Procter & Gamble (P&G) has put the strategic planning for its global Prestige Beauty business up for pitch. The incumbent on the business is WPP Group-owned MediaCom.
Alongside the incumbent, roster agencies Starcom and Zenith Optimedia, both owned by Publicis Groupe, are thought to be pitching for the business. The pitch is not expected to affect local arrangements in individual countries.
Starcom handles the bulk of P&G’s planning and buying outside the UK. In 2003, P&G stripped MediaCom of its media planning responsibilities in the UK, instead consolidating the lion’s share of its £162m planning business into Zenith Optimedia (MW April 10, 2003). Rival Unilever is a major MediaCom client.
P&G Prestige Beauty markets fragrances including Giorgio Beverley Hills, Hugo Boss, Lacoste and Valentino, which launched its first fragrance – called V – under P&G this year.
Last year P&G spent £4.2m advertising Hugo Boss in the UK and this year it backed the V launch with a global budget of more than £15m.
P&G is expected to reinvigorate the Valentino fragrance portfolio, the licences for which it bought in 2003, with several launches rumoured to be in the pipeline. The launch of V was also intended to bring a more feminine touch to the male-dominated P&G fragrance portfolio.
P&G is reported to be interested in acquiring Dolce & Gabbana’s perfume licence. Although the company declines to comment on the speculation concerning D&G, it does admit that it has aggressive expansion plans and aims to become one of the top ten women’s fragrance houses in the next five years.
Other launches planned for this year include Hugo Boss and Lacoste extensions. Lacoste Essential is expected to be rolled out next month.