PR firestorm erupts over Home Depot’s selection of GM agency to handle Hispanic ad account
The Association of Hispanic Advertising Agencies (AHAA) issued a strong statement regarding this past week’s controversial decision by the Home Depot to move its Hispanic advertising business from The Vidal Partnership to a general market agency. The overarching concern is that this may signal a disturbing trend. This is the statement AHAA issued :
“Multiple AHAA member agencies participated in the recent Hispanic-specialized agency search and review process conducted by The Home Depot, the world’s largest home improvement specialty retailer. The Hispanic advertising agencies — many small businesses — invested significant time, resources and funds only to realize the process may have been disregarded in the final selection.
AHAA is very concerned about the circumstances surrounding the controversial decision, the process, and the broader implication of these events. Corporations are recognizing the potential revenue possible in targeting the nearly $1 trillion in Hispanic buying power but they are failing to recognize the superior insights, innovation and results delivered by Hispanic-owned and Hispanic-specialized businesses. The value of Hispanic-specialized agencies is being undermined in the name of consolidation and cost-cutting. Claiming to provide cheaper fees and services, general market agencies are squeezing out Hispanic market specialists and AHAA is fighting back on behalf of its member agencies. Read More »