Starcom to buy for Saatchi

By SIMON HENDERY

Saatchi & Saatchi is shifting its media planning and buying services to global media specialist Starcom MediaVest Group.

The move is the first big structural shakeup for the agency since the arrival of new chief executive Andrew Stone at the beginning of last month.

Stone said yesterday, however, that the shift had been "on the table" since before his arrival and was a sensible change that had the support of the agency's clients.

"It was a no-brainer, really."

From June 1, Saatchi's entire media staff in its Auckland and Wellington offices will transfer to the new Starcom New Zealand operation that will be managed as a fully integrated, but independently run operation.

It will be headed by chief executive Paul Maher, a New Zealander who has been running Starcom MediaVest Group in Canada since 2002.

Saatchi's present media director, Alister Jamison, will become Starcom New Zealand general manager.

Until now, Starcom's flag in New Zealand has been quietly flown by Kevin Malloy, who returned from New York at the end of 2002 to run the group's international arm from Auckland.

Malloy, who has been working out of Saatchi's Parnell office - and travelling extensively - will head up Starcom's operations in New Zealand and Australia, where it has offices in four cities.

Stone and Malloy both trumpeted the benefits of Starcom's global strength yesterday as a reason for the realignment. Starcom has offices in 77 countries and manages more than US$18 billion ($27.5 billion) of advertising revenue a year from clients including Coca-Cola, Procter & Gamble, General Motors and McDonald's. Malloy said Starcom New Zealand would work closely with the Australian operation to ensure a strong transtasman offering.

Stone said splitting its media and creative functions was an important strategic move for Saatchi that would allow both departments to focus on their strengths.

Stone took up the top job at Saatchi & Saatchi in February, replacing Ian Christie.

He said since taking up the chief executive's position he had spent most of his time with clients, getting to know the business from their perspective.