Vonage and JWT Part Ways

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Our friends at Adweek just received an internal memo confirming that JWT will no longer be AOR for Vonage.

JWT won the account from TBWAChiatDay in January 2013 after “a very competitive review, in which all of the agencies showed an impressive effort and high-quality work,” but the company may not have an AOR at all moving forward. Here’s the gist of the note from JWT business director Ruston Spurlock:

“Following the recent departure of Vonage’s CEO, Marc Lefar, the company was asked to dramatically cut costs. As a result, in 2015, Vonage will be shifting to an agency that is more suited for their tactical needs.”

This marks a sharp contrast from the company’s 2013 statement that “Advertising is one of the most public-facing manifestations of Vonage’s business strategy” and hints at declining revenue.

Since Vonage has yet to speak of an agency review, sources tell Adweek that it may well work with various shops on a per-project basis. Its latest TV spot, for example, was created by FCB Garfinkel…

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Tic Tac Hands Over Creative Duties to The Martin Agency

In news that somehow managed to slip through the cracks, Ferrero U.S.A handed over creative duties on Tic Tac to The Martin Agency following a six month review.

Back in July we reported that the review was down to three finalists, with incumbent agency Merkley + Partners defending against two unidentified agencies. Merkley + Partners had handled creative duties for Tic Tac since 2004. Martin Stoewahse, vice president of marketing for Ferrero, told the Richmond Times-Dispatch that the company chose to hand the account over to The Martin Agency “because they showed us an exciting brand platform that will help reinvigorate our brand … a fully integrated campaign that will make consumers take a fresh look at our iconic brand.”

According to The Martin Agency CEO Matt Williams, the agency aims to ““take a brand that everyone knows and loves and inject it with new energy.”

The agency expects to debut its first work for the brand in the first quarter of 2015, at which time we’ll find out if it will bear any resemblance to that of UK’s Aesop Agency (featured above).

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Taco Bell Sends Digital Creative Duties to Deutsch

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Today we can confirm that responsibilities for Taco Bell’s digital creative work have shifted from DigitasLBi to Deutsch.

The company’s last real agency shakeup began back in 2012, when FCB (nee DraftFCB) lost the digital creative business to Digitas right after the latter opened its San Francisco office. FCB remained the brand’s official AOR at the time, but the account eventually shifted to Deutsch after a series of what AdAge described as “jump-ball pitches” involving both shops.

You may note that this new business follows Deutsch winning sister Yum Brands chain Pizza Hut in July; the agency’s first ads for that client debuted last month.

A source tells us, however, that the real reason behind the move was the October launch of Taco Bell’s new mobile ordering app.

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Constellation Partners with Ogilvy Chicago on Corona Light, Modelo Especial

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Constellation Brands Beer Division announced a new partnership with Ogilvy Chicago on its Corona Light and Modelo Especial brands today, with Ogilvy being tasked with assisting “in the development and execution of marketing strategies to increase brand awareness, stimulate product trials, and accelerate sales for these two brands,” effective January 1st. Coronoa Extra was not part of the review, and will remain with Cramer-Krasselt.

Just last month we reported that Constellation had put portions of its Corona and Modelo brands up for review after Constellation and GS&P “mutually agreed to end their relationship” — although it was unclear at the time exactly which portions of the brands were up for grabs. Corona Light is the number one imported light beer in America, and fifth imported beer overall. Modelo Especial, meanwhile, has seen tremendous growth in recent years — with Constellation reporting “sales growth in the high double-digits over the past several years” — leading some to question if the brand is the “next Corona.” Modelo Especial’s growth has come without traditional ad support (the brand has yet to see a national broadcast campaign, for example) so it could be that Ogilvy Chicago will be tasked with bringing the brand to a larger stage. (more…)

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Publicis Worldwide Wins Cadillac

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This morning Cadillac made its big decision: Publicis Worldwide will be its global creative agency of record.

The (very quiet) review began in September when the brand chose to end its partnership with Hill Holliday, and Cadillac will no longer work with IPG agencies moving forward.

Earlier reports held that, while IPG had chosen to fold the Rogue unit it created to serve the client after the Hill Holliday decision, its Lowe and Partners group would take over the account with creative run out of New York and management handled by Campbell Ewald in Detroit. AdAge reported that “the only shop that’s really losing out on Rogue is Hill Holliday,” but that is no longer the case.

