Samsung says Cheil and Grey will stay. So, what 'bout Contract?

Samsung has categorically stated that Cheil Communications, Samsung's in-house agency, and Grey Worldwide will continue to remain on board.

The communication attempts to clear the confusion created by local media reports which suggested the creative duties of Samsung India would now move to Contract Advertising. The reports followed Wednesday's announcement that the WPP group had won electronics major Samsung's global advertising account.

The Samsung release unequivocally stated that the "status quo will be maintained" in India. As of now, Cheil Communications is the media AOR as well as the creative agency, while Grey Worldwide is the creative agency for Samsung's home appliance business.

This means, while WPP and its entourage will now be Samsung's primary support for brand communications globally, the global alignment will have little or no effect in India - at least, as of now. This, in essence, means, Contract is no where in the picture.

The Samsung India release provides a clue to this apparent anomaly. The release points out that individual Samsung divisions and country operations have the option to use (or, not to use) WPP companies. In other words, it is entirely at Samsung's discretion to use the WPP resources.

While Samsung has made its stand amply clear, getting a clear response from Contract proved to be difficult. Pankaj Mridul, senior vice-president, Contract Advertising, said, he had not received any official intimation from Colvyn Harris, president of Contract Advertising India, and is, therefore, not clear about whether Contact has got the Samsung business or not. "Everything is in the realm of speculation," says Mridul.

That, of course, does precious little to bring in clarity. Mridul, however, did mention that in the Samsung global pitch, which saw the participation of various WPP agencies from across the world, WPP India was represented by Contract. Thus, Contract was a part of the winning team.

This, perhaps, explains why there were speculations about Contract winning the Samsung business in India.

To put things into perspective, the WPP Group won the Korean consumer electronics marketer's global account after a nine-month review. The review pitted WPP against Publicis Groupe and incumbents Foote Cone & Belding and Initiative, part of Interpublic Group of companies.

© 2004 agencyfaqs!