Under the Influence with Terry O'Reilly - S5E03 - Zombie Brands

Episode Date: January 22, 2016

This week, the topic is Zombie Brands - products and companies that had a long run of success, then ran into difficulties, and were either shut down or slipped into bankruptcy - only to rise from the dead and exist yet again. We’ll look at an airline grounded 25 years ago that has taken flight again, a retailer that died and came back, a television show that was cancelled then resurrected to become one of the most successful of all time, and an automobile that once ruled the road, was then discontinued, then exhumed. All zombie brands that still roam the earth. Hosted on Acast. See acast.com/privacy for more information.

Hi, it's Terry O'Reilly. As you may know, we've been producing a lot of bonus episodes while under the influences on hiatus. They're called the Beatleology Interviews, where I talk to people who knew the Beatles, work with them, love them, and the authors who write about them. Well, the Beatleology Interviews have become a hit, so we are spinning it out to be a standalone podcast series. You've already heard conversations with people like actors Mark Hamill, Malcolm McDowell, and Beatles confidant Astrid Kershaw. But coming up, I talk to May Pang, who dated John Lennon in the mid-70s. I talk to double fantasy guitarist Earl Slick, Apple Records creative director John Kosh. I'll be talking to Jan Hayworth,

who designed the Sgt. Pepper album cover. Very cool. And I'll talk to singer Dion, who is one of only five people still alive who were on the Sgt. Pepper cover. And two of those people were Beatles. The stories they tell are amazing. So thank you for making this series such a success. And please do me a favor, follow the Beatleology interviews on your podcast app. You don't even have to be a huge Beatles fan. You just have to love storytelling. Subscribe now and don't miss a single beat. In case nobody's told you, weight loss goes beyond the old just eat less and move more narrative. And that's where Felix comes in. Felix is redefining weight loss for Canadians with a smarter, more personalized approach to help you crush your health goals this year.

Losing weight is about more than diet and exercise. It can also be about our genetics, hormones, metabolism. Felix connects you with online licensed healthcare practitioners who understand that everybody is different and can pair your healthy lifestyle with the right support to reach your goals. Start your visit today at Felix.ca. That's F-E-L-I-X dot C-A. From the Under the Influence digital box set,

this episode is from Season 5, 2016. You're so king in it. Scores of it in an instant. Your teeth look whiter than noon, noon, noon. You're not you when you're hungry You're in good hands with us. You're under the influence with Terry O'Reilly. Back in 1989, NBC premiered a new television series on Friday nights at 8 p.m. It was called Baywatch. A man on the low, caught in the raging water A man on the bar, caught in a tap of stone Baywatch. It starred David Hasselhoff as a veteran lifeguard overseeing a bevy of young and buff lifeguards

on the beaches of Malibu, California. Each week, sexy lifeguards save vacationers from drowning, shark attacks, earthquakes, and the occasional nuclear bomb. Baywatch began as a highly rated program, but by the end of the year it had slid in the ratings to 73rd place out of 103 TV shows. It was also expensive to produce, so NBC cancelled it after one season. After the cancellation, the overseas distribution company asked the producers for more episodes.

When they were told there weren't going to be any more, the Europeans said it was a shame because there was a huge market for Baywatch there. That's when producer Douglas Schwartz had a conversation with his uncle, Sherwood Schwartz. Sherwood had been a TV producer too. He created this show. Just sit right back and you'll hear a tale,

a tale of a fateful trip. And this one. It's about time, it's about space, about two men in the strangest place. And this one. Here's the story of a lovely lady who was bringing up three very lovely girls. Uncle Sherwood told Douglas the cancellation was a golden opportunity that he might never have again. He recommended Douglas go to NBC and buy back the rights to Baywatch,

raise some money, and put the show into syndication. That's when a television show is produced independently and airs on multiple stations instead of just one network. As Sherwood told Douglas, this could be your Brady Bunch. So the Baywatch producers went to NBC to buy back the rights. NBC had no hope for Baywatch anymore and sold it to the producers

for $10. That's when Baywatch rose from the dead. Some people stand in the darkness afraid to step into the light. Baywatch returned to television in

1991. The producers had asked star David Hasselhoff to take a 50% salary cut in order to get the show's budget down, but offered to make him an executive producer. Hasselhoff resisted the offer at first, then changed his mind and signed on. That decision would pay off for the Hoff. In 1992, Canadian actress Pamela Anderson joined the cast.

