The New, Leaner Model GM Planworks: Restructuring For Digital, Cuts Staff By 5 Percent
This story was written by David Kaplan.
GM Planworks, the Starcom MediaVest Group media planning and buying unit strictly devoted to General Motors, has laid off 25 positions, or 5 percent of its staff, in order to shift more resources to digital, Mediapost reported. In the words of SMG Americas CEO Laura Desmond, GM Planworks is being "streamlined," with a more emphasis on "digital talent and tools," though she didn't offer specifics.
Detroit-based GM Planworks was created eight years ago to handle the $3.2 billion planning assignment for GM; in 2005, it was awarded the media buying account as well. The view is that GM, the world's largest automaker and typically the number two U.S. ad spender after Procter & Gamble, finally needs to shift its ad mix from heavy reliance on traditional TV spots to the internet. Publicis Groupe-owned SMG has been trying to evaluate how far and how fast it needs to move to keep up with GM's changing needs and the altered media landscape in general.
By David Kaplan