Facebook and Publicis Groupe, the advertising holding company with clients such as Procter & Gamble, Verizon and Coca-Cola, have struck an advertising deal reportedly worth “hundreds of millions of dollars.” The partnership will give Publicis increased access to Facebook’s user data, ad inventory, and opportunities to advertise on Instagram and to utilize video ads. The deal is the largest to-date between an agency holding company and a tech company.
Both Publicis and Facebook insist that the new deal is not focused on ad pricing or inventory, but rather expanding data and targeting, visual storytelling and video advertising. Clients, engineers, and creative talent would gain access to “Facebook insight” to create custom ad units or content for Instagram, according to Advertising Age.
“You can boil it down to integration and data. We’re the first agency network that will have this comprehensive level of data and access,” Laura Desmond, CEO at Publicis Groupe’s Starcom MediaVest Group, said in The Wall Street Journal.
Several of Publicis’ holdings have struck similar deals with tech companies in the past year. Starcom MediaVest Group signed a deal with Twitter in April of last year that was worth at least $200 million. Last November, DigitasLBi and Razorfish struck a $100 million partnership with Google for inventory across Google platforms such as YouTube and Google+.
The multiyear advertising deal between Facebook and Publicis is reportedly worth more than both of those deals. The current terms of the partnership is focused on North America, but could expand to cover other parts of the world in the future.