DY&R bows out as Ikea puts Singapore brief to pitch

SINGAPORE: Ikea is putting its creative and media account up for

pitch as it looks to launch a campaign later in the year to reinforce

its leadership position and gain a greater share of consumers'

discretionary income.

J Walter Thompson, BBH and Euro RSCG are believed to be vying for the

creative account, while Dentsu Young & Rubicam (DY&R), the incumbent for

the past 10 years, declined to participate in the agency review.

The Media Edge, part of the Y&R group, is the incumbent on the media

account.

Brian Harrison, chairman of DY&R, said: "We've had the account for a

long time and had done some award-winning work. But there's been a few

changes in the marketing department at Ikea and they want to revise

their marketing plans.

"The relationship got a bit tired and we got the feeling they were going

to change agencies, so it was better to decline to pitch and depart

amicably as friends."

A new agency is expected to be appointed by the middle of next month to

work on mainstream ad campaigns, which will be timed to coincide with

the peak retail period - Christmas through to early March.

So far, Ikea has used mostly press ads and catalogues, but the furniture

retailer is re-evaluating its media strategy, according to Angelina Tan,

Ikea marketing and communications manager.

"The new agency needs to understand and effectively promote the Ikea

philosophy and culture,"said Tan. "We're very different from other

furniture retailers in the way we operate and do business."

Ikea competes not only against furniture retailers but also against

companies in the travel and leisure sector, according to Tan. "Couples

often make a choice between whether to buy new furnishings or maintain

their old furnishings and spend their money on a holiday."

The key decision-makers overseeing the pitch are Tan, along with Philip

Wee, Ikea general manager, and John Petersen, Ikea's managing director.