ASIA-PACIFIC McDonald's is reviewing its 215 million baht (US$6 million) advertising account in Thailand, and has handed its China interactive business to Tribal DDB, striking further blows to globally-aligned incumbent Leo Burnett in Asia.
Burnett will defend the Thailand business, and pitch against Far East DDB - the Thai office of McDonald's other global network of record - as well as JWT and Spa Advertising, which handled the account three years ago. The move follows a change of ownership at McThai Co, McDonald's Thai operating unit. In October last year, the McDonald's franchise was acquired by cinema entrepreneur Vicha Poolvaraluck and Hester Chew, the former head of Yum Restaurants International, owner of Pizza Hut and KFC.
Gloyta Nathaland, McThai Co's communications and PR manager, confirmed the review was taking place as part of a wholesale evaluation of the company's suppliers.
The news comes three months after McDonald's ended its 15-year relationship with Burnett in Singapore, moving its S$10 million (US$7 million) account to DDB.
The Omnicom agency also gained control of the McDonald's business in the Philippines when, in November 2005, the burger giant removed its 450 million pesos (US$8.2 million) from Burnett, ending the Publicis Groupe agency's 14-year tenure.
In Shanghai, meanwhile, Tribal DDB has won the interactive account for McDonald's China in a three-way pitch that included OMD and incumbent Arc from Leo Burnett. Tribal DDB Greater China president Adam Good declined to reveal what the account was worth, but said the agency negotiated a fair percentage of McDonald's overall marketing budget. Six people will work on the account.
McDonald's China senior marketing director Phyllis Cheung said the agency translated business strategy into compelling and relevant interactive communication concepts. "It had insightful understanding of interactive users' mindsets and behaviour, as well as in-depth knowledge of interactive media," said Cheung.
The agency's pitch focused on online engagement, to deliver a platform to allow for enhanced dialogue with consumers, Good said.