Goodbye, Energy Guys
November 1, 2009 By: Tom Jaenicke LPGasAs a result of the recent Department of Commerce (DOC) restriction of the activities of the Propane Education & Research Council (PERC), the propane industry will lose the right to use images of the Energy Guys for any purpose after Dec. 31. That date is the end of the existing contract for the talent rights of the Energy Guys.
The end of the contract effectively kills all use of Energy Guys images, materials and products by PERC, state associations and individual marketers. Any use of those images or materials by a marketer or association could bring demands for talent rights payments. PERC will not be liable for penalties or usage charges demanded of a state association or marketer for use of materials after year-end.
I alluded to all of this in a recent column when I suggested propane marketers purge the Energy Guys from their marketing materials because the Energy Guys would have little relevance to our industry in the future. A few readers questioned my advice and suggested we continue to take advantage of the huge residual value and recognition that have been established. While I understand those feelings and agree in principle, the DOC restrictions and the evolving energy marketplace make this a moot point.
We’ll all miss the Energy Guys. The performance of Propane (Dan Warner) and Electricity (John Hemphill) and the results were extraordinary. The Energy Guys performed in eight television commercials, four radio spots, five print ads, and had countless appearances in collateral material, Web sites, billboards, etc. The campaign started in 2004 and the last television ads ran in July of this year. It is estimated that more than $60 million was spent on this campaign and many millions of positive impressions of propane were created. Awareness of propane reached almost 80 percent at the height of the campaign.
The advertising awards included:
• Washington Addy six-time award winner
• ITVA Peer Awards five-time winner
• Porter Novelli Global “Grand Prix” Top Global Campaign
• Telly Awards seven-time winner
• DC Art Directors Awards five-time winner
• Platinum PR Award winner
Many of these awards were national and international in scope, and this was no small feat for an industry that had been sorely lacking in creative advertising. Kate Caskin, chief marketing officer at PERC, commented: “The way the propane industry embraced this campaign was impressive and rewarding; a great sense of pride took off throughout the industry. The commercials and the messages truly resonated with consumers.”
So, where do we go from here? PERC has been changing its approach to the marketplace gradually in recent years. Consumer advertising expenditures this year are only about 25 percent of peak levels; more attention has been given to an application-based approach that takes advantage of the propane awareness and favorability that the consumer advertising program had created while driving gallons through new or improved applications. Propane prices caught up with and passed electricity in most parts of the country, so the Energy Guys’ rivalry was becoming a little awkward to handle in advertising.
Caskin addressed the future by saying: “Today, given the restriction, you could say we are writing a new script for propane and PERC. Despite the setback, there’s a great sense of optimism given the major investment made in research and development and safety and training efforts over the years. To see new energy-efficient appliances, new applications for propane, and quality safety and training programs introduced and welcomed by our customers is now a reality thanks to the propane industry’s belief in its own vision and PERC’s mission.”
It’s time to get off the Energy Guys’ horse and put it out to pasture. We had a great ride and it was fun while it lasted. While you are at it, throw away that cardboard cutaway of Harry Morgan too.