BBDO snatches prized Visa A-P account from Saatchi & Saatchi

<p>Saatchi & Saatchi has lost the multi-million dollar regional Visa </p><p>account to BBDO and its media agency OMD in a pitch that was clouded by </p><p>"unresolvable issues". </p><p><BR><BR> </p><p>The account covers Asia-Pacific, excluding Australia and Japan, and its </p><p>billings, including Australia and Japan, is said to be worth at least </p><p>US$20 million. </p><p><BR><BR> </p><p>The roots of the dispute can be traced back to October 1997 when </p><p>Saatchis - led by David Droga, who is now head of creative at Saatchis </p><p>London - won the business in dramatic fashion after entering the pitch </p><p>at the last minute. </p><p><BR><BR> </p><p>Senior sources at Saatchis said that when the agency won the account in </p><p>1997, the brief did not include Australia and Japan, currently handled </p><p>by Clemenger BBDO and Asatsu respectively. </p><p><BR><BR> </p><p>"But at the time they assured us we would eventually get Australia and </p><p>Japan; the two biggest markets in Asia, where Visa spends 70 per cent of </p><p>its advertising budget," one source told MEDIA. </p><p><BR><BR> </p><p>However, cracks appeared in the Saatchis/Visa relationship in the </p><p>summer, when the credit card giant put its account up for review. </p><p><BR><BR> </p><p>To Saatchis' dismay, Australia and Japan were not included in the </p><p>review. </p><p><BR><BR> </p><p>"If you think about it, we only had 30 per cent of the Visa adspend pie </p><p>and 30 per cent of about US$20 million is not very much," another </p><p>source said. </p><p><BR><BR> </p><p>Despite this, Saatchis went into the pitch with recommendations that </p><p>included Australia and Japan. </p><p><BR><BR> </p><p>Visa's regional director, brand management and marketing services Rob </p><p>Hennin countered by saying: "Saatchis did pitch in Australia and Japan </p><p>in 1997, but the incumbents Asatsu and Clemenger were found to be far </p><p>stronger and for strategic reasons we felt no need to disrupt the status </p><p>quo (now)." </p><p><BR><BR> </p><p>One Saatchis source said, "But while we worked on our pitch, we </p><p>continued a dialogue with them to include at least Australia. </p><p><BR><BR> </p><p>"Finally, we told them that they had to make a decision and choose one </p><p>agency overall in order to make it worthwhile for that agency." </p><p><BR><BR> </p><p>However, the sources said they didn't think BBDO won the account because </p><p>of what they described as "these unresolvable issues". </p><p><BR><BR> </p><p>"It was a hard-fought battle and the guy with the best recommendation </p><p>won," one said. </p><p><BR><BR> </p><p>Nevertheless, the loss of the Visa account deals a blow to Saatchis </p><p>because it is a major worldwide brand name. </p><p><BR><BR> </p><p>The pitch was focused on strategic including media, a senior BBDO </p><p>executive said, who added that strategists from both the agency and OMD </p><p>played an important role in winning the account. </p><p><BR><BR> </p><p>Mr Hennin said: "Three agencies were invited in May to present </p><p>strategic, creative, media business development strategies to Visa in </p><p>July. </p><p><BR><BR> </p><p>"The agency responses were reviewed and consumer tested. Following an </p><p>assessment of the relative strengths and weaknesses in the servicing </p><p>levels of the three agencies, BBDO was chosen in August 2000 as Visa </p><p>Asia-Pacific's new agency of record." </p><p><BR><BR> </p>