O2 hands launch to WCRS breakaway

LONDON - MmO2, the demerged wireless business formerly owned by BT, has handed the launch marketing task for its O2 consumer brand to a start-up agency.

The new shop has been founded by two of the key executives responsible for the global launch of the Orange brand, former WCRS creative director Rooney Carruthers and strategy director Charles Vallance.



MmO2's vice-president of global marketing, Will Harris, worked with the pair at WCRS and it is understood that the wireless company was eager to work with a team that had a proven track record in launching a major consumer brand from scratch.



O2, which was due to launch on April 19, but has now been delayed for a month, will be backed by a massive £150m marketing budget across Europe.



Abbott Mead Vickers BBDO, which picked up the advertising task last year without a formal pitch, is still engaged to work on the brand in the long term. However, its hold on the business is likely to be threatened by the appointment of the start-up to handle the launch work.



BT demerged its mobile arm BT Wireless as a major part of its drive to cut its debt mountain last November.



MmO2's brands, which include BT Cellnet in the UK and mobile internet business Genie, are all to be rebranded as O2.



The launch of the O2 brand will trigger one the biggest shake-ups in the UK mobile phone marketplace. Its first marketing activity will be key to arresting the company's decline in the UK market.



BT Cellnet had 10.9 million UK customers at the end of September 2001, according

to the most recent subscriber

figures, placing it behind Orange and Vodafone for

the first time. The next figures

are due to come out on

February 7.



Rival Deutsche Telekom is to rebrand One 2 One and all its other wireless interests as T-Mobile later this year.



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