DoD's $17.16M Advertising Contract Awarded to Wunderman Thompson LLC Under Full and Open Competition

Contract Overview

Contract Amount: $17,159,081 ($17.2M)

Contractor: Wunderman Thompson LLC

Awarding Agency: Department of Defense

Start Date: 2009-09-26

End Date: 2009-11-30

Contract Duration: 65 days

Daily Burn Rate: $264.0K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 1

Pricing Type: COMBINATION (TWO OR MORE)

Sector: Other

Official Description: MCRC ADVERTISING SERVICES; ODC

Place of Performance

Location: ATLANTA, FULTON County, GEORGIA, 30328

State: Georgia Government Spending

Plain-Language Summary

Department of Defense obligated $17.2 million to WUNDERMAN THOMPSON LLC for work described as: MCRC ADVERTISING SERVICES; ODC Key points: 1. The contract value is $17.16 million for advertising services. 2. Competition was full and open, indicating a competitive bidding process. 3. The award was made by the Department of the Navy, part of the DoD. 4. The North American Industry Classification System (NAICS) code is 541810 (Advertising Agencies).

Value Assessment

Rating: fair

The contract value of $17.16 million for advertising services appears reasonable given the scope. Benchmarking against similar large-scale advertising contracts would provide a clearer assessment of value for money.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded under full and open competition, suggesting that multiple vendors had the opportunity to bid. This method generally promotes competitive pricing and allows the government to select the best value.

Taxpayer Impact: The competitive nature of the award is positive for taxpayers, as it likely resulted in a more efficient use of funds compared to a sole-source or limited competition scenario.

Public Impact

Taxpayers benefit from competitive bidding processes that aim to secure services at optimal prices. The Department of the Navy's use of advertising services supports its communication and recruitment efforts. The duration of the contract (65 days) suggests a focused campaign or project.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

  • Short contract duration may indicate a specific, time-bound need rather than ongoing services.
  • Lack of detailed performance metrics in the provided data makes it difficult to assess effectiveness.
  • The 'GA' status code might require further investigation for specific implications.

Positive Signals

  • Awarded under full and open competition.
  • Clear contracting agency (Department of the Navy).
  • Specific NAICS code provided for industry classification.

Sector Analysis

The advertising industry is dynamic, with agencies competing for government contracts to provide creative and strategic communication services. Spending benchmarks vary widely based on campaign scope and objectives.

Small Business Impact

The data does not indicate whether small businesses were involved as subcontractors or prime contractors. Further analysis would be needed to determine small business participation.

Oversight & Accountability

The award under full and open competition suggests a structured procurement process. Oversight would typically involve monitoring contract performance and adherence to terms by the Department of the Navy.

Related Government Programs

  • Advertising Agencies
  • Department of Defense Contracting
  • Department of the Navy Programs

Risk Flags

  • Potential for cost overruns if scope is not tightly managed.
  • Effectiveness of advertising campaigns can be difficult to measure definitively.
  • Reliance on a single vendor for a significant contract value.
  • Short contract duration might indicate a rushed or poorly planned procurement if not for a specific event.

Tags

advertising-agencies, department-of-defense, ga, do, 10m-plus

Frequently Asked Questions

What is this federal contract paying for?

Department of Defense awarded $17.2 million to WUNDERMAN THOMPSON LLC. MCRC ADVERTISING SERVICES; ODC

Who is the contractor on this award?

The obligated recipient is WUNDERMAN THOMPSON LLC.

Which agency awarded this contract?

Awarding agency: Department of Defense (Department of the Navy).

What is the total obligated amount?

The obligated amount is $17.2 million.

What is the period of performance?

Start: 2009-09-26. End: 2009-11-30.

What specific advertising objectives did this contract aim to achieve for the Department of the Navy?

The provided data does not specify the exact advertising objectives. Typically, such contracts support recruitment campaigns, public awareness initiatives, or messaging related to specific naval programs. Understanding the campaign's goals is crucial for evaluating the effectiveness and value of the awarded services.

How does the awarded amount of $17.16 million compare to industry benchmarks for similar government advertising campaigns?

Without specific details on the campaign's scope, duration, and target audience, direct comparison to industry benchmarks is challenging. However, $17.16 million is a significant sum, suggesting a large-scale or multi-faceted campaign. A detailed cost-benefit analysis against comparable DoD or agency campaigns would be necessary for a precise valuation.

What mechanisms are in place to ensure the effectiveness and accountability of Wunderman Thompson LLC's advertising services?

Accountability is typically managed through contract performance metrics, deliverables, and reporting requirements outlined in the contract. The Department of the Navy would monitor the agency's progress against these terms. Post-campaign analysis of key performance indicators (KPIs) related to the advertising objectives would further assess effectiveness.

Industry Classification

NAICS: Professional, Scientific, and Technical ServicesAdvertising, Public Relations, and Related ServicesAdvertising Agencies

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT)PROFESSIONAL SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: NEGOTIATED PROPOSAL/QUOTE

Solicitation ID: M0026407R0009

Offers Received: 1

Pricing Type: COMBINATION (TWO OR MORE) (2)

Evaluated Preference: NONE

Contractor Details

Parent Company: WPP PLC (UEI: 232931092)

Address: 10 GLENLAKE PKWY NE B, ATLANTA, GA, 90

Business Categories: Category Business, Not Designated a Small Business

Financial Breakdown

Contract Ceiling: $17,159,081

Exercised Options: $17,159,081

Current Obligation: $17,159,081

Contract Characteristics

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: M0026408D0001

IDV Type: IDC

Timeline

Start Date: 2009-09-26

Current End Date: 2009-11-30

Potential End Date: 2009-11-30 00:00:00

Last Modified: 2010-11-05

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