Modernista, the independent advertising agency based in Boston in the US, has been awarded General Motors’ Cadillac account, unseating Leo Burnett who has held the account, either directly or via a predecessor agency, for the last 70 years.
GM spent about $225m on the Cadillac brand in 2005.
GM’s decision to go with a smaller agency reflects a trend amongst major marketers such as Coca-Cola, Unilever, Procter & Gamble to move business away from marketing serivice conglomerates to smaller agencies which are seen as more nimble in the changing advertising and media landscape, The Wall Street Journal reported.
“We need agencies that can react more quickly in the marketplace,” Ryndee Carney, a GM spokeswoman, told the newspaper. “We like that (Modernista is) small and flexible because things are getting more competitive all the time. (Agencies) have to be able to play in the new-media space.”
To be fair, Leo Burnett, which is owned by the international Publicis Groupe, has been doing more non-traditional ad efforts for Cadillac: obviously too little, too late. Leo Burnett will continue to do work for GM including handling the Pontiac brand.