BP lubricant business in global review

BP is understood to be looking for a global creative agency to handle its lubricants brand, Castrol.

It is thought to be retaining Agency Insight, a specialist auditing consultancy, to advise on its agency arrangements.

The move follows BP’s &£3bn acquisition of Burmah Castrol last year. BP bought the company for its lubricants business, which it is merging with its own brand, Duckhams. The oil company is also in the process of trying to sell Burmah Castrol’s chemical business for about &£800m.

Castrol consolidated its &£15m European ad account into Banks Hoggins O’Shea/FCB and Springer & Jacoby in May last year. Castrol is understood to spend &£3m in the UK.

In April BP decided to put Duckhams’ &£1m UK creative account into Banks Hoggins (MW April 19).

Castrol’s trade marketing manager Steven Sedgwick says the review will not affect the company’s European advertising arrangements or Castrol’s UK advertising account with Banks Hoggins.

He adds: “This may be something to do with our global division as we have just been bought by BP.”

Castrol has adopted a strategy of expanding into developing markets such as India and China. It has also developed global tie-ins with brands such as Formula One and BMW.

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