As expected: Universal McCann won back the Nestle Barn media budget

There are no surprises in the media auction of Nestle Barn: “Globes” has learned that the media company Universal McCann is a group McCann Tel Aviv Won again the group’s media budget, which stands at about NIS 50 million.

As first revealed in “Globes” A few months ago, Osem decided to go out to tender for its media budget. Although those in charge of the advertising system in Israel were not enthusiastic about the tender and were satisfied with the work with Universal McCann, which has been buying the media for several years, Osem is controlled by the international food giant Nestlé, which – like many international companies – The company decided to eventually hold an orderly tender that would re-examine how the budget is currently managed.

However, the terms of the tender left the local company with some maneuverability: they determined that the commercial bid would be given a weight of 85%. Out of the score for the commercial offer, only 23% will be given for the offer on the digital. In other words, Osem has kept most of the weight for offline advertising pricing – especially for television. In addition, the company reserved the right to conduct a bidding process. This means that if the barn had a preferred company, it was left free to allow that company to align or improve a quote even if its original offer was not the best.

All along, the advertising industry has estimated that Osem will allow McCann to continue to handle the budget. Media prices, however, believed that improving the company’s existing media agreements would not be a simple matter in the tender either, since this is an advertiser whose advertising prices are among the lowest there is. During the tender, no less than three rounds of bidding took place between the two finalists: Media Com from the Adler Chomsky Group and Universal McCann, which, as mentioned, eventually managed to keep the budget.

The Osem Group’s advertising division is divided between four advertising agencies: Gitam BBDO handles the budgets of the Culinary, Pastry, Corporate and Tivol divisions. Glickman-Shamir-Samsonov handles the budgets of Nescafe and Nestle ice cream brands.

McCann Tel Aviv handles the budgets of the breakfast cereals, Nesti, Zabar, Purina and the snack division of Osem. Until recently, the advertising agency JWT handled the advertising budget of Materna. The media acquires Universal McCann for him.

Almost all of Osem’s advertising agencies have media companies, which naturally saw themselves as candidates for budget management but only Universal and Media Com fought for it in the end.