Hal Riney & Partners, Inc

Ownership/size/locations -

Hal Riney & Partners, Inc., one of the most famous privately-owned
advertising agencies in San Francisco, CA, was founded in 1986 by chairman and
CEO Hal P. Riney himself. With the branch office in Chicago, Hal Riney &
Partners Heartland, reaches out to clients in different regions as well. Both
San Francisco and Chicago offices employ a total number of approximately 350
employees. Income/profitability -
As of July 1996, Hal Riney & Partners, Inc., had an approximate annual
billings of $475 million. The breakdown of gross billings by media are as
followes: Newspaper - $38 million; Business Publication - $4.75 million; Transit
- $4.75 million; Outdoor advertising - $19 million; TV - $275.5 million; Radio
- $42.7 million; Collateral - $9.5 million; Consumer publication - $57 million;
and cable TV - $23.75 million. Nowadays, the average percentage of earning
for advertising agencies is approximately between .05% to 1% of the total
billings. With a billing of $475 million, it would be logical to assume that
Hal Riney & Partners earns approximately $2.375 million to $4.75 million.
With the acquisition of several new accounts including Acer Group and Sprint
Spectrum, Hal Riney’s billing is now approaching $600 million. Management
Profiles -
The chairman and CEO of Hal Riney & Partners, Inc., is Mr. Hal Riney.
There are over 30 Sr. VPs and VPs holding various positions at the San Francisco
office alone. Some of the key personnel at the San Francisco office includes
Vice Chairman - James Travis; Chief Financial Officer & Executive VP - Lyn
Muegge; Executive VP & National Creative Director - Joe O’Neill; Executive VP,
and Managing Director - David Verklin; Executive VP and Corporate Development -
John Yost; and Creative Director - Gerald Andelin.
The Chicago office handles a set of different clients with its own
different personnel such as Barray Krause - Executive V.P. and Managing
Director; Jonathan Harries - Executive V.P. and Executive Creative Director;
Catharine Gerber - Senior V.P. and Media Director; and Paul Janas - Senior V.P.
and Creative Director. Hal Riney has recently added Scott Marshall as the
president on his pay roll after several unsuccessful search for new partners.
In the past 18 months, Hal Riney had also held conversations with Interpublic
Group (who owns McCann-Erickson, Lintas, etc.) and W.Y. Choi (a majority owner
of N.W. Ayer & Partners) in attempt to sale his agency. Clients -
Hal Riney & Partners serves a variety of clients from auto maker to fast
food restaurant. Current major clients include Acer Group, Alamo car rental
company, Birkenstock, The Walt Disney Company, Cox California PCS, GM Electric
vehicle, Public Broadcasting Service, See’s Candies, Inc., Kaiser Permanente,
Saturn Corporation, Subway Restaurant, Mirage Resorts, Inc., The Good Guys!,
Pharmative Corporation, The Stroh Brewery Co., Progressive Insurance, Crystal
Geyser Water, Kinko’s Service Corporation, Sprint PCS (formerly known as Sprint
Spectrum), and Serta, Inc.
Sprint PCS, a recently acquired client, has an estimated budget of $20
- $30 million. Hal Riney’s first responsibility is to build the brand
personality and image advertising of Sprint’s wireless phone and communication
services. The account is being overseen by Riney co-executive creative director
Steve Sweitzer and creative director Dave O’Hare. Riney will also create
regional print and radio ads to tie into Sprint’s retail alliance, Radio Shack.
In addition to Sprint PCS, Hal Riney is playing a very active role in
Saturn Corporation’s launch in Japan with the seventh largest Japanese
advertising agency, Daiichi Kikaku. Saturn’s goal is to be No. 1 in customer
and dealer satisfaction.
Despite its success, HR&P had raised a rather controversial campaign in
the past. It would only be fair to present some of the unsuccessful campaigns
to achieve the objectivity of this assignment. One of those controversial ones
was the Swedish Bikini Team for Old Milwaukee Beer in 1992. The campaign was
charged and accused of being sexist by native Swedish and various feminist
groups in the US. HR&P withdrew the campaign and later resigned the account.
Corporate/Creative Philosophy -
Hal Riney has a special way to “talk to” the American people. He has a
unique way to profile people and make them seem real, thus give them credibility.
His voice was featured at several commercials such as the Bank of America
advertisement and the KQED Channel 9 in San Francisco. According to Michele
Kirk, the creative director at Macy’s Advertising, Hal Riney won’t pick up a
client that he has no faith in. His ads often give the audience a warm and
fuzzy feeling similar to the “feel-good” ads for Ronald Regan presidential
election in 1984.
The agency has recently revamped the creative department to