vodafone Hutchinson Australia.
Mitchells – which does the media buying for 3 – then entered the fray, despite also doing the buying for Optus and subsidiary brand Virgin Mobile through sister media agency MPG.
It appeared that chairman Harold Mitchell had done a handshake deal with VHA boss Nigel Dews.
But Mumbrella understands that earlier this week, Optus stepped into the debate and Mitchells withdrew, putting the account back in the hands of Ikon, along with that of 3.
Vodafone and the Commonwealth Bank of Australia are Ikon’s two biggest clients.
In a statement this afternoon, VHA said:
“Vodafone Hutchison Australia (VHA) today announced the appointment of Ikon Communications as its exclusive media agency responsible for managing the combined, national media account for the Vodafone and 3 brands.
“VHA announced the account win following its recent merger and a detailed review involving a number of local agencies. The decision to appoint Ikon to represent both VHA brands is expected to result in improved cost efficiencies.”
John Casey, Director of Marketing at VHA, said: “We’re delighted to announce Ikon’s account win. The agency has represented Vodafone’s media interests since 2001 and we are looking forward to continuing this successful relationship with Vodafone Hutchison Australia.”
Update: Mitchells says that it resigned the account. It issued a statement saying:
“Mitchell and Partners announced today that they are resigning the Hutchison 3 account due to conflict with Optus. Mitchell’s have handled media planning and buying for Hutchison for more than 8 years.”
Mitchells CEO Stuart Mitchell said: “It’s a great shame that we had to make this move. The telecommunications sector will be highly competitive in the period ahead and this decision was unavoidable. Hutchison has been a fantastic client over the years.”
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What a shame that it has come to this (long – drawn out – not knowing etc etc blah blah) … if only the marketers were in the shoes of the media agencies for this long. Congrats to Ikon, no doubt a huge sigh of relief.
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Woo hoo! Now start booking more ads!
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Congrats to Ikon…at least a client that recognises that Mitchells are just a buying shop.
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gotta love Mitchells justifying the move “Due to conflicts of interest” – it didn’t stop them pitching for it
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Congratulations Ikon! Thank God this is finally over!
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They’re kicking goals, aren’t they?
Onya Ikon
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Is stuart invited to the party?
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I’m very glad to hear that. I recently worked with Ikon for the first time, filming at their 10th Birthday party, and found that they were one of the most genuinely friendly companies I’ve worked with. The corporate culture they’ve managed to create is outstanding, and if the way they treat their staff is any reflection of the way they treat their clients (which I find is often the way), then I reckon Vodafone have made a good choice.
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