Pacific Bell has moved its $30 million mobile-services account to Ketchum Advertising, San Francisco, from Ogilvy & Mather, Los Angeles. The move is seen as fallout from O&M's Feb. 12 win of the $80 million GTE Corp. business. There was no review. Ketchum already handles Pacific Bell's long distance, Internet service, Web site and media buying for print and out of home.
Time Warner, on the heels of splitting with Martha Stewart, is ending its joint ventures with Steven Brill, founder of American Lawyer Media and Court TV. Time Warner rebuffed a buyout offer from Mr. Brill and will instead acquire his stake in the ventures. The media giant said it will keep cable network Court TV but sell off American Lawyer publications, as well as online service Counsel Connect. Mr. Brill, who said the breakup was "amicable," will leave after a six-month transition period.
Omnicom Group reported a 26% increase in net income for 1996, to $176.3 million. Revenue jumped 17% to $2.64 billion, fueled mainly by a 24% increase in the U.S.
Marriott International's $1 billion acquisition of Hong Kong-based Renaissance Hotel Group could result in a marketing budget of close to $50 million. The question is who will retain the account? Currently, McCann-Erickson Worldwide, New York, has Washington-based Marriott's $30 million budget while Bozell Worldwide, New York, was a recent winner of Renaissance's $12 million U.S. account.
Kraft Foods, after a review for its $24 million pourable salad dressings account, stayed with incumbent Leo Burnett USA, Chicago. Also pitching were Kraft roster shops Ogilvy & Mather, New York; J. Walter Thompson USA and Foote, Cone & Belding, both Chicago; and non-roster agency Grey Advertising, New York.
Minneapolis-based Polaris Industries, a leading snowmobile marketer, will launch its first motorcycle line, the U.S.-made Victory, in spring 1998. Poppe Tyson, Minneapolis, will handle ad campaign in January.
Westborough, Mass.-based Staples and Delray Beach, Fla.-based Office Depot will consolidate their advertising accounts, together worth $80 million, with one of their current agencies upon completion of their merger, according to Staples. Staples' creative is currently handled by Cliff Freeman & Partners, New York; media is at Pro Media, Needham, Mass. Office Depot's account is with J. Walter Thompson USA, Chicago.
The Federal Trade Commission said Schering-Plough Healthcare Products agreed to a consent settlement barring unsubstantiated claims that its Coppertone Kids 6-Hour Waterproof Sunblock protects children engaged in 6 hours of vigorous activity outside. The company will distribute 150,000 brochures on correct use of the product.
The U.S. Supreme Court let stand a lower court ruling that no brewer may claim trademark rights to the terms "ice brewed" or "ice beer." The high court's decision stems from a legal dispute between Anheuser-Busch Cos. and Labatt Brewing Co. over accusations by Labatt that A-B had stolen the trademarked phrases in marketing its then-called Ice Draft From Budweiser.
Chevrolet dealers belonging to the new Michigan Area Marketing Group tapped Kraigie/Newell, Des Moines, for its estimated $15 million account, effective May 1. The agency plans to open an office near Detroit. Other contenders were