The shift was made after M&C outsourced its media function to Equinox, a media agency owned by and housed in the offices of ZenithMedia, last month. The development disturbed the client because Zenith handles rival car accounts Lexus and Audi. "We gave M&C Saatchi notice in December," said Mary Chan, BMW Asia manager for advertising and marketing services.
"Zenith (works on) competing accounts. It represents a conflict of interest."
Chan said Carat was handed the assignment without a formal pitch because it is BMW's global media agency.
BMW's regional office has also dropped M&C Saatchi from its creative roster and is now in talks with other agencies. Several of the likely contenders for BMW's regional creative account - Fallon, Ogilvy & Mather and Lowe - are currently involved in the Volkswagen regional pitch, with a winner to be chosen in February.
However, M&C Saatchi has retained the creative account for BMW's local distributor Performance Motors. Simon Rock, Performance Motors' newly-appointed managing director, said: "We are sticking with M&C Saatchi."
