Well, this is the final episode of Under The Influence for the 2014 season. As as we do every year, we turn this show over to our listeners. Terry answers all the marketing and advertising questions listeners have sent in, and this year, the questions are better than ever.

Terry will trace the history of how Kool-Aid/Lemon-Aid stands came to be, he'll give a first-hand report on how the very last swan-song Eaton's campaign was developed, he'll discuss why #1 brands still feel compelled to advertise, he'll explore why Cadillac owners don't like vanilla ice-cream, why advertisers love using babies and small critters in their ads, what the rules are when it comes to the amount of advertising allowed every hour - and more.

It's a fun Q&A - hope you'll join us!

The New York Mineralogical Club was formed in Manhattan back in September of 1886.

The logo of the NY Mineralogical Club.
Source: johnbetts-fineminerals.com

At the end of its first year, it had 46 members, including several notable geologists.

The Club has amassed a superb collection of more than 700 specimens of minerals that had been found in New York over the years, which is now housed at the American Museum of Natural History.

One of their most noteworthy pieces was discovered as a sewer was being dug on West 57th Street between Broadway and Seventh Avenue, in 1885. One day, the labourer doing the digging noticed an interesting rock in the dirt pile.

It was a dark red precious stone that weighed 9 pounds, 10 ounces. It turned out to be the finest garnet crystal ever found in the United States.

The New York Mineralogical Club was dedicated to increasing interest in the science of mineralogy through collecting, describing and displaying of minerals and associated gemstones. Members would meet a couple of times a month.

As such, they would invite various experts to speak at their meetings.

In 1916, the Club started receiving fascinating correspondence from a person named Robert Oppenheimer. He would detail the rock formations he discovered in Central Park, make detailed and insightful notes, and would pass those findings along to the Club in his letters.

The members were so impressed with these letters that they invited the author to give a lecture at their next meeting.

When Robert Oppenheimer walked out onto the stage on the designated evening, the audience of geologists was stunned.

Robert Oppenheimer was only 12 years old.

Screen Shot 2014-06-13 at 2.38.41 PM.png

A young Robert Oppenheimer with his younger brother, Frank.
Source: amazon.com

He had arrived with his parents in tow, and a wooden box was brought out for little Robbie Oppenheimer to stand on so he could be seen over the lectern.

Nobody had ever thought to ask his age.

Some questions in life are obvious, and some aren't.

Little Robbie Oppenheimer would eventually grow up to become the famous scientist J. Robert Oppenheimer.

Screen Shot 2014-06-13 at 2.36.53 PM.png

Robert Oppenheimer, father of the A-Bomb.
Source: nytimes.com

Questions are a fascinating part of life, and asking them can lead to astounding discoveries, the answers they provoke can open doors, shed light on mysteries and sometimes, even reveal the obvious.

Like someone's age.

Welcome to our annual "Dear Terry" episode. This is the show we hand over to our wonderful listeners. We asked you to send in your advertising and marketing questions, which you did, and I'll do my utmost today, to answer them.

I can't promise to be as smart as 12 year-old Mr. Oppenheimer, and I might need a wooden box to stand on in front of my microphone, but I'm hoping I might be able to throw out a few gems along the way...

Well folks, this is our last episode of the 2014 season.

And we'd like to thank all the Under The Influence listeners who sent in questions.

It was - by far - the biggest response we've ever received.

Some questions I could answer, some I had to research, and with a few, I had to reach out to my advertising colleagues for help.

Some of you even gave me great suggestions for entire episodes - which I'll work on for next season - so stay tuned.

Let's begin today with an interesting question sent in via Twitter. It's from Sonja Christensen, and she asks: "Why advertise a product that's a solid market leader with little competition - like Heinz Ketchup for example?"

Good question, Sonja. A few weeks ago, I mentioned that Heinz has been the market leader in the ketchup category for over 100 years in a previous episode called Brand Envy.

Screen Shot 2014-06-13 at 2.48.54 PM.png

Heinz Ketchup, condiment king.
Source: homeduuka.com

Every product category is extremely competitive. When you're number two or three, you're constantly marketing to dethrone number one. Or if you're a small player in a category of big brands, you produce feisty, bold advertising just to get noticed.

