Cross Training

CoActive Marketing Group showed its creative chops in 2002 while honing its multi-discipline portfolio. Its network of offices — from its Great Neck, NY, headquarters (the former Inmark Services) to U.S. Concepts event marketing and Hispanic shop Market Vision, of which CoActive owns a minority stake — collaborate on projects and pitches.

Its creative coup last year was winning PROMO’s top PRO Award for Safeway Stores’ Eat Like a Champion campaign (November PROMO). The soccer-themed effort boosted produce sales as much as 61%, had a 938% ROI and took a Bronze Reggie. Safeway won’t re-run Champion, but CoActive is selling the idea to another major grocer.

TEAMMATES: (clockwise from top left) John Benfield, Brian Murphy, Don Bernard, Brad Bryen

“Our awards show we can think out of the box, but the results we get are because we’re so darn good in the box,” says CEO John Benfield. CoActive execs go on about 400 retail sales calls a year. “Execution is so much more focused when key [agency] management is out there,” he says.

The No. 4 shop saw net revenues rise a mere 1% to $25.4 million for fiscal 2003 ended March 31. Two-year growth topped 7% from fiscal 2001 net revenues of $23.7 million. Current clients accounted for 70% of 2002 growth; events billings rose 20% and co-marketing radio 15%, while traditional promotional spending was down.

“Clients have been much more choosy about their dollars. But they’re so focused on ROI that it fits our mentality,” says Senior VP-Client Services James Ferguson. “We’ve had to be very aggressive about bringing new, value-added ideas to the table.”

Diageo named CoActive AOR for on-premise events based on its work for Schieffelin & Somerset (a Diageo venture with Moet Hennessy). CoActive picked up Johnnie Walker’s 10-year-old Mentor program last year and tripled results via increased reach and tighter targeting for the evening events.

Kikkoman used CoActive for radio co-marketing for about seven years before naming it AOR last year. A Master of the Grill summer promo combines 30:30 radio, displays, recipe cards and FSIs with partners including Kraft Foods’ Minute Rice.

“They have so much access to other brands, it gives us the opportunity to better promote our brand,” says Kikkoman VP-Marketing and Sales Shigeru Nemoto. “They have multiple functions we can use.”

Coty, Inc.’s Healing Garden brand is considering a tour via U.S. Concepts based on the success of sister brand Rimmel’s London Bus Tour, now in its second year. “We’re delighted with their flexibility. They’re total partners, from how to build out the bus to setting the calendar,” says VP-Color Cosmetics Rick Goldberg.

“We have a full palette of core competencies, and our overall goal is to integrate as much as possible,” Benfield says. “We’re not trying to be one-stop shopping, but want to give the mix that’s best for clients.”

“The biggest risk in integrating all these companies was making sure team leaders could work together,” says Executive VP-Marketing and Sales Paul Amershadian. “But after the buyouts and earn-outs, we all re-upped” to stay together.