Free Trade: America's Second Attempt to Conquer Canada

Free Trade

Copyright © 2019 by D. Richard Truman

All rights reserved. No part of this publication may be reproduced, distributed, or transmitted in any form or by any means, including photocopying, recording, or other electronic or mechanical methods, without the prior written permission of the author, except in the case of brief quotations embodied in critical reviews and certain other non-commercial uses permitted by copyright law.

This book is based on personal experience with a touch of humour in an attempt to make the subject of interest to casual readers. Names have been changed (or become composite characters) in some instances to protect the innocent. Attempts were made to contact key players, often without success. Apologies to anyone who might be slighted by the author’s character description, timing or an event that might be interpreted differently than they might recall. Any omissions or changes will be altered in the next printing.

Because of the dynamic nature of the Internet, any web address or links contained in this book may have changed since publication and may no longer be valid. The views expressed in this work are solely those of the author and do not necessarily reflect the views of the publisher, and the publisher therefore disclaims any responsibility for them.

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Tellwell Talent

www.tellwell.ca

ISBN

978-0-2288-1192-3 (Paperback)

978-0-2288-1193-0 (eBook)

This book is dedicated to the little people who’ll inspire a passing generation. The enchanters who make us smile, laugh and cry but keep us moving forward while trying to outsmart the rest. To my towering grandson Alexander, beautiful Kylie, warm-hearted Ryan,

super-smart Oliver and adorable Sebastian, I pass the torch and wish you well on your journey through life.

TABLE OF CONTENTS

Foreword

A Few Words: Thanks, But No Thanks

Preface: Setting The Stage

Lights Down, Curtains Up

Loving The Biz So Much It Makes Coffee Nervous

More Facts And A Cast Of Players

Confessions Of A Creative Director

The Dream Weavers Who Made It

Get On The Career Wagon: Head East, Young Man

A Home Run – 14 August, 1983

The Learning Curve Is Slick

Bang, That’s The Biz

ACT 1: IN THE DARKEST HOUR, HIRE YOURSELF

Some Journeys In Life Can Only Be Travelled Alone

ACT 2: BEFORE YOU LEAP, THINK ABOUT YOUR EXPERIENCE

Glamour And Fisticuffs

Skating On Thin Ice

The Pitch

The Unexpected

The Dos And Don’ts In The Creative Business

ACT 3: LET YOUR FINGER DO THE TALKING

ACT 4: SLOGGING AND TRIP-UPS

Another Trip-Up In A Fast Moving Industry

ACT 5: IN AND OUTS

The Right Staff

ACT 6: THE WORD ‘FREE’ MIGHT KILL YOU

Hurricane Winds Strike With Fury

The Damage Continues

In Two Years, 50% Are Unemployed

In The Adbiz Due To Free Trade

Does New Technology Make It More Difficult To Survive?

ACT 7: OUTSMART THE ELEPHANT: FEED THE MOUSE STEROIDS

Changing Lanes

Change Is The New Beginning

ACT 8: A REINVIGORATED FINGER POINTS THE WAY

ACT 9: IS WINNING AWARDS GOOD FOR BUSINESS?

ACT 10: THE SPONSORSHIP SCANDAL SIDESWIPES

ACT 11: NOTHING BREEDS LIKE SUCCESS

Banging My Head Against A Post

This Sting Creates A Welcome Buzz

Running Backwards

The Smell Is Good

Accounts That Got Away

ACT 12: THE MICE WILL PLAY WHEN YOU GO AWAY

ACT 13: IS SUCCESS MERELY A MATTER OF LOOKING GOOD?

A Moving Experience

ACT 14: SELL HIGH

Final Thoughts Before Surrender

ACT 15: SELLING AWAY

ACT 16: HONOUR FOR SALE

ACT 17: WHAT THE CRITICS SAID

ACT 18: LOOKING BACK AT THE ADBIZ

Evidence Matters

ACT 19: CURTAIN DOWN

FOREWORD

Almost every true-blue Canadian will be aware of America’s first attempt to conquer Canada during the War of 1812. However, a scant few are likely to have little more than a passing knowledge of our southern neighbour’s (Please note the spelling) second foray into the proud nation north of the 49 th parallel.

In early 1988, the then political leaders of Canada and the United States, Prime Minister Brian Mulroney and President Ronald Reagan, passed into law the CUSFTA, or Canadian United States Free Trade Agreement to you and me.

While any long-term benefits of the Agreement remain moot, the downside was immediately felt by Canada’s advertising industry as salivating American agencies rushed headlong over the border to gobble up Canadian shops, threatening Canadian sovereignty and literally thousands of advertising jobs.

As a global Creative Director, D. Richard Truman had just opened the doors of his own fledgling agency when the first aftershocks of the Free Trade Agreement were shaking Canadian agencies to their very foundations. He experienced first-hand the demolition of the once-proud Canadian advertising industry that was destined to have its workforce slashed by 50% in just two years.

