Led by McCann London the agency will work with the marketing team at London 2012 for the next three years and their scope of work will include developing the overall look and feel of the Games. 

 

McCann, which is owned by the Interpublic Group of Companies Inc., is the Games' eighth tier three sponsor - a status which costs companies at least £10 million.

 

With seven top sponsors and three tier two agreements also in place, London 2012 organisers have raised more than £420 million in domestic sponsorship.

 

Their target is £750 million.

 

McCann pipped Britain's WPP Group to win the contract.

 

This is the first time that marketing services has become a sponsorship category for an organising committee.

 

It has proved controversial because, rather than being paid a fee for services, bidders were asked how much they were willing to work for free and actually pay for the right to market the 2012 Games, a condition that led several British companies to drop out of the running for the contract.

 

The range of the contract includes advertising, including television - press, radio, outdoor, online, and mobile - direct marketing and digital marketing.

 

The contract is effective immediately and is the result of a tending process run by London 2012 with support by throughout by AAR, a London-based organisation which help clients and marketing services agencies establish, build and get the maximum value from their business relationships.

 

Sebastian Coe, the London 2012 chairman, said: “This is an extremely significant appointment as the agency will have a huge role in how the Games are not only perceived in 2012, but also how they’ll be remembered in years to come.

 

"We’re reaching the stage in our life-cycle where it’s all about delivering – McCann Worldgroup will help us with this and we welcome them to the team.”

 

Brett Gosper, the chairman McCann Worldgroup UK, said: “The London 2012 Olympic and Paralympic Games form the biggest event that will happen in London and the UK for a generation.

 

"We want to help the biggest event become the most memorable, and are thrilled and honoured that the full force of McCann Worldgroup in the UK has been chosen as part of the LOCOG team.

 

"In addition we look forward to leveraging the opportunities available to our business through becoming one of LOCOG’s Official Providers to further accelerate the development of our UK businesses”

 

Chris Townsend, the London 2012 commercial director, said: “This is another fantastic appointment. London 2012 requires significant funding from the private sector and our commercial programme is driving this.

 

"Staging the Games in the 21st century is a unique proposition and we are, in many areas - including with this deal - heading into new territory.

 

"McCann Worldgroup has a first class track record and will give us creative insight and expertise between now and 2012.

 

"This appointment is the outcome of a highly competitive process, with a number of industry leading groups responding to our tender.

 

"We are also extremely grateful to AAR who provided valuable support throughout this complex appointment, ensuring our robust selection process worked for the marketing services industry and enabled us to make the right choice.”