Virginia Meyer1, the VP of Advertising at Cato Corporation2, called me one day in early 1995 to ask about the AdDept system. I flew to Charlotte, NC, and made a presentation. Somehow she persuaded the company’s IT department to buy AdDept for her on an AS/400 that they were using for some other purpose. I installed the system in July of 1995. Over two decades later I still do not understand why they bought the AdDept system and used it for five years.
Cato was definitely unlike any other AdDept client. During the first visit Virginia explained that the company had about six hundred stores. They generally ran only one sale per month, and they timed it to start just after welfare checks were likely to be received. This way of thinking was not prevalent at Saks or Neiman Marcus. For a while Cato had left purchasing of broadcast ads to the individual store managers. However, several of them spent their budgets on Christian stations with extremely poor ratings. The advertising department eventually brought the buying in-house.
No Cato stores in Maine or Montana.
Virginia’s motivation for wanting the system was primarily because I said that we could provide her with sales data about the stores. Most of the work that TSI did was to construct an interface with the corporate sales recording system and to produce a report called Volume by Market. Many new fields had to be added to the store table in order to produce it. The one that I remember most vividly was one that designated whether the store was near a military base.
What, you may ask, did this have to do with advertising? Not much, but Virginia had been trying for years to get the IT department to provide her with sales information so that she could tell whether the company was spending its money wisely. The IT people had never addressed the request.
The people: I got to know a few people in the IT department. I remember that we went somewhere for lunch at least a couple of times. Aside from them and Virginia, the only person with whom I worked was Lisa Nutter3, who managed the advertising business office. She was our liaison during her short career at Cato.
Memories of Charlotte: I remember going to Charlotte with Doug Pease, who was introduced here. So, we must have done a demo for them either on their equipment or at IBM. I remember that I was very impressed by the airport in Charlotte (now called Charlotte Douglas International Airport in 2023). It had a very nice selection of restaurants in its central court and a large collection of rocking chairs positioned along the windows. It was a hub for US Air at the time. I could fly there directly from Hartford.
Near the exit from the terminal was a large statue of Queen Charlotte, the wife of King George III, the monarch whose behavior so upset the American colonists. She gave birth to fifteen children. Mecklenburg County was also named after her duchy. I have not researched why she was so popular in this remote corner of North Carolina.
Traveling from the airport to Cato—or anywhere else in Charlotte—required driving on Billy Graham Parkway. I guess that I should not have been surprised that the people and politicians in Charlotte were proud of his legacy as Richard Nixon’s moral compass.
I recall little about the demo or the first meeting. The thing that I do remember is that Doug and I spent most of a day at Carowinds, an amusement park that was on the south side of Charlotte. Actually part of it was in South Carolina. A brick sidewalk marked the boundary. I was not sure at the time whether I had ever been in South Carolina, and so I made certain that I crossed the border at least once.
50 mph.
Doug and I challenged each other to ride on the stand-up roller coaster called Vortex. I won’t say that I really enjoyed the experience, and I would not do it again. However, I am glad that I tried it once. Important note: neither Doug nor I got sick. If you are interested in what it was like, you can watch this video.
We stayed at a Holiday Inn that was at the far end of the parking lot for a strip mall on Woodlawn Road just west of I-77. The primary attraction of the strip mall was The Gentlemen’s Club of Charlotte. I learned that “gentlemen’s club” is a euphemism commonly employed in the South for what northerners would call strip clubs or girlie bars.
I am pretty sure that I stayed in this hotel, which at some point before 2023 was converted into a Holiday Inn Express, for all of my trips to Cato. I did not patronize the GC of C, but I did manage to run a few miles on several evenings in the residential area behind the hotel. The nearby KFC was my primary source of nourishment on most of those evenings. I also liked a Mexican restaurant named Azteca4 near there.
On one of my visits I came across a Cato store in a strip mall. I took a short circuit around the store. I saw enough to know that it was not for me.
Lost but not gone forever.
I ate lunch with the IT guys on a different visit. Somehow I lost my American Express card, the only credit card that I had at the time. I had to cancel it and get a new one. It was a bother, but no one tried to use it.
