Monday, Mar. 26, 1984
Prime Ribbing
Wendy's jingle jangle jingle
It has quickly become the most famous question in America. In schoolyards children gleefully taunt each other with it, and in many households it has replaced "What's for dinner?" as the leading mealtime query. People in long lines at movie theaters, grocery stores and gas stations mutter it with a smile. Even presidential candidates have succumbed to its charm. The question: "Where's the beef?"
All the queries began on Jan. 9, when Wendy's Old Fashioned Hamburgers launched a new, $8 million television ad campaign. The first 30-second spot features three elderly ladies who have walked into a fictional "Home of the Big Bun" hamburger outlet and become outraged by the microscopic size of the patty on a gargantuan, fluffy bun. One woman, played by Octogenarian Clara Peller, asks irately, "Where's the beef?" The implied answer: Wendy's quarter-pound burgers have the beef. In a second spot, Peller uses a telephone to put the inevitable question to the owner of "Big Bun," who is ensconced on his yacht, the S.S. Big Bun.
The punch line is snowballing into a social phenomenon independent of product or sponsor. While such commercial catch phrases as "This Bud's for you," "Reach out and touch someone" and "Nothing beats a great pair of L'eggs" have become well known, few have been adopted so rapidly into everyday speech or been so thoroughly merchandised.
The popularity of the Wendy's slogan is spawning a mini-industry. Michael Stone, president of New York City's Hamilton Projects, Wendy's exclusive licensing agent, estimates that sales of "Where's the beef?" products may reach $30 million by the end of the year. Items bearing the question or Clara Feller's picture will eventually include T shirts, a record album, kitchen utensils, greeting cards, baseball caps, mugs, wastebaskets, dolls (one of which asks the question), board games, three-ring binders and stadium cushions. Says Stone: "Manufacturers have been calling nonstop to get licenses to sell at retail, and those we have signed have been overwhelmed by orders."
Success has brought some troubles for Wendy's. One company wanted to put out a line of male underwear with the slogan "Here's the buns, where's the beef?" Said Stone: "That was a no." Bootleggers are already peddling unauthorized beef byproducts. A T-shirt company sold items to J.C. Penney, and another firm tried to peddle unlicensed refrigerator magnets, before Wendy's forced them both to stop.
"Where's the beef?" has transformed Clara Peller into a cult star. The diminutive former Chicago beauty-shop owner stands to get an as yet unnegotiated percentage of the profits from licensed items that bear her likeness. She has already completed a West Coast promotional tour and appeared on Today, Good Morning America and Entertainment Tonight. So far Peller has received more than 600 fan letters, and a Clara Peller fan club is being planned.
No one could be more pleased with the campaign's success than Wendy's International of Dublin, Ohio (1983 sales: $1.92 billion), the smallest of the Big Three burger companies, behind McDonald's and Burger King. In January, Wendy's enjoyed a 15% growth in sales. A survey of 500 customers who patronize all three chains showed that in January 18% more of them identified Wendy's with hamburgers that have the best value than before the ad campaign had begun. Says Vice President Denny Lynch: "With Clara we accomplished as much in five weeks as we did in 14 1/2 years."
Although Wall Street analysts share Lynch's enthusiasm for the commercial, they do not believe it will help Wendy's bite off a significantly bigger share of the $37 billion fast-food market. Says Joseph Doyle, the fast-food industry watcher for Smith Barney: "What frequently happens with successful ads like this is that people give a life to the expression itself but maybe don't relate it to Wendy's hamburgers." Wendy's is far behind its rivals in number of outlets. It has 2,553 outlets in the U.S., vs. McDonald's 6,704 and Burger King's 3,438.
The two Wendy's commercials are scheduled to run on the networks through April 1. What happens after that date is uncertain. Says Lynch: "We'll just wait and see. The consumer will determine whether Clara returns."