That's when Baywatch exploded. At first, Baywatch started airing in five or six countries in Europe. Soon, that number swelled to 144, making it the number one show in the world. At its peak, one billion people watched Baywatch every week.

Last year, in a global poll of television producers and critics from 80 countries, 45% of them voted Baywatch as the best television show of all time. In distant second place was Seinfeld, with only 22% of the votes. Baywatch had lived, then died, then rose from the beach sand like a zombie. The world of marketing also has its zombies. A brand is created, it's successful for a time, then killed off, only to rise from the dead years later. The list of exhumed products is fascinating, and the amount of them that still roam this earth will surprise you.

They are the zombie brands. You're under the influence. The brand graveyard has countless tombstones. If you're a baby boomer, many of the products you grew up with are now dead and buried. Think Kelvinator appliances, Admiral television sets, and Underwood typewriters. Automobiles like Studebaker, Mercury, and Pontiac. Toys like Easy-Bake Ovens,

Lawn Darts, and Creepy Crawlers. Each won a successful product in its time, selling in the millions, backed by huge advertising campaigns, stocked by all the top stores and dealerships. Until they stopped selling, were abandoned by their makers, and

quietly buried in the brand graveyard. But miraculously, some products rise from the dead. In order for a zombie brand to rise from the dead successfully, it still has to exist in people's minds. The actual product isn't on the shelves. It isn't manufactured anymore. There's no retail presence, no packaging, no advertising. Just the memory of the product exists.

In other words, just the brand name and everything that name conjures up. It's astounding to discover what brands people remember, even though they've been gone for decades. Which is why some companies purchase the brand names of dead products. Getting a new product off the ground and achieving national awareness is one of the most expensive aspects of marketing. It doesn't just take millions and millions of dollars, it takes years and years of marketing. It doesn't just take millions and millions of dollars. It takes years and years of marketing.

That's why some zombie brands have so much appeal. They come with built-in awareness, and in many cases, years of affection that can still be tapped, saving a marketer untold millions. It's like starting a race halfway down the track.

A race the automobile industry understands perfectly. The VW Beetle is the poster child for zombie brands. Selling over 20 million units since its introduction to North America in 1949, the last original Beetle sedan sold in the U.S. and Canada was in 1977. Then, in 1997, the VW Beetle rose from the dead. The new Beetle was reminiscent of the old Beetle, but it was clearly designed to be a modern take on a classic. The basic shape was there, but the changes Beetle, but it was clearly designed to be a modern take on a classic. The basic shape was there,

but the changes were many, including the fact the engine was now in the front. The Beetle was not only one of the most influential cars of the 20th century, it was one of the most

beloved cars of all time, and that affection was something Volkswagen could leverage. As a matter of fact, the theme line for the relaunch of the VW Beetle was the engine's in the front, but its heart's in the same place. That theme line was important to the launch

because Volkswagen needed to tap into the love and affection that had been in cold storage since 1977. It wasn't difficult. I drive a 1963 Volkswagen, and I cannot tell you how much attention it gets. I've watched people take pictures of my car in parking lots. But being unconditionally loved is not necessarily a prerequisite for zombie brands. Take Brim Coffee. Brim was launched by General Foods back in 1961.

You probably remember the slogan. Fill your cup to the rim with Brim. Brim disappeared from shelves in 1995, but a company called River West Brands purchased the Brim brand name and trademark. When River West did research into the equity of the Brim brand name, they discovered it had 92% aided awareness. In other words, when asked if they remembered Brim, 9 out of every 10 people over 25 years of age said yes.