For some reason I was invited to a meeting at Cato that was attended by the president of the company. His name was, not surprisingly, also Cato. He was not impressive. The other executives at the meeting seemed to need to explain everything to him.
There are still plenty of these.
Epilogue: Early in 2000 I received a phone call from Virginia. She told me that they were canceling the AdDept maintenance contract and the open programming projects. Denise Bessette (introduced here), who by then was TSI’s VP of Product Development, took this news very hard because one of the issues that Virginia mentioned was that some of the open projects had been open for several months. Shortly thereafter Lisa resigned.
I suspected that the company must have instituted austerity procedures. Almost never did a client cancel its maintenance contract and continue to use the AdDept system. In fact, when I started this project, I expected to learn the Cato was no longer in business. Nothing could be further from the truth. According to Wikipedia in 2023 it had 1,372 stores with five logos.
1. Virginia Meyer worked at Cato until 2002, but her influence seemed to vanish in 1999. Her LinkedIn page is here.
2. Despite the fact that Cato has always been a family-run business that was named after its founder, it’s logo is in capital letters, which gave me the impression that it was an acronym.
4. A restaurant called Plaza Azteca opened in Enfield, CT, in a location that had already been the home of several failed restaurants. Parking was difficult, and many other restaurants with established clientele were nearby. Sue and I went there once and were not impressed.
It closed after only a few months.I don’t know if it was affiliated with the one in Charlotte.
I have been putting off the writing of this page for the last few months. Macy’s West was a big and important client, but my memories of most of the people and the projects that we did for them are hazy. To make matters worse, I have found very few notes about the installation and no photos whatsoever.
Macy’s flagship store and Union Square.
Macy’s was acquired by Federated in 1994 shortly after both companies emerged from bankruptcy. TSI had been pitching Macy’s West, the division that was administered in San Francisco, about purchasing an installation of the AdDept system for some time.
I am pretty sure that the original inquiry from Macy’s West came from Gary Beberman, who had been our liaison for the very first AdDept systems at Macy’s East in New York City (described here) and who had also consulted on the installation at Neiman Marcus (described here). He and his wife, who also worked at Macy’s, had moved to the Bay Area, and Gary had taken a job at Macy’s West. The advertising department was looking for a system, and Gary recommended that AdDept be considered. He told them what we had accomplished in Manhattan and probably also mentioned things that could have been done but weren’t.
I vaguely remember doing a demo in San Francisco, and I think that Doug Pease might have come with me. I have a vague recollection that someone from the I. Magnin stores, by then managed by Macy’s West, was in attendance. It may very well be that the Macy’s West advertising department was able to use an AS/400 that had formerly been used (probably for accounting) by I. Magnin.
In the first few years most of our dealings were with Gary. I did quite a bit of consulting on my trips to San Francisco, but he did most of the training of the users in San Francisco. Since they used hardware they already owned, we were not involved in quite a few aspects of the installation that we often were.
That arrangement was positive in that it allowed me and the rest of the people at TSI to spend more time on more productive activities. The down side, however, was that none of us at TSI had a good feel for how well the installation was going. Macy’s West seldom called for support and used AdDept for fifteen years. Our association stopped only when the corporate bigwigs brought all of the administrative functions to the Big Apple.
My visits to Macy’s: I made a half dozen or so trips to Macy’s West over the years. I flew to San Francisco on whatever airline had the best rates at the time. It might have been United, Delta, or American. The flight back was always on a red-eye.
The advertising department at Macy’s was located in a building that was a few blocks from the huge store in Union Square. It might have been on Fremont St. I stayed at a Holiday Inn that was on either Mission St. or Market St. I don’t think that the hotel is still there. It may have been sold to another chain.
I did not rent a car; I took BART from and to the airport, and I walked from the hotel to Macy’s headquarters. I may have taken a taxi once or twice. I only remember one meal that I ate in San Francisco. Gary Beberman and I walked to one of his favorite restaurants that was, I think, in Chinatown. I remember no further details. My meals on other occasions were probably grabbed in passing from fast food places.
