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McCormick & Company, the food industry giant behind French’s, Schwartz, Ducros, Frank’s RedHot and other brands, has expanded its long-term relationship with Dentsu X following a review. After slowly increasing its scope over the years, the Dentsu Media agency won the chunk of McCormick’s business it was missing—namely, the Europe, Latin America and Southeast Asia markets.
“We are incredibly excited to expand our relationship with McCormick and help them create more meaningful connections with consumers and drive value across media investments. Our global team is ready to deliver unique experiences that will enhance consumers’ flavor profiles around the world as we defy convention together,” Leah Meranus, CMO, Dentsu X U.S., said in a statement.
The brand’s relationship with Dentsu began almost 10 years ago when the holding company started managing McCormick’s Australia and China markets. By 2020, Dentsu’s 360i, which the holding company later folded into Dentsu X, had secured agency of record status in the U.S. and Canada.
As McCormick’s global agency of record, Dentsu X will manage global, full-funnel media strategy, planning and buying for the company’s entire brand portfolio. The global account is worth an estimated $110 million, according to COMvergence. Of that, the Europe, Latin America and Southeast Asia markets make up about $30 million.
Focusing on existing relationships
It’s now common for large brands like McCormick to reorganize their marketing investments and place them under a single partner’s management. More often than not, brands choose to hold companies with the size and scope to operate in global markets. Dentsu has a strong presence and reputation in Asia, with its president and CEO, Hiroshi Igarashi, based in Japan.
Dentsu’s ability to grow its business with existing clients is a positive development following tougher times. Recently, Dentsu X expanded its relationship with another of its existing clients, TAG Brands. Like McCormick, TAG was tasked with balancing its media mix across a diverse brand portfolio. In 2022, Dentsu retained most of its existing clients, while struggling to forge new relationships. The McCormick and TAG expansions suggest that the holding company’s emphasis on existing relationships produced results.
“When it comes to delivering innovative thinking to fuel our media-driven marketing approach, Dentsu X has proven tools and expertise to help us build deeper connections between consumers and our brands,” Melanie Sifuentes, vp, global marketing strategy and media at McCormick, said in a statement.
It remains unclear which agencies competed with Dentsu for the business, but pitch consultancy Pile and Company managed the process. Pile and Company deferred to the brand when asked to comment on the review. The agency’s previous work with McCormick includes dynamic ad production for Frank’s RedHot in Australia and native in-game brand placement for French’s in the U.S.