DoD's $9.8M Space & Media Placement Contract Awarded to Campbell-Ewald Company
Contract Overview
Contract Amount: $9,830,100 ($9.8M)
Contractor: Campbell-Ewald Company
Awarding Agency: Department of Defense
Start Date: 2007-04-18
End Date: 2007-12-31
Contract Duration: 257 days
Daily Burn Rate: $38.2K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: OPTION PERIOD 1 - SPACE CHARGES & MEDIA PLACEMENT
Place of Performance
Location: WARREN, MACOMB County, MICHIGAN, 48089
State: Michigan Government Spending
Plain-Language Summary
Department of Defense obligated $9.8 million to CAMPBELL-EWALD COMPANY for work described as: OPTION PERIOD 1 - SPACE CHARGES & MEDIA PLACEMENT Key points: 1. Contract value of $9.8 million for advertising services. 2. Awarded under full and open competition. 3. Potential risk associated with firm fixed-price contracts if scope changes. 4. Spending falls within the advertising agencies sector.
Value Assessment
Rating: fair
The contract value of $9.8 million for a 257-day period appears reasonable for large-scale media placement and advertising services. Benchmarking against similar DoD contracts for advertising campaigns would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, suggesting a robust process for price discovery and selection of the most advantageous offer. This method generally leads to competitive pricing.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for advertising services.
Public Impact
Public awareness campaigns may be supported by these advertising services. Potential for increased visibility of DoD initiatives through media placement. Contract supports the operational needs of the Department of the Navy.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Firm fixed-price contract may not accommodate scope creep effectively.
- Contract duration is relatively short (257 days).
Positive Signals
- Awarded via full and open competition.
- Clear service description: Space Charges & Media Placement.
Sector Analysis
This contract falls under the Advertising Agencies sector (NAICS 541810). Spending in this sector for government contracts can vary significantly based on agency needs for public outreach, recruitment, and campaign support.
Small Business Impact
The data indicates the awardee is Campbell-Ewald Company, a large business. There is no specific indication of small business participation or subcontracting goals in the provided data.
Oversight & Accountability
The award was made by the Department of the Navy, part of the Department of Defense. Standard DoD oversight mechanisms would apply to ensure contract performance and financial accountability.
Related Government Programs
- Advertising Agencies
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Potential for cost overruns if scope changes under fixed-price contract.
- Short contract duration may require frequent re-competition.
- Lack of specific small business participation details.
- Performance metrics not detailed in the provided data.
Tags
advertising-agencies, department-of-defense, mi, do, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $9.8 million to CAMPBELL-EWALD COMPANY. OPTION PERIOD 1 - SPACE CHARGES & MEDIA PLACEMENT
Who is the contractor on this award?
The obligated recipient is CAMPBELL-EWALD COMPANY.
Which agency awarded this contract?
Awarding agency: Department of Defense (Department of the Navy).
What is the total obligated amount?
The obligated amount is $9.8 million.
What is the period of performance?
Start: 2007-04-18. End: 2007-12-31.
What is the typical cost range for similar media placement contracts within the DoD?
The typical cost range for similar media placement contracts within the DoD can vary widely depending on the scope, duration, and specific media channels utilized. Contracts can range from tens of thousands for localized campaigns to millions for national or global outreach efforts. Factors like target audience, ad creative production, and media buying power significantly influence the overall cost.
What are the key performance indicators (KPIs) for this contract to ensure effectiveness?
Key performance indicators for this contract would likely include metrics such as reach, frequency, impressions, click-through rates (for digital media), cost per acquisition (CPA), and brand recall or awareness lift. The effectiveness would be measured against the specific campaign objectives set by the Department of the Navy, ensuring the media placement contributes to desired outcomes.
How does the firm fixed-price structure impact potential cost savings or overruns?
A firm fixed-price structure locks in the price regardless of the contractor's actual costs. This benefits the government by providing cost certainty, but it shifts the risk of cost overruns to the contractor. If the scope of work expands beyond what was initially defined, the government may need to issue a modification, potentially increasing the total contract value.
Industry Classification
NAICS: Professional, Scientific, and Technical Services › Advertising, Public Relations, and Related Services › Advertising Agencies
Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES
Competition & Pricing
Extent Competed: FULL AND OPEN COMPETITION
Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE
Solicitation ID: N0014005R0038
Offers Received: 2
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: THE Interpublic Group of Companies Inc (UEI: 006985790)
Address: 30400 VAN DYKE AVE, WARREN, MI, 10
Business Categories: Category Business, Not Designated a Small Business
Financial Breakdown
Contract Ceiling: $9,830,100
Exercised Options: $9,830,100
Current Obligation: $9,830,100
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0014006D0005
IDV Type: IDC
Timeline
Start Date: 2007-04-18
Current End Date: 2007-12-31
Potential End Date: 2007-12-31 00:00:00
Last Modified: 2008-01-08
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- Option Period 3 - Space Charges & Media Placement — $30.0M (Department of Defense)
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