I am pretty sure that on one occasion I took the cable car from the turnaround on Powell Street up to the top of the hill. I did not visit the Cable Car Museum. It was in my price range. So, either I did not know about it, or I might have been pressed for time.
The people: I only have notes and memories of two people whom I worked with in the first twelve or thirteen years. Emily White was the Senior VP of the advertising department from May 1996 to October 1998. Doug knew her from their time together at G. Fox in Hartford. I later worked more closely with her at Meier & Frank in Portland.
Around the turn of the century there was a major upheaval in the department. This is what I wrote in 2000:
They have recently undergone wholesale personnel changes. We have done a lot of work for them designing interfaces. We have designed very few reports. They must use a number of queries to create reports. The original training was done by Gary Beberman, who lives in San Francisco, and was our first liaison at Macy’s East.
I do not have a good feel for what they are doing at Macy’s West. I imagine that they could benefit a great deal from a few days of our time.
Dan Stackhouse was our liaison in later years. He was in charge of the local network used in the department. He did not really know much about either the AS/400 or the AdDept system, but he was able to gather specs for new projects for us and address connectivity issues.
I remember that Dan was fired by Macy’s, and he sued them over this action. He asked me to submit an affidavit explaining our relationship. I did what he asked, but I doubt that it helped his cause much. I searched the Internet for references to his lawsuit. I did not find much.
AxN: Because of Gary’s close involvement with the project, almost all of the work that we did for Macy’s West was in the establishment of interfaces with their corporate accounting systems. We customized very few reports for them.
One very unusual project was the coding and installation a menu that could be used by people in the merchandise departments to look at information about their ads. They set up user IDs for each department or group that were restricted to the programs and queries available from this menu.
The only other project that I remember in much detail was involved with AxN, TSI’s system for sending and managing insertion orders for newspaper advertising space. Unlike Macy’s East1, the people in San Francisco were very enthusiastic about delivering insertion orders via the Internet.
TSI’s initial contact with the newspapers that would hopefully be subscribing to the service was a letter written by me and signed by someone at the advertising department. I remember vividly that the woman whom we asked to sign it had no additions or changes to the letter, and she definitely wanted us to send it. However, she did not want to take the time to sign the letters herself. She said, “You can just sign them.” So, for the first and only time in my career I added the role of forger to the long list of activities that I did for the company.
The AxN installation at Macy’s West provided TSI with a few far-flung clients. Macy’s purchased Liberty House, the chain of department stores and resort-wear stores based in Hawaii, in 2001. One of those stores was in Guam, and the Pacific Daily News subscribed for several years.
The last trip: My last trip to Macy’s West was for two days at the end of July 2007. I learned that Sheila Field was the Senior VP of marketing. She had in fact been there for several years and before that at Foley’s in Houston, where I spent a lot of time in the mid-nineties. I never had met her, and she was also not available on this occasion. I did meet with many other people. I did not do a great job of learning names. Here is the unedited list from my notes:
Sheila Field.
Sheila Field2 is the Senior VP. She is from Foley’s. I almost certainly know her, but I did not get to see her on this trip. Kedar Stanbury3 is in finance, which means planning at Macy’s West. So is Von Jones4. Their boss is Chuck Allen5. The business office manager is Gary Veran6. His assistant is Diane _______. Laurie Hamilton7 is the print media director. Jennifer Hung8, Kelly ____, and Terry _____ work for Laurie.
They reported quite a few anomalies that they had been living with. I made it clear that they should report these to TSI. We always fixed things promptly. They gave me a list of areas that they were interested in using AdDept for:
Contracts.
Work group limitations for purchase orders. Does this even work? They want to make sure that the direct mail people create nothing but direct mail purchase orders. Do we have a way to do this?
The plan was for me to return in “a few weeks”. I cannot overstate how psyched they were for using AdDept more productively. My notes stated that I thought that they would approve whatever programming was needed for every item on the list.
Alas, the plan never was carried out. In February of 2009 management of all advertising for all Macy’s divisions was consolidated in New York. Within a few years none of the people mentioned above were still working for Macy’s. I don’t think that any of them made the transition to New York.
