DoD Awards $48.4M for Paid Media Support Services to MullenLowe US Inc
Contract Overview
Contract Amount: $48,436,675 ($48.4M)
Contractor: Mullenlowe US Inc
Awarding Agency: Department of Defense
Start Date: 2024-07-01
End Date: 2025-06-30
Contract Duration: 364 days
Daily Burn Rate: $133.1K/day
Competition Type: FULL AND OPEN COMPETITION
Pricing Type: FIRM FIXED PRICE
Sector: Other
Official Description: PAID MEDIA SUPPORT SERVICES
Place of Performance
Location: ALEXANDRIA, FAIRFAX County, VIRGINIA, 22315
State: Virginia Government Spending
Plain-Language Summary
Department of Defense obligated $48.4 million to MULLENLOWE US INC for work described as: PAID MEDIA SUPPORT SERVICES Key points: 1. Significant contract value of $48.4 million for advertising services. 2. MullenLowe US Inc. is the sole awardee for this delivery order. 3. The contract is for paid media support, indicating a need for advertising expertise. 4. Awarded by the Department of Defense, highlighting government marketing needs.
Value Assessment
Rating: good
The contract value of $48.4 million for a one-year period appears reasonable for comprehensive paid media support services. Benchmarking against similar large-scale advertising contracts would provide a more precise assessment.
Cost Per Unit: N/A
Competition Analysis
Competition Level: full-and-open
The contract was awarded under full and open competition, suggesting a robust price discovery process. This method allows multiple vendors to bid, potentially leading to competitive pricing.
Taxpayer Impact: Taxpayer funds are being utilized for essential advertising and media support services for the Department of Defense.
Public Impact
Public awareness campaigns for DoD initiatives may be supported by these services. Effective communication strategies are crucial for military recruitment and public relations. The contract ensures access to specialized advertising expertise for government messaging.
Waste & Efficiency Indicators
Waste Risk Score: 50 / 10
Warning Flags
- Potential for cost overruns if scope expands beyond initial paid media support.
- Dependence on a single vendor for critical advertising functions.
- Effectiveness of paid media campaigns can be difficult to measure precisely.
Positive Signals
- Awarded through full and open competition, indicating competitive pricing.
- Clear contract duration of one year with defined end date.
- Services are essential for government communication and outreach.
Sector Analysis
This contract falls under the advertising agencies sector (NAICS 541810). Spending in this sector for government services is common for public outreach, recruitment, and information dissemination. Benchmarks for similar contracts vary widely based on scope and duration.
Small Business Impact
The contract was awarded to MullenLowe US Inc. and there is no indication of small business participation in this specific delivery order. Future solicitations could explore opportunities for small business set-asides.
Oversight & Accountability
The Department of Defense is responsible for overseeing this contract. Standard oversight mechanisms for delivery orders under larger contracts would apply, including performance monitoring and payment verification.
Related Government Programs
- Advertising Agencies
- Department of Defense Contracting
- Defense Human Resources Activity Programs
Risk Flags
- Potential for scope creep beyond initial paid media support.
- Measuring the ROI of public sector advertising can be challenging.
- Dependence on a single vendor for critical communication functions.
- Ensuring alignment with diverse DoD messaging across different branches.
Tags
advertising-agencies, department-of-defense, va, delivery-order, 10m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Defense awarded $48.4 million to MULLENLOWE US INC. PAID MEDIA SUPPORT SERVICES
Who is the contractor on this award?
The obligated recipient is MULLENLOWE US INC.
Which agency awarded this contract?
Awarding agency: Department of Defense (Defense Human Resources Activity).
What is the total obligated amount?
The obligated amount is $48.4 million.
What is the period of performance?
Start: 2024-07-01. End: 2025-06-30.
What is the specific scope of 'paid media support services' covered by this contract?
The scope likely includes planning, purchasing, and managing advertising space and time across various media channels such as digital, print, television, and radio. It may also encompass creative strategy development, campaign analysis, and performance reporting to ensure effective reach and impact for DoD messaging.
How will the effectiveness of the paid media campaigns be measured and evaluated?
Effectiveness will likely be measured through key performance indicators (KPIs) such as reach, frequency, engagement rates, conversion rates (e.g., website visits, applications), and return on ad spend (ROAS). The contract should detail specific metrics, reporting frequencies, and evaluation methodologies to assess campaign success against DoD objectives.
Are there any performance incentives or penalties tied to the success of the paid media campaigns?
While the contract type is Firm Fixed Price, which typically limits adjustments, performance incentives or penalties are not explicitly detailed in the provided data. However, the contracting officer may have clauses for performance standards, and failure to meet critical objectives could impact future contract awards or renewals.
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: H9821022R0001
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Parent Company: THE Interpublic Group of Companies Inc
Address: 2 DRYDOCK AVE, BOSTON, MA, 02110
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $48,436,675
Exercised Options: $48,436,675
Current Obligation: $48,436,675
Contract Characteristics
Commercial Item: COMMERCIAL PRODUCTS/SERVICES
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: H9821023D0004
IDV Type: IDC
Timeline
Start Date: 2024-07-01
Current End Date: 2025-06-30
Potential End Date: 2025-06-30 00:00:00
Last Modified: 2024-09-09
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