Embattled advertising agency Euro RSCG Tatham, already reeling from the loss of its Alberto-Culver Co. advertising account and major turmoil with client Red Lobster, now has to deal with another significant blow: the loss of its top creative chief.
Jim Schmidt, the agency’s chief creative officer and the executive with the deepest ties to client Walgreen Co., resigned last week, turning down a new contract with the agency.
His top protege and art director partner, Joe Stuart, also walked out last week.
Schmidt wouldn’t comment and Stuart couldn’t be reached.
The one-two punch, which came just before the agency cut nearly 20 jobs last week, leaves the agency’s creative department in turmoil.
The split spells the end of the remaining creative remnants of its purchase in October 2000 of creative shop McConnaughy Stein Schmidt Brown. Tatham purchased Schmidt’s agency three years ago as part of a massive culture overhaul designed to shake off its standing as a staid, account-management-driven agency.
Known for his thoughtful, humorous writing that included award-winning advertising work for Illinois Tourism during the Gov. James Thompson era, Schmidt has influenced dozens of creatives in the city, many of whom have left town over the years to work at some of the best-known creative shops in the country.
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When he moved to Tatham, he brought several creatives with him.
But the merger never lived up to expectations. While Schmidt was able to push through critically acclaimed work for some clients, like Walgreens, the agency had trouble getting some of Tatham’s long-standing clients to buy in to the changes.
Management didn’t help.
In 2002, Tatham took the McConnaughy name off the door, in what many believe was the first outward sign that the merger hadn’t paid off.
Schmidt and Stuart have been in discussions with several agencies around town and have considered opening their own shop. Schmidt has had talks off and on in the past with DDB Chicago, among other agencies, but it is believed he is not close to a deal with a new agency.
Now, with Schmidt’s departure, there are questions about how long the $25 million Walgreens account will stay at the agency. Though Schmidt undoubtedly has contractual constraints barring him from taking Tatham clients, it’s unclear whether Tatham will have to work hard to keep the Walgreens business intact.
Executives from Tatham didn’t return calls late Wednesday.
Chevy’s Williams ads on hold: The Chicagoland & Northwest Indiana Chevy Dealers said it will continue its relationship with spokesman and Bulls guard Jay Williams while he continues to rehabilitate from a motorcycle accident.
But the company has no plans on using Williams in advertising, saying their plans are on hold while he recovers.
“If Williams returns to the Bulls for the 2004-05 season, we will readdress our agreement at that time,” the dealers said in a statement Wednesday. The dealers will move forward with plans to use former Cubs great Ron Santo and White Sox right fielder Magglio Ordonez.
Account action: ConAgra Foods has tapped Ketchum Public Relations to handle its PR activities. … StarLink Worldwide, a division of Starcom MediaVest Group, won three separate accounts worth a combined $20 million in billings. Added to the media buying firm’s client list is Score Educational Centers, American Laser Centers and Alexian Brothers Hospital Network. Score is a subsidiary of Kaplan Inc. and The Washington Post Co. … DiMeo & Co. also added three new clients: ABC The Window Guys, a Chicago based window replacement and siding company; Valley Lo Club, a members-only all-season sports and dining club in Glenview; and Foresight Green Inc., creators of a food and beverage tray system called the Advertainer. … Snack food company Wise Foods named Maddock Douglas its agency of record for branding, packaging and advertising for the company’s snack food line and new products.
On the move: Eric Leininger, senior vice president, marketing services, at Kraft Foods, joins McDonald’s Corp. as head of the company’s global business research, reporting to Chief Marketing Officer Larry Light.
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Jim Kirk’s Media and Marketing column appears Tuesday, Wednesday, Thursday and Friday. Contact [email protected].