This consolidation was a major blow to TSI. I knew that there was little or no chance of persuading the consolidated Macy’s to use AdDept. Macy’s West was a big client for both AdDept and AxN.
1. For some reason Macy’s East never used AdDept for insertion orders. They did not even use it to print copies. Instead they called each paper and described each ad that they wanted to run to the newspaper’s rep. It baffled me that they could not appreciate how much faster and easier it would be to use AdDept, which had all of the information on the order, to send orders to all papers at once. Everyone who used AxN—both newspapers and advertising departments—were very happy with it.
2. Sheila Field’s LinkedIn page can be found here.
The Elder-Beerman Stores Corporation owned and operated a chain of department stores based in Dayton, OH. That is, the flagship store was in downtown Dayton. However, the corporate offices were on El-Bee Road in nearby Moraine, OH.
In 1994 or 1995 Doug Pease, TSI’s marketing director, received a telephone call from Jack Mullen1, the Senior VP of the advertising department at Elder-Beerman. Jack had known Doug from the years in which they both worked in the advertising department at G. Fox, the Hartford-based department store chain that was owned by the May Co. We flew to Dayton (on Delta through the Cincinnati airport, which is actually in Kentucky). I don’t remember much about the department’s requirements or the demo except that everyone talked as if the purchase of the AdDept system were a done deal. I suspect that Jack must have already secured funding before inviting us.
Jack invited us to his house for supper. I remember a few things about the experience:
Jack had a weird handshake. He extended his forefinger to the inside of my wrist. I found this vaguely threatening. Is this a Masonic handshake? In the photo the guy on the left demonstrating the same grip is George W. Bush.
Jack and his family lived in a very nice house in the suburbs. We sat for a while on the patio in the back There was a brook or something in the back yard. It seemed to be an embodiment of the American dream. I am sure that Doug, who had a family of his own, felt the same way.
Dayton is about as far west as possible in the eastern time zone. It was still light after 9:00 in the evening.
I made several trips to E-B for training and exploration of further software development. On most occasions I flew to the Cincinnati airport, rented a car there, and drove north. I usually stayed at the Holiday Inn2 in Franklin, OH. The door in every room in this hotel opened onto a corridor that went all the way around a huge pool. I was never tempted to enter the pool, but for some reason this configuration appealed to me. Perhaps it was the persistent odor of the chlorine.
I usually arrived at the hotel rather late at night. In the morning I ate breakfast somewhere and then drove to Moraine. On the way I was startled to see a sign at the office of a company with the name Tailored Systems Incorporated3.
EB’s glamorous headquarters on El-Bee Road in Moraine.
In the preparatory phase of the installation I worked mostly with Debra Edwards4, E-B’s Advertising Director. Doug and I had met her in Cleveland when we were pitching an AdDept system for May Ohio. That division was abruptly folded into Kaufmann’s before TSI even made a proposal. A description of that event has been posted here.
Thereafter TSI’s primary contacts at E-B were with the business office manager, whose name I don’t remember, and Julie, the ROP manager who had the misfortune to attend the large state university in Columbus. Fortunately, all of this occurred during a stretch of dominance by the Wolverines in The Game.
We did not do a lot of custom programming for Elder-Beerman. I am sure that they had a few peculiarities, but the only two that I can remember were 1) the advertising calendar, which had separate columns for the days of the week, but Sunday had two columns, and Monday and Tuesday were crammed into one, and 2) the six-digit department numbers. AdDept’s system design provided for only three-digit. One thousand different departments was for some reason not enough for E-B. I came up with a workaround, but it would not have worked if they had wanted to enter measurements or use the productivity or cost accounting programs. They never did.
From October of 1995 to December of 1997 E-B was under Chapter 11 bankruptcy protection. Nevertheless, I don’t remember that TSI suffered much, if at all, from this situation. The regional department store model that had generated huge profits in the eighties and early nineties was clearly no longer reliable. For the most part the retailers that used AdDept seemed to adapt to this new reality better than the ones that didn’t.
Lori is on the right. I did not record the names of the other ladies, and I don’t remember them.
