Sweden – As 2024 draws to a close, Volvo, the multinational luxury vehicle manufacturer, has made a landmark decision to overhaul its media agency partnerships for the first time in nearly 25 years, awarding its global media account to Initiative, part of IPG Mediabrands.
Volvo has appointed IPG Mediabrands to manage its media account across all markets outside China, covering key regions such as the U.S., U.K., Germany, Sweden, Japan, Australia, and Korea, according to reports. The partnership is slated to begin in 2025 after a short transition period.
The appointment of Initiative also marks the end of Volvo’s long-standing partnership with WPP’s Mindshare, the incumbent agency that managed the automaker’s account in multiple markets for over two decades.
Published reports indicate that the review of the automaker’s global media planning and buying business began in August, with MediaSense managing the pitch process.
Reports also highlighted that Volvo’s estimated annual media spend is approximately $500 million, according to COMvergence.
Volvo’s appointment of Initiative comes just weeks after Omnicom Group announced its acquisition of IPG, aiming to create a leading marketing and sales powerhouse.