Sources close to the pitch suggested WPP offered Unilever a 20 per cent discount on fees compared with last year. However, other agency sources claimed OMG offered a much higher discount as "the client is much more interested in savings". Sources also suggested Omnicom offered Unilever a "guarantee with a penalty... which means they will have to pay it back to Unilever if they don't deliver".
Sources at PHD denied these claims and said all price fees and budgeting were still in negotiation. "There are literally no numbers to report because contracts haven’t been agreed," said one.
The award is a blow to Mindshare China, of which Unilever is its biggest client. Among the agency’s key initiatives for the FMCG giant in the mainland in recent years was the much-lauded launch of the Chinese version of Ugly Betty.
Mindshare holds the bulk of Unilever’s business in the region, while Universal McCann holds some accounts in Australia and Taiwan, for which Initiative is its lead agency.
The news comes five months after Unilever called its global media planning and buying review. At the time, agencies from WPP, OMG and Interpublic contended for the account, and in October, the brand narrowed the field between Aegis, Mediabrands, Mindshare and OMG.
The Asian markets under review additionally include India, for which Asia-Pacific agencies say they are currently awaiting a verdict.
Markets elsewhere in the world include Argentina, Mexico, North America, the UK, France, Germany, Spain, Italy, the Netherlands and Russia.
The win follows news that OMG's OMD is set to retain its regional Fonterra account, following a run-off against Mindshare's parent GroupM.
In Asia the pitch is being led by Rahul Welde, the Singapore-based vice-president of media for Asia, Africa, Middle East and Turkey. Welde could not be reached for comment at the time of going to press.