Lori Brunswick worked in the advertising business office when we started the installation. By 1999 she was the manager. In 2021 I found some notes that I had written about her management style: “Lori is an interesting case. She doesn’t even let me talk to any of the people that work for her.” Nevertheless, I found everyone at E-B rather easy to work with. We never had a crisis that I can recall.
I found another note from the same period that asked, “What ever happened to the project to convert Elder-Beerman’s debit memo system?” At a distance of over twenty years, I could not tell you what a “debit memo” was in the context of their operation. I certainly don’t remember whether they hired TSI to code a system to replace the one that they had.
For the next couple of years the hardest work that TSI did for E-B was opening the envelopes containing the checks for software maintenance. However, in 2003 E-B, a publicly owned corporation, was acquired by another TSI client, the Bon-Ton5 of York, PA. Almost all of the jobs at the EB headquarters were immediately eliminated. By 2018 all of the E-B stores had been closed and sold to liquidators.
A very thorough documentation of the entire history of Elder-Beerman is available at this website.
Jack Mullen
1. I dealt with Jack Mullen several times after he left E-B in 1999. His LinkedIn page is here.
2. This Holiday Inn has, I think, been converted into a Holiday Inn Express with two much smaller indoor pools.
3. This company still has a status of “active”, but its principal contact is a lawyer whose office is in Dayton.
McRae’s was a chain of department stores based in Jackson, MS. In 1994 the stores were acquired as a division of Proffitt’s,but the stores retained the original logo and were administrative from the headquarters in Jackson. Either the Senior VP, whose name was Oscar, or Marianne Jonas, the Advertising Director, got in touch with Doug Pease1, TSI’s Marketing Director. They were interested in TSI’s AdDept software system. Doug made the arrangements for a two-day visit.
Doug and I flew to Jackson, rented a car, and met with Oscar, Marianne, and a few other people in McRae’s advertising department. It was located not on a high floor of one of their stores but in a very large single-story structure immediately off of Highway (NOT “Route”) 80 on the southeast side of Jackson. It had a very large elegant lobby and a curious lack of open space anywhere else. There were a large number of walled-in areas. The corridors between them all ran north-south or east-west. It reminded me of a maze created for rodents.
Oscar advised us to drive west to I-220 and to approach IBM from the north.
At the end of the day spent gathering information about how they did business I asked Oscar for advice on how we should drive to the IBM office on the following morning. We were staying at a Holiday Inn or Hampton Inn in Pearl, which is just south of the airport. He outlined a route that, by my offhand calculation, would take us at least ten miles out of our way on a journey that was scarcely more than that in total. I asked him why we could not just go up I-55. He depicted that route as being “too congested”.
I was doing the driving. I informed Doug that we were going to ignore Oscar’s advice. I used the map that Avis provided to plan a simple route that took us north on I-55 until we came to the exit. To our surprise IBM’s office building was actually right on the exit ramp. It would have been almost impossible for us to find it if we had been coming from the north as Oscar suggested. Yes, there was a modicum of “congestion”. I had to brake a couple of times, but, believe me, driving in Jackson was much easier than navigating Boston’s snake nest of roads.
On the first visit Doug and I somehow had a free day after the presentation. We drove down to Jefferson Davis’s home, which is in Biloxi (pronounced BLUX ee locally) and is called Beauvoir. The drive down to Biloxi was stunning. I could not believe all of the rundown trailers and shacks that were visible from the highway.
The mansion itself was nothing special. There was an incredibly large tree in the yard that impressed me much more than anything inside,
So, the takeaway from this little journey was that the leader of the rebellion was allowed to spend the rest of his days living in luxury while the people whom he and his fellow plantation owners had enslaved and their descendants were still living in deplorable conditions. This was our welcome to Mississippi.
Oscar and Marianne liked our proposal and signed the contract. When I returned to Jackson to install AdDept I was escorted to the Data Center (in the same building as the Advertising Department) by a guy whose name was Bill Giardina. He pronounced it Gar DEE nah, with a hard G—as if the i was not even there. I really only needed for him to show me where the box and the system console were, but he stayed nearby and distracted me with homespun chatter all day long.
