16259: Make A Sprint For Cash Settlements.

 

Oh look! There’s a class action settlement involving Sprint. Shocking.

15361: Rebooting Characters Should Be Booted.

Advertising Age reported former Apple Mac character Justin Long is now hyping PCs for Intel. Long and Verizon-to-Sprint character Paul Marcarelli should be beaten in low-tech style with baseball bats.

 

14709: T-Mobile Takeover Of Sprint Is An Obscene Call.

Business Insider reported on the T-Mobile $26.5 billion takeover of Sprint. First of all, the move is hardly surprising, given that Sprint has been a telecommunications train wreck for years. Expect chaos in the months ahead as the transition process leads to reorganizations, resignations and redundancies—that is, there will be rampant terminations. Here’s hoping the first casualty will be the former Verizon “Can You Here Me Now?” character who defected to Sprint.

It’s official—T-Mobile’s $26.5 billion takeover of rival Sprint was just approved, despite fears of higher prices and job cuts

By Tali Arbel and Marcy Gordon, Associated Press

WASHINGTON (AP) — U.S. regulators are approving T-Mobile’s $26.5 billion takeover of rival Sprint, despite fears of higher prices and job cuts.

Friday’s approval by the Justice Department and five state attorneys general comes after Sprint and T-Mobile agreed to conditions that would set up satellite-TV provider Dish as a fourth wireless company, so the number of major U.S. providers remains at four.

Dish is buying prepaid cellphone brands such as Boost and Virgin Mobile and some spectrum, or airwaves for wireless service, from the two companies. It will also be able to rent T-Mobile’s network for seven years while it builds its own. The Justice Department’s antitrust chief, Makan Delrahim, said the settlement sets up Dish “as a disruptive force in wireless.”

Sprint and T-Mobile combined would now approach the size of Verizon and AT&T. The companies have argued that bulking up will mean a better next-generation “5G” wireless network than they could make on their own.

The two companies tried to combine during the Obama administration but regulators rebuffed them. They resumed talks on combining once President Donald Trump took office, hoping for more industry-friendly regulators. The companies appealed to Trump’s desire for the U.S. to “win” a global 5G race with China as this faster, more reliable wireless is rolled out and applications are built for it.

Meanwhile, the Republican-controlled Federal Communications Commission agreed in May to back the deal after T-Mobile promised to build out rural broadband and 5G, sell its Boost prepaid brand and keep prices on hold for three years.

But public-interest advocates complained the FCC conditions did not address the problems of the merger—higher prices, less wireless competition—and would be difficult for regulators to enforce.

Attorneys general from 13 states and the District of Columbia then filed a lawsuit to block the deal. They say the promised benefits, such as better networks in rural areas and faster service overall, cannot be verified, while eliminating a major wireless company will immediately harm consumers by reducing competition and driving up prices for cellphone service.

They may not be satisfied with the settlement and choose to press ahead.

A judge must also approve the Justice Department’s settlement.

13419: Sprint Switches White Shops.

Adweek reported Sprint switched White advertising providers, dumping Deutsch in favor of Droga5. Just as current Sprint commercials state there’s only a 1% difference in reliability between phone carriers, there’s roughly a 1% difference in diversity between Deutsch and Droga5. Hey, it would be funny if—mimicking how Deutsch revived the Verizon “Can You Hear Me Now?” character—Droga5 hired Felicia Geiger as its Chief Diversity Officer. The account shift happened without a formal review, which seems appropriate too. After all, in recent years, Sprint has pretty much employed every available White advertising agency.

Sprint Names Droga5 as Its Agency of Record After Gradually Moving Production Work In-House

Account was with Deutsch for 2 years

By Patrick Coffee

Today Sprint announced that it named Droga5 as its new creative agency of record after two years with Deutsch.

Vp of corporate communications David Tovar confirmed that the fourth-largest telecom company in the U.S. moved its account to Droga5 without a review, and that the agency will continue working with Omnicom’s Alma on Hispanic marketing.

According to the latest numbers from Kantar Media, Sprint spent $763 million on paid media in 2015 and $305 million during the first six months of this year.

Droga5 will collaborate on the business with Yellow Fan Studios, the in-house production unit launched by Sprint earlier this year. Spokespeople for both the agency and the client said Droga5 will handle work related to strategy, positioning and the overall “brand experience” for Sprint, with the first creative products of this new partnership debuting early next year. Deutsch had been lead agency on the account since beating Arnold Worldwide in a November 2014 pitch.

“We had a great partnership with Deutsch, and they did some incredible work for us,” Tovar told Adweek. “We thank them for their valuable contributions. Our industry ... is incredibly dynamic and constantly changing. We felt that, as part of our transformation, it was the right time to bring new thinking and fresh ideas in the mix. Droga5 is the right agency at the right time for Sprint.”

In December 2015, Sprint promoted former svp of Hispanic marketing and president of Sprint Puerto Rico Roger Solé to chief marketing officer and initiated a series of cost-cutting measures. The most prominent such move was the launch of Yellow Fan, which took over production duties on Sprint campaigns from the Deutsch team in Los Angeles and then hired PR veteran Christopher Ian Bennett to serve as its executive creative director.

Adweek’s AgencySpy blog reported on a subsequent round of downsizing at Deutsch as well as further efforts by Sprint to reduce its overall marketing spend by handling more of the work itself.

Tovar said Sprint has had “great success” with Yellow Fan in only a few months. “[We’ve been able to] significantly cut our costs and create some world-class creative using in-house people who are very familiar with the brand and the nuances needed for our business,” he said.

“We also know that we want some agency partnerships to go with that,” Tovar added. “They will work in collaboration figuring out the best, most efficient ways to get that world-class creative work done.”

Sprint earned some unflattering headlines in April, when various media outlets reported on a self-produced ad in which a customer referred to Sprint rival T-Mobile as “ghetto.” The company pulled the spot as CEO Marcelo Claure tweeted that he had “not meant to offend anyone.”

This news marks the latest in a string of new business wins for Droga5, which recently added The New York Times, Google’s Pixel phone and A-B InBev’s Best Damn beverage line to its client roster.

13159: Sprint Is So Ghetto.