While it wasn't unconditionally loved like the Beetle, Brim's residual awareness was worth millions. So River West used Brim's coffee credibility to release a programmable coffee maker in 2014. So grab a cup, a travel mug, or heck, a whole carafe, and fill it to the rim with Brim. The Brim Coffee Maker. One machine, three sizes. It appears there are plans for a new Brim Coffee, too.

As writer Rob Walker noted in a New York Times article, zombie brands count on your memory, but they also count on the fact you have a faulty memory. Put another way, you only remember the high-level details, the big picture. So while you may remember Brim, you probably don't remember what made Brim unique. Brim only came as a decaffeinated coffee. America, you've got the first strong coffee without caffeine. Brim decaffeinated coffee.

Because most of the 92% who remember Brim won't remember that detail, it gives Riverwest an opportunity to relaunch Brim any way they want. And Brim's decaffeinated past won't hold it back. And we'll be right back. In case nobody's told you, weight loss goes beyond the old just eat less and move more narrative. And that's where Felix comes in. Felix is redefining weight loss for Canadians with a smarter, more personalized approach to help you crush your health goals this year. Losing weight is about more than diet and exercise.

It can also be about our genetics, hormones, metabolism. Felix connects you with online licensed healthcare practitioners who understand that everybody is different and can pair your healthy lifestyle with the right support to reach your goals. Start your visit today at felix.ca. That's F-E-L-I-X dot C-A. Whether you're in your running era, Pilates era, or yoga era, dive into Peloton workouts that work with you. From meditating at your kid's game to mastering a strength program, they've got everything you need to keep knocking down your goals.

No pressure to be who you're not. Just workouts and classes to strengthen who you are. So no matter your era, make it your best with Peloton. Find your push. Find your power. Peloton. Visit Peloton at onepeloton.ca. If you're enjoying this episode, why not dip into our archives, available wherever you download your pods. Go to terryoreilly.ca for a master episode list. The number of zombie brands roaming the earth is surprising. For example, the SOT Sony Walkman is back.

Created in 1979, the original cassette Walkman sold over 200 million units, but was eventually discontinued 31 years later. Sony unveiled the new Walkman in 2015. Polaroid was founded in 1937, declared bankruptcy 72 years later, then recently reappeared licensing its name to a line of televisions, digital cameras and mobile products. Salon Selective's shampoo is back. Created in 1987 by Helene Curtis, it once reached sales of $100 million, then slowly shrank and was discontinued in the early 2000s.

Remember Clearly Canadian? The sparkling water once had worldwide revenues of $150 million, then disappeared in the early 2000s. Now it's back, thanks to a crowdfunding initiative. A company recently bought the defunct Radio Shack brand name for $26 million. The Atari brand name was sold in 2001, and the 156-year-old A&P is looking to sell its brand name after the grocer closed its doors in 2015.

One of the rules of zombies is that they come back from the dead looking very different. Same with the zombie brands. Remember Linens and Things? It was created by a man named Eugene Kalkin in 1975. Kalkin wanted to create a one-stop shop for high-quality household linens and accessories at affordable prices. Over the next 15 years, Linens and Things grew to operate 571 stores in the U.S. and Canada with over 7,000 employees. As time went on, the retailer closed its smaller locations and opened over 100 super stores. Then, things went bad.

As the Great Recession reared its head, super store expansion debt ran into a weakening economy, shoppers stopped spending, and Linens and Things was forced to file for bankruptcy. The store that once boasted $2.7 billion in annual sales was no more. While every product and office chair was sold to pay off creditors, the Linens and Things trademark, website, and a database of 5 million customer email addresses was purchased by an investment company. Then, in February of 2009, the linen zombie rose from the dead.

Linens and Things came back to life as an online-only retailer. LNT.com is the reincarnation of the original store. The product line has been greatly expanded, and while it probably won't do $2.7 billion in sales, it doesn't have to because it has no real estate costs and a greatly reduced back-end staff.

There's a Facebook page too with some interesting comments on it. Once alive, then dead, then alive again. Linens and Things is a zombie brand that still roams the Internet. Then there are some brands that came very close to dying, but managed to keep the coffin lid open just a crack. Take Aqua Velva Aftershave. Know what I love about my man?

