![]() While the suit was eventually settled, the attack ads boosted same-store sales. Walter Thompson for what it described as a "false, deceptive, disparaging, unfair and misleading" campaign. The attack ad was a first - but certainly not the last - for the industry, and resulted in McDonald's suing Burger King and agency J. In 1982, Burger King launched an ad campaign (starring a 4-year-old Sarah Michelle Gellar) that called out McDonald's by name and claimed the chain's burgers were 20% smaller than those of Burger King. Burger King's profits fell 40% in 1986, and the chain would soon look for a new ad agency. The Herb campaign was a flop, lacking a relevant message about Burger King's food or the audience it was targeting. Burger King also sold Whoppers for 99 cents to customers who ordered by saying "I'm not Herb." The chain sent Herb on a tour of its locations, and the first person to spot him in each restaurant would win $5,000. After six weeks of build-up, Burger King unveiled "Herb the Nerd" in a Super Bowl ad. The marketer released a series of cryptic teasers in advance of the campaign's TV spots. "Where's Herb?" centered around a fictional character named Herb who had never eaten a Whopper. Brinker, who decided to bring the fight to McDonald's.īurger King took a big swing in 1985 with a $40 million campaign created by J. When that plan didn't work, Smith was replaced by Pillsbury executive Norman E. Smith away from McDonald's to oversee a company revamp called "Operation Phoenix," which focused on restructuring corporate practices at all levels of the business. ![]() While Burger King had some success with its marketing in the '70s - including its groundbreaking product tie-ins with "Star Wars" - the company faced internal struggles with its franchisees and hired executive Donald N. ![]() McDonald's continued to grow, expanding around the globe and notching $1 billion in sales in 1972. All we ask is that you let us serve it your way!" In kind, Burger King rolled out its "Have it your way" slogan and a jingle of its own that pushed back at the Big Mac's specificity: "Hold the pickles, hold the lettuce. For example, McDonald's had great success turning a franchisee's creation, the Big Mac, into a menu staple its "two all-beef patties, special sauce, lettuce, cheese, pickles, onions on a sesame-seed bun" formulation was a print ad and then a popular jingle. While McDonald's led the way, Burger King was forced to establish its brand identity in contrast to its competitor. As the chain expanded in the 1960s, franchisees in 1967 began contributing 1% of earnings to the Operators National Advertising fund, growing McDonald's ad budget from $5 million to $15 million in 1969 and $60 million by 1974, eventually making the chain one of the nation's top advertisers. The pair ran it as an independent company for eight years before selling it to the Pillsbury Company in 1967 - the first of many transactions that would define the brand's trajectory.Īs McDonald's grew in the 1960s, its advertising focus was around its Ronald McDonald mascot, which began as part of a local TV sponsorship of "Bozo's Circus." After appearing in local TV spots, the iconic clown made his national TV ad debut during the 1965 Macy's Thanksgiving Day Parade (which McDonald's sponsored) and the 1966 Super Bowl.Īlong with the concept of fast food, McDonald's helped lay the groundwork for how many franchised chains structure their marketing organizations. Edgerton, who shortened the name to Burger King. When the company faltered in 1959, it was purchased by Miami franchisees James McLamore and David R. Kramer and Matthew Burns opened the Insta-Burger King in Jacksonville, Florida, in 1953. Inspired by a visit to the original San Bernardino McDonald's restaurant, Keith J. These days, the company dates its founding to when franchisee Ray Kroc joined the company in 1955 Kroc bought out the McDonald brothers in 1961 and introduced the Golden Arches in 1962. In 1948, the brothers turned their focus to profit-driving hamburgers and launched the Speedee Service System, applying production line principles to create the concept of fast food. McDonald's was founded in 1940 by brothers Richard and Maurice McDonald in San Bernardino, California. Mid-century beginnings and the burger wars
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