Advertising Age reported Sprint CEO Marcelo Claure pulled a video from his real people “listening tour” featuring a White woman calling competitor T-Mobile “ghetto.” First of all, when will Claure realize his brand has a history of bad advertising starring a CEO? Just stay in your C-suite and figure out how to actually turn around your lame company. Native Bolivian Claure must be taking cultural competency courses with former JWT Worldwide Chairman and CEO (and native Argentinian) Gustavo Martinez. In the meantime, expect to see Campbell Ewald make a pitch for the T-Mobile account.

12968: Sprint’s Solé Survivor.

Adweek reported Sprint appointed a new Chief Marketing Officer, tapping Roger Solé, who has run the beleaguered company’s Latino advertising and acquisition initiatives. Solé replaces Kevin Crull, who had served as CMO for a whopping seven months. Wow, seems like the Frobinson family lasted longer than Crull. And why are minorities only allowed to lead when an enterprise is in a death spiral?

Sprint Names a New CMO, Promoting Its Head of Hispanic Advertising to the Role

Roger Solé was also president of ops in Puerto Rico

By David Gianatasio

After seven months on the job, Kevin Crull is out as Sprint’s chief marketing officer, replaced by Roger Solé, who has led the company’s Hispanic advertising and acquisition efforts and served as president of its operations in Puerto Rico.

Crull becomes president of Sprint’s central region—which covers states such as Illinois, Indiana, Iowa, Kansas and Ohio—encompassing more than 500 company-owned or Sprint-branded retail stores.

In a statement, Sprint CEO Marcelo Claure praised both executives, noting that Solé has been “integrally involved in shaping many of our key acquisition initiatives that have helped drive the growing momentum we are now enjoying. [He] has increased our ability to serve Hispanic customers and has spurred innovation across the organization.”

Solé will oversee advertising, customer acquisition and retention, and all digital and social efforts.

Claure said Crull “has guided some of our most important initiatives, designing and launching innovative and disruptive programs that have been resonating positively with customers.” The executive’s marketing skills and “broad management and operational expertise” make him a natural fit for the newly created role of central region president, Claure said.

Since joining Sprint in May, Crull had launched several high-profile consumer offers, including “All-In,” “Direct 2 You,” “iPhone Forever,” and its 50 percent off campaign. Regardless, Sprint slid behind T-Mobile into fourth place among domestic wireless carriers this year.

Sprint spends in excess of $800 million annually on domestic ads, per Kantar Media. A year ago, the company chose Interpublic’s Deutsch L.A. as its lead creative agency. MediaVest handles buying chores.

This marks the second CMO shuffle at a major advertiser in as many days. It follows Walmart’s announcement that its U.S. chief marketer, Stephen Quinn, would retire next month. Former Target CMO Michael Francis will join the retailer in a senior consulting capacity.

12956: Chief Creative Officer Cannon.

CNET reported RadioShack hired Nick Cannon to serve as Chief Creative Officer. Seems like a logical move to complement the failing retailer’s decision to partner with Sprint, a company that could be dubbed “The RadioShack of Telecoms.” Cannon joins a parade of questionable creative lead appointments including will.i.am, Alicia Keys, Sean Combs and Jay-Z. Then again, clients continue to do a much better job of hiring minorities than White advertising agencies. But does it indicate celebrity status is a requirement for non-White people to be considered for senior-level positions in the field?

RadioShack hires Nick Cannon to lead its renaissance

Technically Incorrect: The rapper, actor and “America’s Got Talent” host is named RadioShack’s chief creative officer. Will the company rise again to glory?

By Chris Matyszczyk

I fear that for too many people RadioShack has become as prominent as actor Josh Hartnett (remember, from “The Faculty” and “Pearl Harbor”).

The electronics chain is still there, you assume, but you haven’t seen one in a long while. Perhaps, though, RadioShack has a remedy. It announced a startling appointment as its new chief creative officer: Nick Cannon.

The rapper, actor and “America’s Got Talent” host is a lifelong RadioShack aficionado. Indeed, he credits the brand with “fostering his creative spirit and interest in electronics.” At least, that’s what RadioShack said Wednesday a press release.

Michael Tatelman, RadioShack’s chief marketing officer, told me: “Nick will play an active role in the creative process and his innovation and creativity will continue to help us curate the in-store experience. He’ll also be developing an exclusive line of products, as well as help RadioShack continue to grow our educational and S.T.E.M (science, technology, engineering and math) initiatives nationwide.”

That all sounds like a task even bigger than winning a TV talent show.

The company filed for bankruptcy in February so that an investing firm could buy 2,400 of its stores. The new RadioShack, owned now by General Wireless Inc, says it has more than 1,700 company-owned stores and nearly 500 independent dealers.

RadioShack insists that with this hire it’s signaling that “RadioShack is back.” How much time will the busy entertainer and entrepreneur (his company is called NCredible Entertainment) dedicate?

“Nick’s goal is to be in Fort Worth working with the RadioShack team as often as possible,” Tatelman told me. Ah.

The tech world is strewn with the memories of stars appointed to add their creative wits without necessarily delivering the creative hits.

Perhaps the most celebrated was Alicia Keys, hired in 2013 by BlackBerry in a role similar to Cannon’s with RadioShack. Soon after her appointment, she was caught tweeting from her Apple iPhone. As was popular in those days, she claimed she’d been hacked. She left BlackBerry less than a year later.

Cannon does have tech credentials. He appeared on CNET’s CES stage last year and said he’s been a regular visitor to Las Vegas over the years. “I was a RadioShack kid,” he explained in that interview. “I would go to RadioShack every week. It was my favorite place. It was the place I got my first DJ equipment, keyboards, that’s where I would go buy RCA cables.”

To begin its quest for hearts and minds, RadioShack recently launched a website and had a Black Friday sale. But how much life does the brand still have? Despite this latest marketing effort, will it still be cannon-fodder?

12680: Sprint CMO WTF.

