DDB Canada chairman/CEO Frank Palmer
Identifying shopper marketing as a discipline that remains solidly in growth mode, DDB Canada is folding its four-year-old shopper marketing practice ShopperDDB into the Omnicom-operated TracyLocke brand.
Established in 1913 as a traditional agency, TracyLocke has evolved into a global leader in the shopper marketing space. It uses a proprietary methodology called “Buy Design” to bring consumers and brands closer together at point-of-purchase.
Its expertise includes in-store merchandising, digital/social/mobile applications, local marketing, packaging development and content creation. Its global client roster includes Budweiser, Frito-Lay, Pizza Hut, 7-Eleven (for which it is credited with creating the name) and Pfizer.
Canada becomes TracyLocke’s 58th office, joining existing operations throughout Europe, Asia and Latin America. The is part of DDB Worldwide’s move to consolidate its various shopper marketing networks under the TracyLocke banner.
The transition from ShopperDDB to TracyLocke took only two weeks to complete, said DDB Canada chairman and CEO Frank Palmer. The agency currently employs 15 people, but Palmer said it is looking to add 30% more staff in the next several months based on existing business and “prospects” it is currently pursuing.
Palmer said it is incumbent on traditional agencies to develop new revenue sources as the advertising industry continues to rapidly shift away from the TV-centric model that fueled their growth for decades.
“A lot of the sources out there for agencies are shrinking,” he said. “We just have more competitors than we’ve ever had before: Not only small boutiques and medium-sized agencies, but the likes of Yahoo, Google and all the social marketing [companies].
“It’s just a different business world, and we have to find ways of competing against that and be as good as, or better, than our competition.”
TracyLocke Canada will operate as an integrated business unit within DDB Group Canada, utilizing global resources. ShopperDDB founder Jason Dubroy will serve as VP, managing director of the business unit, which will be based in Toronto.
While agencies are attempting to diversify their product offering to reach increasingly elusive customers, Palmer said simply bolting on complementary offerings isn’t always the answer.
“A lot of agencies are still like a Model-T,” he said. “They’ve tried to update by putting on better tires and wheels and all of those things, but it’s still an old model.
“What we’ve been doing over the last five years or more is developing disciplines that work together in harmony. It’s like an orchestra that plays well together, and not just one-off instruments.”
Led by Dubroy, the Canadian operation will work to help clients understand and influence consumer behaviour at retail, navigating consumer paths to purchase pre, during and post shopping. Its senior management and reporting structure remain unchanged.
In Canada, TracyLocke’s clients include the Strategic Milk Alliance, CIL Paints and Energizer.
