A SUPPLEMENT TO 2ND ANNUAL GUIDE TO ADVERTISING & MARKETING FACT FPACK 2004 EDITION SPONSORED BY PPublished Dec. X, 2003 © Copyright 2003 Crain Communications Inc. FACT PACK TOP LINE DATA ON THE ADVERTISING AND MEDIA INDUSTRIES Who are the top ad spenders in the U.S. and on a global basis? What are the hot ads and how much do they cost? Who are the big ad organizations and how do their agency brands stack up against their competition? How big and far-reaching are those media monoliths? It’s all in the FactPack, whether in print form on your desk, or a click away on your computer or network. The FactPack is presented in three sections: Advertising and Marketing section data were pulled from Advertising Age’s 48th annual 100 Leading National Advertisers, and the publication’s 200 Megabrand and Global Marketers reports. The LNA report breaks out total ad spending by media for the 100 largest U.S. advertisers and charts the hotly contested industry categories by market share and brand spending. The Media section’s primary source is the 100 Leading Media Companies, an annual ranking of the nation’s media companies by net revenue. The Agency Report section, in its 58th version, ranks nearly 500 U.S. agency brands, the world’s top agency brands, the world’s top 30 ad organizations, and the top media specialist companies. NEW THIS YEAR New to the FactPack this year is a chart showing the major accounts of the top five U.S. advertisers and the agencies covering them; a chart delineating properties of the top 10 U.S. media companies; and a chart that identifies the major networks and agen- cies connected to the world’s top four ad organizations. FREE DIGITAL EDITION A free pdf edition of the FactPack can be read using Adobe Acrobat. Go to AdAge.com and use QwikFIND aap36o. Where indicated, a more comprehensive ranking is posted on AdAge.com. 23 YEARS AGO, LIGHTNING STRUCK IN ACCESS. AD AGE DATACENTER TO REACH US Staff: R. Craig Endicott, Kevin Brown, Email [email protected]; send Scott MacDonald, Mark Schumann, mail to Advertising Age , 711 Third Ave., Mike Ryan, Jennie Sierra. New York, N.Y. 10017 or call (212) 210- The FactPack is a supplement to 0100. Subscription and print single copy Advertising Age, published March 8, sales (888) 288-5900; Advertising (212) 2004. Entire contents © Copyright 2004 210-0159; Library services (312) 649- Crain Communications Inc. 5476; AdAge.com [email protected] WHO SAYS LIGHTNING NEVER STRIKES TWICE. FROM THE PEOPLE WHO KNOW ENTERTAINMENT BEST COMES A WHOLE NEW TAKE ON CELEBRITY. WITH ET BEHIND IT, THERE’S NOTHING BUT CLEAR SKIES AHEAD. FOR MORE INFORMATION CALL 212-654-6931 Save for Easy Reference DIRECTORY OF CONTENTS In the pdf version, click anywhere on the items below to jump directly to the page. PRODUCTS & SERVICES ADVERTISING & MARKETING Major divisions of top five advertisers and their agencies . .10-11 JANUARY 19, 2004 Top U.S. advertisers . .12 CRAIN’S INTERNATIONAL NEWSPAPER OF MARKETING | U.S. $3.99, CANADA $ 5.00, U.K. £3.95 ADAGE.COM ADVERTISING AGE ■ LATE NEWS POLITICAL MARKETING Top U.S. megabrands . .13 Two top marketers Dean’s devices exit posts at Snapple [WHITE PLAINS, N.Y.]Michael Sands, chief marketing officer of Snapple Beverage open new era in Group and Mott’s, resigned amid a reorganization of Cadbury Schweppes’ U.S. ad spending totals by media . .14-15 Americas Beverages Group. Snapple Senior VP-Marketing Sheryl Adkins-Green battle for voters Display advertising: Contact Jeff Burch at also quit. Cadbury is seeking a chief marketing officer for its Americas Beverages Group and Mr. Sands had been By IRA TEINOWITZ a contender. Mr. Sands said he plans to whether or not he wins the Democratic primary, no less start a food and beverage company. Y A the election, Vermont Gov. Howard Dean will go down in V Interpublic Group of Cos.’ Deutsch, New C M history for writing a whole new chapter in the political mar- York, handles Snapple. Ms. Adkins-Green N A Top global marketers and spending in top 10 countries . .16-17 Y keting textbook. 