The news amounts to a major loss for IPG, which held the account for little over a year after Cadillac’s Fallon breakup prompted the agency’s CEO to write a note calling the decision “an outcome we do not deserve.” The holding company announced a cross-agency realignment to more effectively serve the client when Cadillac named a new president in August (following the appointment of a new CMO in January), but those efforts were not enough to retain the business.

What’s not clear at the moment is how the review unfolded: Cadillac did not announce it or make any public comments, and we don’t know which agencies were involved beyond Lowe and Publicis.

Read the full internal memo from Publicis CEO Arthur Sadoun – which thanks CSOs Carla Serrano, Dylan Williams, and more — below.

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Anomaly Scores Budweiser’s ‘Made in America’ Festival

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This morning we learned that a rep for Anheuser-Busch InBev has confirmed a tip we received yesterday: the company officially ended its relationship with Translation by sending the creative work for its “Made in America” music festival to Anomaly.

We’ve yet to receive confirmation from the agency, but the A-B PR said this:

The move was about “synergy” rather than any performance issues on the Translation side.

“We have an ongoing, global relationship with Shawn ‘Jay Z’ Carter. It will continue.”

You may recall that this is the latest in a series of agency shifts for Bud; after Translation won “a huge portion of” the business in December 2011, the client also assigned its Made in America brand to Steve Stoute’s agency in August 2012. In 2013/14, however, Energy BBDO won both the Bud Light and Bud Light Lime accounts — and this move marks the final shift of A-B’s business away from Translation.

Since Anomaly has been one of Budweiser’s lead agencies since 2010 (its “Puppy Love” spot topped February’s “top Super Bowl ads” list), no formal review was needed.

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McKinney Wins CarMax

Three weeks ago, we broke the news that CarMax, maker of Super Bowl ads featuring slow claps and puppies, would not be working with New York’s Silver+Partners for its next Big Game spot.

The ensuing review quickly turned into a competition between three southeastern agency offices, and yesterday Adweek reported that McKinney had won the account.

Sources told us that BBDO Atlanta was not the winner, but we didn’t receive responses from McKinney or CarMax before the Adweek post went live. Newly installed CMO Jim Lyski subsequently confirmed the win, writing that the company chose McKinney in order to “tell our unique story and connect the brand with consumers.”

Updates/official statements if we receive them. In the meantime: puppies.

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Corona Light/Modelo Leaving GS&P

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Yes, our Wednesday post on rumors that some portion of the Corona business would be up for review was extremely vague. But we were correct: the beer’s parent company just announced that it will no longer be working with GS&P.

Our sources told us nothing about which parts of the business would be changing hands, but both GS&P and Corona Light’s parent company Constellation told AdAge this afternoon that they had “mutually agreed to end their relationship.”

So Corona Light/Modelo has launched an agency review. An unnamed GS&P spokesperson said:

“Both parties agree that it’s time for a change, and we wish them nothing but success in the years ahead.”

Cramer-Krasselt is apparently safe for now, as Corona Extra is not on the list of divisions seeking new creative representation. And while Modelo is less of a household name than Corona, it could be the real prize for whichever agency wins the forthcoming pitch: a year ago market watchers were already calling it “the new Corona” and noting that its sales increases were considerably higher than those of its sister brand. Modelo has yet to run a national TV campaign, so the winning agency will, in all likelihood, be responsible for launching that effort next year.

The AdAge piece tells us nothing about the shops that have already started pitching Constellation, but this week a source did mention the letters D, D, and B…

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Sonic Signs Kevin Durant in Brand’s First Sports Endorsement Deal

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Sonic has signed a multi-year endorsement deal with Oklahoma City Thunder forward Kevin Durant, the brand’s first sports endorsement deal, Adweek reports.

As part of the deal, Durant will star alongside Sonic’s “Two Guys” in a national broadcast campaign expected this summer. The “Two Guys” in question, New York-based former The Colbert Report writer Peter Grosz and Chicago-based improv comedian T.J. Jagodowski, have been a staple of the brand’s advertising since being brought back by GSP+P in early 2012, two years after being phased out after their initial run with Kansas City-based agency Barkley. Durant will also be involved with Sonic educational charity Limeades for Learning and will help brainstorm new menu items.

Durant achieved instant-celebrity with his emotional acceptance speech for the NBA MVP award, which, coupled with his connection to Sonic’s hometown of Oklahoma City, attracted the attention of CMO Todd Smith. “What really happened was the MVP speech that he made last year really pushed him into a national presence more, but also, his likability is off the charts,” Smith told Adweek. “For us, we wanted someone who has a hometown feel with a national presence because that’s the type of brand we are.”