One evening Doug and I attended a minor league baseball game, probably on the installation trip. The Jackson Generals2 played a seven-inning game at their nice little stadium. I don’t remember the score or the opponents or even who won, but I do remember that we had a very nice relaxing time.
I remember only a little of what TSI needed to code for McRae’s. Oscar had an advertising schedule that he had devised on his PC. We had to produce the same data in roughly the same format. I don’t recall it being exceptionally difficult. We also needed to create an interface between AdDept’s expense and co-op programs and the corporate accounting system that was called Walker.
At Marianne’s insistence I trained two people from the IT department on how to check the backup to make sure that all the important libraries made it to tape every night. I don’t remember whether I tried to talk her out of entrusting people outside of her department with the responsibility for assuring the integrity of the backup. This became an important issue at Proffitt’s, as described here.
The people:I took photos of three people at McRae’s: Marianne, Melba Willis, her right-hand person, and Ivy Klaras3, who managed the accounting area. I don’t remember too much about Melba or Ivy.
Melba (nearest to camera) & Marianne
Melba at her desk.
Ivy.
I worked closely with Marianne both in Jackson and later at Proffitt’s in Alcoa TN. She was intelligent and a hard worker, a combination that I did not often encounter in the business that I dealt with in the South. She was also a big fan of the University of Alabama’s football team.
I got along pretty well with all of the people at McRae’s. This is what I reported in November of 1999:
I don’t like Jackson, but I like the people at McRae’s. I am even warming up to Ivy. This is the only division that is putting in a real effort to take advantage of as many aspects of the system as possible. They are printing claims4 in all media except broadcast. I made a few adjustments to the broadcast claims today. Tomorrow we will print broadcast claims.
On at least one occasion I bought boneless sirloin, green beans, sour cream, and McCormick’s Beef Stroganoff seasonings and made myself enough for two delicious meals in this kitchenette.
Life in Jackson: I have a lot of memories of Jackson. Most of them make me chuckle when they pass through my consciousness, but I never enjoyed my time there. My strategy for dealing with this very strange place was to leave the word “why” at home.
The drive to the Jackson airport was ridiculous. It was quite close to the city center, but unless you were a bird or had a jet pack, you had to drive several miles south to I-20, exit after a few miles, and then drive back north to the airport. At the end of the exit was a stop sign. From there you were forced to cross two lanes of southbound traffic (with no stop sign) to reach a roadway large enough for only one car in the median. From there one had to attempt to merge in with the traffic in the passing lane of the northbound highway.
Between the exit and the airport was a rotary. In all of the times that I visited Jackson I never saw any cars enter the rotary from the east or west.
When I was in the South I often went to Cracker Barrel for supper. I always ordered the same thing: pot roast with green beans and unsweetened iced tea. In Jackson the waitress came up to my table and greeted me with “How are y’all doin’?” Her pencil was poised over her pad.
I responded., “Fine. I’d like the pot roast with green beans and a large unsweetened iced tea.”
Her pencil was motionless. Instead she ventured this evaluation. “You’re not from around here, are you?”
I drove to Kmart one evening. This was before the advent of self-checkout machines. I was in line for a cashier; behind me was a young black woman with her son who was perhaps eight or nine. He tugged on my jacket and said, “Mister, if you were my daddy, would you let me have a Mountain Dew?”
I immediately responded, “Absolutely not. It’s full of sugar and caffeine!” It later occurred to me that that would probably be the last time ever that someone his age might think of me as a potential daddy rather than a granddaddy.
One evening I was at the Jackson airport a bit late for my flight to Atlanta. I checked in and rushed to the gate. To my joy and relief there was absolutely no line at security! I put my briefcase on the treadmill without taking out my computer. The one person on duty let me through. I barely made the plane, but it was even more surprising that I saw them load my suitcase into the cargo hold as well.
In this 2022 photo the bottle is the New-Skin.
After security got so much tighter after 9/11, I often thought how easy it would have been for me to have hidden a gun beneath my laptop.
