Compaq switches ad agencies
Ammirati, while creating ads for the North American market for Compaq (CPQ) since 1991, only received the entire global account less than one year ago, the Journal wrote.
Needham is the agency that created Digital Equipment Corp's (DEC)current ad campaign.
Compaq agreed to buy Digital in January of this year for $9 billion in cash and stock.
Changing ad agencies after a merger is common, however taking the agency of the acquired company is not widespread, the paper said.
"The personal computer market has been rocked by an onslaught of PCs priced below $1,000, and Compaq is behind schedule in launching a much anticipated new global ad campaign," the Journal wrote.
According to the paper, New York-based DDB Needham, whose other clients include McDonald's Corp. and Anheuser-Busch Cos. Inc., walked in unsolicited with a new idea for Compaq, which is said to rely heavily on "visuals" rather than text. Details weren't disclosed.