Ernie Ross tipped for TSTT advertising contract

(Trinidad Guardian) Majority state-owned Telecommunications Services of T&T (TSTT) is set to award a multi-million dollar advertising contract to Ross Advertising Ltd, the advertising agency of People’s Partnership, owned by Ernie Ross. But concern has been expressed about how Ross, who’s never handled an advertising contract for TSTT or in telecommunications before, was able to make the cut in six months after he by-passed tendering when the contract was first announced in November 2010.This time, though, Ross passed the grade after the contract was re-structured and re-tendered last month. Lonsdale—who worked for TSTT for 20 years—was dropped as it didn’t meet the new evaluation criteria. The Sunday Guardian learnt that a TSTT team has just completed evaluations for the new tender last week and four companies were shortlisted—Ross Advertising Ltd, Valdez and Torry, McCann Erickson and CMB. Of the shortlisted four, the Sunday Guardian was informed that Ross is in the running to secure the Media Purchasing and Management Services, the most lucrative, from the telecommunications company.

Proposes six per cent commission

Ross was able to triumph because he proposed a six per cent commission as opposed to 15 per cent of the other agencies. The contract, once approved by TSTT’s board, should be awarded next week. This wasn’t the case six months ago.

Last November, TSTT put out Tender Notices for Advertising and Marketing services. After an exhaustive one-month evaluation, which demanded that companies prove they have the infrastructure and resources to support an account of this magnitude, three companies were selected: two TSTT stalwarts McCann Erickson and Lonsdale and newcomer, CMB.

The Sunday Guardian understands the evaluation committee’s decision was subsequently forwarded to the TSTT board. However, unlike the two or three year contracts of the past, the board agreed to the agencies being offered six-month contracts. The “why” and “on what merit” questions lie with the TSTT board chaired by former commissioner of police, Everald Snaggs and include vice-chairman Ravi Ratiram, Brent Dumas, Randy Ramtahal and Cleveland Thomas. Ramtahal is Head of the Tenders Committee.

Breaking up the contract

A decision was taken to re-tender for the almost $50 million contract and the terms of the Request for Proposal’s (RFP) were changed. “This big account, the biggest in the local advertising world, is back up for tender again, after only several months instead of the stipulated three years. And this time, Ernie is bidding for it,” a source explained.

“But how can Ernie bid for this account when his agency is so small? This is not a short-term political hype campaign for the UNC but rather a day-to-day intense multiple product, multiple brand, multiple media client in a highly competitive environment. So, how come his is bidding even as larger agencies have refrained?  “Simple, TSTT has changed the terms of the tender, they have broken the account up into smaller parts,” the source explained.