But number one brands are in a perpetual "defence" mode. They have to constantly market their brand to maintain market share, or even steal a little from competitors. If Heinz Ketchup has, say, ten competitors, what would happen if each brand stole just 1% market share?

Heinz would collectively lose 10% of its customers.

In the marketing world, that would translate into a huge revenue loss.

The number two, three and four brands are like forwards on a hockey team. Always trying to score. Number one brands are goalies.

That's why they can never stop advertising. To me, marketing is like a locomotive. You can unhook the locomotive, and the rest of the train will keep going for a while due to momentum. But eventually that train is going to grind to a halt.

And no brand wants that.

Here's another Twitter question:

Chris Brasher, who sent in several excellent questions, asked:

Did kids invent the lemonade/Kool-Aid stand or was that a marketing gimmick?

Excellent question, Chris. And you know how much I love advertising history.

Kool-Aid stands were a variation of Lemonade stands.

Around 1873, a ten-year old by the name of Edward Bok started selling ice water for a penny to passengers of horse-drawn carts, in Brooklyn New York.

When other kids started to do the same, little Eddie did what all smart marketers do - he zigged when everyone else zagged.

So he started selling lemonade for three cents a glass.

Screen Shot 2014-06-13 at 2.52.28 PM.png

When life hands you lemons, well, you know the rest...
Source: krrb.com

That started the Lemonade-stand craze.

Kool-Aid was created in the 1920s by an inventor named Edwin Perkins. At ten cents a pack, it allowed families to make big pitchers full on hot afternoons. And it was then - in the '20s - that kids got the idea to set up Kool-Aid stands in front of their parents' houses.

Screen Shot 2014-06-13 at 2.57.13 PM.png

LIttle Eddie Bok starts his Kool-Aid stand empire.
Source: ameshistory.org

When the Depression hit in the '30s, Perkins decided to cut the price of Kool-Aid from ten cents to five cents a pack. Sales actually increased. It seemed that even in the Depression, everyone still had a nickel to spend for a sweet, cool treat.

As Advertising Age Magazine said, that price cut was a daring gamble that made the company. And kids continue to put up Kool-Aid stands - a practise that continues to this day.

Remember this?

A Kool-Aid commercial from the 60s.
Source: YouTube

By the way, I saw some news articles lately saying some American cities were clamping down on Lemonade and Kool-Aid stands, insisting that parents pay $400 for a street vendors permit.

Yikes.

So there you have it, Chris. It seems Kool-Aid stands were not a marketing gimmick, but were in fact started by Kool-Aid's customers.

However, you can bet on one thing.

Kool-Aid loved it.

Next question: Under The Influence listener Jim Hogg tweeted this:

Why don't Cadillac owners like vanilla ice cream?

Hmmm... very interesting.

Why don't Cadillac owners like vanilla ice cream...

Let's consult the Under The Influence XT-H5 supercomputer database:

Jim, I assume you're referring to this Cadillac commercial:

Cadillac owners don't like vanilla ice-cream.
Source: ispot.tv

Vanilla may be the most popular ice cream flavour in North America, but vanilla is also the universal word for plain, boring and average.

And Cadillac sees its drivers as colourful, exciting and unique.

So vanilla ice-cream was a short-hand way of making the point.

Over to our emails now...

Listener Rita Gore emailed an interesting question:

How do marketers effectively market to people with disabilities, like the visually impaired and the deaf?

Great question, Rita. And I'd actually like to dedicate an entire episode to it.

As you may know, almost all TV commercials use Closed Captioning for the hearing impaired, and that function can be turned on with your remote-control.

For the visually impaired, programming and commercials are broadcast with described video.

Back in 2009, TAC TV was launched in Canada. TAC stood for The Accessible Channel, and it was the first to offer described video and closed captions 24 hours a day. The CRTC designated it a "must carry" service, meaning all cable companies had to make it available.

I directed some launch commercials for TAC. The idea was interesting: Get Canadian celebrities to describe themselves and see if people could guess who they were:

A launch commercial for the TAC network - created for the listening + hearing impaired.
Source: YouTube

That was Carlo Rota, one of the stars from Little Mosque on the Prairie, as well as Breaking Bad and 24. We also had Peter Mansbridge and George Strombolopolous in the campaign, too.