Advertising Age reported Sprint is continuing to create a real-life Frobinson Framily/Shirato Family with its marketing team, recruiting Kevin Crull as its new Chief Marketing Officer. Softbank CEO Masayoshi Son (who is Japanese), Sprint CEO Marcelo Claure (who is Bolivian), Crull (who is Canadian) and the Midwestern Americans at Sprint’s Kansas-based headquarters make for a pretty diverse enterprise. Yet the client chose to partner with a corrupt and culturally clueless White advertising agency in Deutsch LA. Go figure.

Sprint Names Canadian Broadcast Exec Kevin Crull CMO

Exec Left Bell Media in April After Admitting to Trying to Influence Coverage of Subsidiary

By Maureen Morrison

Sprint has named Kevin Crull its new chief marketing officer.

Mr. Crull, a Canadian media and broadcast executive, will be responsible for all products and services, advertising, customer acquisition and retention, and all digital and social efforts, according to a statement. He’ll report to President-CEO Marcelo Claure and will relocate to Kansas City, Mo., where Sprint’s headquarters are.

Mr. Crull’s most recent position as president-CEO of Bell Media, Canada’s largest media and broadcasting company, ended in April 2015, when he stepped down after admitting he tried to influence coverage by one of Bell’s subsidiaries, CTV.

According to a press release, while at Bell, Mr. Crull led the acquisition of CTV Globemedia in late 2010, creating the foundation for Bell Media, Inc. Following that, he led the acquisition and integration of Astral Media in 2012 and 2013. He was president of the Bell Residential Services, a telecommunications company, providing broadband, home phone, and satellite and fiber television service in Canada. Before that, he was at AT&T, working on the consumer and small-business sales and marketing. He was also senior VP-general manager of AT&T’s wireless initiative.

Sprint’s former CMO, Jeff Hallock, late last year confirmed he was departing the company by the end of the first quarter. That announcement came amid a major agency review and corporate overhaul by Mr. Claure, who joined the ailing carrier last August.

Sprint did not confirm until December that it had hired Interpublic’s Deutsch as its new agency, although incumbent Figliulo & Partners was said to remain on the roster. By the time the company had confirmed Deutsch’s win, the shop had already produced TV spots that were airing.

“Kevin did an amazing job at Bell Media, and I expect him to do even better at Sprint,” said Mr. Claure in a statement. “Sprint is privileged to attract someone of his caliber and experience in media, content and wireless. As the industry shifts towards providing unique experiences and content to wireless customers, Kevin’s exceptional experience will allow him to be a great contributor in Sprint’s transformation journey.”

“I’m thrilled to join Sprint, a company that I believe has limitless potential for growth and transformation at a very exciting time in the industry,” Mr. Crull said in the statement. “I believe the Sprint team is showing great momentum and has a plan to win in the marketplace. The wireless industry offers tremendous opportunity for profitable growth. My past experience has been all about execution and transformation and delivering results, and this is what I intend to do as part of the Sprint team.”

One of Mr. Claure’s first acts was to pull the “Framily Plan” pitch, which Figliulo & Partners had marketed with its “Frobinsons” campaign starring a cast of oddball characters.

As of late December, Sprint commanded 15% of the U.S. market, trailing Verizon (33%) and AT&T (28%), according to comScore. Yet amid a network overhaul, Sprint is bleeding customers—it lost 714,000 postpaid subscribers over the past year. It’s also confronting a credible challenge from T-Mobile, which added 2.3 million customers during the third quarter.

12558: Sprint Spanked.

Advertising Age reported Sprint was criticized by a watchdog organization for potentially misleading statements in its advertising. Sprint CEO Marcelo Claure once claimed, “As we offer the best value in wireless, we’re going to offer consumers three things: value, clarity and simplicity.” Guess he didn’t realize communications might get fuzzy when hiring the lying assholes at Deutsch LA.

T-Mobile Prompts Ad Watchdog to Admonish Sprint for Its Ads

By Mark Bergen

Sprint should shed the superlatives for its wireless network in its ads, the National Advertising Division (NAD), an industry self-regulatory council, declared in a statement on Tuesday. The NAD recommended the wireless carrier drop the terms “brand new,” “all-new” and “America’s Newest,” as well customer satisfaction claims, from its marketing.

The decision came after T-Mobile, Sprint’s boisterous rival, challenged the advertising claims.

“We are pleased the NAD has acknowledged the many substantial technological improvements we have made to our network, which we continue to make. We will take the NAD’s recommendations into consideration,” said a Sprint spokeswoman.

Sprint is several years into an expensive network overhaul, which is partially responsible for its considerable customer loss. But the NAD says the network upgrade does not justify the descriptor “newest.” It went on:

NAD recommended that the advertiser modify advertising featuring improved performance claims – “faster data speeds,” “better call quality,” and “fewer dropped calls” – to clearly disclose that the basis of comparison is to Sprint’s own prior network.

Finally, NAD recommended that the advertiser discontinue the claim that it is “the most improved U.S. company in customer satisfaction, across all 43 industries, over the last six years.”

John Legere, T-Mobile’s CEO, frequently taunts Sprint. Last month, on an earnings call, he said his fourth-placed carrier would surpass the competitor in size “by the next month or two.”

12463: RadioShack + Sprint = Failure.

The New York Post reported RadioShack is filing for bankruptcy, closing half its stores and teaming up with Sprint to keep the remaining stores open. Um, a partnership between RadioShack and Sprint is like a Republican presidential ticket featuring Mitt Romney and Sarah Palin. Or a Dumb and Dumber sequel. Or the next Draftfcb. Or a Frobinson and Shirato family reunion. Hell, the comparisons could go on forever.

RadioShack ‘Sprints’ toward bankruptcy

By James Covert

RadioShack is finally about to blow its fuse.

The flailing electronics chain is nearing a bankruptcy filing — perhaps as soon as this week — that will close nearly half its stores while keeping the rest open in a partnership with telecom giant Sprint, sources told The Post.

The Chapter 11 filing is expected to be packaged with an agreement for Sprint to take over the leases of between 1,800 and 1,900 locations, according to sources — less than half of the more than 4,000 currently in operation.

Under terms recently being negotiated, those locations would be dual-branded under both the Sprint and RadioShack names, according to a source briefed on the discussions.

The rest of the 94-year-old retailer’s locations will be shuttered — with the exception of between 200 and 400 stores, according to a source. Those will be kept open as standalone RadioShack stores, although they won’t sell mobile phones and contracts.

