Johnson & Johnson, one of the world’s largest advertisers, has launched a global creative review.
While the company is very visible in North America (it spent more than $90 million on Canadian advertising and an estimated $1.94 billion on U.S. advertising in 2011), the review’s impact on its Canadian agency partners remains unclear. Neither J&J’s head office in New Jersey or representatives from its Canadian headquarters in Markham, Ont. responded to interview requests from Marketing.
In an e-mail statement to the U.S. trade publication Advertising Age, a company representative said the review is intended to “build greater value and deliver innovative and fully integrated solutions for our consumer brands.”
J&J has an extensive global agency roster that includes shops from several major holding companies, including Omnicom Group’s DDB and BBDO; Interpublic Group of Cos’ Deustch, Lowe, Martin Agency and R/GA; Publicis Groupe’s Razorfish and WPP’s JWT and AKQA and Havas’ EuroRSCG. Canadian agency partners include Lowe Roche, BBDO and DDB Canada, among others.
It’s unclear at this point if only roster shops have been invited to pitch the assignment. Agency partners including DDB Canada directed all interview requests to J&J.
The global healthcare giant was Canada’s sixth largest advertiser last year, spending $90.8 million on measured media advertising according to Nielsen ad spend figures. The vast majority of its advertising expenditure—$77 million—went towards TV (no online ad spend numbers were available).
In second quarter results released July 17, J&J reported that its net income in the second quarter fell 49%, to US$1.4 billion from US$2.8 billion in the corresponding year-earlier period.
The 126-year-old company’s reputation has been hurt in recent years by a combination of manufacturing issues and a wave of recalls impacting signature brands such as Motrin, Tylenol and Rolaids.
The review follows the February appointment of Alex Gorsky as the company’s chief executive officer and the prior appointment of Michael Sneed as its vice-president, global corporate affairs, where he oversees both marketing and PR.
