Fever-Tree reviews ad account after ‘creative differences’ lead to split with Lucky Generals

Fever-Tree: sales fell 3% in 2020
Fever-Tree: sales fell 3% in 2020

Omnicom agency was appointed shortly before the pandemic arrived in the UK and created the brand’s first TV ad.

Fever-Tree is reviewing its creative account after splitting with Lucky Generals, just 18 months after the agency beat MullenLowe in a two-way pitch to win the premium mixer brand’s business.

The Omnicom shop created the brand’s first TV ad last summer, which utilised the existing line: “If three quarters of your gin and tonic is the tonic, then shouldn’t that tonic be made from the finest ingredients available?” The spot goes on to feature some of the ingredients used in Fever-Tree’s product range.

Confirming the relationship had come to an end, a Lucky Generals spokesperson said: “We're huge fans of Fever-Tree at Lucky Generals and although we had some creative differences when we worked with them back in 2020, we wish the team every success with their plans for 2022 and beyond.”

A Fever-Tree spokesperson commented: “As part of our wider planning for 2022 and beyond, we can confirm we are reviewing our creative agency account.

“We have greatly enjoyed our relationship with Lucky Generals who we worked together with on our very successful first-ever national TV campaign. But as part of our wider planning for 2022, we have decided now is the right time to review this account.”

The review is being handled by Creativebrief.

Fever-Tree enjoyed several years of spectacular growth, with revenue up 66% in 2017 and 40% in 2018 – though this slowed to 10% in 2019, with total revenue reaching £260.5m.

Along with many other drinks brands, Fever-Tree was hit by the pandemic, with revenue in 2020 falling 3% to £252.1m. UK on-trade sales (bars and restaurants) plunged from 26% of the company’s total sales to just 11% – though the majority of this drop was cancelled out by growth in UK off-trade sales, the US and the rest of the world (not including Europe, where sales were down slightly).

Fever-Tree’s gross profit in 2020 was down 12% to £116.3m – though this still resulted in a gross profit margin of 46% and an EBITDA margin of 23%.

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