He wears Aqua Velva. Ice blue refreshing, ice blue cool. I only know one person who still uses Aqua Velva. I just like it. He wears Ice Blue Aqua Velva. I'll stay new. There's something blue aqua velva? I'll stay near you. There's something about an ice blue aqua velva man. It's still around.

How about Brylcreem? Invented in 1928, Brylcreem was used for years by men to keep their short hair in place. Brylcreem, the little dabble-doo-ya. Oh, watch out, the gals will offer to ya. By the way, that famous A Little Dabble Do Ya jingle inspired this famous moment. Brilkreme enjoyed decades of growth through the 1930s, through the Second World War years, to the greaser hairstyles of the 1950s. Things were going great. Until this happened.

The Beatles! The Fab Four's mop top started a long-lasting, Brylcreem-free trend. The brand virtually disappeared from that point on. It tried to come back by hiring David Beckham to be its spokesperson in the late 90s, then fired him when he shaved his head. Brill Cream has

risen from the dead. The brand is now back in vogue, and it has a very active social media presence. As the new owners of Brill Cream said, it was a product that even neglect couldn't destroy, with brand name awareness remaining steady at around 80% since the 1950s.

Then there's Old Spice. Once the aftershave of choice for my father's generation, it became a punchline. Then rose dramatically and humorously from the dead to smell like a serious brand again. Recently, a zombie airline has taken flight. Eastern Airlines, which began in 1930, would grow to become one of the big four airlines. At one point, it was actually owned by General Motors.

For decades, it operated successfully. I began my career writing ads for Eastern Airlines when astronaut Frank Borman was CEO. But back in the late 1980s, Eastern ran into financial trouble. It clashed with its unions and was heaving under tremendous debt. Then, in 1991, Eastern Airlines was forced into bankruptcy. And that was the end of Eastern Airlines.

But not even gravity can keep a good zombie down. Nearly a quarter century after the original Eastern Airlines shut down, a group of airline managers purchased the Eastern trademarks and relaunched the airline. On May 28, 2015, Eastern took to the air again, flying from Miami to Havana. It currently offers charters only, but expects to have regular scheduled service within 12 months. Even after all those years of dormancy, the Eastern Airlines name still enjoys over 80% awareness. A familiar zombie in the sky. New year, new me.

Season is here and honestly, we're already over it. Enter Felix, the healthcare company helping Canadians take a different approach to weight loss this year. Weight loss is more than just diet and exercise. It can be about tackling genetics, hormones, metabolism. Felix gets it. They connect you with licensed healthcare practitioners online who will create a personalized treatment plan that pairs your healthy lifestyle with a little help and a little extra support. Start your visit today at felix.ca. That's F-E-L-I-X dot C-A.

Whether you're in your running era, Pilates era, or yoga era, dive into Peloton workouts that work with you. From meditating at your kid's game to mastering a strength program, they've got everything you need to keep knocking down your goals. No pressure to be who you're not. Just workouts and classes to strengthen who strength program. They've got everything you need to keep knocking down your goals. No pressure to be who you're not. Just workouts and classes to strengthen who you are. So no matter your era, make it your best with Peloton. Find your push.

Find your power. Peloton. Visit Peloton at onepeloton.ca. Hi. Remember Pan Am Airlines? This is what it sounds like today. Yep, a railway company in New England purchased all the Pan Am trademarks and naming rights in 1998 and is now called Pan Am Railways. But when Pan Am Railways.

But when Pan Am was still an airline, it ruled the sky. Founded around the same time as Eastern Airlines, Pan Am began as an airmail and passenger service operating between Miami, Florida and Havana, Cuba. But it would grow to become a major airline that created many of the innovations that shape modern air travel. It pioneered the use of jet aircraft, wide jumbo planes, computerized reservation systems,

and scheduled the first ever round-the-world flights. But more than that, it brought glamour to air travel. Chances are you've heard about the plane with the spiral staircase in first class. The plane with the two wide aisles and the three widescreen movies and the eight-foot ceilings and economy. And chances are you've wondered, who's going to get this incredible bird off the ground. Now you know. Pan Am will bring you the world's first 747.

