Hasta La Creative!

Procter & Gamble’s recent announcement that it plans to divest, discontinue or merge 90 to 100 brands is putting plenty of its smaller brands — from Art of Shaving to Zooth — on alert. But they’re not the only ones. P&G’s top agencies are also wondering how the changes might affect their businesses.

A handful of agency executives agree that divesting small brands won’t put a massive dent in spending. Still, it won’t go unnoticed by the shops reliant upon P&G business, as well as those serving vulnerable brands.

The latest move also puts the spotlight on P&G’s BAL (brand agency leader) structure, under which P&G designates one agency as a “single point of contact” on most brands. The model is already in flux as brands gain greater control over their agency-roster decisions, according to people familiar with the matter. And some wonder if the latest portfolio play will tip the scales.

Continue reading at AdAge.com