MTN South Africa and MediaCompete, a division of Grey Group South Africa, announced yesterday afternoon, Monday, 11 August 2008, that they have mutual agreed to part ways after 18 months and that the MTN business will be moved to Mindshare, a sister company in GroupM.
This follows a series of meetings aimed at determining how MTN SA's future needs would best be served in terms of service delivery and account management.
The business has been bedded down and stabilised over the past 18 months but MTN SA is of the view that the move will provide the optimal levels of service delivery that it requires for its business moving forward.
MediaCompete will conclude all currently active projects before handing over to Mindshare.
“We have taken a joint decision to move the business based on the specific needs of the MTN SA business,” said MTN SA chief marketing officer Pieter Verkade.
“There has been significant growth and demand with regard to our media needs in recent months and we feel that we will gain added value and benefit by moving the account. We have enjoyed a fantastic working relationship with MediaCompete and appreciate their understanding of these particular circumstances. We part ways on very amicable terms,” Verkade said.
“After handling the business for over a year, I understand from a WPP Group perspective that the business could be managed more appropriately in one of our sister agencies. As Peter says, we part as good friends,” concludes Paul Wilkins, CEO MediaCompete and GroupM director.
MTN is always parting ways with agencies. If there is a problem, the two parties should sit down and try to determine what might be the problem and try to solve them as partners not to hop from one agency to the other. That is why big agencies like Ogilvy, Jupiter, Network, Maccann will not work with client like MTN because MTN really don't know what they want.
Yes, MTN do move often from agency to agency but...
1) MediaCompete is a media agency, the ones you list are creative agencies. 2) MediaCompete is a big agency. They handle huge volumes of business. 3) Jupiter, one of the agencies you mention, is the agency that handles MTN (they farmed it out to Metropolitan and then DDB, but they're all owned by Jupiter).
MTN's track record with agencies of all types is appalling. They are also always changing personnel (and strategy) internally. They clearly don't believe in developing sustainable relationships. Good Luck Mindshare! Posted on 12 Aug 2008 17:36
Good luck Mindshare. You guys don't know what you putting yourselves into. MTN is bad/nightmare. Ask those who knows MTN better. They will drop you like hot potato. Posted on 13 Aug 2008 13:13
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