Target has worked with other Hispanic agencies, mainly New York-based independent Ole, but this will be Target's first Hispanic interactive project. The work will include strategic planning, positioning, creative development and implementation.
Target is believed to have spoken to a number of Hispanic agencies about the assignment, including Grupo Gallegos during the Wal-Mart review.
Outstanding creative work
The 5-year-old Hispanic shop, known for its outstanding creative work for Energizer, the California Milk Processor Board and Comcast, recently started an interactive department. The fast-growing agency will bill about $85 million this year, up 27% from 2005.
Without Grupo Gallegos, the Hispanic portion of Wal-Mart's multicultural review has narrowed to incumbent Lopez Negrete Communications, Houston; LatinWorks, Austin, Texas; and Interpublic Group of Cos.-backed Accentmarketing, Miami.
Multicultural agencies have been told they, unlike the general market agencies, will not have to re-pitch and a decision will be made before the holidays. Wal-Mart had awarded its $580 million general market account to Interpublic's DraftFCB, but reversed that decision and reopened the review last week after ousting a pair of marketing executives involved in the review.
But the current decision makers in the Wal-Mart review were not deeply involved in the multicultural pitches, raising doubts about whether they'll be able to make a decision without making the three remaining agencies re-pitch, unless the retailer simply decides to stay with incumbent Lopez Negrete.