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Mattel, Agency Part

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The $4-million advertising account for Mattel Toys U.S.A.’s Hot Wheels toy cars apparently proved too hot to handle for New York-based Dailey & Associates, whose oversight of the account lasted less than a year.

Although Dailey made several commercials for Mattel during its 11-month stint on the Mattel toy account, creative differences produced friction between the agency and Mattel, a Dailey official said.

Mattel officials refused to comment on the split.

The Hawthorne-based company released a statement saying that “while Mattel has great respect for the Dailey organization, the relationship has not worked out in the best interest of either party.” Mattel said it would return the Hot Wheels account to Ogilvy & Mather of Los Angeles, which has handled Mattel’s other advertising for the last 30 years.

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While agreeing that the companies had “different management philosophies,” Steve Chabre, chief operating officer of Dailey & Associates, said creative differences were at the root of the split.

Chabre said the problems began to surface when his agency screened a commercial that utilized more special video effects than Mattel officials were used to.

The commercial, which Chabre claimed ranked high in viewer testing, did not do as well with Mattel officials, who were accustomed to Mattel’s more traditional ad style.

The decision a year ago to give Dailey the account for the miniature racing car line was made after Mattel officials determined that toy sales had grown so rapidly that a second agency was needed.

It was only the second time in 20 years that the giant toy maker had awarded its advertising business to anyone else, said Spencer Boise, Mattel vice president for corporate affairs. In the early 1970s, Mattel chose Leo Burnett Co. to handle a small assignment, Boise said.

Jerry McGee, managing director of Ogilvy & Mather, which handles about $70 million in Mattel advertising business, was out of town last week and could not be reached for comment.

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Jill Himonas, senior vice president of account management at the agency, would only say that the agency will “continue to maintain our good relationship with Mattel.”

She added that Ogilvy & Mather had beefed up its staff since losing the Hot Wheels account and, therefore, should have no trouble managing the additional business.

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