Under the terms of the bankruptcy, Sprint’s proposal will likely take the form of a “stalking horse” bid for the chain, with rivals getting the chance to submit offers, sources said.

RadioShack is meanwhile expected to get $275 million in debtor-in-possession financing, consisting of $25 million in new funds plus the company’s existing $250 million in first-lien debt, according to a source.

“RadioShack’s not going away, it’s going to be shrunk,” according to one insider. “The idea is to bring RadioShack back to where it was 15 or 20 years ago and just sell electronics.”

RadioShack has taken a beating from brutal competition in the wireless market. In addition to big-box retailers like Best Buy and Walmart, RadioShack has been pummeled by the rapid retail expansion of wireless carriers like Verizon, AT&T and Sprint.

Last month, Sprint CEO Marcelo Claure signaled 2015 “is a year in which we intend to grow our distribution dramatically.” Claure said, “You are going to see the opening of more and more Sprint stores as this is one area that we work on.”

12355: Going From Goodness To Badness.

Adweek reported three White men who co-founded Goodness Mfg. were hired to join Deutsch LA—which should have inspired the trade journal to write the headline: Going from Goodness to Badness. While Deutsch LA has already established itself as a culturally clueless and digitally delinquent shithole, the boys from Goodness Mfg. do show some promise via the 10 X 10 and Intel and National Congress of American Indians projects they produced. Regardless, the scenario underscores how the ad game continues to be fueled by money and an exclusive buddy system. The constant nomadic shifting of White bodies from shop to shop only leads to the commoditization of agencies—Deustch LA is as generic as Goodness Mfg., Goodby Silverstein & Partners, Leo Burnett, Arnold, DDB, BBDO, Droga5, etc. Plus, for co-founders to abandon their baby en masse is pretty sad. When clients change agencies upon the appointment of a new CMO, adpeople whine, sob and gnash their teeth. But when White adpeople nonchalantly move from job to job, essentially disrupting—and even destroying—agency hierarchies and structures, it’s just business as usual.

Three Founders of Goodness Mfg. Are Heading to Deutsch L.A.

Keister, Cianfrone, Adams named executive creative directors

By Andrew McMains

Three co-founders of Goodness Mfg. are taking senior supporting roles at Deutsch L.A.

Paul Keister, who was chief creative officer at Goodness, and fellow executive creative directors Bob Cianfrone and Tom Adams, will now be key lieutenants to Deutsch L.A. CCO Pete Favat.

Each will be an executive creative director and split his time between new business pitches and existing accounts. The agency, which is on a hiring binge with the addition of Sprint’s national broadcast business, now has 13 executive creative directors.

Three of them, however, already work on Sprint: Matt O’Rourke, Gavin Lester and Daniel Chu. So Keister, Cianfrone and Adams will contribute to other agency accounts, which include Volkswagen of America, Taco Bell, Pizza Hut, Target and Dr Pepper. They’ll start Jan. 12.

“These guys will be jumping in where needed on many pieces of business, but they haven’t been assigned to anything in particular yet,” Favat said. “Our business is moving at a faster pace than ever—we need to be in front of it.”

The hires come two weeks after the trio exited Goodness, the advertising arm of Trailer Park Inc. Keister, Cianfrone and Adams were among five former Crispin Porter + Bogusky staffers who started Goodness Mfg. in 2007. Trailer Park acquired the shop in 2010, giving the production powerhouse the creative juice it needed under CEO Rick Eiserman.

With those three co-founders now gone, Goodness has begun a search for a single creative chief to replace them, according to a source. In the meantime, group creative heads will step up on their existing accounts, which include Toshiba and Vail Resorts. Goodness expects to find its new chief early in 2015.

12334: Deutsch LA Joins Team Sprint.

Advertising Age reported Sprint finally and officially awarded its creative business to White advertising agency Deutsch LA. Figliulo & Partners, the latest White advertising agency to lose the account, will apparently remain on the roster for the beleaguered telecom. Go figure. Team Sprint is technically still alive as well, with Leo Burnett handling retail duties and DigitasLBi covering digital. Um, has there ever been a bigger collection of losers in a client’s stable?

“We went through an intense selection process and we are confident in the capabilities of our new partner,” gushed Sprint CMO Jeff Hallock. “They are a major asset to add to our agency roster.” Hallock, of course, is not a major asset at Sprint, given his departure will happen the second a replacement is identified. Additionally, is Deutsch LA really a major asset—or a major asswipe? The culturally clueless and digitally delinquent shop was preceded by Figliulo & Partners, Leo Burnett, DigitasLBi, Goodby Silverstein & Partners, TBWA\Chiat\Day and Publicis Hal Riney. It looks like Deutsch LA is on the descending end of a death-spiraling degradation of talent and creativity.

Sprint Names Deutsch Los Angeles New Agency of Record

Shop Will Handle Strategy, Creative

By Maureen Morrison

Sprint has finally confirmed that Interpublic’s Deutsch L.A. is its new creative agency of record.

The marketer in recent weeks had been reluctant to confirm that the shop won its business, following a review that began at the end of the summer, saying its new ads from Deutsch L.A. were only project work.

Deutsch L.A. will now officially handle creative and strategy for the telecom. Figliulo & Partners had been handling that work ever since it took it over from Leo Burnett in November 2013. A Figliulo & Partners executive did not immediately respond to a request for comment.

Figliulo & Partners will remain on the roster, said Tracy Palmer, director of brand and advertising, Sprint. She declined to elaborate.

Publicis Groupe’s Leo Burnett continues to handle retail for Sprint and sibling shop DigitasLBi continues to handle digital. Mercer Island Consulting handled the review.

“We went through an intense selection process and we are confident in the capabilities of our new partner,” CMO Jeff Hallock said in a statement to Ad Age. “They are a major asset to add to our agency roster.”

Sprint said last month that Mr. Hallock will depart at the end of the first quarter next year unless the marketer finds a successor sooner.

“We are thrilled to take on this business in a completely integrated way,” Deutsch L.A. CEO Michael Sheldon said in a statement. “Sprint is eager to do the type of bold and disruptive creative work that we do best and we look forward to the massive opportunity ahead.”

