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KMART CORP. ENDS RELATIONSHIP WITH ROSS ROY
"Ongoing turmoil at Kmart Corp. appears to have claimed another casualty" -- the company's relationship with its ad agnency, Ross Roy Communications. Last week, Kmart put its $175M account into review and Ross Roy decided not to participate "virtually assuring an end to the relationship." In a related move, Kmart Canada moved its $6M account in-house from Ian Roberts Ross Roy, Toronto (Leah Rickard, AD AGE, 11/14 issue). This morning, Kevin Goldman examines a growing trend of companies breaking off ties with their long-standing ad agencies (WALL STREET JOURNAL, 11/16).
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LOGOS ON CFL JERSEYS COMING SOON?
According to CFL owners, Larry Ryckman (Calgary) and Bill Comrie (B.C.), the league is "exploring selling commercial sponsorship on uniforms." Ryckman: "You will see significant corporate sponsorship deals. For example, Beatrice sponsors our training camp and Beatrice has our jersey rights. This (uniforms) is the logical next step. I would support it, as long as its not garish." CFL star Doug Flutie: "I wouldn't like it at all. You put Beatrice on the Jersey and then they'll want you to put K-Mart on the pants. Next thing you know you look like a race-car driver. Right now we have the logo (Dodge Trucks) on our field. I don't even like that" (SAN JOSE MERCURY NEWS, 11/16).
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MARKETPLACE ROUND-UP
Kao Infosystems Company announced yesterday that they will dedicate November 15 as "Ted Williams Appreciation Day." The declaration coincides with a national press conference, to be held earlier in the day, to introduce Ted Williams' official CD- ROM autobiography (KAO Infosystems). ...Frito Lay snack foods will consolidate the media planning portion of its brand accounts, currently divided between BBDO New York and DDB Needham Chicago, at one of those agencies. A spokesperson for Frito-Lay said a decision is expected within a month (N.Y. TIMES, 11/16)....In Washington, Aaron Epstein examines a Supreme Court case that tests the government's power to limit free speech in the marketplace, specifically a brewers' right to put the alcoholic content of the beer on the label. The case will be heard November 30 (KNIGHT-RIDDER/MERCURY NEWS, 11/16).
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NEW BALANCE REBUTS FTC CHARGE ON SHOE LABELING
Rebutting FTC charges of "false and misleading advertising," New Balance Athletic Shoe Inc. claims 70-80% of its footwear is made in plants in ME and MA and that those shoes assembled abroad are labeled as to their country of origin. Although New Balance promotes its shoes as "Made in the U.S.A.," the FTC had complained that a "substantial number of the company's shoes are assembled in foreign countries" (WALL STREET JOURNAL, 11/16).
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WITH VIRGINIA SLIMS, THE WTA HAS COME A LONG WAY, BABY
The WTA Tour is not only losing Martina Navratilova this week, but also Philip Morris, "its most significant benefactor." Philip Morris, parent company of Kraft and Virginia Slims, ends its 25-year relationship with women's tennis Sunday when the Virginia Slims Championships at Madison Square Garden ends (Doug Smith, USA TODAY, 11/16). "Anti-smoking crusaders who rail against the tobacco company for using women's tennis to glamorize smoking couldn't be happier. But players and tour officials couldn't be more ambivalent, especially since they are having a tough time finding a replacement. Perhaps no sponsor in all of sports has given more lavishly" than Philip Morris, notes Josh Young in the WASHINGTON TIMES. "And it's doubtful that any sponsor has gotten such a good return on its investment" (WASHINGTON TIMES, 11/16). Chris Evert: "If we don't find a sponsor, we're strong enough that we can endure next year. But starting in '96, we really need to find a sponsor" (PHILADELPHIA DAILY NEWS, 11/15).




