Generating $1.5 billion in annual sales, ConAgra’s Healthy Choice items have enjoyed a robust business, considering that the brand was launched less than a decade ago.
But sales have dipped for its frozen dinners and entrees, the core category for the entire Healthy Choice line. Coupled with product conflicts arising at Campbell Mithun Esty’s Minneapolis headquarters, the client did the expected Thursday in yanking about $35 million in ad billing for most of the Healthy Choice line and moving it to Grey Advertising in New York.
This is a big win for Grey, which already has other assignments from Omaha-based ConAgra, total sales of $24 billion. Campbell Mithun Esty will hold onto some business from the client.
ConAgra has been shifting to an umbrella-brand development strategy for Healthy Choice, moving into a number of product categories that have presented conflicts with Campbell Mithun Esty.
For example, CME was blocked from doing advertising for popcorn and cereal for Healthy Choice, which has similar assignments from client General Mills.
In the $3.8 billion frozen-dinners-and-entrees business, Healthy Choice has slipped more than 5.5 percent to sales of $422 million for a recent 52-week period tracked by Information Resources Inc.
Healthy Choice’s category share is at 11 percent, versus Nestle’s Stouffer, the leader, which for the same period was up 8.5 percent to $587 million, or a 15.6 percent market share, IRI reports.
Not affected by the switch is Cramer-Krasselt Chicago, agency of record on Healthy Choice cereal, marketed by Kellogg, and Healthy Choice popcorn. That agency also has other ConAgra assignments.
No deal for Juicy Juice: A Northbrook-based firm–the Children’s Beverage Group Inc.–has tendered an unsolicited cash offer to acquire Nestle USA’s Juicy Juice, but a Nestle spokeswoman told this column that “the brand is not for sale.” Chicagoans may well remember Juicy Juice as being one of Libby, McNeil & Libby’s brands dating back to the 1970s before Nestle acquired the Chicago firm. Juicy Juice has annual volume of $300 million. Attorney Gary Levenstein of Ungaretti & Harris, a Chicago firm representing Children’s Beverage Group, said a discussion was recently held with Nestle, and the firm suggested a proposal be made. However, Nestle, whose U.S. headquarters are in Glendale, Calif., declined to say that it encouraged any offer. Children’s Beverage Group has branded beverage products, including the BrainForest spring water and fruit juice line, and also sells private label beverages to retailers.
Hyatt promotes 2: Hyatt Hotels Corp. named Scott S. Seed manager of Gold Passport Communications (its frequent guest program) and Jennifer Weisenberger director of electronic distribution marketing for the chain. Both are based in Chicago. Other personnel: Christine Callahan, a supervisor in DDB Needham Chicago’s strategic planning and research department, and Christopher Iannuccilli a management representative at the same agency, both elected VPs . . . Catherine Fatta to Midwest regional sales manager for David Yurman Design, a Manhattan-based firm . . . Ted Jakubiak to WLUP-FM as a senior account executive . . . Lee French to VP and general manager of the special retail division and business development, Sara Lee Corp.’s Superior Coffee unit in Bensenville . . . Stan South to VP-national sales at CoolSavings Inc., a Chicago provider of Internet-based sales promotion services.
Spuds for Chicago shop? National Potato Board, a Denver-based organization, is reviewing its consumer advertising-marketing communications program, a competition that currently involves 15 to 20 agencies, one-third of them from Chicago. Involved may be a $4 million to $6 million account. A spokeswoman for the client says that a half-dozen agencies will probably be picked as finalists. The potato organization is being assisted by Jones-Lundin Associates, an advertising management consulting firm based in Chicago.
Strictly Personal: Birthday greetings to Gene Silverberg, 45; Jim Baugh, 48 (Wilson Sporting Goods); Stuart L. Scott, 60 (LaSalle Partners); Grant Golden, 69; Phil Gant, 49; Amanda Larsen Puck, 28; Tiffani Cailor Andrews, 32; Dorothy Levenberg, 82; Kristi Stathis, 34; Julie Kirby Donohue, 36; Jeffery B. Cullers, 41; Suzanne M. de Rath, 33; and William R. “Bill” Reder, 63.
