NEW YORK: 'Lose some, win some,' as Omnicom Group may philosophically reflect after hearing the bad news that PepsiCo has shifted its Pepsi and Diet Pepsi brands out of BBDO's New York office after forty-eight years.
But there's also good news for the world's largest marketing services group. The $130 million (€102.15m; £86.49m) account has only moved crosstown from the Avenue of the Americas to Madison Avenue and the welcoming arms of aother Omnicom shop - TBWA/Chiat/Day.
The transfer is an attempt on Pepsi's part to beef-up US soda sales which continue soutbound, a trend that was a major factor behind PepsiCo's lackluster Q3 numbers.
The first nine months of this year saw Pepsi-Cola volume sag by 6.6% and Diet Pepsi by 8.1%, according to Beverage Digest. The downward trend is not unique to Pepsi: Coca-Cola's volume fell 3.5% in the same period, while Diet Coke slid 4.5%.
Says PepsiCo North America Beverages cmo Dave Burwick: "We decided to appoint TBWA/Chiat/Day to refresh Pepsi's communications across multiple consumer touch points and to reinvigorate Pepsi's legacy of leading-edge advertising."
Data sourced from Wall Street Journal Online; additional content by WARC staff