But From President Madison to Madison Avenue – Free Trade: America’s Second Attempt to Conquer Canada is much more than a heartfelt eulogy to a mortally wounded industry. It is also an homage to the mad, chaotic and intoxicating fun the ad business once was.

With his unparalleled passion for both the advertising business and his native Canada, Richard takes the reader on a rollercoaster ride through all the ups and downs of life and business and everything in between.

I hope you enjoy reading this book as much as I did.

Shane Harrison,

Avoca, Co. Wicklow, Ireland.

October 2018

A FEW WORDS:

THANKS, BUT NO THANKS

Thanks to the many folks who talked so openly about a subject that was, and still is, touchy at best: the possible sell-out of the advertising industry in Canada because of a Free Trade agreement signed with the country’s elephant-sized neighbour to the south.

Why was the once thriving Canadian advertising business suddenly caught in such peril? Why did it happen, how did it happen? Who was to blame? And is there a future for Canadian-owned marketing and advertising agencies because of this agreement?

Again, thanks to those who spoke freely with no fear of rancor. Old comrades from J. Walter Thompson and Campaign House Worldwide, as well as associates from World1, IMPA and others scattered along my global trail. CEOs, CFOs, Presidents, Vice Presidents, creatives and agency insiders from across North America spoke unreservedly and directly about their experiences and frustrations, and what they saw ahead. While a brave handful allowed me to quote them – even though their comments might be unpopular with the cheerleaders of the international industry – the most disheartening part of the process occurred when many of those who were at first willing to speak suddenly withdrew their support and would not allow me to quote them in print.

Thanks also to members of various advertising organizations across the globe who were most helpful: the Brits, the Americans (Janie Hughes of the American Association of Advertising Agencies, or the AAAA in particular) and the Aussies (Australian Association of National Advertisers and Yvonne Little of the Australian Marketing Institute). Representatives of some Canadian sources, including the ICA (Institute of Canadian Advertisers) were reluctant to answer emails or indeed the telephone. Comments like, Sorry, I’m unable to allow you speak to anyone who can help you, or Press 0 to speak to an operator, but no one ever picked up the phone when I tried to get through. I was merely looking for help. I believed I was being shut out.

But just before I begin my journey, and by way of setting the scene, here are a few (surprising) facts I uncovered about the Canadian advertising industry.

In 1988, Canada had 2,177 advertising agencies (Manta) and support services that employed an estimated 87,000 people, both directly and indirectly. On the other hand, the U.S. had 46,228 agencies (Manta and the U.S. Bureau of Labor Statistics) employing 2,310,400 (AAAA). American figures suggest 50 employees on average per agency. UK figures suggest 40 employees on average were gainfully employed by British agencies. I have applied the lower number.

What if we use the 10% (of the U.S.) rule? Canada should have 4,622 agencies employing at least 231,040 Canadians.

Pre-Free Trade we already had fewer agencies and employees than expected. Why?

As I had decided to open an agency in those turbulent times, I can readily attest to the conclusions reached by the silent – and somewhat pissed off – majority.

There will be pain, the majority screamed! Life will be sucked out of the Canadian adbiz in record time. The opposition Liberals and NDP both agreed, …the agreement would erode Canadian sovereignty, and Canada would effectively become the 51st state of the U.S.

The Agreement was signed and came into law on 2 January, 1988 and the reaction was as predicted. Old greybeards who, quite rightly, wanted a golden parachute payday were left penniless. The invasion of the multinationals in the spring of 1987 amounted to an explosion that sent shockwaves reverberating throughout the industry, ignited by the CUSFTA agreement that was duly signed by Brian Mulroney and Ronald Reagan.

The restaurants and watering holes in Yorkville were filled to overflowing with ad men (and women), and who could blame them. They had much to fear and speculate about.

PREFACE:

SETTING THE STAGE

Up to the 1980s, the advertising scene north of the 49 th parallel was principally owned and controlled by Canadians. Powerhouses like Cockfield Brown, MacLaren, McKim, Foster, Cossette, Goodis Goldberg and Soren, Baker Lovick, Ronalds Reynolds and Vickers and Benson were industry giants. They ruled the Canadian adbiz scene, won the awards and had a vice-like grip on Canada’s biggest and most sought-after advertising accounts. Our mad men were inspired and fuelled by all things Canadian. We had a pack of great creators who were as good as or better than any in the world.

I was fortunate to enjoy these glory years with MacLaren, Goodis Goldberg Soren and Ronalds Reynolds. It was a time when we could fulfil pipe dreams like winning awards and maybe even open our own agencies.

Who would ever dream that a few cataclysmic events would destroy these aspirations and opportunities within a mere decade? The election of a Conservative government, and a few minutes later, two Irishmen sang together while they dreamed up a Free Trade deal that would make the rich richer and allow them to wallow in historic footnotes.

