Cell C goes to pitch

FIVE AD AGENCIES will be working day and night for the next two weeks as cellphone network operator Cell C rushes to choose one to spearhead its marketing. Under newly appointed CEO Lars Reichelt, the company has put its R200m advertising account out to pitch after eight years with Net#work BBDO, which will be fighting to retain the business against Ogilvy Johannesburg, Grey South Africa, MorrisJones and DDB.

It's the second-biggest account move of the year.

Cell C's media planning and buying account is also under review, with incumbent The Media Shop up against Carat, MediaCompete, Initiative Media and Starcom.

Reichelt, the German-born former head of Orascom Telecom's Bangladesh unit, feels there's a need to look at what's available in the market.

Cell C is moving fast. "Cell C has very real business imperatives to address - and it needs campaigns running quite soon," says Robin Mailer of Yardstick, the company handling the pitch. "The process has been quite quick. We did the short-listing and briefing in one week. The agencies will revert on 9 and 10 October and a decision will be made the following week."

Mailer says the review isn't a reflection on Net#work. "It was a procurement decision to look at what's available."

Nevertheless, Net#work CEO Keith Shipley says the agency is "very disappointed - but we'll give it our best shot. We have done some great work on the account over the years and have won numerous creative and effectiveness awards." A recent study in the United States found incumbents retain the business in competitive pitches around 10% of the time.

Cell C, the latecomer to SA's cellphone market, has always struggled to win market share against established giants Vodacom and MTN, which outspend it in advertising two to one. For more, please visit www.adreview.co.za.