The worst moment that I had in Jackson came when I was eating lunch with Josh Hill from Proffitt’s Marketing Group. I think that I was eating a turkey sandwich when the thing on the left side of my lower lip started to bleed. I don’t remember if I had my bottle of New-Skin with me. I do recall that I spent the rest of the lunch break in the men’s room until Old Faithful finally blew itself out.
Epilogue: In 2000 the administration of the McRae’s and Proffitt’s stores was consolidated. The accounting and data processing functions remained in the building on Highway 80. Most other functions were transferred to the Proffitt’s headquarters in Alcoa, TN. Marianne Jonas moved to Proffitt’s, where she was the Advertising Director. I don’t think that anyone else with whom I worked in Jackson made the transition to Alcoa.
The story of the AdDept installation at Proffitt’s is posted here.
1. Much more about Doug can be read here and in many of the entries for other AdDept clients.
2. The team name was voted on by the citizens of Jackson. They picked “Generals” to honor the person after whom the town was named, Andrew Jackson. Why they chose Generals over Presidents is a stumper. Jackson’s greatest military victory was the Battle of New Orleans, which actually occurred after the war was over. He had two full terms as president and strongly influenced American history in that role.
Although some sites on the Internet state that the Generals began playing in 1998, the statistics for the team in 1996 can be found here. I was astounded to discover that a factory-sealed complete set of the baseball cards for the 1996 team could in 2023 be purchased on Ebay for only $7.95. I was tempted to buy the one remaining set as a present for Doug. The site is (or at least was) here.
3. Ivy Klaras died in 2017 at the age of 52. Her obituary is posted here.
4. Claims are the documents that advertising sends to the merchandise people to show the amount of money they must collect from their vendors for cooperative advertising.
We had a very good record of closing AdDept sales. Most of the whiffs fell into one of two categories:
Divisions of Federated Department Stores. Our relationships with various Federated divisions are described in detail here. They are not included in this entry.
Companies that did not advertise enough to justify a high-quality multi-user centralized database. We actually sold the AdDept system to a couple of these anyway.
TSI’s first efforts to market AdDept were concentrated around New York and New England. I figured that there were not very many retailers who could afford the system to keep track of advertising, but, then again, I did not really expect to justify the cost of the system at Macy’s in the very first module that we activated—ad measurement.
The strip mall in which the Enfield store was located was named after Caldor.
Our first attempt was a quintessential whiff. Kate Behart (much more about her here) had been in contact with someone in the advertising department at Caldor, a discount department store based in Norwalk, CT. Kate arranged for me to give a presentation to them at the IBM office in Norwalk. Of course, we had to make sure that the office had the BASIC program, and I had to install both the AdDept programs and some data that I had dummied up from Macy’s real data.
My presentation was flawless. The only problem that I encountered that day was the lack of an audience. No one from Caldor showed up. We never did find out why not. Kate called them repeatedly, but no one returned her calls. It may have had something to do with the fact that in 1989, the year that we installed the first AdDept system at Macy’s, the May Company sold Caldor to a group of investment houses.
Caldor went out of business in 1999.
I also paid a visit to another local retailer, Davidson and Leventhal, commonly known as D&L. Theirs were not exactly department stores, but they had fairly large stores that sold both men’s and women’s clothing. So, they had quite a few departments. The stores had a good reputation locally. The headquarters was in New Britain, CT.
This D&L ad was on the back cover of the issue of Northeast that featured my story (described here).
The advertising department only employed three or four employees. They wanted to know if they could use the computer for both D&L ads and ads for Weathervane, another store that they owned, as well. That seemed vaguely feasible to me, and so I said they could. In fact, we later did this for Stage Stores and for the Tandy Corporation, but both of those companies were much larger, and I had a much better understanding by then of what it entailed.
I didn’t even write up a proposal for D&L. The person with whom I spoke made it clear that what we were offering was way out of their price range.
D&L went out of business in 1994, only a few years after our meeting. Weathervane lasted until 2005.