Pan Am served lobster and roast beef on China, offered over 80 entrees in first class. It was the airline James Bond used, and in February of 1964, it brought four lads over from England called... At its height in the late 60s, Pan Am had over $1 billion in the bank.

The airline was headquartered in the Pan Am building in Manhattan, the largest commercial office building at the time. It owned the intercontinental hotel chain, and by 1969, it had over 90,000 names on a waiting list to fly to the moon. Pan Am symbolized the future of air travel. Then came trouble. First, the 1973 oil crisis, then airline deregulation,

then crushing debt, then the terrorist bombing of the Pan Am jet over Lockerbie, Scotland, then the Gulf War fuel crisis. Hobbled by a string of knockout punches, the mighty Pan Am World Airways was forced into bankruptcy in 1991. In the intervening years, six failed attempts were made to resurrect Pan Am Airways. But then, in 2007, Pan Am rose slightly from the dead. Pan Am Brands, a licensing division of Pan Am Railways,

began manufacturing Pan Am branded accessories, including over 50 travel bags, watches, cufflinks, passport holders, and baggage tags, all sporting the famous blue and white Pan Am logo that still, to this day, symbolizes glamour. Then, in 2011, ABC came knocking and negotiated the rights to produce a new television series called Pan Am, focusing on beautiful stewardesses, handsome pilots, the usual shenanigans, and the allure of the Pan Am jet set lifestyle. Suddenly, the brand was hot again. It's not you. It's a promise of you.

This is all of us. Pack up, let's fly. Buckle up. Adventure calls. Pan Am was cancelled after one season, but for a fleeting moment, it was a pretty good-looking zombie. There are even zombie brands already in the digital world. Napster disrupted the entire music business

back in 1999. The subversive peer-to-peer service allowed music listeners to share MP3s for free, thumbing its nose at music industry copyrights. That, of course, rained multiple lawsuits down on Napster from all the major record labels. At its peak, Napster had over 80 million registered users. Eventually, in July of 2001, the file-sharing service was finally shut down by court order and had to pay millions in restitution. With that, Napster was dead and gone.

But its brand name and logos were acquired during a bankruptcy auction by a company called Roxio, who sold them to Roxio, who sold them to Best Buy, who then merged Napster with Rhapsody, which now uses the Napster name and logo to run a legitimate music subscription service. Napster is your friend. Take your friend with you. Join us now and get a free MP3 player with a one-year membership.

Join us, Napster. Napster once brazenly existed to make music free. Now you have to pay to subscribe to Napster. It's such a strange reversal. But that's the thing with a zombie brand. When it comes back from the dead, it's a whole new beast. In the marketing industry, it's often said that location is everything. And the most valuable real estate of all is the corner of your mind,

where the memory of a brand lives. Mom-and-pop stores, corporations, and even charities all try to squeeze their trademarks into your life. A brand name is a mental shortcut. It allows for a quick decision when shopping. It dictates who gets your donations. And sometimes it can even influence your behavior. That's why zombie brands are so attractive.

They have already planted their flag in your cerebrum. It might be dusty, it might be in black and white, but that flag still flies. Marketers know your mind can only hold so many flagpoles, and installing a new one is the most costly marketing

of all. The New York Times wrote that the power of a zombie brand is found in its nostalgic reassurance, that your affection for an old brand is colored by your yearning for the good old days. It's a seductive strategy. That's why zombie brands have to feed on your memories when you're under the influence.

I'm Terry O'Reilly. This episode brought to you by... Jerix. What's in your wallet? Under the Influence was recorded at Pirate Toronto. Series producer, Debbie O'Reilly. Sound engineer, Keith Ullman. Theme music by Ari Posner and Ian Lefevre. Research, Tanya Moryusev.

Um, do you wear clothes when you listen to our show? If so, have we got a t-shirt for you. Go to terryoreilly.ca slash shop. See you next week.