TAC has since been re-named AMI-TV.

So Rita, that's just a quick overview. Hoping to do a complete episode on this intriguing subject next season. Thanks for that great suggestion.

Over to John Gunter now, who emailed this question:

What's the story behind the Eaton's Aubergine campaign? What were the decisions made, as Eaton's seemed to "bet the farm" on this commercial?

Well, I can fill you in on that story, John, because our company wrote the music for that commercial.

If you remember, the year was 2000, and Sears had just bought Eaton's.

Screen Shot 2014-06-13 at 4.04.42 PM.png

Sears purchased arch-enemy Eaton's.
Source: blogto.com

No one could believe the mighty Eaton's had fallen so far that they could be swallowed up by arch enemy Sears.

But at that moment in time, Sears had a vision for Eaton's - there was a hole in the Canadian retail sector - and that gap was for a more up-scale department store. They felt they could turn Eaton's into that experience.

Sears had a great marketing department, and they wanted a highly unusual advertising campaign to announce that Eaton's was going upscale.

Purple is an upscale colour, the Eaton's logo was purple, so "aubergine" - which means "purple" - was chosen as the theme.

Screen Shot 2014-06-13 at 4.08.15 PM.png

Purple, or aubergine, was Eaton's corporate colour.
Source: labelscar.com

The brief to the advertising agency was to create a revolution, not an evolution. They wanted the advertising to return to the glory days of department stores, so the agency came up with the idea of returning to the glory days of Hollywood musicals.

Copywriter Tom Goudie wrote the lyrics, our wonderful composers at Pirate wrote the music, and a four and half-minute advertising extravaganza was created and aired during a movie premiere where Eaton's was the only advertiser:

The swansong commercial for the mighty Eaton's store.
Source: YouTube

The commercial definitely got attention. Advertising awareness for Eaton's surpassed Wal-Mart, Kmart and the Bay. Impressive considering Eaton's had been long absent from the advertising scene. 24% of those surveyed said the commercial would definitely encourage them to visit the store - and a score of 20% is considered excellent.

81% of the people surveyed knew Aubergine was linked to Eaton's - which was extraordinarily high.

But with all that good news, there was still one big problem. The store experience didn't change enough to match the big promise. Sears couldn't make the Eaton's transition fast enough to keep customers happy.

They simply couldn't execute their vision.

Not long after, the greatest department store in Canada... closed its doors.

It's a sad story, really.

Let's go on to our next listener. Kelly McGuinness has an amusing question:

She asks: When I tell people I work in advertising, what is the appropriate response for the obligatory "Oh, so like Mad Men" question?

Screen Shot 2014-06-13 at 4.13.32 PM.png

Yes, that looks exactly like my office...
Source: gq.com

Well, I would say, it's exactly like Mad Men, except they underplay the drinking.

Kidding.

I get asked that question all the time, too, Kelly. I tell people Mad Men is pretty accurate when it comes to the advertising - and the drinking, smoking and running around is probably accurate too - for the 1960s, that is.

And another Mad Men question...

Kait Burgan asks: is Mad Men over because the writers and cast are "done," or has the era ended?

Well, from what I've read, Kait, Mad Men creator Matthew Wiener has always said the series would end when the 60s ends - and if you're watching this final season, it's now set in 1969.

Screen Shot 2014-06-13 at 4.17.14 PM.png

Mad Men creator Matthew Wiener.
Source: wordpress.com

And our last Mad Men question:

Joanna asked: How good are Don Draper and Company's pitches on Mad Men? Are they conceivable ads or just good dramatically?

Screen Shot 2014-06-13 at 4.19.27 PM.png

Don Draper has many flaws, but presenting ideas is not one of them.
Source: josephdickerson.org

I think Don Draper is an excellent presenter. He knows how to command a room, and the writing staff at Mad Men has done their homework. However, I find most of the ads Draper presents are pretty conservative. Remember, Stirling Cooper is a conservative agency in the midst of an 1960s advertising creative revolution. As Matthew Weiner has said, quote: Everyone on Mad Men is on the wrong side of history.

Our friend Heather Greenis asks this question: Companies use babies, kids and critters to market their brands. Why is this?