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CarMax Is Indeed Shopping for a New Agency

Earlier this month we heard that CarMax, the used car retailer made famous by a couple of Super Bowl spots, would soon be searching for a new AOR after parting ways with New York’s Silver + Partners. Neither the agency nor the company commented at the time, but today Adweek confirmed that report.

For a refresher, here’s the company’s 2011 Super Bowl spot:

Sources who didn’t notify us told Adweek that the never-announced review will start later this week and that the list has already been narrowed to three agencies located near the company’s Virginia headquarters:

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U.S. Army Set to Issue RFP for Global Media Business

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The U.S. Army is set to issue an RFP for its global media business, worth around $500 million, Adweek reported yesterday.

An army rep told Adweek that “overall marketing spending on the business is $184 million to $200 million annually” and the government pact is “a one-year contract, which is renewable for four years, effectively making it a possible five-year working relationship.”

A request for agency information originally went out in June, and the U.S. Army is expected to select a new agency by March, 2016. McCann Worldgroup, the incumbent agency, retained the account back in 2011 and has been invited to participate in the review. The RFP is said to cover advertising, public affairs support and direct marketing.

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We Hear: Bravo Wins Hispanic Coors Light Account

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One of this week’s “We Hear” posts included news that Publicis agency Bromley Communications, which was Hispanic AOR for MillerCoors/Coors Light, had lost the business.

Now we hear that the account did indeed leave Bromley — and that it went to WPP’s Bravo.

If true, this news would not be surprising. In 2012, WPP brought talent from Y&R, JWT, VML and more to create Calvary, the first agency to handle digital/creative for Coors, after the client “moved its entire account out of [FCB].” And Bravo’s list of clients targeting the Hispanic market is large: it includes AmEx, AT&T, Pfizer, Coca-Cola and more.

Our source tells us that Bravo won the account “in alliance with” the Cavalry/VML team.

Updates when we receive them.

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Pizza Hit Appoints Ogilvy & Mather London as UK Creative Agency

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Pizza Hut has appointed Ogilvy & Mather London as its creative agency in the UK without a pitch, The Drum reports. The account is estimated at £10m.

“I am excited about working with Ogilvy to spearhead our renewed marketing effort in UK,” Sandeep Kataria, general manager at Pizza Hut UK & Ireland said about the appointment. “I am excited about working with Ogilvy to spearhead our renewed marketing effort in UK. Already a partner of Pizza Hut and Yum! brands across numerous markets worldwide, we naturally want to tap into the creative excellence and strategic rigour synonymous with the Ogilvy network.”

The news follows the appointment of Deutsch LA as lead creative agency in the US in July, and a recent logo and menu revamp. Ogilvy & Mather London will be tasked with creating a series of integrated campaign articulating “Pizza Hut’s unique proposition and relevancy to consumers today,” according to The Drum.

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Nestle USA Shrinks Digital Agency Roster to Eight

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In a story that somehow slipped through the cracks here yesterday, Nestle USA shrunk its digital agency roster to eight shops, following a lengthy review which the company launched in the spring to “streamline the agency roster and increase the impact of the company’s digital efforts,” AdAge reported.

The review covered Nestle USA brands, excluding Purina, Gerber and Nestle Waters, which are part of a separate Nestle division. Agencies left standing are 360i, Deep Focus, Huge, Grey, Resource/Ammirati, Threshold Interactive, SmithBrothers and Swift. (more…)

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CenturyLink Selects Arnold as its Lead Creative Agency

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CenturyLink has named Arnold as its lead creative agency, following a review. We originally received tips about the appointment two weeks ago. At the time, no one commented on the lead, but today the agency confirmed the news to Adweek. Havas Worldwide also tweeted its congratulations to the (Havas-owned) Boston-based agency. CenturyLink spends approximately $90 million on media annually. Media buying and planning duties were not part of the review, and remain at Rochester agency Butler/Till.

Arnold’s Boston office will handle duties including digital and direct marketing, in additional to traditional advertising. Shirish Lal, chief marketing officer at CenturyLink, cited Arnold’s “strategic thinking and people” in choosing the agency over other finalists, who remain undisclosed.

“That’s the opportunity—to really build brand awareness,” said Pam Hamlin, Arnold’s global president, speaking of the lack of brand recognition for CenturyLink, despite the company’s $18.1 billion in revenue last year. “This really represents the next chapter of them as a marketer.”

Elliott Seaborn, a managing director at Arnold’s Boston office, will manage the account, while Group Creative Director David Register will be responsible for creative development. Arnold’s first work for CenturyLink is expected early next year.

