"Arnell Close to American Media
NEW YORK-Arnell Group Brand Consulting may have the inside track in landing American Media's National Enquirer and Star accounts, sources said. Chairman and chief creative officer Peter Arnell is said to be close friends with American Media's new CEO, David Pecker, who recently left Hachette Filippachi. Pitches began on Friday and continue today for the estimated $50 million business. A decision is expected this week. The other New York agencies in the running are DiNoto Lee, Della Femina/Jeary and Partners, Mad Dogs and Englishmen, Mezzina/Brown and Spier NY, which has a publishing-heavy client list.
"Arnold Tops Andy Awards
NEW YORK-Arnold Communications, Boston, was the big winner at last week's 1999 International Andy Awards here, nabbing 15 trophies, including the Grandy and a check for $50,000 for its work on Volkswagen of America. Cliff Freeman and Partners, New York, won 12 awards, including two for its work for Outpost.com. Placing third was Goodby, Silverstein & Partners, San Francisco, which won six awards, including two for Cracker Jack and one for Budweiser.
"IPG, Y&R Post First-Quarter Results
NEW YORK-The Interpublic Group of Cos. reported net income of $44.8 million for the first quarter, a nearly 19 percent gain over the same period in 1998. Gross income for the period was $925.1 million, an 11 percent increase. On the new business front, IPG reported $600 million in added billings, a 15 percent rise over 1998. Separately, Young & Rubicam Inc. said first-quarter revenues grew 10 percent to $384 million. Net income for the same period rose 62 percent to $19.7 million, or 24 cents a diluted share, from $12.2 million, or 19 cents a share, a year ago. Y&R's board also announced its first quarterly dividend of $0.025 a share.
"JWT Adds $250 Mil. in Arden, UDV Wins
NEW YORK-J. Walter Thompson, in an expansion of its relationship with client Unilever, last week was tapped as Elizabeth Arden's first ad agency in a decade after an informal review with undisclosed shops. JWT will handle an estimated $100 million in billings for the New York cosmetics maker. Separately, the shop won the global account for three United Distillers & Vintners' brands-Smirnoff vodka, Bailey's Original Irish Cream and Malibu rum-without a review.
Billings were estimated at $150 million. The liquor brands were previously handled by various offices of Lowe & Partners Worldwide. JWT will handle the creative account out of its London and New York offices. Media buying is handled by local shops on a regional basis.
"Feds Turn Against State Lottery Ads
WASHINGTON, D.C.-A federal gaming commission will recommend a national moratorium on the expansion of gambling, but deep divisions exist among members as the panel struggles to meet a June 18 deadline to complete its report. Members of the National Gambling Impact Study Commission, which met in Washington last week, concurred that state lotteries should refrain from advertising, which has advertising lobby groups concerned. "They agree that lottery is something they would like to do away with and that bothers us," said Linda Dove, senior vice president of the American Association of Advertising Agencies.
"DiNoto Lee Breaks Enchilada Ads
NEW YORK-DiNoto Lee has launched a print and radio campaign for Enchilada, a new Internet/ personal computer service from The Simple Solution. Enchilada.com provides Internet access and desktop computers for a monthly fee spread over four years. The campaign, which broke initially in two markets and will eventually go national, plays on the brand name, with headlines such as "The whole Enchilada, burp."
GSD&M, Austin, Texas, has been hired by the United States Olympic Committee to develop an image campaign. Print, TV and radio ads will publicize USOC efforts to support U.S. athletes training for the Olympic Games. Billings were undetermined. The account is unrelated to the International Olympic Committee's review for an estimated $150 million image task ... Goodby, Silverstein & Partners, San Francisco, last week was awarded the estimated $15-20 million account of online auction house eBay, San Jose, Calif. The agency has been conducting consumer research and developing new advertising concepts for the client for several weeks [Adweek, April 5] ... The Advertising Council has named Peggy Conlon president and CEO, effective June 1. Conlon, 48, replaces Ruth Wooden, who served in both posts since 1987. Conlon was previously vice president, group publisher at Cahners Business Information ... News and business weekly The Economist has consolidated its U.S. ad account at Weiss Stagliano Partners in New York. The business had been split between Weiss and Mad Dogs and Englishmen, New York. The client spent $2.2 million on media last year ... The United States Tennis Association has tapped Fallon McElligott, New York, to develop an advertising campaign for the 1999 U.S. Open and promote the USTA and the sport in general. Sources said the account is worth about $2 million. Fallon was selected after a three-month review that included New York shops The Lord Group, N.W. Ayer & Partners, Lowe & Partners/SMS and Shepardson Stern & Kaminsky, according to a representative at the White Plains, N.Y.-based client.