Abbott Mead Vickers.BBDO is on alert over its Pepsi business after the $60m (£40m) US account was shifted from BBDO to TBWAChiatDay. The agency had held the business for nearly 50 years.
The US move, which includes the Pepsi and Diet Pepsi brands, was made by PepsiCo North American chief marketing officer Dave Burwick, who said the agency has been brought in to “reinvigorate Pepsi’s legacy of leading advertising”.
BBDO lost the business after a final pitch against its sister Omnicom agency. However, it will retain responsibility for PepsiCo’s other brands, including Pepsi Max, and Mountain Dew.
It is not clear if the changes in the US will lead to a similar pitch process in the UK, but sources suggest that both Abbott Mead Vickers.BBDO and TBWA expect the US decision to have some repercussions on the UK market.
PepsiCo has a long history of working with Omnicom agencies, last month unveiling a redesigned logo for its Pepsi cola drinks and Mountain Dew, created by Arnell Group. At the time Arnell’s role in the brands’ revamp raised questions about BBDO’s stranglehold on the Pepsi business.
It is not thought that any changes will affect PepsiCo’s Walkers Snacks, or Frito-Lay as it is internationally known, at this point.
A UK PepsiCo spokesman says: “This change only re-lates to the US and does not affect BBDO’s responsibility for the Pepsi portfolio within the UK.”