Screen Shot 2014-06-13 at 4.22.06 PM.png

Nothing draws the eye like baby - animal or human.
Source: wordpress.com

Nothing gets more attention on TV than babies, kids and critters.

Ask any actor who has ever had to share a scene with a baby or a cute puppy.

Attention is the oxygen of all brands, and babies, kids and critters are a sure-fire way to get that attention.

Thanks Heather.

Mike Grange asks a very interesting question:

The Toronto Maple Leafs are the highest revenue team in the NHL. Would this change much if they won?

Screen Shot 2014-06-13 at 4.25.06 PM.png

Maple Leaf fans are die-hard believers.
Source:keepcalmomatic.ca

Wow. That's a great question. You're not 12... are you Mike? Anyway, it does go against all the conventional thinking in marketing. A winner usually generates the most interest, the most ardent fans, the most revenue. Yet the Leafs haven't won a cup since...

Exactly. As John Cleese once said, "It's not the defeat that crushes you, it's the hope."

So I guess the marketing lesson here is - hope is very profitable.

Wayne Jones asks this question on our Facebook page: What is the current ratio of program time to advertisements, and is that amount established independently? In Canada, the CRTC regulates and supervises the airwaves. Generally speaking, Specialty TV channels can have 12 minutes of commercials per hour. And, surprisingly, there are no limits on conventional TV networks, like CTV or Global.

The length of the programs dictate what's left for commercials. Most half-hour programs are 22 minutes long, allowing for 8 minutes of commercials. Hour-long shows run around 48 minutes, allowing for about 12 minutes of ads.

Interestingly, there are no limits to the amount of advertising allowed on Canadian radio - but if stations went too far with commercial content, they would just lose all their listeners.

The CRTC limits CBC Radio 2, on the other hand, to a maximum of four minutes of advertising per hour.

In the United States, the FCC governs the airwaves.

Like here, there are no commercial limits on television - the length of programs determine what's left for ads each hour.

And like Canada, there are no limits on commercial radio.

Most foreign countries I looked at seem to allow an average of 12 minutes of commercials per hour. Some exceptions include Russia, which allows 4 minutes of national advertising, and 15 minutes of local advertising, for a total of 19 minutes per hour.

In Australia, viewers can see up to - and sometimes more than - 20 minutes of commercials per hour. During some 60 minute shows, viewers might only see 40 minutes of actual programming, making Australia one of the highest commercial content countries in the world.

You know my viewpoint on this subject - too much advertising is a not a good thing.

And I'm an adman.

Let's jump back to Twitter - where Ian Boyle asks:

What's the deal with the "brand sound" at the end of commercials? Like Nissan, the Government of Canada and Rogers?

You mean this sound:

Listen for the Rogers mnemonic at the end of this commercial.
Source: YouTube

That's called an audio mnemonic.

The government of Canada uses a snippet of Oh Canada:

Even the Government of Canada uses a mnemonic.
Source: YouTube

It's an earworm created to help aid brand recall. So if you just caught the last 2 seconds of a Rogers ad - you would still know it's a Rogers ad. It's also a branding device they can carry over to radio, their website, and to prompts on your smart phone.

In other words, it's sonic branding.

Max Hirst tweeted to ask a question about our website.

He says: Was thrilled to discover all the visuals you talk about in each episode are on your website. Have you always had this?

Thanks Max. We began creating a rich website three years ago.

And if you've never been to our website, at cbc.ca/undertheinfluence, you should know that you can follow along with every episode, with the full script, and all the TV commercials, print ads and interesting photos of the people we talk about - and you can do it simultaneously as you listen to the show.

Plus, there's bonus material there, too.

So log on for a great "second screen" experience every week.

As I mentioned earlier, some listeners asked questions that I want to turn into full episodes.

Edlynne asked: What are some of the best agency-client relationships of all time? A great question - and the answers will probably surprise you - and that will be an episode next season. David Edwards and Ian Fletcher both asked about tips for Business-To-Business advertising. Stay tuned, that too will be an episode next season. One last question - from Damien - who asks:

What has been your favourite show topic to research?

Without a doubt, Damien, it was the two-part Happy Homemaker episode, where we traced how the advertising industry created the modern day housewife in order to sell the multitudes of household products created after the war.

