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US Army Switches Ad Firms With 5-Yr, $1.35B Award

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AdAge reports (via MediaBuyerPlanner.com) that the U.S. Army tonight awarded its advertising account, the government’s largest, to Interpublic Group of Cos. McCann Erickson, New York. The army said the contract could be worth up to $1.35 billion over five years. In making this award, the Army decided against renewing its contract with Publicis Groupe’s Leo Burnett USA. The other finalists were WPP Group’s Ogilvy & Mather, New York, and Omnicom Group’s BBDO, Atlanta.

The review had drawn fire because Burnett’s original contract, slated to end more than a year and a half ago, was repeatedly extended. The Army extended the contract with Leo Burnett a final time in September to avoid an interruption in its advertising during the transition period following its review.

Agencies involved include creative agency McCann, media agency Universal McCann, MRM for digital and interactive, Momentum for event marketing, and public relations agency Weber Shandwick.

Burnett will continue working on the account through a three-month transition, and creative from McCann isn’t likely to show until next summer.

As the DefenseLINK announcement noted:

“McCann Erickson, New York, is being awarded an estimated $1.35 billion firm-fixed price, indefinite delivery/indefinite quantity contract for the planning and implementation of advertising, promotional and publicity programs to support all recruiting and retention programs for the active-duty Army and the U.S. Army Reserve. This includes a full range of services from developing a tactical advertising strategy to producing advertising using numerous communications methods – including television, radio, print and Internet site, direct marketing, promotions, and events. ... Work… is estimated to be completed by Dec. 6, 2011 – based on a five year contract with the performance period consisting of a base period of two years and three one year options. The Communications-Electronics Life Cycle Management Command Acquisition Center at Fort Monmouth, N.J., is the contracting activity… (W15P7T-06-D-C002)

Other, earlier coverage from MarketingVOX:‘Army of One’ Campaign Dissed and DismissedU.S. Army Narrows Review to FourArmy Again Extends Burnett ContractArmy Reissues $200MM Review, Keeps Agencies Off BalanceArmy Extends Burnett Contract, to Spend up to $50MM MoreArmy: Never Mind… $200MM Review on AgainU.S. Army: Just Kidding about the $200MM ReviewU.S. Army Reviews Account

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