The Association of National Advertisers is investigating whether ad agencies have been unfairly directing production work to their in-house departments instead of independent shops. Agencies are being examined for allegedly fixing the bidding process by encouraging production houses to raise their prices, resulting in the contract going to the in-house team. The US Department of Justice said the development raises concerns about trust between advertisers and their agencies.
The US Department of Justice is investigating whether ad agencies have been unfairly directing production work to their in-house departments instead of independent shops. Agencies are being examined for allegedly fixing the bidding process by encouraging production houses to raise their prices, resulting in the contract going to the in-house team. The Association of National Advertisers said the development raises concerns about trust between advertisers and their agencies.