Omnicom Media Preps Procurement Approach

NEW YORK Media shops have learned a few things about procurement in recent years, as client reviews of their buying and planning assignments have increasingly focused on keeping costs in line.

Now, Omnicom Media Group said it plans to apply procurement practices for the first time to this year’s upfront market as it negotiates with media sellers for ad time during the upcoming TV season.

OMG — the management arm of Omnicom’s media agency group — said it is expanding the scope of OPera USA, its negotiating unit, to include “professional procurement resources.”

OPera leverages the scale of OMG’s resources and billings across global media agency networks OMD and PHD, as well as smaller shops M2M and Prometheus. OPera was launched in 2005 for OMD’s Europe Middle East and Africa region and has since rolled out in 18 global markets.

“For a number of years now, OMD and PHD have been successfully following an OPera negotiating approach during the upfront TV market; we are now expanding this approach across multiple media types and adding procurement expertise to our seasoned team of media buying experts,” said Page Thompson, CEO of OMG North America. The OPera unit reports to Thompson. 

Added Daryl Simm, CEO of OMG Worldwide: “In today’s environment, procurement is increasingly at the top of our clients’ agenda. By adding procurement professionals to OPera, we’ll not only do a better job of meeting client expectations, we’ll be investing in our outstanding buying teams by providing them with the negotiating resources and training to keep them at the top of their game.” 

Effective immediately, two procurement executives will join the OPera USA team.

Craig Glaser, OMG’s procurement director, who takes on additional responsibilities for initiatives across local broadcast and print. Prior to joining OMG, Glaser was vp, corporate sourcing for NBC Universal, where he had overall responsibility for all NBC sourcing, including efforts at the NBC Stations Group.

In addition, D.J. Martin has been appointed head of procurement initiatives across national broadcast TV. He joins OMG on May 26 from Colgate Palmolive North America, where he was director of indirect procurement.

The procurement executives will work with the OPera team to develop negotiating strategies; pricing and contractual terms with vendors; performance measurement of buys; and aid in the management of vendor relationships, OMG said. The balance of the OPera team includes the respective OMD, PHD and OMG negotiating leaders for national TV, local TV and print media.