Sprint sent out a request for proposals on Aug. 29, only weeks after Marcelo Claure became CEO of the company. Under Mr. Claure, the company has introduced a series of aggressive new plans and price cuts. In its third-quarter earnings call in early November, Mr. Claure detailed “the new Sprint”—one that centers on a revamped marketing agenda. Sprint last week said it will terminate its sponsorship of Nascar after the 2016 season, citing a need to focus on its core business priorities. The partnership dates back to 2004.

But one of Mr. Claure’s first acts was to pull the “Framily Plan” pitch, which Figliulo & Partners had marketed with its “Frobinsons” campaign starring a cast of oddball characters.

The win is another big coup for Deutsch this year. This summer, it picked up the Pizza Hut business from McGarryBowen without a review, and more recently added digital duties to its Taco Bell business. With Sprint on the client list now, Deutsch said it will hire as many as 120 additional people. The shop will also open what it calls a fully functioning broadcast production company to serve Sprint.

Sprint currently commands 15% of the U.S. market, trailing Verizon (33%) and AT&T (28%), according to comScore. Yet amid a network overhaul, Sprint is bleeding customers—it lost 714,000 “postpaid” subscribers over the past year. It’s also confronting a credible challenge from T-Mobile, which added 2.3 million customers during the third quarter.

Sprint, the 23rd largest advertiser in the U.S., spent $1.56 billion in U.S. advertising in 2013, according to Ad Age’s DataCenter. That figure includes measured and unmeasured media. According to Kantar Media, Sprint spent $943.3 million in 2013 on U.S. measured media, which includes spot TV, syndicated TV, cable and other ad venues.

Contributing: Malika Toure, Mark Bergen

12293: Sprint Clearly Creating Chaos.

Advertising Age reported on the latest lunacy from Sprint. According to Sprint CMO Jeff Hallock (who’s slated to bail out as soon as a sucker successor is identified), Deutsch LA (the White advertising agency that was not eliminated in a lengthy review) is producing work on a project basis—meaning Figliulo & Partners (the hackneyed White advertising agency responsible for the Frobinsons campaign) is technically still the AOR.

So far, Deutsch LA has shat out commercials starring a screaming goat, an office worker going postal and fake Verizon and AT&T customers cutting their bills in half. No one seems to be taking responsibility for the Latino commercial featuring star-struck Sprint CEO Marcelo Claure (kudos to the set designer!). And if Deutsch covers any digital assignments, somebody better monitor the lying assholes closely.

Claure promised an aggressive approach; however, without discipline and focus, aggressive becomes depressive, regressive and unimpressive. Additionally, MultiCultClassics wondered how the Sprint diverse-yet-dysfunctional corporate family would ultimately fare, but never imagined anything this messed up. Why would consumers want to connect with a company in such disarray—even at half price?

Sprint Slices at Verizon, AT&T in Latest National Ads

Deutsch L.A. Produced Spots, but Agency Review Remains in Limbo

By Mark Bergen

On Tuesday, Sprint announced another price offering, its most ambitious yet. Over the weekend, the carrier will begin a national ad campaign to promote the deal, which directly targets larger rivals Verizon and AT&T.

Sprint has unleashed a torrent of new customer plans—and varying marketing materials—since CEO Marcelo Claure joined in August. Its latest move promises to halve the service bills for Verizon and AT&T subscribers who convert to Sprint, a stunt to hemorrhage its steady customer loss. The carrier is also offering to pay early termination fees for subscribers who switch, a move T-Mobile made in January.

Beginning Friday evening, a 30-second spot will air during prime-time on national networks and cable. The carrier is also releasing print ads and a Spanish-language spot, which will begin airing this weekend. Two weeks ago, Sprint kicked off a Hispanic marketing campaign, with ads featuring Mr. Claure.

The carrier’s latest offering, and its adversarial marketing, mirrors the aggressive maneuvers from T-Mobile. Under its former CEO Dan Hesse, Sprint largely avoided calling out its bigger competitors by name. “It’s probably our most aggressive stance that we’ve taken,” said CMO Jeff Hallock.

Last month, Ad Age reported Mr. Hallock would depart by April 2015, under amicable terms. He’ll continue to oversee marketing until his exit.

Deutsch L.A. produced the spots. The agency also made the recent commercial for Sprint’s new family plan, which is in heavy rotation and features a braying goat. That spot was pitched as part of an ongoing creative review initiated in September.

“Deutsch L.A. did the creative work on this campaign,” said Dave Mellin, a Sprint spokesman. “They are doing some work for us on a project basis.” Figliulo & Partners, which Sprint tapped last November, remains the agency of record, Mr. Hallock said. Sprint’s contract with Figliulo & Partners had yet to expire as of a month ago, according to executives familiar with the matter.

Since coming on board as CEO, Mr. Claure has been shaking up marketing. He promptly nixed Sprint’s earlier ‘Framily’ campaign and launched the agency review. He’s also pledged more aggressive advertising.

Despite the audacity of its new wireless deal, there is fine print. Switching customers would see a price cut in service fees—for voice, text and data—but they would need to lease or pay installments for a new phone with Sprint. Earlier this week, Sprint’s CFO Joe Euteneuer said the new plan would deliver customers around a 20% discount, according to a report from Re/code.

Walter Piecyk, a BTIG analyst, estimated a family of three on Verizon that switched to Sprint and upgraded iPhone plans, would save around $2 a month. In recent months, Sprint has introduced a series of new offerings, including discounted data and an iPhone leasing program. The new plans “just don’t seem compelling enough to move customers to Sprint’s existing network,” Mr. Piecyk wrote in a blog post.

He added: “It could be that the timing of Sprint’s latest promotion is an indication that its current promotions have not gained much traction.”

Mr. Hallock would not offer details on the success of the iPhone leasing plan, which launched in October. “It’s off to a good start,” he said. “We’re pleased with the result.”

Several years into a network overhaul, Sprint has bled subscribers to Verizon, AT&T and T-Mobile. In November, Sprint reported a net loss of 272,000 postpaid customers, making it the only carrier among the top four to shed a portion of its lucrative subscriber base during the quarter.

