Target Selects Grupo Gallegos For Interactive Project

After Pulling Out of Wal-Mart Review, Agency Draws Assignment From Competitor

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NEW YORK ( -- Grupo Gallegos, the independent U.S. Hispanic agency that pulled out of Wal-Mart's multicultural review last week, has been hired
This will be Target's first Hispanic interactive campaign.
This will be Target's first Hispanic interactive campaign.
by competitor Target. The agency, based in Long Beach, Calif., was appointed on a project basis, starting with an interactive assignment for

Interactive work
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.

Decision makers
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.
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