In China, it is believed that the agency has secured the national print buying business for Maybelline, which was previously handled by Universal McCann, along with print buying for L’Oréal’s luxury products division.
The shift does not affect MindShare’s existing L’Oréal business in China, which currently comprisies planning and buying for the Vichy brand, and part of the group’s national buying business.
L’Oreal media director George Li confirmed that a media consolidation was taking place in China, but “there is no concrete result.”
In Malaysia, meanwhile, L’Oréal marketing director Irving Holmes Wong confirmed that the entire buying and planning business had shifted from MindShare — which retained the business in 2005 — to Optimedia.
“They had been discussing (this) at higher levels,” said Wong. “I must say we are happy with MindShare, so it is disruptive. Then again, Optimedia has its own strengths through its tools and research, so we see what it can bring.”
L’Oréal Thailand’s media buying and planning moved from Universal McCann to ZenithOptimedia in late 2006, one year after the Interpublic agency secured the business. It is believed that the departures of two key executives from Universal McCann’s Thailand operation hastened the shift.
According to Nielsen Media Research 2006 figures, L’Oreal spent US$59 million in China, along with US$4 million in Malaysia and US$23 million in Thailand.
A source close to the business said that Zenith had been making inroads into L’Oréal’s global US$1.5 billion global media planning and buying business for two years, after the world’s largest beauty products company began reviewing relationships in every market.
The agency currently handles L’Oréal accounts in Singapore, Australia and New Zealand.
ZenithOptimedia Asia-Pacific CEO Phil Talbot declined to comment on the specific wins, and instead said:
“We are always pleased to extend our relationship with a key client like L’Oréal.”
