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History of JWT by The Knowledge Center.pdf
1. Content from a 2003 presentation by Carol Simas of JWT Knowledge Center.
This presentation is designed to provide a brief overview/timeline of the development of
the J. Walter Thompson Company in New York. Obviously, many of the innovations
developed in New York impacted the entire company, indeed the industry itself.
It really is the story of a group of remarkable and talented men and women who
understood the potential of mass communication aimed to build business, and they set out
to provide an organizational structure and discipline to deliver that service to American
businesses, and eventually to every corner of the world.
2. The story centers on James Walter Thompson, who was born on October 28, 1847. He was
the fourth son of Alonzao and Cornelia (Roosevelt) Thompson. A distant relative of
Theodore Roosevelt. He spent his boyhood in Ohio, but after his father’s death in 1866, he
moved to New York where he enlisted in the Marines Corps. (Thus demonstrating the
beginning of JWT’s relationship with the Marines..)
While in the mMarines he served on the USS Saratoga during the Civil War.
This portrait of Mr. Thompson late in life, wearing his hat as Commodore of the New York
Yacht club, is probably the most famous image of him.
But it is far more appropriate to think of him as the young entrepreneur in the next photo.
3. In 1868, J. Walter Thompson made a decision that forever changed his life and American
business. He joined a small advertising agency named Carlton and Smith, which had been
founded in 1864. They specialized in brokering space in religious magazines.
Thompson began as a book-keepter but soon realized that the ‘solicitors’ (as they were
called) made more money, so he became a salesman and demonstrated great ability.
In 1877, Mr. Carlton informed Mr. Thompson that he intended to retire, and wanted him to
find a buyer for the business. A few weeks later, Mr. Thompson surprised his
employer--after the price was agreed--that he had a buyer, namely himself! He reportedly
paid $500 for the business, and $800 more for the furniture. The entire operation consisted
of 2 small rooms. In 1878, he named the business after himself.
Mr. Thompson revolutionized the
industry in many ways, but one of
the most important was to
recognize the importance of the
housewife, as keeper of the family
budget.
He negotiated exclusive rights to
sell advertising in 30 leading
monthly publications aimed at
women (many had not previously
accepted advertising at all), which
he sold as a group on a monopoly
basis to advertisers--establishing
magazines as a national advertising
medium.
He was later called ‘the father of
magazine advertising.’
As a new business tactic, he
annually published a promotional
booklet describing each publication,
along with the advertisers he had.
4. Mr. Thompson married Margaret Bogel, with whom he had one child--a son named Walter
Roosevelt.
A tireless worker, Mr. Thompson left New York by train on Sunday nights, and would visit
every important city between his office and the Rocky Mountains. His nights were spent in
Pullman trains, his days in the offices of the largest national advertisers in Buffalo,
Cleveland, Detroit, Chicago and Denver. He saw them all.
Mr. Thompson and his wife went to Europe every summer for 20 years, and he always
returned with more business.
5. In 1889: JWT proclaimed in a house ad that 80% of all advertising in the US is placed by JWT
New York.
6. Starting in 1897, JWT published an annual Red Book or Blue Book containing information
about the magazines the company represented; examples of work being done, lists of
clients, and ‘lessons learned’.
This consistent promotion earned an authoritative reputation that lasted for decades.
7. JWT spells out the kind of
clients--customers--desired.
“Thorough business men of
high principle, who keep faith
with the public, making no
promises not borne out by the
facts, and no others. The firm
that feels it has something to
sell, which the world will be
better for buying, and who
desires to tell the world about
it."
‘There are quacks in
advertising as in medicine.
We do not want their business
at any price.”
8.
9. 1897: JWT holds a competition among leading artists to draw the company’s trademark--an
owl holding the lamp of science or knowledge. The winning version is published as ‘The
Emblem of Wisdom and the Lamp of Science.``
This icon has been used extensively on company publications--especially in training
materials--almost continuously since.In the late 1800s, JWT realized more space would be
sold if the company could provide a service to advertisers by creating the content for the
space.
Thus, Mr. Thompson
pioneered the
development of a
‘creative’ department,
by hiring writers and
artists to create ads--in
order to sell more
space.
By 1897, the agency
had over 700 regular
advertisers in the
exclusive list of
magazines.
1897: JWT launches
one of the most
enduring Brand Ideas
in advertising history:
the Rock of Gibraltar
for Prudential
insurance. Still used
today.
10. Circa 1905: JWT publishes
‘Things to Know about
Trade-Marks. Outlining the
agency’s experience and
expertise in this area.
By this time JWT had reached
$1,000,000 in billings.
Also: JWT establishes the first
research department. Harvard
and the Library of Congress
began collecting JWT published
reports and findings.
11. 1901: JWT positions Pabst Malt Extract as the best tonic for women. ‘It will bring out her
beauty, fill in the hollows, cover up the bones and angles, round out the curves and
develop all her lines of beauty. It is a flesh and tissue builder that will make any woman
plump and round and rosy, as she was meant to be. (They suggested 3 glasses a day!)
