GM plans to end the $1 billion contract with Chevrolet’s advertising agency, according to anonymous sources.
GM is believed to end soon its partnership with full-service ad agency Goodby Silverstein & Partners, and choose instead McCann Worldgroup, which will be from now on responsible for Chevrolet’s advertising business. The first rumors about GM’s decision were herd on Monday when McCann CEO Harris Diamond, who had to moderate a political discussion at the 4As Transformation conference in New Orleans, canceled at the last moment because of a meeting with a client believed to be General Motors.
The Detroit Free Press said that this decision will not bring any changes to GM’s marketing plans under the JV called Commonwealth, which was established by former chief marketing officer Joel Ewanick, who was fired in 2012 over a European soccer marketing deal. The 50-50 JV was set between competitors McCann and Goodby.
The changes come at a time when Chevrolet prepares to launch three new products this year, including the redesigned Impala sedan, an all-new Silverado pickup and the Chevrolet Corvette Stingray. According to Kantor Media, GM spent last year almost $975 million to advertise ist Chevy brand in the States, while Cadillac spent $243 million on advertising in the US.