New Agencies for Old

Two young advertising men last week merged their businesses. Result of the merger was not just another advertising agency belonging to two young men but one of the twelve biggest advertising agencies in the U. S.

Part I was Geyer Co. of Dayton and Manhattan, founded in 1912 by the late C. J. Geyer, business manager of the Dayton Herald. His son, Bertram Birch Geyer, 42, had built up the agency into a large and profitable business. Young Mr. Geyer is a great and good friend of Charles Franklin Kettering, General Motors' research chief. Cornerstone of the Geyer business has been several big accounts of General Motors, including Delco, Inland Manufacturing and Frigidaire, with its $5,000,000 annual appropriation. Well did Geyer Co. earn General Motors' patronage for it has handled Frigidaire's account during the years that Frigidaire sales reached the 2.500,000 mark--1,000,000 more than any other refrigerator.

Part II was Paul Cornell Co. of Man-hattan,* founded by Mr. Cornell when he set up in business on his own account in 1926. Paul Lincoln Cornell, 37, was one of eleven children of a poor Methodist minister in Fond du Lac, Wis. He worked for B. F. Goodrich Co.. went to War, got into advertising. One product of his War service is that he is already anonymously preserved for posterity in marble; as the central figure of New York's memorial to its 107th Regiment, he charges gallantly into Fifth Avenue at 66th Street. No believer in testimonials and the gaudier forms of advertising, he built up his agency by hard work, has devoted himself particularly to economic problems. One of his schemes made headlines fortnight ago when he proposed that, to stimulate business, all employers give their employes a week's pay in advance on condition that it all be spent the first week. Suiting example to precept he gave his own employes a week's advance to be repaid without interest in 20 equal instalments out of their pay (which he at the same time increased 10%).

The new agency will continue to operate as Geyer Co. in Dayton, will be Geyer-Cornell in Manhattan. Besides Frigidaire its accounts include National Cash Register, Oneida Community Ltd., Hookless Fastener (zippers), Crowell Publishing Co., Tetley's Tea, Waco Aircraft, Sapolio, Hanan shoes, Eaton Papes, Richfield Oil Co. of New York.

Many an advertiser has kicked out his agency, but few agencies have ever kicked out a good advertiser. Nonetheless. N. W. Ayer & Son, Inc. "B. A. I. S. 1869"/- national agency with headquarters in Philadelphia, last week pointedly dropped the account of Canada Dry Ginger Ale. Wilfred Washington Fry, Ayer son-in-law president of the firm, is a Baptist Y. M. C. A. man, ardent Prohibitionist. He bore with Canada Dry so long as its ads went no further than to picture suggestively the cork of a gin bottle lying beside bottles of its sparkling beverages. Unreconciled to Repeal, Mr. Fry on learning that Canada Dry would soon be selling beer and whiskey, insisted that N. W. Ayer should drop the account.

Last week Mr. Fry told the world his reasons: 1) that he believed the liquor business would divert an important share of America's mass purchasing power from the "essential commodities''; 2) that he did not wish to class his other clients with the liquor business. Said he:

"The moral questions in repeal can be left out entirely but from a purely business standpoint, we still cannot see a very happy result in the return of liquor. The liquor business has not changed. When the 36th State has been lined up, it will be run by the same old crowd in the same old way."

Canada Dry will be at no loss for an advertising agency. Many a firm would be glad to get its business because of liquor, but Canada Dry's advertising will be handled by one of N. W. Ayer's former partners, James M. Mathes. He was one of the backers who helped Parry D. Saylor, president of Canada Dry, to found that company in 1923, has been one of its directors, has planned its advertising ever since. No Dry like president Fry, Mr. Mathes broke with N. W. Ayer last March, recently announced formation of his own agency.

*For which Elliott Roosevelt worked until last spring, then resigned, embarrassed by the accounts which political favor-seekers showered on him.

/-Says the agency's escutcheon: "Keeping Everlastingly At It Brings Success. B. A. I. S. 1869." B. A. I. S. means Been At It Since.

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