12. 1902: JWT begins its relationship with Unilever, which (as of 2003) endured as the longest
running client-agency relationship in history. Lifebuoy Soap was one of the first brand
assignments.
13. 1902: Ponds extract (later acquired by Lever) is promoted for its versatility to cure colds,
stop hemorrhages, cure asthma, etc. Also available in liquid extract, toilet cream,
dentifrice, toilet soap, inhaler, nasal syringe, etc.
14. 1905: JWT moves offices to 23rd St. and 4th Ave (later called Park Ave). taking 13,000
square feet. JWT now has 800 active clients. Places sign measuring 175 feet in length
around the corner of the building, making it the ‘biggest sign in N.Y.” according to
newspaper articles.
15. 1909. Mr. Thompson hires Stanley
Resor to run the Cincinnati office. He
would ultimately move to New York,
and along with Charles Raymond, who
had started the Chicago office in 1891,
purchase the company from Mr.
Thompson.
Stanley Resor was CEO for almost 40
years.
1909: Stanley Resor hired Helen
Lansdowne in Cincinnati and she
would become the first female creative
director in the agency business.
She later married Stanley, and together
they would become what David Ogilvy
referred to as ‘the first power couple in
American business.’
Helen is often cited as one of the most
influential writers in the history of
advertising.
16. This is the only remaining photo of Helen, and was taken by her good friend Edward
Steichen--whom she convinced to do some of the very first photography for advertising
purposes.
17. 1915: Helen Lansdowne revolutionizes advertising forever when she writes the first ad
using sex appeal to sell a product: “The skin you love to touch” for Woodbury soap.
AdAge cited this ad as one of the 100 most important ads of the 20th century.
18.
19. 1912: JWT ‘invents’ media research with the publication of ‘Population and its Distribution’,
analyzing US Census data to identify market opportunities for advertisers to allocate media
dollars.
Such studies of US Census data continued to be published by JWT into the 1960s.
James Webb Young, probably the most important creative person ever to work at JWT in
terms of his lasting influence on the agency’s culture and philosophy.
He and Helen Lansdowne teamed to create standards and approaches that became
industry practice.
Together they broke social taboos by talking about perspiration with the famous ad:
‘Within the curve of a woman’s arm’.
20. In 1916: JWT was ‘transformed’!
Mr. Thompson sells the agency to
Stanley Resor and Charles
Raymond for $500,000. (furniture
included, this time.)
He is quoted as saying: “I can
hardly imagine the advertising
trade will grow beyond its present
success.”
The company is billing $3 million,
and employs 117 people.
JWT introduces ‘the T Square’
which comes to symbolize its
approach to advertising planning.
Developed by Stanley Resor, the ‘T’
stands for Target. Asking ‘What
are we selling? Whom are we
selling? Where are we selling?
When are we selling? And How
are we selling?
Resor said’ the agency must first
be able to grasp the business
problem of selling the commodity
just as clearly as the organization
of the manufacturer that makes it.
Everyone who participates in the
planning, production, or placing of
the advertisement must always
have in mind the final effect upon
the person whom the
advertisement is intended to
influence.”
21. 1917: JWT publishes the first ‘White Pea’ house ad, written by James Webb Young, defining
the role of a Brand Idea: an idea so big, so vital and so compelling to your public as to
isolate your product from its competitors and make them think of it as a distinctly different
kind of product.
In effect, the first public explanation of integrated communications..
22. 1924: In the mid 20s celebrities were not movie starts or even radio stars. Celebrities
were society figures, royalty.
Helen Lansdowne Resor was successful in attracting an amazing array of society and royal
figures to give testimonials for brands she advertised.
23. Mid 1920s:
The JWT ‘women's creative group’ creates highly effective advertising aimed at the mass
market: creating memorable campaign ideas that became part of the American
vocabulary: ‘dishpan hands’ was created by JWT.
24. JWT pioneers use of photography in advertising, replacing illustrations. JWT was first to
develop relationships with such legends as Edward Steichen, the most famous
photographer in the world, to produce ads like this for Jergens lotion in 1925. The hands
are reported to be Helen Lansdowne Resor's.
25. Mid 1920s:
Helen Lansdowne Resor commissions the Yellin Gates and doors to decorate the executive
offices of JWT in the Graybar building. Designed to promote an atmosphere of openness
where people could see what management was doing.
1928: JWT launched what would become the most famous and widely used testimonial
brand idea it ever created: Hollywood stars for Lux toilet soap, a brand we created. For
years, the claim ‘9 out of 10 Hollywood stars use Lux’ .
26.
27.
28. 1930: Page one of a letter from FDR asking for a job for his son Elliott. He addressed it to
Mr. Thompson, who had already died.
Elliott never worked for JWT.
29. 1930s: JWT becomes the leading agency for radio. Headed by John Reber, JWT’s radio
department created, wrote, produced and ‘controlled entirely’ many different weekly radio
shows. Virtually every major Hollywood star appeared in JWT produced shows.
30. Lux Radio theater became a huge success, expanding on their Hollywood connection.