Furniture retailer Homestead House has hired Fraser/Young as its first ad agency, following a search. Billings are estimated at $3-5 million.
Fraser/Young, Santa Monica, Calif., competed for the business against DavisElen in Los Angeles and at least one undisclosed Orange County, Calif., shop, sources said. Homestead's advertising was previously handled in-house.
The Denver-based client operates 21 stores, primarily in Southern California, as well as in Colorado, New Mexico and Texas. Homestead is one of a number of furniture retailers looking to boost share in a market that has suffered as the average price consumers are willing to pay has dropped. The retailer has moved from a moderate/high-end positioning to a price-value mode, sources said. The company launched its review as part of a rebuilding strategy, those sources said. The client did not return calls at press time.
"We wanted to have a strong consumer account in this agency," said Renee White Fraser, agency president. "We . . . did focus groups with their consumers and found they have a strong opportunity for branding."
Fraser/Young's ad campaign will include radio, TV, newspaper, outdoor and direct mail advertising.