Caltex has consolidated its regional business with McCann-Erickson,
which will manage the USdollars 30 million account from Singapore where
Caltex has its global headquarters.
The petrol retailer moved from having four agencies in seven countries -
Singapore (TBWA), Malaysia (FCB), Hong Kong (Bates), Thailand (TBWA
Next), Philippines (McCanns), South Africa (FCB) and New Zealand (Bates
Palace) - to a single agency network to ensure consistency in brand
communication.
Caltex also wanted to move away from commissions to a fee-based
remuneration system "so there are the right kind of incentives and to
remove any bias towards buying TV," said Mr Glenn Weckerlin, Caltex
general manager of brand development.
McCann will handle all mainstream advertising and some direct marketing
work, while Universal McCann has won the media buying and planning
account.
The first major task is to create a brand campaign that works across all
of Caltex's product lines and markets. Caltex wants to become a
marketing-driven company and is serious about branding, said Mr Ray
Dempsey, McCann's area manager Southeast Asia. He added that the review
was the longest that McCann Singapore had ever been involved in.
The six agencies completed a 350-page questionnaire and presented
credentials last April. Dentsu Young & Rubicam, McCann and TBWA were
then short listed for a creative, strategic and media pitch.
McCann Singapore used other Asia-Pacific agencies in its network to come
up with creative concepts.
McCann agencies in the seven markets covered by the review also gave
feedback.
"It was pretty candid," said Mr Don Norris, McCann's business
development director.
"We'd show them concepts and they'd say that's crap or that won't
translate well in this market."
McCann then put the best concepts into research before presenting three
to the client, along with the research to show it would be
effective.
Even when it became clear McCann would win, Caltex procrastinated.
Mr Weckerlin said: "Some agency people argued we should make a decision
based on whether the agency has the ability to do good creative
work.
"But we waited until we saw creative concepts that would be used for the
upcoming campaign.
"We also had to do a lot of internal selling before we came out and
announced our decision," he added.
Mr Brian Fisher, McCann's worldwide account director, will head up the
account, along with Mr Scott Brazil, McCann's regional creative
director, who is currently in Malaysia filming the Caltex brand campaign
that launches in the coming months.