DOT says another contract with ad agency DDB 'suspended' | ABS-CBN

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DOT says another contract with ad agency DDB 'suspended'

RG Cruz,

ABS-CBN News

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The Department of Tourism announces the new slogan to promote Philippine tourism during the 50th anniversary of the department attended by President Ferdinand Marcos Jr. at the Manila Hotel on June 27, 2023. Jonathan Cellona ABS-CBN News
The Department of Tourism announces the new slogan to promote Philippine tourism during the 50th anniversary of the department attended by President Ferdinand Marcos Jr. at the Manila Hotel on June 27, 2023. Jonathan Cellona ABS-CBN News

MANILA — The Department of Tourism (DOT) has suspended another contract with ad agency DDB Philippines, Tourism Secretary Christina Frasco said on Tuesday.

This, after the agency terminated its other contract with DDB for a botched tourism video that used stock footage.

During the budget briefing of DOT, OFW party-list Rep. Marissa del Mar Magsino noted that the tourism department had another P124.45 million contract with DDB to provide counseling services for the promotion of Philippine islands, award-winning destinations, and tourism products, which was supposed to end on Aug. 31, 2023.

Magsino also noted that there is a P12.99 million contract between DDB Philippines and the Tourism Promotion Board (TPB), an attached agency of the department, for consulting services for the conceptualization and development of meetings, incentive travel, conventions and exhibitions.

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"The contract concerning the video has since been terminated," Frasco told the House Committee on Appropriations.

"With regard to the other contract that you mentioned, the same has been suspended by the Department of Tourism with the department's exercise of the necessary due diligence to ensure that it safeguard the interest of the department as well as the country," she added.

Frasco also told lawmakers that DDB's security bond was forfeited.

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However, TPB Chief Operating Officer Margarita Nograles said they were pushing through with the contract and that so far, deliverables were okay and ready for launch.

House Deputy Minority Leader and ACT Teachers Rep. France Castro meanwhile wants a case against DDB.

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"Dapat pag-usapan ng DOT na ma-filean itong DDB ng kaso dahil sa kahihiyan na dinulot nito sa atin," Castro said.

(The DOT should discuss filing a case against DDB because of the embarrassment it caused us.)

DOT Undersecretary for Legal and Special Concerns Ma. Elaine Bathan left that option open.

"As of the moment, the priority of the department was to immediately terminate and cancel the contract and one of the serious considerations also is the...other courses of legal action, including filing of action in the proper courts should the same be warranted," Bathan said.

She also assured lawmakers that the budget for the campaign was intact and that the videos created by DDB would not be used.

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