Burger King hands majority of $340m ad work to Y&R

NEW YORK - Young & Rubicam, part of the WPP Group, has won the $340m Burger King advertising and media account, leaving agencies owned by rival Interpublic as the biggest losers in the move.

Burger King hands majority of $340m ad work to Y&R

Young & Rubicam will handle advertising and interactive, while promotional work will be handled by Y&R's below-the-line agency Wunderman and media planning and buying will be handled by sister WPP media agency MindShare.

The main losing agencies are the three Interpublic Group of Companies agencies Deutsch New York and DraftWorldwide, which worked on promotion, and MediaFirst, which handled media planning and buying. Creative independent Amoeba was also axed.

Other agencies on the Burger King advertising agency roster are Campbell Mithun, which works on the children's business; Bromley Communications, for the Hispanic market; and UniWorld Group, for the African-American market.

At Y&R, the work will be overseen by Michael Patti, who joined the agency in February as worldwide creative director and CEO of the New York office. Patti joined from BBDO New York, where he was senior executive creative director and worked on accounts including Pepsi.

The shift comes following the appointment of Brad Blum as Burger King CEO in December after the company was sold by Diageo to venture capital firm Texas Pacific Partners. The appointments were made after what the company described as a "rigorous selection process".

According to Blum: "We expect this agency roster will work well with our executive and marketing leadership to create a highly focused and effective team."

Deutsch has been behind the advertising for Burger King's 99 cent menu, and the shift in advertising strategy has led some commentators to predict that Burger King will end its price war with larger rival McDonald's.

The chain also says it is looking at adding new, more healthy options to its menu, following in the footsteps of McDonald's, which last week said it was embarking on a strategy to slow store openings and improve food and service.

Michael Dolan, chairman and CEO of Y&R Advertising, said: "It's especially gratifying to work with a chief executive officer who has a track record of turning around restaurant businesses by combining marketing, advertising and restaurant operations in a successful and profitable way. Brad Blum brings a culture of respect, listening and high-quality execution and has extensive experience working with many prominent advertising agencies."

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