Chevrolet’s regional media work has shifted from Dentsu’s Carat to Publicis‘ Martin Retail Group in somewhat of a surprise move.
AdWeek reported on the shift after a Chevrolet spokesperson confirmed the move in a Thursday report. The move reportedly came without an agency review about two weeks ago.
However, Carat will remain the global media agency of record for all GM brands. The loss of the regional media operations means 3,000 U.S. Chevy dealers will now work with Martin Retail Group. The move positions Chevy alongside GMC, Buick, and Cadillac, which the new firm already handled local planning for.
According to the report, layoffs that reached the McCann WorldGroup also affected Dentsu as GM moved to lay off 4,000 white collar workers. Dentsu also laid off part of its workforce as GM moved to shed the thousands of workers as part of a restructuring effort outlined this past November. The report said 50 jobs were cut at the agency formerly responsible for regional Chevrolet media buying.
The layoffs came after GM unsuccessfully offered buyouts to workers last year. With few takers, GM enacted layoffs to put the company in better financial positioning for the future while the economy remains strong. Some have seen the restructuring as a sign GM expects the U.S. economy to slow down in the near future. Yet, GM said in an investor conference last month that it foresees a strong 2019 despite headwinds and other factors.