I returned to Canada on 14 August, 1983 after running my own agency in Australasia. My dream was to open a Canadian agency, but like the mouse, I had a head-on collision with an elephant’s foot.

LIGHTS DOWN, CURTAINS UP

Giving life to a business you love, understand and hold dear is a remarkable achievement in itself. Succeeding amidst the mayhem is challenging. But hitting a brick wall in the first year of operation, due to ill-advised government policy, is the most unexpected misfortune of all. The accident soon becomes a crisis, then, as Stuart Wilde (world-renowned author and metaphysical teacher) writes, In a time of crisis we all have the potential to morph up to a new level and do things we never thought possible. So I shook my head and said to myself, Let the battle commence!

More than a decade later, I walked away from the crazy business I loved with a smile on my face. Many would argue I’d hit the jackpot, regardless of the crisis and other roadblocks I had encountered.

A distant relative and former President of the U.S.A. summed it up, You can’t get rich in (advertising) unless you’re a crook, which is a slightly altered pronouncement by former United States President, Harry S. Truman.

Does it take a crisis to get the adrenaline flowing? Is the calamity a reason for success? Perhaps. Grappling with the impact of Free Trade is a battle that should never have happened. But I’ll let you be the judge.

So ending up fulfilling a dream is possible, but the many obstacles along the way, aside from government policy, are not easily overcome, because advertising itself, or the business of selling things, is based on shades of truth, quicksand, booby traps, shamanism, and Humpty Dumpties. (A Humpty Dumpty is a copywriter’s pitch that is so skillfully crafted it would take an army of lawyers to unravel it. Or so I am told.) If you analyze the business closely you’ll find it’s all about the crafting of words and the conjuring of images – in the battle for the minds of consumers.

In a free market we are never protected from outright dishonesty except when it comes to the sale of legal drugs and a few other product categories.

Alcohol advertising is a good example of a category that does endeavor to protect the consumer. It is one of the few exceptions where the public is protected from advertisers writing light-fingered copy, and flicking words around, because it has to be approved by the Canadian Radio-Television and Telecommunications Commission, or the CRTC, through the ASC or Advertising Standards Canada. But that’s about all that is protected, as most advertisers adhere to self-imposed industry guidelines and legal persuasion to inform the public. It’s like watching yourself. (Or putting turkeys in charge of Christmas.)

The other obstacle is politicians, who are supposed to protect us from predators. And because we live next door to an irritable elephant, the mouse has every reason to be very, very concerned with advertising that slips over the world’s longest open border.

The setting for this book is survival in the world of advertising in the Canadian market – in particular the mad men who create and write advertising in our country – particularly in the ‘80s when the upending of the industry first began.

The government of the day was the Progressive Conservatives ruled by blarney-master and envelope man, Prime Minister Brian Mulroney. His role, amongst others, was to protect Canada and a fairly healthy advertising industry that was firing on all cylinders.

First, it’s a difficult business to control at the best of times, but maddeningly pleasurable for the rare few, who admit it becomes an addiction after working at it for a few years.

After all, they create a tool that sells things, which fuels the engines of economic growth in democratic societies.

But the advertising they create should reflect the unique cultural heritage of the country of origin. It is a delicate issue that is talked about all the time. When you speak to Canadians, you should talk to them in their own cultural terms. It’s a tricky issue of national pride for earth-Canadians (families who have lived here for three generations or more). Because the advertising noise we create embraces two legal languages and all their nuanced accents, the four seasons we inhabit, our sporting activities, the food we eat and even the look of a people. If it is done correctly, the advertising message will touch – and resonate with – the masses and not be rejected in seconds because it appears foreign or makes no connection. Therefore the sales tools must be crafted carefully to be effective in our community. In other words, it must be seen to be Canadian.

To illustrate my point, I once witnessed a tribe of Nigerian Igbos hunkered down in a jungle sitting around a campfire watching a commercial for a Fiat automobile (in Italian) projected on the side of a white van, while they drowned their spirits with palm wine. For them it’s fun and it’s free. They shouted O bu gini ka e jiri mara gi? every time the Italian tin-box with wheels appeared. They didn’t understand English let alone Italian. Nor did they think about roads, petrol or buying a car to swing around the jungle while gorillas directed the traffic. No, this exercise was a complete waste of money. It was absolutely ineffective. It was a laugh, nothing more, all the work of a multinational advertising agency that didn’t care about anything but fleecing a foreign country. They put profit first. I watched in disbelief.

On the other hand, a good use of local advertising was watching Indian elephants parade down a street in Chennai with an advertising message for a restaurant painted on their weathered hides. At the end of the day the handlers, with the help of the pachyderms, simply washed the message off and changed it the next morning. And it was written in a