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Diamond Foods Selects Duncan/Channon as AOR for Pop Secret, Diamond of California

diamond_foods1Diamond Foods has selected San Francisco-based integrated, independent agency Duncan/Channon as agency of record for its Pop Secret and Diamond of California nuts brands, following a competitive review.

The agency will lead branding, advertising strategy, creative and media efforts for the brands. Duncan/Channon will also be tasked with creating a new brand platform and national campaigns “designed to support Diamond Foods’ focus on building and energizing its premium snack food and culinary nut brands.” These campaigns will feature both traditional and non-traditional components, such as social media, and will be informed by the agency’s brand strategy department. Initial campaigns focusing on Pop Secret and Diamond of California are expected early next year.

“We were very impressed by the ideas and creative presented by Duncan/Channon, but it was the team itself that clinched this decision,” said Burke Raine, vice president of marketing, snacks, at Diamond Foods. “There’s something special going on at this agency and we can’t wait to put our teams together to build on the great momentum across the Diamond brands.

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Sherwin-Williams Confirms Deutsch NY Win

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On Monday we reported that Deutsch New York had won a portion of the Sherwin-Williams account, and yesterday the company confirmed the news with a press release. Specifically, Deutsch won the Diversified Brands Division of S-W and will “assume all marketing responsibilities, including media planning and buying, for the portfolio of brands.”

The brands involved include Minwax, Krylon, Purdy, Thompson’s WaterSeal, Dutch Boy, Pratt & Lambert, Dupli-Color, and others.

From Crain’s Cleveland, a Sherwin spokesperson said that the account, which had previously been handled by multiple agencies, went to Deutsch so the client can “‘align portfolio brands’ and ‘drive efficiencies of the portfolio.’”

While the company did not disclose billings on the account, The Wall Street Journal recently reported that its Q3 sales totals rose by 11 percent thanks to acquisitions and sales growth. No word on when to expect new work.

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White Castle Chooses Resource/Ammirati as AOR

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White Castle has selected independent marketing agency Resource/Ammirati as its agency of record, following a competitive review which began in July.

Zimmerman was the incumbent agency, serving as the brand’s agency of record since 2009, and defended in the review. Prior to Zimmerman, White Castle spent fifteen years with JWT.

In its new role as agency of record, Resource/Ammirati will be responsible for “integrated brand strategy, advertising, retail activation, website development and all mobile, digital and social media initiatives,” and will partner with New York-based independent agency Crossmedia on media planning and buying. Resource/Ammirati will lead the account out of its Columbus headquarters, in collaboration with its New York office.

“Resource/Ammirati is the right partner at the right time as we look to grow our business—giving current customers more reasons to visit us, and enticing new customers to experience White Castle,” said Kim Kelly-Bartley, White Castle vice president, marketing and menu development. “They brought to the pitch the right capabilities and great chemistry—they also delivered fresh insights about our core ‘Cravers’ as well as innovative creative.”

New work from Resource/Ammirati is expected in the second quarter of 2015.

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We Hear: Deutsch Wins Sherwin-Williams Business

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This morning a source tells us that Deutsch New York has won part of the Sherwin-Williams business.

The tip comes as something of a surprise since Sherwin-Williams did not announce an agency review; we last heard from the company in early 2013 when it handed some of its digital work to Cleveland-based agency Marcus Thomas (the company’s headquarters is also in Cleveland).

Our source says the win did not concern the larger business; it appears that McKinney, which first signed with Sherwin-Williams in October 2008, will retain its status as creative AOR. But we hear that Deutsch beat at least one other New York agency to win what will amount to a sizable part of the company’s ad budget for the year to come.

For context, Sherwin-Williams is by far the largest player in what Forbes calls a $90 billion “coatings industry.” The company spent at least $40 million on McKinney’s 2009 “Ask Sherwin-Williams” campaign, though budget totals for 2013 were not immediately available.

Updates when we receive them.

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Big Agency Shakeup at Kraft

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This morning we received a couple of tips claiming that a New York agency was losing its Kraft business. But the story is much bigger than that.

We’re still waiting for the official statement from Kraft’s PR department, but a report from Crain’s via AdAge lays out the winners and the losers…and there are a lot of losers.

Moving forward, the multi-headed hydra of a corporation and its many individual brands will work with only four creative agencies: mcgarrybowen, Leo Burnett, Taxi and CP+B.

Full list of agencies that will be losing business after the jump.

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