Mediaweek Morning Report: July 1 2020 – Mediaweek

QMS Media has successfully secured an exclusive 10-year agreement, with a further option, with the City of Sydney to reinvigorate one of the world’s most sought after and prestigious outdoor advertising assets.

QMS Media will introduce new inventory to be installed in the second half of 2021. In addition to the incumbent JCDecaux, The City of Sydney also received a tender from oOh!media.

Following a thorough and robust selection process, the City of Sydney has determined QMS to be a genuine partner in the execution of their 2030 vision for the City. The long-term agreement incorporates the design, manufacture, installation and maintenance of what will be a predominantly digital advertising landscape, creating a dynamic Sydney CBD media channel.  

QMS group CEO, Barclay Nettlefold said QMS was honoured to win the coveted City of Sydney contract.

“The City of Sydney Street Furniture contract is universally recognised as the jewel in the crown of Australia’s OOH industry. QMS is proud to be recognised for our credentials, capabilities and people in securing this contract. We thank our new owners, Quadrant Private Equity, who have been very supportive in enabling QMS to submit a compelling proposition that will facilitate the development of an exciting new premium advertising landscape.”

Lord Mayor Clover Moore said the new suite of furniture equipped with predominantly digital panels would support the City’s post-Covid recovery and refresh the city centre streets.

“The new suite of furniture will help modernise our streets while also providing significant revenue to the City, which will help us maintain high quality services and public spaces for our residents, businesses and visitors,” the Lord Mayor said.

“This deal means we will have the capability to display real-time event, transport and emergency information on modern, sustainably designed and energy-efficient street furniture.”

Commenting on the significance of this win, Nettlefold added: “This is a game changer, not only for QMS but for the broader OOH industry. The scale of such an opportunity does not come along often.”

QMS will develop a new Sydney based operations hub to support installation, maintenance, cleaning and repair with a dedicated operations and maintenance crew to service the new Street Furniture contract.

The new contract will see QMS begin the inventory rollout in the second half of 2021. Prior to this, there will be expansion of the business with more than 40 new appointments reflected across all key business functions as part of the commitment to outstanding service delivery for the City Of Sydney.

Commenting on the loss of the tender, JCDecaux ANZ CEO, Steve O’Connor said:

“We are, of course, disappointed not to retain this contract.

“The City of Sydney was JCDecaux’s foundational contract in Australia, and we have since built a tremendous business here and in New Zealand. In 1997 we partnered with the City to pioneer advertiser-funded street furniture in Australia, replacing run-down bus shelters, kiosks and benches with architecturally-designed quality infrastructure that is still relevant today – it is now part of the fabric of the City. For over 20 years, JCDecaux has cleaned, repaired and maintained this infrastructure to an extremely high standard. We are proud of this shared history between our two organisations.

“While a meaningful contract, it is not of the same calibre as the one we entered into in 1997. Irrespective of the result of the tender, JCDecaux will maintain a significant presence in the City of Sydney into the future due to its payphone contract with Telstra. The payphones populate Sydney’s most premium locations, while large swathes of bus shelters on highly trafficked city streets have been removed through the installation and operation of the light rail.

“Commuters and advertisers can rest assured that for JCDecaux it will be business as usual until at least 31 January 2021, and possibly longer. We will continue to provide these services with total professionalism and dedication until required. Further, we will continue our long-standing relationships with the many cultural institutions we support here.

“JCDecaux has big plans for the future. We’re more committed than ever to our vision: to be the unrivalled Out-of-Home leader in Australia and New Zealand, delivering exceptional experiences to brands, partners and our people.”