Lactalis begins review of £80m European media account
French dairy group Lactalis has started a competitive tender for the agency business responsible for planning and purchasing media across Europe. The account is valued at an estimated £80m and covers the company’s main European markets.
The process includes France, the United Kingdom, Italy and Spain. Lactalis is assessing agencies’ ability to coordinate digital performance campaigns, programmatic buying and traditional television activity across national markets.
The remit includes brands such as Président, Galbani and Parmalat, as well as regional labels. The review also takes place as retail-media networks expand in supermarket settings and media audiences become more fragmented. Lactalis said the process is intended to identify partners for integrated omnichannel campaigns and to improve regional returns on advertising spending.
Existing holding-company groups are expected to compete with rival agency networks in the tender. Industry analysts cited in the report said that centralising media procurement and operations across several European jurisdictions remains an important account opportunity for international agencies.
For Lactalis, a more consolidated structure could allow common use of consumer-data analysis and reduce duplication between national marketing teams, according to the report. The review comes as European dairy markets face pressure from higher food costs, resistance to price increases among supermarket chains and competition from private-label products.
The commercial work will also operate amid disputes over front-of-package nutritional-labelling frameworks and tighter consumer scrutiny. The report said branded dairy companies need to communicate quality, culinary uses and nutritional value when seeking to support premium shelf prices.
The eventual agency roster will determine how Lactalis allocates media spending across its European brand portfolio. The company is also seeking to combine data-based targeting with broad-reach campaigns while supporting established dairy categories and expanding functional and snacking products.
