McCann Erickson, Coca-Cola’s long-time AOR, has reportedly been awarded Coke Light’s thematic brand advertising account; however, unconfirmed reports suggest the agency has lost the below-the-line assignment to Burnett.
Local agency Jimenez-Basic, which handles some Coca-Cola brands in the Philippines, also contested the final three-way round of the review, which was begun on 11 April. An earlier round is believed to have involved TBWA and Ogilvy & Mather. The review was called in March.
Coke’s decision has yet to be formalised, and it remains unclear how the drinks giant intends to divide the business. Coca-Cola Philippines did not return Media’s calls at press time. The brief, say sources, is to position Coke Light as a more gender-neutral, ‘androgynous’ product. The brand has, in the Philippines and globally, suffered from the perception that it is the drink of choice for dieting women, so has had less appeal to male consumers.
Traditionally, Coke Light has positioned itself as a great taste, low-calorie product through its advertising. Observers say the pitch was designed to find ways of moving the brand beyond its functional benefits.
Although Coke Light is the market leader in the Philippines’ low-calorie drinks sector, it faces intense competition from rival Pepsi Max. In the last 18 months, Coke Light has lost 13 market share percentage points to Pepsi Max.
The pitch came soon after Coca-Cola took full control of its bottler unit in the Philippines, acquiring the remaining 65 per cent it did not own from San Miguel Corporation — part of a move to gain greater control over product quality, cost and brand in a market where volumes have been under pressure.
Burnett’s win sees the agency strengthen its position on the Coke roster in Asia — for a long time exclusive McCann territory.
The Publicis Groupe agency now handles Coke business in India, Vietnam, Japan and China, where Burnett took control of Coke’s Red Lounge marketing unit in January, as well as the Philippines.