Ford switches creative ad agency work to BBDO from WPP

Ford Motor Co., following a five-month review of its advertising efforts,Network Switches said BBDO of New York City will replace longtime partner WPP PLC of London as its lead creative ad agency.

However, WPP will retain a role in what the Dearborn-based automaker calls a new multi-agency advertising model. WPP will continue to lead advertising efforts for its Lincoln luxury brand, and will head initiatives such as media planning, media buying, website development and other roles, Ford said in a statement Monday.Additionally, Ford has added Wieden Kennedy of Portland, Ore., as a creative partner for specific projects, including a new ad campaign that will launch in the fourth quarter.

Pivotal Research senior analyst Brian Wieser said in an analyst note that an account of that size would generate between $500 million and $600 million in annual revenue, and the new setup suggested less than half of the account would be leaving WPP.The new advertising model will bring Ford $150 million in efficiencies a year, the automaker said without giving further details. Ford also plans to add 100 global in-house marketing positions.

"Ford already is one of the most recognized and respected brands in the world," Joy Falotico, Lincoln group vice president and Ford chief marketing officer, said in a statement. "In this pivotal moment of reinvention and transformation, we're excited to partner with world-class creative agencies to unlock the full potential of the iconic Blue Oval."The news comes amid CEO Jim Hackett's companywide reorganization efforts. The company is preparing to overhaul its North American product portfolio as it transitions away from cars to pickups and utilities.

Ford's $2.4 billion in 2017 ad spending made it the seventh-largest advertiser in the country, Ad Age reported. The automaker spent $4.1 billion globally last year, which WPP handles from its Ford-dedicated office in Dearborn called Global Team Blue, or GTB. WPP dedicated 3,000 people to the account. WPP also routinely brings in agencies outside of GTB to work on the business. GTB handles Ford's media planning and buying that was never under review.