Arun Sudhaman 15 Jul 2013 // 7:42PM GMT
CONSHOCKEN, PA--Ikea's new corporate PR review in the US will not include seven-year incumbent Lippe Taylor, the Holmes Report has learned.
Ikea corporate PR director Mona Liss confirmed that a review is underway, but declined to comment on which firms are involved.
Lippe Taylor CEO Maureen Lippe told the Holmes Report that her firm would not be defending its hold on the business, 18 months after it retained the account following a competitive review.
"We had a glorious and very successful seven year relationship as corporate AOR with Ikea," said Lippe. "We were proud to work for such an outstanding company. We wish them only the best."
Ikea has faced numerous global PR issues over the past 18 months including the horsemeat scandal and its decision to delete images of women from its Saudi catalogue, for which it has since apologised.
In the US however, it has not experienced any major PR issues since 2011, when workers voted to unionize in response to conditions at the company's Danville factory, the only one it operates in the country.
The US has been a key growth driver for the Swedish furniture retailer, with sales increasing 11 percent to $4.1bn in 2012, out of global revenues of $36bn. Ikea is the second biggest home furnishing company in the US, operating 38 stores, and is aiming to broaden its customer base in the country.
Last year, the company also released a new sustainability strategy that commits investment of $1.9bn in renewable energy, including $150m in Photovoltaic systems at its US stores.