Broadcasting Telecasting (Jan-Mar 1956)

J. WALTER THOMPSON'S RADIO-TV TOPS $60 MILLION WITH SCHLITZ ACQUISITION Displaced by Biow-Beirn-Toigo, Milwaukee brewer appoints Thompson Chicago office to handle its $9 million advertising account. THE $9 million Jos. Schlitz Brewing Co. account, after being "displaced" at Biow-BeirnToigo, New York [B«T, Jan. 23], has been scooped up by the J. Walter Thompson Co., Chicago — practically a stone's throw from its Milwaukee headquarters and across the river from neighboring Leo Burnett Co., which got the rival Pabst account Jan. 1. Schlitz is a substantial timebuyer, having spent about $3.4 million on network tv and about 40-45% of its overall budget on the twin broadcast media in 1955, it was estimated. Announcement of the shift from Biow-BeirnToigo — or more properly, from Lennen & Newell, whose contract is lo expire March 1 — to Thompson was made by Erwin C. Uihlein, Schlitz president, after conferences with brewery officials. The switchover followed B-B-T's resignation of the account by Milton Biow after a misunderstanding involving John Toigo, the agency's executive vice president, who was personally credited with luring Schlitz into the B-B-T fold and at the height of a pending reorganization of that agency (see separate story this page). What personnel additions would be made by JWT's Chicago office to handle the Schlitz business could not be immediately learned in the wake of the appointment. But George Reeves, vice president and general manager of Thompson's Chicago office, stated that "personnel from all offices of the agency would be brought to Chicago to work on the Schlitz account." I his was interpreted to mean that a complete pool of account, media, research, timebuying and other specialists will be transferred from JW1 offices in New York, Detroit, San Francisco and Los Angeles, to work with executives assigned to the Chicago office. At the same time the agency and brewery sources spiked speculation that Mr. Toigo would join JWT in connection with Schlitz or any other account, or would take, or had taken, the account with him to Thompson. An agency official said he was authorized to say "there is not the remotest possibility" Mr. Toigo's services would be engaged. That was the understanding, too, of a Schlitz spokesman in Milwaukee. There had been published reports earlier that Mr. Toigo would "take" the account to Ogilvy, Benson & Mather. New York. The Schlitz business brings J. Walter Thompson Co. back into the big-time beer advertising field for the first time since its New York office resigned the $6 million P. Ballantine & Sons (Ballantine's beer) account to William Esty Co. early last year. Ballantine ranked about third among national brewery sales (by barrels) last year. Thompson also reported it will resign the Eastside (Pabst subsidiary) Los Angeles beer account because of the Schlitz appointment. It had picked up Eastside from Warwick & Legler last fall in the wake of Pabst's switch from that agency to Leo Burnett Co. JWT Chicago reportedly took over the regional Eastside account with the understanding that if a national brewery should eventually choose JWT to handle its advertising. Eastside could be resigned immediately. With the acquisition of Schlitz on or about March 1 (the campaign has been mapped to that date) — and of Johnson Motors Div. of Outboard Marine & Mfg. (a $1 million plus overall ad account) the past fortnight. J. Walter Thompson Co.'s Chicago office has added at least $10 million in all advertising billings since Jan. 1. It also puts the agency well over the $60 million in radio-tv billings reported for 1955 [B»T, Dec. 12. 1955]. Chicago Liaison The big switch means that a new liaison team will be established between JWT in Chicago and Schlitz in Milwaukee, where no replacement has been announced as yet for Edwin Self, who recently resigned as advertising director. (Francis Smawley, assistant advertising director, has been filling the position on a temporary basis.) Schlitz laid out over $3.4 million on its CBSTV Schlitz Playhouse of Star* ( based on a figure of $65,000 for each of 52 weekly telecasts) in 1955, and also sponsored the Kansas City Athletics baseball broadcasts. It also utilized spot tv in a score of markets during one period, some spot radio, and television programs in Chicago and Milwaukee. (There were published reports last June that Schlitz was interested in buying Milwaukee Braves baseball from Miller Brewing Co., but they were later learned to be unfounded.) Schlitz emerged first among national brewers in barrel sales last year, regaining the lead from Anheuser-Busch (Budweiser) and edging out Ballantine, Pabst and others, on the basis of preliminary estimates. The Schlitz account has had a curious agency career, always seeming to change when its sales were highest. It was handled from 1947-52 by Young & Rubicam, then shifted radio-tv to Lennen & Newell and print to Leo Burnett Co., which resigned it last August. The shift from L&N to Biow-Beirn-Toigo was announced earlier this year [B»T, Jan. 2]. Burnett wound up with the Pabst account last October [At Deadline, Oct. 10]. OFFICIALS of Dan B. Miner Co. get in the swing of things at ground breaking ceremonies officially starting extensive remodeling and expansion of the advertising agency's headquarters in Los Angeles. In the group are (I to r) Los Angeles Councilman Harold A. Henry; Isabel M. Greer, Miner Co. vice president; John C. Morse, president, and Dan B. Miner, chairman of the board. BIOW SAYS AGENCY WILL NOT DISBAND RESPONDING to growing reports that he would resign or liquidate his agency following the recent switches of the Schlitz and PepsiCola accounts. Milton Biow. chairman of BiowBeirn-Toigo. New York, last Wednesday told B»T: "When Satan comes and gets me, that's when I'll leave." It was understood though that with the departure of John Toigo, executive vice president of B-B-T, the agency would be reconstituted so that greater responsibility would be distributed to younger men. Although no announcement of the reorganization has yet been made, a memo was issued throughout the agency early in the week announcing that John Hamm, special assistant to Mr. Biow, would be executive administrative head. Mr. Toigo reportedly has not yet determined his next move. Mr. Biow currently is in the process of buying back Mr. Toigo's stock. Reports that Mr. Toigo would go with the agency that gets the Schlitz Brewing account, resigned 10 days ago by Mr. Biow [B»T, Jan. 23], were settled last week when Schlitz announced it would appoint J. Walter Thompson Co. as its agency [see adjacent story]. Executives at the latter agency denied that Mr. Toigo would join the firm. Meanwhile, another Biow client made restive noises last week, denying at the same time that it had firm plans to depart the agency. The Hudson Pulp & Paper Corp. invited bids from six agencies but described the move as "a roution caution ... in view of uncertainties created by changes in the agency." In a letter to Mr. Biow, Irwin A. Zuckerman, vice president, consumer products division of Hudson Corp., said in part: ". . . We are inviting a select group of advertising agencies to make a formal solicitation of the account with the understanding that we have not resigned and that we are hopeful it will not be necessary. . . ." Firestone for First FIRESTONE Tire & Rubber Co. will sponsor ABC-TV's first special, hourlong show of the spectacle type on March 19 (8:30-9:30 p.m. EST) which also will be simulcast on ABC Radio. The show will be in place of the rubber company's regular, half-hour Voice of Firestone (Mon., 8:30-9 p.m. EST). It was understood that the fact the network had the sponsorship worked out hastened a decision to premiere its first "special" well in advance of the next fall season as the time selected for a big name show [Closed Circuit, Nov. 14, 1955]. The special Firestone program, to be called Springtime, U. S. A., will feature Helen Hayes as narrator, a company of concert artists and Howard Barlow's orchestra and chorus. Foote, Cone & Belding, New York, is the agency. Broadcasting • Telecasting January 30, 1956 • Page 25