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Odyssey of Gruen
1. MeCann-Erickson, 1936-1947. Period of greatest Gruen growth. Firm left McCann seeking agency with more retail knowhow. Gruen felt, also, that McCann, which had no Cincinnati office, was too far away to have right feel for prohlcms.
2. Grey Agency, 1947-1950. During this period, sales sagged from net of $1,500,000 in 1947 to $766,000 in 1950. Attempt to become major competitor of Bulova via radio/TV spol campaigns, dealer co-op air activity flopped. Again, agency's failure to open local office was factor in client's dissatisfaction. Gruen next chose a medium-sized Cincinnati agency.
3. Stockton, West, Burkhart, Inc., 1950-1951. Agency opened New York office to handle radio/TV for Gruen. But Gruen did not feel Stockton had big-city knowhow, soon invited dozen agencies to make pilch. McCann impressed Gruen with fact it had 33 accounts in TV, could do big job for Gruen. McCann got account, has lined up 90% of $1,500,000 budget for campaign with filmed "Gruen Guild Theatre."
4. McCann-Eriekson, 1951-?. Account has now made full circle. How long McCann keeps account will probably depend on success of new show. Agency has opened Cincinnati office.
Why are so many sponsors
changing agencies now :'
In recent months, the "divorce rate" between sponsors and ad agencies has grown alarmingly high. An average of 50 or 60 accounts — with about 10% representing some of the choicest and biggest chunks of ad billings — are calling it quits with agencies each month. Quite a few of these gilt-edged accounts have been with the agency they are leaving
27 AUGUST 1951
as long as 20 years.
What's the reason? Is there some kind of subtle unrest afoot in the airconditioned sanctums of Americas leading clients and ad agencies? Why. for instance, did Packard's $3,000,000annual account move from Young & Rubicam to Maxon; Pepsodent's $3,500,000 billings leave Foote, Cone & Belding, and Gruen's $1,500,000 ac
count leave Stockton, West, Burkhart — with both winding up at McCannErickson?
sponsor, realizing that many another major advertiser sitting on the sidelines and watching this multi-million dollar chess game has pondered these problems, has made a survey of leading agencies and accounts to seek the answer. Editors of sponsor talked
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