Loewy decides to merge Custard into BMA agency

Gemma O'Reilly, PR Week UK, Friday, 20 February 2009, 12:00am,

Marcoms group Loewy is responding to worsening economic conditions by merging consumer tech shop Custard into sister agency BMA Communications.

Custard managing director Stu Campbell has resigned and is setting up his own consumer lifestyle and technology shop in April. Another Custard staffer has also left, while the remaining two staff will be retained by BMA.

Steve Waddington, MD of Loewy-owned Rainier PR, said: 'Clients in retail in particular have been cutting back. It is indicative of the current economic situation.'

PRWeek reported last year that Loewy was to merge Mantra PR and Rainier PR (PRWeek, 12 September 2008). Loewy, which bought the two agencies in 2007 and 2006 respectively, has only confirmed it was 'considering' this option. But industry sources predicted the agencies would eventually be merged.

Campbell, who had been at Custard for two years, is currently on gardening leave. Previously, he worked as a consumer PR officer at Orange and at tech shop Bite Communications.

Campbell confirmed he was setting up his own shop but said he could not disclose further details until April.