The creative account of LG washing machines has moved from O&M to McCann Erickson. The account went to McCann about a week ago, and the agency is already working on a new television commercial for the LG washing machine category. The account was with O&M for the last one year.
McCann already handles the colour television and IT business of LG. While O&M has lost the washing machines business, it still retains the LG airconditioners and microwaves business. The LG refrigerator account is with Lowe.
Confirming the development, Salil Kapoor, Head-Marketing, said that LG wanted a fresh approach for the washing machines category, and “we liked the strategy and approach that McCann offered in their presentation”. He declined to quantify the account size.
Rajiv Jain, Product Head, Washing Machines, disclosed that the storyboard for the new TVC was already ready, and the shoot would take place in the first week of January. “We needed new thoughts, and a fresh perspective for this category. We are aiming at a 50 per cent growth in the washing machines category in 2005, for which a new initiative is vital. McCann’s approach was fresh,” he said.
Jain disclosed that Lowe was also invited to pitch for the washing machines account alongwith McCann and O&M. “However, Lowe wanted more time to prepare their presentation, and we needed to close the deal quickly, so we went with McCann,” he said.
According to Jain, LG is aiming at a Rs 545 crore turnover from this category next year, for which the total ad marketing spend would be in the region of Rs 27-28 crore. Though he too declined to state the account size, it is likely to be substantial based on the overall spends for the category.
Santosh Desai, President, McCann Erickson, when contacted, said, “It is always nice for an agency to get fresh business from a client It’s a privilege to have got the LG washing machines account, and we will live up to the challenge.” He added that it was “a victory for the McCann team which has done an outstanding job of staying in sync with the market.”