DoD's Navy awards $17.3M for Advertising Services to Campbell-Ewald Company
Contract Overview
Contract Amount: $17,274,788 ($17.3M)
Contractor: Campbell-Ewald Company
Awarding Agency: Department of Defense
Start Date: 2008-11-20
End Date: 2009-05-19
Contract Duration: 180 days
Daily Burn Rate: $96.0K/day
Competition Type: FULL AND OPEN COMPETITION
Number of Offers Received: 2
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: OPTION PERIOD 3 - ADVERTISING SERVICES
Place of Performance
Location: WARREN, MACOMB County, MICHIGAN, 48088
State: Michigan Government Spending
Plain-Language Summary
Department of Defense obligated $17.3 million to CAMPBELL-EWALD COMPANY for work described as: OPTION PERIOD 3 - ADVERTISING SERVICES Key points: 1. The contract is for advertising services, a common need across government agencies. 2. Campbell-Ewald Company is the incumbent contractor, suggesting potential for continued relationship. 3. The contract was awarded under full and open competition, indicating a competitive process. 4. The total award value is $17.3 million over 180 days.
Value Assessment
Rating: good
The award value of $17.3 million for a 6-month period suggests a significant scope of work. Benchmarking against similar advertising contracts would be necessary for a precise value assessment, but the price appears reasonable for comprehensive advertising services.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded through full and open competition, which typically fosters competitive pricing and ensures the government receives the best value. The specific bidding process and number of offers received would provide further insight into price discovery.
Taxpayer Impact: The competitive award process aims to ensure taxpayer funds are used efficiently for necessary advertising services.
Public Impact
Public awareness campaigns may be supported by these advertising services. The contract contributes to the Department of the Navy's communication and outreach efforts. Advertising services can influence public perception and engagement with government initiatives.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Contract duration is relatively short (180 days), potentially leading to frequent re-competition.
- Incumbent contractor may have an advantage in future bids.
Positive Signals
- Awarded under full and open competition.
- Firm Fixed Price contract type provides cost certainty.
Sector Analysis
Advertising services are crucial for government agencies to communicate with the public and stakeholders. Spending in this sector can vary widely based on agency mission and specific campaign needs. This contract represents a moderate investment for a defined period.
Small Business Impact
The data does not indicate whether small businesses were involved as subcontractors or prime contractors in this award. Further analysis would be needed to assess small business participation.
Oversight & Accountability
The contract was awarded under full and open competition, suggesting a structured procurement process. Oversight would focus on performance delivery and adherence to contract terms.
Related Government Programs
- Advertising Agencies
- Department of Defense Contracting
- Department of the Navy Programs
Risk Flags
- Short contract duration may lead to frequent re-competition.
- Potential for incumbent advantage in future procurements.
- Lack of detail on small business participation.
- Effectiveness metrics for advertising services are not provided.
Tags
advertising-agencies, department-of-defense, mi, do, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $17.3 million to CAMPBELL-EWALD COMPANY. OPTION PERIOD 3 - ADVERTISING SERVICES
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 $17.3 million.
What is the period of performance?
Start: 2008-11-20. End: 2009-05-19.
What specific advertising strategies and channels were employed under this contract, and how effective were they in achieving the Navy's communication goals?
The specific advertising strategies and channels utilized under this contract would typically be detailed in the contractor's performance work statement and subsequent reports. Effectiveness would be measured against predefined metrics, such as reach, engagement, message recall, and ultimately, the achievement of the Navy's communication objectives, which could range from recruitment to public information dissemination.
What was the competitive landscape for this contract, and did the full and open competition result in significant cost savings compared to a sole-source or limited competition scenario?
The 'full and open competition' designation implies that all responsible sources were permitted to submit bids. The extent of cost savings would depend on the number of bids received, the quality of those bids, and the negotiation process. A robust competition generally leads to better pricing for the government, but a precise comparison requires data on alternative bid scenarios.
How does the per-unit cost or overall value of this advertising contract benchmark against similar contracts awarded by other Department of Defense branches or federal agencies for comparable services
Benchmarking requires comparing this $17.3 million, 180-day contract against similar advertising service contracts. Factors like scope, duration, target audience, and specific services (e.g., media buys, creative development) must be aligned. Without access to a comprehensive database of comparable contracts, a definitive benchmark is difficult, but the value appears substantial for the given timeframe.
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: $17,274,788
Exercised Options: $17,274,788
Current Obligation: $17,274,788
Contract Characteristics
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: N0014006D0005
IDV Type: IDC
Timeline
Start Date: 2008-11-20
Current End Date: 2009-05-19
Potential End Date: 2009-05-19 00:00:00
Last Modified: 2009-02-03
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