Last year, Sprint spent $1.6 billion in advertising, according to the Ad Age DataCenter.

With contributions from Malika Toure and Maureen Morrison

12241: Sprint CEO Is Star-Struck.

Advertising Age reported Sprint CEO Marcelo Claure is appearing in a Spanish-language commercial for his beleaguered brand. Per the Ad Age piece, it’s not the first time a Sprint CEO has had delusions of being photogenic, as former CEO Dan Hesse commandeered a campaign comprised of crappy commercials. Based on Claure’s stunningly inept performance speaking at an employee and press event, one would think he’d opt to hire Sofia Vergara to woo Latinos. Ad Age also stated Claure has “laid out the creation of a new sales division for Hispanic and multicultural business.” Let’s pray probable new White advertising agency Deutsch LA isn’t allowed anywhere near the non-White efforts.

In Sprint’s New Hispanic Marketing Drive, CEO Is the Star

Marcelo Claure Touts ‘Value’ In Ad During Latin Grammys

By Mark Bergen

Since taking the helm as CEO of Sprint, Marcelo Claure has shaken up the company’s marketing operation. Now, he’s starring in its ads.

On Thursday evening, the executive will appear in a Spanish-language commercial premiering during the Latin Grammys on Univision. The spot kicks off an ambitious Hispanic marketing push from Sprint, which is struggling to refashion its brand and retain subscribers in an increasingly competitive wireless industry.

In its latest ad, Mr. Claure, a native Bolivian, speaks directly into the camera, highlighting the value of Sprint’s new price offering. That offering has been the company’s focus since it scrapped the ‘Framily’ plan and campaign in September. Inspire, the carrier’s Hispanic agency, created the spot. It will run on other Spanish-language channels following its Univision premiere.

It’s not the first time Sprint has deployed the tactic. In 2008, Dan Hesse, Mr. Claure’s predecessor, introduced himself to consumers in a series of black-and-white TV ads. Sprint has moved to increase the profile of its new CMO, following the marketing success of his outspoken peer at T-Mobile, John Legere.

For the marketing to Latinos, that public profile will focus on Mr. Claure’s bi-cultural identity and immigrant story. “We thought it was very important to get his story out there,” said Kymber Umaña, Sprint’s Hispanic marketing manager.

Ms. Umaña stressed that Mr. Claure’s background will resonate with Latino consumers, a fast-growing demographic. “They will be able to look at the commercial and say, ‘Oh, that feels and sounds like me,’” she said.

Mr. Claure’s net worth is estimated to be just shy of $1 billion. He founded Brightstar, a handset vendor in 1997, shortly after emigrating to Miami. He sold most of the company to Softbank, Sprint’s majority owner, in 2013. He joined Sprint’s board shortly thereafter and was then hand-picked as its CEO in August.

The Sprint spot starts with a mock news reel announcing the new CEO, ranging from a newscaster saying he’s the first Latino to head a telecommunications company to an interview with his proud dad, who says Marcelo was always one to be looking ahead.(Not coincidentally, most of the Latinos pictured are hearing or reading the supposed news on their smartphones).

Speaking entirely in his native Spanish, Mr. Claure opens with, “Hola, soy Marcelo Claure.” He goes on to say “Communication is easy, but cellular companies make everything complicated. We’re changing that.”

A chatty Mr. Claure explains: “I have a family like most and we’re connected all the time. While I’m on the internet buying things on my cell phone, the kids are on it watching videos and my wife is Skyping with her amigas.” He closes with a hard sell: “For just $100 a month, your family can share 20 gigabytes of data. This is the best family plan in the industry!”

Mr. Claure’s televised debut comes during a massive makeover at Sprint. Last week, as Ad Age first reported, an internal memo from Mr. Claure announced CMO Jeff Hallock was leaving the company. The departure of two other top executives—Bill White, senior-VP of communications; and Matt Carter, president of enterprise solutions—was also announced. Additionally, Mr. Claure laid out the creation of a new sales division for Hispanic and multicultural business.

Douglas Michelman, the communications chief for Visa, is replacing Mr. White. Sprint is searching for a head of its Hispanic business unit.

Sprint currently has between 5 and 5.5 million Hispanic postpaid subscribers, Ms. Umaña said. (The carrier reported 55 million wireless connections in its most recent quarter.) Many rely exclusively on handheld devices—in July, the CDC estimated that 53% of Hispanic households do not have landlines—leaving them more receptive to offers on data usage, she added.

Ms. Umaña said the campaign will involve social and digital elements, in addition to TV, but the carrier is still setting its campaign strategy. In addition to its executive shifts, Sprint continues its review for a lead creative agency, a search it began in August.

In 2013, Sprint ranked as the eighteenth largest Hispanic marketer, spending $68.6 million in measured media, around 5% of its overall ad budget, according to the Ad Age DataCenter.

AT&T, the nation’s second-largest Hispanic advertiser, spent $124.7 million; it recently tailored its millennial marketing in a bid to lure Latinos. Market-leader Verizon spent $71.3 million in 2013. T-Mobile, the fourth-placed carrier nipping at Sprint’s heels, signed a content deal with Univision in May.

12228: Sprint CMO TBD.

Advertising Age reported current Sprint CMO Jeff Hallock is bailing out, slated to officially leave the company once his replacement is identified, hopefully by the end of the first quarter of 2015. In typical Sprint ass-backwards fashion, the company is poised to hire Deutsch LA before naming the new White advertising agency’s immediate boss. Sprint should clean up its own act prior to asking an ad shop to rescue the telecom from destruction. Handing Deutsch an organizational chart with “TBD” typed into key spots shows the ignorance of the client—as well as the desperation of the agency. Sprint CEO Marcelo Claure declared his company will present consumers with value, clarity and simplicity. Too bad that offer doesn’t extend to the fresh advertising agency.

Amid Agency Review, Sprint’s CMO Plans to Depart

Jeff Hallock, CMO Since January, Will Leave by the First Quarter of 2015

By Mark Bergen, Malika Toure

Jeff Hallock, the CMO of wireless carrier Sprint, will depart by the end of the first quarter of 2015, the company confirmed on Friday. His planned exit comes amid a major agency review and corporate overhaul under CEO Marcelo Claure, who joined the struggling carrier in August.

