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Kraft Foods SA goes to Carat SA

26 Jan 2011

Media agency Carat SA has acquired the account for Kraft Foods South Africa, part of international branded food and beverage company Kraft Foods Inc. which took over the global business of Cadbury in early 2010. Carat emerged successful in late December 2010, following an intensive four-way pitch process.

Kraft Foods South Africa is said to account for annual media billings in the order of R140 million. Top brands in the Kraft stable include Cadbury Dairy Milk, Stimorol, Royal Baking Powder, Jacobs, Lunch Bar, Halls, Dentyne, Toblerone and Oreo.

Starcom held the Kraft account previously and Nota Bene serviced Cadbury. The other agencies involved in the pitch were Starcom, Nota Bene and Mindshare.

While all buying will be centralised through the Cape Town office, the strategic side of the business will be split between Carat Cape Town and Carat Johannesburg. The Johannesburg office, headed up by Erica Gunning, has achieved huge growth since it was opened in August 2009, with 20 staff members and billings of R700 million.

This win is the crowning achievement in an 18-month period of phenomenal success for Carat, which now manages annual media billings in excess of R2 billion, and Carat SA MD Quinton Jones describes the win as an honour.

"Carat is now a serious contender"

"We are extremely proud to have won the Kraft Foods business, which clearly demonstrates that Carat is now a serious contender for big business and best of the best brands. I believe we won the business primarily on the strength of our strategic revert. Understanding the consumer and having insight into their lives is absolutely critical in delivering a strategy that makes sense, resonates with client and moves the brand forward," he says.

"In addition I think that chemistry played an enormous role in the final decision. In many ways Carat and Kraft Foods South Africa have both gone through significant change in recent times - both are young and hungry and embarking on a new business journey.

"I have no doubt that Kraft will demand from us an improvement in the strategic thinking on their business, improved client service, better pricing and media innovation, as well as partnership in and ownership of their communication strategy. We look forward to meeting and exceeding our client's expectations," he concludes.

Last updated at 2.47pm on 26 January 2011.