212-210-0280 or e-mail [email protected] didn’t return calls for comment. R Ever since Bill Clinton wailed his sax on “The Arsenio The Hall Show,” presidential candidates have borrowed the high- impact, high-gloss marketing techniques from hot consumer P&G targets moms with brands. But Dean has taken the art to new political heights. viral-marketing program Witness his use of viral e-mail tactics to motivate grass- roots support and his high-traffic Web site replete with its [CINCINNATI]Procter & Gamble Co. is “Howard Dean for Iowa” virtual game and online store of- developing a viral-marketing program it fering items like a “Dogs for Dean” calendar. Supporters hopes to launch in early 2005 targeting Consumer brand market share leaders in select categories . .18-23 have also ponied up funds for a can- See DEAN on Page 38 moms ages 30 to 49. The program is modeled on P&G’s Tremor teen Web effort, said Ted Woehrle, general manager HOURS of the program. Tremor has 280,000 O&M charges underscore problems Classified advertising: Contact Margret Wax participants, representing 1% of the U.S. teen population screened to include those with squishy science of timesheet billing with the biggest instant-messaging or e- mail lists and a propensity to spread By HILLARY CHURA Most recalled and most liked ads of 2003 . .24-25 product news. Tremor gets 80% of its revenue from marketers other than P&G. federal fraud charges against two former Ogilvy & Mather executives highlight se- rious flaws in a commonly-used “bill-by-the-hour” compensation system that is so in- at 800-248-1299 or e-mail [email protected] exact, tough to implement and open to manipulation that time-sheet inaccuracies has Soldano joins MindShare, become commonplace. Numerous agency staffers who spoke with Advertising Age—from administrators to shore up AmEx account to CEOs—concede the mushy science of compensation. It ranges from ballparking how [NEW YORK]Interpublic’s MindShare North they spend their time, to figuring that discrepancies will even out in the long run, to hid- America, New York, named Steve ing costs and hours in client codes that can more easily absorb the expense. Though in- SHAUN HEASLEY See LATE NEWS on Page 2 accuracies generally are minimal and not maliciously designed See HOURS on Page 37 DEAN: Many consider his to be the first successful Internet campaign. WHERETHE ARE Verizon Wireless puts $315 mil in play GUYS the wireless industry. There’s talk ages, offering consumers not just Wireless giant ‘not completely satisfied’with that No. 2 player Cingular, with wireless services but landline, broad- Lowe; media duties,regional biz unaffected 23.4 million subscribers to Verizon band and other integrated connec- By ALICE Z. CUNEO Wireless’ 36 million, will combine tions, are likely to offer the biggest ADVERTISING AGE spends $828 million in advertising, with No. 3 AT&T Wireless, with competitive advantage, said Jeff Ka- and LISA SANDERS MEDIA although it is estimated that rough- 21.9 million subscribers, as mea- gan, an Atlanta-based independent ly half is spent on national media. sured by Yankee Group data. Such telecommunications based analyst. facing industry consolidation “We are not completely satisfied a combination would give Cingular “All [the various telecommunica- Lost and found: and an integrating marketplace, Ver- with what we have received from a 30.5% market share, as compared tions sectors] are blurring into one AdAge finds the izon Wireless has decided it needs IPG,” said spokeswoman Brenda to Verizon Wireless’ 24.3%. big communications network that enigmatic 18-34 fresh marketing ideas-andhas put its Raney. At the same time, telecommuni- requires thinking on a new level we men See P. S-1 national ad account up for review. The review comes amid a major cation companies face a converging haven’t seen before” in order to cap- INTERACTIVE CHRIS CASSIDY The nation’s leading wireless shakeout among the six players in marketplace where bundled pack- See VERIZON on Page 37 03 How to buy money Meet the new boss 0 USA, NBC nets spend Townsend takes on money on money to challenge as new CEO Major properties of the top 12 media companies . .28-29 promo shows PAGE 33 of Conde Nast PAGE 4 NEWSPAPER 71896 47844 AdAge.com 0 Fall 2003 network prime-time pricing survey . .30-31 Advertising Age’s Web site, updated daily Top U.S. media companies . .32 To advertise, contact Lynn Ingham at Top media companies by sector . .33-35 415-538-0202 or e-mail [email protected] Top magazines by circulation . .36 Top magazines by ad pages and total gross revenue . .37 Ad Age’s AgencyPreview.com, in cooperation Top newspapers and web sites by ad revenue . .38 with AdForum.com. The largest searchable database of U.S. agencies on the Web TV syndication’s top advertisers by ad spending . .39 TV network ad revenue totals . .41 MadisonandVine.com Super Bowl ad costs, ratings, viewers 1967-2004 . .42-43 The hottest Web site for news on the convergence of entertainment and advertising. AGENCY REPORT To subscribe, visit wwww.madisonandvine.com Major networks, agencies of the top 4 advertising organizations . .46-47 AD AGE CUSTOM Top advertising organizations and market share pie . .48-49 PROGRAMS Top core agency brands . .50-51 Top independent agency networks . .51 Ad Age Group’s Custom Programs offer a wide Top interactive and direct marketing agencies .