Mr. Hallock, a fifteen-year Sprint marketing veteran, was promoted to CMO in January following the resignation of Bill Malloy. He will stay on in the role through March 31, 2015, unless the carrier finds a replacement sooner.

“His departure was voluntary and it was based on a personal decision,” said Dave Mellin, a Sprint spokesman. “He will remain in charge of day to day operations until his replacement is found, which we expect to happen by sometime next year.”

In March, Mr. Hallock initiated a sweeping marketing campaign around the carrier’s “Framily Plan” with Figliulo & Partners, its lead creative agency since November 2013. Shortly after his appointment as CEO, Mr. Claure ditched the “Framily” offering in lieu of a new data plan. On Sept. 2, Mr. Claure launched an agency review.

The “Framily” ad campaign, a serial format centered on oddball characters, received a lukewarm reception from industry creatives, and Mr. Hallock repeatedly defended the campaign as it ran. Mr. Mellin said his departure was not related to the campaign.

A memo late Monday evening and attributed to Mr. Claure described Mr. Hallock’s departure, according to one executive who received the note.

“I want to thank Jeff for all his contributions throughout his Sprint career,” the memo read, the executive said. “He has been a fixture in Sprint marketing and I appreciate all he’s done for the company. A global search is under way to find a replacement, but Jeff will be fully engaged and manage the marketing organization until someone else is hired.”

Sprint declined to comment.

Mr. Claure’s search for a chief marketer will now be added to his ongoing hunt for agencies.

Sprint sent creative agencies a request for proposals on Aug. 29 through Mercer Island Consulting, according to executives familiar with the matter. Finalists in the pitch were Interpublic’s Deutsch L.A. and Havas’ Arnold Worldwide. Arnold was eliminated this week but Deutsch has yet to be declared the winner. While people close to the review have noted Mr. Claure’s desire to work with a larger agency, they have also said Figliulo & Partners remains involved and is likely to continue working with Sprint after a new creative lead is chosen.

Mr. Mellin declined to comment on the agency review.

In 2013, Sprint spent $1.56 billion in U.S. advertising, according to the Ad Age DataCenter. Sprint currently commands 15% of the U.S. wireless market, trailing larger spenders such as Verizon, with 33%, and AT&T, with 28%, according to ComScore. Sprint is also confronting a credible challenge from T-Mobile, which added 2.3 million customers during the third quarter.

Sprint has shed customers recently amid a costly network upgrade—it lost 500,000 subscribers in its most recent quarter, when it reported a loss of $192 million. The carrier also announced it had moved to lay off 2,000 from its workforce.

On the earnings calls, Mr. Claure told investors to expect Sprint to be “very aggressive” in its advertising moving forward.

Contributing: Maureen Morrison

12221: Sprint Inking Deutsch Deal.

Adweek reported Deutsch LA is the last White advertising agency standing in the creative shootout for Sprint, and the agency and advertiser are now in advanced negotiations to handle the business—probably meaning that Sprint is haggling over how little Deutsch will accept to service the beleaguered brand. The best value in wireless is not exactly the best value for an advertising agency, as Deutsch can expect unlimited demands, unlimited talk-but-no-action and unlimited bureaucracy for the lowest billings possible. Meanwhile, the losing White agency—Arnold—just landed CenturyLink, a client claiming to be the third-largest telecom behind AT&T and Verizon. Somebody start a pool to guess which White advertising agency loses its new telecom account first.

Sprint Zeroes In on an Agency for Broadcast Ads

Deutsch L.A. in talks to help the brand battle AT&T, Verizon

By Andrew McMains

Sprint is close to naming a new agency to create broadcast ads at a crucial time in the company’s history.

Deutsch L.A. is in advanced negotiations to handle the assignment, which is worth more than $20 million in annual revenue, according to sources. In media, Sprint spends about $450 million annually on broadcast ads.

Sprint, which badly trails market leaders AT&T and Verizon, finds itself in battle with T-Mobile to become a viable alternative to the big boys. Sprint parent SoftBank, however, has deep pockets and the determination to shake up the U.S. market. And now, the company is getting a new agency to lead the charge.

Should Deutsch finalize a deal with Sprint, the agency would succeed New York startup Figliulo & Partners on the business.

The finalist emerged from a fast-track review, which began in September. Sprint executives subsequently met with five shops—Deutsch, Arnold, Saatchi & Saatchi, Crispin Porter + Bogusky and Kirshenbaum Bond Senecal + Partners—before narrowing the field last month to Deutsch and Arnold, a unit of Havas. A final round of meetings took place last week, and Sprint has since told Arnold that it’s not getting the business.

Sprint would represent another demanding, sales-driven account for Deutsch L.A., which also handles the likes of Taco Bell, Pizza Hut and Volkswagen of America. The telco would also give the shop the chance to work directly with new Sprint CEO Marcelo Claure, a hands-on leader who led the agency search. Mercer Island Group in Seattle helped manage the process.

Deutsch declined to comment, and Sprint could not immediately be reached. But with Arnold out of the picture, Deutsch appears to be the last remaining finalist. So, if the agency and telco can come to terms, Sprint will have found the creative help it needs.

12203: Shootouts Shat Out.

Adweek reported on a handful of brands up for review, and the listing shows the fucked-up state of the advertising industry.

As previously noted, Sprint has narrowed its competitors to Deutsch and Arnold, which is essentially a faceoff between Larry and Curly—where the winner will have to work for Moe.

Johnnie Walker is staging a showdown featuring incumbent Bartle Bogle Hegarty versus Anomaly, BBDO, Ogilvy & Mather and Wieden + Kennedy. If Anomaly is victorious, every self-respecting adperson on the planet should shoot a bullet into his/her brain.

