Interpublic Group of Cos.' Foote, Cone & Belding Worldwide, New York, resigned AT&T Corp.'s AT&T Business account, FCB, New York, CEO Jeff Tarakajian confirmed. The $40 million to $50 million account-which Mr. Tarakajian said would have been "well under $20 million in billings next year" and prohibited the agency from pursuing other work in the telecommunications field-was FCB's last piece of AT&T business. The agency lost the $400 million AT&T Wireless account to WPP Group's Ogilvy & Mather Worldwide earlier this year. FCB also no longer handles portions of the AT&T Consumer ad account, which was recently consolidated at WPP's Y&R Advertising, New York.
Internet advertising falls in third quarter
Internet advertising revenue for the third quarter fell 4.1% to $1.79 billion from $1.87 billion during the previous quarter, the Interactive Advertising Bureau reported. U.S. Internet ad sales reached $5.55 billion for the first nine months of the year, down 8.4% compared with $6.06 billion for the same period last year. The Internet Ad Revenue Report was conducted for the IAB by PricewaterhouseCoopers' New Media Group.
Toyota's Mexico unit taps Carisma as agency
Toyota Motor Sales de Mexico, the new unit of the carmaker formed in May, tapped its first agency of record. The winner is Carisma Advertising, an alliance between Flores Kanchi Publicidad, Mexico City, and Ad Americas, a Hispanic specialist based in Los Angeles. The agencies were among the nine contenders of all sizes, said Joe David, national manager of marketing overseeing the Mexican project at Toyota Motor Sales USA. He declined to name other agencies or the other two finalists. Annual billings, Mr. David said, will be small but are expected to grow as Toyota gains brand recognition, he said. The automaker will start selling the Camry in Mexico next April, followed by the Corolla in June. Toyota expects to sell 5,500 cars the first year.
MPA names Hefner, Smith recipients of Fisher Award
The Magazine Publishers of America announced Hugh Hefner, founder and editor in chief of Playboy, and Richard M. Smith, chairman and editor in chief of Newsweek, will be the next recipients of its Henry Johnson Fisher Award. Both will be honored at a black-tie dinner Jan. 30, 2002 in New York. The Henry Johnson Fisher Award, established in 1964, "recognizes individuals who have made significant and longstanding contributions to the magazine industry and society," according to the MPA.
Muris says some financial privacy notices `dreadful'
Federal Trade Commission Chairman Tim Muris at a Washington conference about financial privacy notices described some of the notices issued this year by financial marketers as "dreadful" and strongly suggested they needed to become more readable. Mr. Muris made no threat of new legislation, but said government requirements to provide the notices give marketers a yearly opportunity "for making the notices more friendly." He said privacy notices become "effective" only when they are "easy to find, easy to read and easy to comprehend."
Kellogg named official Olympic cereal supplier
Kellogg Co. will be the official supplier of cereal, waffles and toaster pastries for the 2002 Olympic Winter Games and the 2002 U.S. Olympic Team. As part of its partnership, Kellogg will unveil Olympic-themed packages, products and promotions this month.
WPP gets LEG up with new French shop
WPP is backing a startup agency opening in Paris in January with pan-European ambitions. The agency, to be called LEG, will be run by Gabriel Gaultier, creative director at WPP-owned Young & Rubicam, Paris, and Christophe Lichtenstein, formerly general manager of DDB, Paris, part of Omnicom Group. WPP will take a majority stake in the agency, which will rely on Y&R for administrative services. LEG has no clients yet.
Havas Advertising agreed to pay $4 million to buy the Havas name from its former biggest shareholder, Vivendi Universal, settling the issue of whether the French agency company would keep its name or adopt a new one (AA, Nov. 19). Havas Advertising plans to shorten its name to Havas at its May 23 annual shareholders meeting. ... Burger King Corp. added another former Northwest Airlines executive to its team. The No. 2 burger chain tapped Craig Braasch as VP-global advertising and promotions, replacing Richard Taylor, who moves to the new post of VP-alliances and partnerships. ... DoubleClick is moving its Ad Effectiveness research business to independent market research company Dynamic Logic. In exchange, DoubleClick will receive a 10% stake in the privately held company. ... Paul Van Der Burgh, 37, was named marketing director of Ford Motor Co.'s Ford of Britain, from brand manager-global product marketing for Ford North America. He succeeds John Mendel, 47, who returns to the U.S. as exec VP-sales and marketing, customer service and parts at Mazda North America. ... Three Spanish advertising and marketing executives are opening the first agency in Spain dedicated exclusively to the gay market. The agency will be called Serviway and has not announced any clients.