Screen Shot 2014-06-13 at 4.36.39 PM.png

My favourite episode: How advertising created the house wife.
Source: hookedonhouses.com

Fascinating, historical, and a little alarming, too.

That's why nearly 80% of the goods and services advertised today are aimed at the women in our lives.

They are the Chief Financial Officers of the family.

No question about it.

I want to take this moment to thank you, our listeners, for all your help this season.

You not only send me great comments and suggestions, but amazing articles and links, which I love and always read. Thank you for being so kind.

We make the show for you, so your input is always welcome and appreciated here.

The questions we answered today are no exception.

But of one thing there is no question: And that is how amazing the people are behind the scenes at Under The Influence.

And being that this is our last show of the season, I'd like to tell you who those people are - who work their hearts out for you every week:

Our incredible sound engineer is Keith Ohman, who has worked on every single episode since day one, nine years ago.

Our theme music was created by the gifted team of Ari Posner and Ian LeFeuvre.

There's quite the O'Reilly contingent behind the scenes of this show.

All show coordination, shipping and scheduling is handled by the mighty Debbie O'Reilly. Our great website page and podcasts are managed by Sidney O'Reilly. Research cataloguing done by Shea O'Reilly, and audio editing done by Callie Rae O'Reilly.

Our amazing Under The Influence researchers are Lama Balaghi, James Gangl and Tanya Moryouseff. All fantastic and incredibly resourceful. Couldn't do it without them.

Thanks to all the wonderful folks at Pirate who help us with the show every week.

A big bouquet goes to the amazing Ananda Korchynski and all the folks at CBC, who are always there when we need them.

And a big thank-you goes out to Chris Straw, Senior Director of Network Talk at CBC & Chris Boyce, Executive Director of CBC Radio show, who have both always shown unwavering support for our show.

Next year will be my 10th anniversary on CBC Radio. Hard to believe it's gone by so fast.

And I've loved every minute of it.

We hope to be under the influence again next January.

Have a great summer.

Recent

Under The Influence Returns January 3rd!

Dear Terry

When Brands Mock Other Brands

Satisfaction Guaranteed

Comments on this story are moderated according to our Submission Guidelines. Comments are welcome while open. We reserve the right to close comments at any time.

5 Comments

Commenting is now closed for this story.

Flag

Vandellous Guest
Rank 0

My Aussie friend claims you got your facts about Australian advertising facts from FOX. She states "I looked up the legislation, we allow 13 mins in peak, 14 with elections and 16 before 6pm". How did Under the Influence get 20+ minutes?

4 months ago
0 Likes

Flag

Vandellous Guest
Rank 0

Just leaving a message to say I am a HUGE fan of your program and many of the fine programs available from CBC Radio. I grew up listening to the station and, although I live in Australia now, I have not found anything to approximate the quality of the CBC. I am a proud Canadian no matter where I reside and CBC not only keeps me connected to my home and heart, but I am always learning incredible things from programs such as yours.

4 months ago
0 Likes

Flag

Suzi Inkman Guest
Rank 1009846

Terry, you are more of a behaviour psychologist than an ad man. I love hearing about the buying behaviours of people. You must know Dan Ariely because alot of your material is similar to his. I would like to see a segment on "If it ain't broke don't fix it" You did a bit on New Coke, but I'm sure there are lots of stories of companies who try to improve things and they just make them worse. Thanks for a great and interesting show.

4 months ago
0 Likes

Flag

William Greenways Guest
Rank 0

Nice wrap to a great season... informative and entertaining as always.

4 months ago
0 Likes

Flag

w0850 Guest
Rank 0

Thank you again Terry for a wonderful season. I am a historian, not a marketer, and also love those episodes with a historical bend. I work in higher education and a number of years back (08, 09?) you hosted a show with a title of something like 'Marketing the Invisible.' Unfortunately it was never in your online archive. Debbie provided an explanation why. I was able to locate a pirated copy (GASP) to download and still listen to that one about once/year. It is still a big help. Looking... » more

4 months ago
0 Likes

Submission Policy

Note: The CBC does not necessarily endorse any of the views posted. By submitting your comments, you acknowledge that CBC has the right to reproduce, broadcast and publicize those comments or any part thereof in any manner whatsoever. Please note that comments are moderated and published according to our submission guidelines.

Dear Terry

More Stories Like This