NEW YORK PepsiCo's Quaker is shifting creative duties on its Gatorade and Tropicana brands to TBWA\Chiat\Day and Arnell Group, respectively, the client has confirmed.
TBWA\C\D, Playa del Rey, Calif., will handle Gatorade, and Arnell, New York, will handle Tropicana. Both shops are owned by Omnicom Group, as is the incumbent, Element 79 in Chicago.
In confirming the moves today, the client issued this statement: "We're always looking for breakthrough creative, and as such, are continuously assessing performance from incumbents, as well as, other agencies. As we look at the businesses today, we believe Gatorade and Tropicana could benefit from a partnership change. In essence, both world-class brands demand new, creative thinking to fuel their growth. We appreciate Element 79 Partners stewardship and creative work over the last six years, which have contributed to the success of our brands. We wish the agency continued success in the future."
The agencies either declined comment or could not be reached.
Last year, PepsiCo spent more than $180 million in major measured media on Gatorade and nearly $30 million on Tropicana, according to Nielsen Monitor-Plus. Those figures don't include online spending.
Element 79 was created in 2001 to take on the Quaker/PepsiCo business that left Foote, Cone & Belding after Interpublic Group acquired FCB parent True North. Coca-Cola is a major client of IPG and as such, PepsiCo looked for a new home.
Earlier in the year, Element 79 lost three other PepsiCo brands: Tostitos -- from PepsiCo's Frito-Lay division -- and Propel Fitness Water, both of which shifted to sister shop Goodby, Silverstein & Partners in San Francisco, and Lays -- also part of Frito-Lay -- which moved to sister shop Juniper Park in Toronto, a subsidiary of BBDO. Last year, Tostitos spent nearly $80 million in major measured media, Propel, about $70 million, and Lays, more than $30 million, per Nielsen.
Element 79, however, continues to handle Quaker cereal, snack and rice brands, including Cap'n Crunch, Life, Cracker Jack, Rice-A-Roni and Quaker-branded oatmeal and rice cakes. The shop's other clients include ConAgra, Alberto Culver and Celebrity Cruises.
This story updates an earlier post with the client's confirmation and comments.