McCann was handed the brief without a pitch.
Lotus has approximately 75 supermarkes across China, and is controlled by Thailand’s Chia Tai Group. It is hoping to run 100 supermarkets by 2009, amid increasing competition from the likes of Carrefour, Tesco and Wal-Mart. The development comes after Jim Haworth took charge of Shanghai Lotus in late 2006, after previously working at Wal-Mart.
McCann China chief executive officer TH Peng said Lotus will continue to base its positioning around a theme of ‘freshness’.
Earlier this year, Chia Tai disclosed plans to expand in second-tier markets after reporting losses of HK$347.5 million (US$45 million) on sales last year. The losses were attributed to the launch of 17 outlets between 2004 and the end of 2006.
China’s retail industry remains poised for significant growth. According to Research and Markets, the sector is expected to grow at an average annual rate of 14 per cent over the next three years.
Meanwhile, McCann Erickson Shanghai has appointed Stuart Mattson as strategic planning director, Samuel Wong as group business director and Ethan Hsing as CD.
Prior to joining McCann, Mattson was based in New York at agencies such as Saatchi & Saatchi, DDB and Ogilvy. Wong, previously on the client-side, has almost 20 years experience in marketing and advertising, while Hsing brings more than 10 years experience in Taiwan and Shanghai.
