MICROSOFT NARROWS FIELD OF AD FIRMS By Patrick Allossery  Financial Post January 26, 2000 Microsoft Canada has whittled the list of agencies vying for its advertising account down to four.  Publicis Canada, Leo Burnett Co., Young & Rubicam and MacLaren McCann Canada, all of Toronto, are in the running for the business, according to sources close to Microsoft.  MacLaren may have an advantage in the process, since New York-based McCann Erickson has a large portion of the Microsoft account in the United States.  The review began with a long list of six agencies earlier this month, but two - Taxi Advertising and Design and Ammirati Puris Lintas - were dropped after Microsoft determined they didn't offer the breadth of advertising services it was seeking, say the sources.  Caroline Breton, Microsoft's manager of corporate communications and strategies, confirms the review is down to four agencies, which have been assigned projects to be presented to the client "towards the end of February."  But Ms. Breton refused to verify the names of the participating agencies, citing company policy. Microsoft spent $7.3 million on TV and print advertising in 1998, according to ACNielsen of Markham, Ont. However, that figure doesn't include the lavish funds the software giant spends on special events and promotions, as well as direct marketing and Internet marketing.  Ms. Breton says the agency search is part of a wider effort by the company to better focus its advertising on its core opportunities.  "Last year, we announced our new vision, which is to empower Canadians through great software - anytime, anyplace and on any device."  Previously, the company's focus had been to put a "PC on every desktop and in every home." The new vision centres on the consumer and it's more encompassing, says Ms. Breton. "It makes sense for us to work with an agency that really understands how to use different media to reach the different customer segments we go after."  Microsoft targets software developers, information technology specialists, business decision makers, knowledge workers and general consumers. It uses a different mix of media to address each segment.  Stéfan Danis, president and chief executive of Toronto's Mandrake Management Consultants, which is assisting Microsoft in the review, says Microsoft is following the growing trend among large diversified advertisers - such as Bell Canada and Rogers Communications - to favour working with multi-disciplinary agencies.  "They're still looking for the pure advertising skills that ad agencies have traditionally offered, but on top of that they want the specialized skills."  The media portion of the account, held previously by Toronto-based Media Co., is also up for grabs and will be awarded to one of the four short-listed agencies, says Ms. Breton.  Communique Group, of Toronto, was Microsoft's ad agency for the past three years, but declined an invitation to take part in the current review. Geoffrey Genovese, Communique's president, says he elected not to participate because having the account was disqualifying his agency from taking part in too many new business pitches.  "Microsoft is in so many different segments it's unbelievable. I think the dot.com business is going to take off in Canada like it is in the U.S. and we want to be in on it." < Return to Mandrake in the News