Soap, Sex and Cigarettes – Chapter 2 Notes (1880-1900 Selling the Goods)
Dramatic changes due to economic growth had occured by the 1880′s. Distribution had reached coast to coast markets, factories increased, *raw materials were transported at a faster rate and even at a lower cost. Manufacturers also started to encounter increased competition.
*Raw material refers to a good not transformed by production.
Cities started to grow in census and the consumer population started to understand print ads. People produced and made their own necessities but now manufacturers had to convince the public to buy soaps, bread, clothes among other necessities to buy their products.
Some expansion of mail order houses made possible for sales to grow on a national scale. Companies that demonstrated this were Montgomery Ward (defunct retailer today) and Sears, Roebuck and Co. Sears published catalogs with clearly stated prices and offered customers to obtain items in the catalog quickly.
Firms set up extensive marketing organizations and made ties between retailers and managers. Andrew Carnegie became the world’s leader of producing steel and at the time *John D. Rockeller was the leader of oil. Small firms just could not keep up with the larger Firms consolidating marketing and manufacturing together.
*John D. Rockefeller on an interesting note was the world’s first billionaire. He had also created foundations for medicine, education and scientific research. As we are most familiar with the Rockefeller name; Rockefeller plaza was named after him.
Some companies as a result of advertising helped lay the foundations of the growth of Sears, Colgate-Palmolive, Pillsbury, American Express, and American Tobacco.
Advertising in the 1880′s and 90′s used a variety of media to deliver messages such as the newspaper, magazines and outdoor advertising. Advertising started to make consumers aware of their product and distinguish them from competition. Marketings first success with brand name goods was Quaker Oats.
Early manufacturers boxed hundreds of cereals. Procter and Gamble (not mentioned in the text -P&G had their factories on Staten Island amongst other places, produced and distributed Ivory soap here on the Island. The neighborhood where the factory once stood until recent years is called Port Ivory.) Pillsbury flour, Heinz Condiments are also examples of boxed goods. Packaging proved an effective medium to display the brand name and the trademark and to explain why the product was the one of choice.
Catchy slogans and a large amount of advertising made Royal Baking Powder, Sapolio soap, and Ivory three of the most recognized brand names of the day. (You can find the ad for Royal Baking Powder on page 71) Soapmakers took the lead in enterprising advertising on a large scale. Although not mentioned in the text, the reading mentioned Lever brothers which we know today as the company that puts out ALL and WISK laundry detergents along with other cleansing products. As you can see these companies have been around for decades.
Ivory soap’s memorable slogan “It floats” first appeared in an 1891 ad.
John S. Pemberton, started Coca Cola in 1886. Pemberton began advertising with trade cards entitling the bearer to a free coke. As we know today drinking coke is an American tradition. (ads on pages 75-77)
