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In case you missed it, AdAge reported that six of GM’s eight brands were shifting strageties for how they handle their multicultural advertising. Cadillac and Hummer will go to GM’s current general market agency Modernista beginning Jan. 1. Meanwhile, Carol H. Williams Advertising will be losing GMC to Vigilante Advertising, which is a division of Leo Burnett. Vigilante already runs the Buick and Pontiac African-American accounts, as it too focuses on multi-cultural advertising. Williams’ California shop will also be defending Chevrolet’s African-American account.

This week, the ever vigilant ad blog MultiCultClassics is running a series of ads “commemorating General Motors’ decision to dump minority agencies and give the multicultural assignments to its general market (i.e., White) agencies.” The first in this daily series is above. See it big here. We’re not sure why they’re running this series, as it sounds like GM is doing what every other brand is doing these days – consolidating the work Plus, Vigilante is a multicultural agency, so what’s the problem? Maybe we’re missing something… little help?

Meanwhile, AccentMarketing will lose Pontiac and GMC accounts to Lapiz, a Burnett sibling focusing on the Hispanic marketplace. AccentMarketing will keep GM’s corporate Hispanic account, as well as Cadillac, Hummer and Chevrolet. Both Saturn and Saab use the general market agencies for all of their work. Deutsch, Los Angeles, handles Saturn, while death star big brother McCann, will pick up Saab.

The only problem we see with these shifts is that Saab is going to McCann, which, you know… we’re always baffled that someone willingly signs up with McCann.

UPDATE: HighJive from MultiCultClassics explains his thinking:

as always, thanks for the shout out.

but you need to look more closely at the ad age article. vigilante is LOSING its business to leo burnett. one would think that GM would keep its work with vigilante, as it’s tied to burnett, but the decision is to dump the minority shop too.

it’s a consolidation that appears to be drawn along multicultural lines. on the one hand, given GM’s continuing death spiral, it’s all inevitable. but it’s pretty gutsy from a pr standpoint to ax the minorities. especially when the ad industry has failed to demonstrate diversity in the general market ranks. anyone who’s worked in minority agencies knows the advertisers give lousy budgets to the minorities to begin with—but at the same time, the big car companies are one of the few dedicated sources of revenue for minority shops. wonder how long before jesse jackson and al sharpton speak up.

later

3 Responses to “GM Mixes Up Its MultiCultural Accounts”

  1. The Founder Says:

    They don’t want to measure ROI .. because after the spends.. and their fees.. there isn’t an ROI.


  2. [...] P.S. GM maybe you harness the power of your general agencies with global networks and drop your multicultural agencies as was mistakely reported. http://agencyspy.wordpress.com/2007/11/26/gm-mixes-up-its-multicultural-accounts/ [...]


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