Business Services Industry

Two major local ad agencies form group to buy spot TV. (McCann-Erickson Worldwide and Campbell-Ewald Co.'s Local Communications Inc.)

Crain's Detroit Business, September, 1996 by Ross, Chuck

McCann-Erickson Worldwide and Campbell-Ewald have formed a spot-TV juggernaut that will purchase up to $800 million in local commercial time annually. The partnership of the two Interpublic Group of Cos.' agencies is called Local Communications Inc. and is based at McCann's office in Troy. The driver is mutual client General Motors Corp., expected to contribute $300 million to $400 million to the venture.

Other clients of the agencies, including McCann's Nestle USA and Campbell-Ewald's Office-Max, are to make up the remainder. While nearly all McCann's and Warren-based Campbell-Ewald's clients are participating in the joint venture, McCann client Unilever U.S. chose not to participate. Some other clients, including Boston Market, have yet to be folded into the...

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