John Deere Splits With DraftFCB

Marketer Retains Malone for Retail Work

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NEW YORK (AdAge.come) -- John Deere & Co. is splitting with Interpublic Group of Cos.' DraftFCB and launching a review, a spokesman for the manufacturer of tractors and agricultural machinery said.
The marketer is looking for an agency to handle national brand strategy, creative and direct-response advertising for its commercial- and consumer-equipment division.
The marketer is looking for an agency to handle national brand strategy, creative and direct-response advertising for its commercial- and consumer-equipment division.

FCB, Chicago, has been the creative agency for Deere since 2000; Draft came onboard in 2004. A DraftFCB spokesman said the agency will not participate. Consultancy Hasan & Co., Raleigh, N.C., is handling the review.

Retail unaffected
The marketer is looking for an agency to handle national brand strategy, creative and direct-response advertising for its commercial- and consumer-equipment division. Spending for the unit is roughly half of the company's total media outlay of $40 million. Requests for proposals were sent out this week. A final decision is expected in early May.

Retail advertising duties, handled by Malone Advertising, are not affected by the review.

Expected sales rise
Deere, based in Moline, Ill., said revenue for its commercial- and consumer-equipment division rose 2% for the first quarter ended Jan. 31, and operating profit rose to $38 million compared to $19 million one year ago. It attributed the increase to lower operating costs and improved prices. For the full year, sales are expected to rise 3%, because of growth in landscapes operation and the success of new products.

According to TNS Media Intelligence, which collects measured media spending in 18 categories, including the Internet but not direct-response or retail advertising, John Deere spent $29 million in 2005 and $21 million for the first nine months of 2006.
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