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A round-up of trade talks, trends and tips for admen
SPONSOR HEARS
6 SEPTEMBER 1958
Copyright 1958 SPONSOR PUBLICATIONS INC.
, The mediuni-sized agencies continue to snag away accounts in competition M ith the giants.
Only recently Keyes, Madden & Jones won out over McCann-Erickson in the bid for the Florist Association business. And now Fuller & Smith & Ross emerges as victor over Y&R and BBDO for the American Optical ($200,000) account.
From present indications, the last brand in Detroit that will reveal its 1959 models is Edsel.
It also looks as though that division is a long way from a decision about its advertising campaign and general ballyhoo.
Interesting sidelight on changing authority in the ad agencies: In the major shops, the selection of a network tv buy is the joint recommendation of the media and program departments.
Their recommendation is passed on to the account section, which holds the power to veto rather than recommend.
It takes a year for an agency to digest and recover its investment in a new account — that is, reach the break-even point.
The rule-of -thumb works this way: There's no profit in the first six months of billings. The net from the billings for the next six months pays for the first six months of
work and the investment in basic research.
Don't be surprised if the Civil Aeronautics Bureau turns to the FCC as well as the FTC for help in suppressing the traffic in free airline rides for free air plugs.
Involved most deeply in the practice are giveaway and variety shows.
As a result of this evasion of CAB regulations forbidding trade-outs, quite a business in cutrate airline tickets has sprung up.
Looking gift horses in the mouth has become the habit of a major spot agency on Madison Avenue.
Only this week it got a pitch from a Southern station offering three free D time spots for each three paid B class spots. The station referred to it as "special summerend deal."
The agency's check revealed that all the station's accounts were not getting the same proposition. So the sale blew up because the offer was just another under-the-counter rate cut.
NBC TV was trying hard this week to salvage a tentative order from General Mills for a piece of the new EUery Queen series.
The miller elected to withdraw when ABC TV moved the Disney show opposite the mystery on Friday nights.
On the other hand, the Disney switch brought a two-fold protest from JWT, which didn't fancy the idea of 1) its Ozzie & Harriet series being deprived of Disney as a frontrunner Wednesday nights, and 2) having it in competition with the Jackie Gleason show (CBS TV).
SPONSOR • 6 SEPTEMBER 1958