Starbucks eyeing-up BBDO for ad account

by Dan Leahul, Brand Republic 24-Oct-08, 09:20

LONDON - Starbucks is preparing to hand its advertising work to Omnicom Group's BBDO, after parting ways with former agency Wieden + Kennedy last month, according to US reports.

In an email, a Starbucks spokesperson said the coffee chain is asking a number of its current agencies to provide ideas but it has not made any final decisions.

However, BBDO is closely linked with Starbucks and has a similar client, Pepsi, which worked with Starbucks in the past to develop and distribute its bottled Frappuccino beverages.

Notoriously a small ad spender, spending $55m (£34.9m) last year, Starbucks parted company with Wieden + Kennedy one month ago, citing creative differences less than a year after the chain's first TV campaign. Wieden + Kennedy won the business in 2004 following a competitive pitch process.

The split followed the announcement that the chain is to axe 600 stores in the US due to slowing sales.

Starbucks may be looking to ramp up its marketing after rival American chains begin developing their own coffee products, including McDonald's McCafe, and Dunkin' Donuts which released a TV ad this week claiming that its coffee beat Starbucks in an independent taste test.