The NBA assembled a playoff series pitting incumbent Goodby Silverstein & Partners against R/GA and Translation. This is by far the most oddball battle out there. Translation allegedly dumped three key executives recently, including a president who was hired in February. Sure, the beleaguered agency provides some star-fucking power with its ties to Jay-Z and the Brooklyn Nets—plus, Translation worked for NBA CMO Pam El when she was with State Farm. But from a creative credentials perspective, Translation is the Philadelphia 76ers of Madison Avenue. Then again, unless the NBA plans to go completely digital with its advertising, R/GA is the Harlem Globetrotters. To complete the comparisons, GS&P looks like the Los Angeles Lakers, featuring one future Hall-of-Famer and a motley crew of losers. Expect a world-class laugher.

12194: Sprint Aggressively Failing.

Advertising Age reported Sprint intends to be “very aggressive” with its new White advertising agency—rumored to either be Deutsch or Arnold upon the completion of the currently running review. Sprint CEO Marcelo Claure said, “As we offer the best value in wireless, we’re going to offer consumers three things: value, clarity and simplicity.” Wow, that’s a novel idea for the communications sector. Actually, it’s what every carrier is offering. Except the others are able to deliver with superior networks, devices and service. As the CEO admitted, Sprint’s recent value messages were drowned out by competitors’ messages, which are backed by bigger media spends. Plus, Claure seems clueless to the reality that companies don’t define “the best value” in a category—consumers do. Right now, Sprint is offering the worst value to prospective White advertising agencies.

Sprint CEO Says ‘Very Aggressive’ Advertising On Its Way

Carrier Pledges Simplified Marketing Amid Agency Review

By Mark Bergen

Sprint is still stuck in a hole, but it is planning to dig out with advertising.

On Monday, the third-place U.S. wireless carrier reported its second quarter earnings, which fell short of expectations and sent its stock tumbling. Afterwards, on a call with investors, CEO Marcelo Claure laid out the case for “the new Sprint”—one that centers on a revamped marketing agenda.

“American consumers love their phones, but they have little love for the carriers,” he said. “Part of the reason for this is the way the industry communicates with customers. Marketing and advertising are overly complicated and create … confusion with customers.”

“We’re going to change that with the new Sprint,” he continued. “As we offer the best value in wireless, we’re going to offer consumers three things: value, clarity and simplicity.”

Since his appointment in August, Mr. Claure has been busy. He promptly ditched the carrier’s new ‘Framily’ offering—and its accompanying ad campaign—replacing it with a new Family data plan and a slew of pricing promotions. Mr. Claure also launched an ad agency review.

The agency review is still ongoing. Dave Mellin, a Sprint spokesman, said the simplified messaging in the carrier’s marketing will continue but declined to comment on the agency review.

On the call, Mr. Claure admitted that “consumers were a little confused by our Framily offering.” That ad campaign featured a multi-species, oddball family.

Starting with its recent iPhone offering, Sprint has ramped up its discounts, including its unlimited data and family plans. T-Mobile, Verizon and AT&T have followed suit with rapid-fire promotions.

Last week, Sprint appointed a Softbank executive, Junichi Miyakawa, to lead its LTE network expansion. Mr. Claure said his company will roll out the technology in select markets in 2015, another reason for an advertising push. “This approach will allow us to begin marketing the network experience in those markets sooner,” he said.

Mr. Claure voiced frustration that as his bigger foes “spent billions of dollars advertising,” consumers remain unaware of Sprint’s offering. “[Most] consumers don’t know what a great value is, so you’re going to see us be very aggressive in terms of advertising,” he told investors.

In 2013, Sprint spent $1.6 billion in U.S. advertising, according to the Ad Age DataCenter. Both AT&T and Verizon outspent Sprint at $3.3 billion and $2.4 billion, respectively; T-Mobile, at $1.1 billion, spent less.

During the second quarter, Sprint reported an operating loss of $192 million amid a lengthy network overhaul. Another 500,000 customers deserted the carrier during the three months, marking its eleventh straight quarter of losing customers.

Sprint also announced it was eliminating 2,000 positions from the company, a move that it said would save $400 million annually. The company did not provide further detail on the layoffs.

12183: Risky Business At Leo Burnett.

The New York Times reported on the upcoming Nik Wallenda stunt where he’ll walk on a tightrope between Chicago high-rise buildings—including the headquarters of Leo Burnett. As Allstate Insurance is a sponsor of the event and client of Burnett, look for the hackneyed advertising agency to somehow capitalize on things. If Wallenda falls to his death, for example, perhaps it will lead to a natural tie-in with Mayhem. Of course, Wallenda’s potential demise would not be the biggest disaster associated with Burnett in recent months.

12126: Sprint Finds Five Suckers.

Adweek reported Sprint has selected five White advertising agencies to compete for its creative business. Considering the shit that previous agencies shat out for the brand in recent years, the bar is set pretty low. But that won’t stop the winning agency from squealing like crazy women excited over the new Sprint Simply Unlimited Plan. Hopefully, however, the new shop won’t produce such an awful concept.

Sprint Down to Five in Creative Search

Final contenders’ meeting next week in $450 million review

By Noreen O'Leary

The search for a new creative lead on Sprint's business, which kicked off in late summer, has moved quickly with five agencies meeting with client executives next week before a last cut, sources said.

Still in the running are Crispin Porter + Bogusky; Deutsch L.A.; Arnold; Kirshenbaum Bond Senecal + Partners and Saatchi & Saatchi, according to sources. After next week’s meeting, Sprint is expected to narrow the field to two agencies for a final round before making a selection.

Execs at those agencies either could not be reached or referred calls to Sprint, which declined to comment.

It’s a wide range of choices for a telecommunications company that last worked with “Team Sprint,” a unit comprised of Publicis Groupe agencies and led by DigitasLBi. While the digital shop initially worked with corporate sibling Leo Burnett, which produced TV ads, late last year the marketer moved that assignment to start-up Figliulo & Partners. (ARC/Leo Burnett continues to handle Sprint’s shopper marketing.)

The new list of contenders range from agencies on both coasts, some of which are relatively small shops like Crispin compared to global networks like Saatchi. While some have no related category experience, others like Deutsch L.A. have been working with smartphone manufacturers like Taiwan’s HTC.

The review is said to be focused on above-the line marketing, much of which is spent on TV.

The telecommunications company spent more than $765 million on media last year, including $448 million on TV time, according to Kantar Media. And in the first quarter of this year, $138 million of Sprint's total $188 million spend went toward TV.