Mustoe appointed to reposition LG Electronics as a luxury brand

LG Electronics has appointed Mustoe Merriman Herring Levy to

develop a new advertising campaign aimed at repositioning it as a 'must

have' brand in the UK.



The South Korean consumer electronics company spent pounds 4 million on

advertising last year through FCA!, but the review springs from its

desire to reposition itself as a brand to compete with the likes of

Sony.



FCA! has held the account since 1995, but did not repitch due to

conflict with accounts such as Whirlpool following its amalgamation into

parent company Publicis. MindShare, which won the media business in

October 1999, was not affected by the review.



LG Electronics is understood to be increasing its marketing spend in the

next year to pounds 6 million. MMHL is working on a TV, press and poster

campaign due to launch in late spring. It is expected to focus on the

quality and innovation of the company's products rather than the

price.



LG Electronics makes high-tec washing machines, plasma TVs and

internet-connected fridges. Previously known as Lucky Goldstar, the

company relaunched under a new name after suffering at the hands of the

recent economic crisis in the Asia-Pacific region.



Earlier this year, the company ploughed pounds 7 million into a

three-year deal to sponsor Leicester City football club. The new sales

and marketing director, John Lougher, said at the time he was looking to

spend more on sports sponsorship.



No-one from LG Electronics was available for comment. Nick Mustoe,

MMHL's chief executive, refused to comment as Campaign went to press.



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