Jaguar reviewing £55m global account after sales slump

by Staff,, Brand Republic 08-Nov-04, 09:10

LONDON - Jaguar, which is facing one of the toughest periods in its history, has put its global advertising account, estimated to be worth around £55m, up for review.

The work is currently handled by WPP Group's Young & Rubicam, which has handled the brand since 2001. However, a slump in sales, which led to a decision to close the Browns Lane factory, is forcing a rethink of Jaguar's marketing efforts.

Reports say that media and direct marketing, held by MindShare and Wunderman respectively, are being reviewed along with the creative account.

Jaguar only sold 122,000 cars worldwide last year, while rivals Mercedes and BMW sold 1m each. Moreover, Jaguar's UK sales fell 1.7% from the previous year, according to the Society of Motor Manufacturers and Traders.

That contrasts starkly with BMW's sales increase, up nearly 10% over the same period, with Audi up by nearly 8%. Critics have blamed poor marketing for Jaguar's dwindling sales.

Jaguar owner Ford is one of WPP's biggest clients. Y&R won the Jaguar account in 2001 after a pitch against sister agencies J Walter Thompson and Ogilvy & Mather.

The review is set to be completed by March next year.

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