Kraft reviews agency relationships

Kraft Foods has initiated a procurement-led review of its global agency relationships.

Kraft Foods
Kraft Foods

The food company is believed to have approached agencies, including its incumbents, and is reviewing accounts relating to advertising, digital and media planning and buying.

It currently works with agencies including JWT, DraftFCB, Euro RSCG and Work Club in different countries. Media agencies on the roster include MindShare, Starcom and Carat.

Kraft owns brands including Kenco, Dairylea, Oreo, Philadelphia and Toblerone.

The push to cut costs in its marketing communications arrangements comes the same month as Kraft approached Cadbury with an offer to buy the confectionery firm for $16.7bn (£10.2bn).

Cadbury was quick to reject the bid, with chairman Roger Carr writing an open letter to Kraft criticising the US firm for being “a company with a considerably less focused business mix and historically lower growth”.

Kraft denies that a pan-European pitch for advertising accounts is currently taking place. The company is however in the process of assembling its first pan-European digital rosta.

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