I have only a vague recollection of doing a demonstration at IBM’s big facility in Waltham, MA, for a chain of auto parts retailers from Phoenix. The name of the chain at the time was Northern Automotive. My recollection is that I spoke with a man and a woman. If they told me how they heard about AdDept, I don’t remember it. After a very short time it was clear that AdDept was much more than the company needed. Although Northern Automotive had a lot of stores with four different logos, it only ran one ad per week. So there was really not much to keep track of. I had the distinct impression that the demo was just an excuse for the couple to take a vacation in New England on the company’s dime.
I don’t remember either of their names, but the experience list on LinkedIn for a guy named Paul Thompson (posted here) makes him a strong candidate. Northern Automotive changed its name to CSK Auto, Inc. not long after our meeting. In 2008 CSK was purchased by O’Reilly Auto Parts.
Won’t Paul be surprised to be busted thirty years later in an obscure blog?
Tom Moran (more details here) set up an appointment with employees of Genovese Drugs at its headquarters in Melville, NY. The two of us drove to Long Island to meet with them.
I probably should have talked to someone there over the phone before we left. The only impression that I remember getting from the meeting was that they were not at all serious about getting a system. We had a great deal of trouble getting them to describe what the advertising department did at the time and what they wanted to do. I was frustrated because I had considered this a relatively cheap opportunity to learn how chains of pharmacies handled their advertising. It was actually a waste of time and energy.
Tom tried to follow up, but he got nowhere. We did not submit a proposal.
J.C. Penney bought the company in 1998 and rebranded all the stores as Eckerd pharmacies.
Woodies’ flagship store in downtown Washington.
While I was working on the software installation at Hecht’s in 1991, Tom Moran coordinated our attempt to land the other big department store in the Washington, DC, area, Woodward & Lothrop, locally known as Woodies. I found a folder that contains references to correspondence with them. Tom worked with an IBM rep named Allison Volpert1. Our contacts at Woodies were Joel Nichols, the Divisional VP, and Ella Kaszubski, the Production Manager.
As I browsed through the file, I detected a few warning signs. The advertising department was reportedly in the process of asking for capital for digital photography, which was in its (very expensive) infancy in 1991. Tom was told that they hoped to “slip in” AdDept as part of the photography project. Furthermore, the fact that we were not dealing with anyone in the financial area did not bode well.
Someone wrote this book about Woodies.
Finally, we had no choice other than to let IBM propose the hardware. Their method of doing this always led to vastly higher hardware and system software costs than we considered necessary. I found a copy of IBM’s configuration. The bottom line was over $147,000 and another $48,600 for IBM software. This dwarfed what Hecht’s had spent. If the cost of AdDept was added in, they probably were facing a purchase price of over a quarter of a million dollars! That is an awful lot to “slip in”.
I don’t recall the details, but I remember having an elegant lunch during this period with someone from Woodies in the restaurant of the main store. It may have been Joel Nichols. It seemed like a very positive experience to me. He seemed eager to automate the department.
We lost contact with Woodies after early 1992. I seriously doubt that the advertising department even purchased the photography equipment that they had coveted. The early nineties were very bad for retailers. By 1994 the owner of Woodies and the John Wanamaker chain based in Philadelphia declared bankruptcy and then sold the stores to JC Penney and the May Company. Many of the stores were rebranded as Hecht’s or Lord and Taylor.
In some ways Fred Meyer, a chain of department stores based in Portland, OR, seemed like a perfect match for TSI. At the time they were almost unique, and we usually excelled at programming unusual ideas. Their approach to retail included what are now called “hypermarket” (department store plus groceries) stores, although they definitely had some much smaller stores as well. The one in downtown Portland was very small. I really thought that we had a good shot at getting this account, largely due to the fact that the IT department already had one or two AS/400’s. So, the hardware cost would probably be minimal.
She would be lucky to make it in nine hours; there were no direct flights.
I was asked to work with a consultant who, believe it or not, commuted from Buffalo, NY, to Portland, OR. I can’t remember her name. She knew computer systems but virtually nothing about what the advertising department did. She wanted me to tell her what AdDept could do, and she would determine whether the system would work for them. I have always hated it when a “gatekeeper” was placed between me and the users. I understand that they do not trust the users to make a good decision, but advertising is very complicated, and almost no IT consultants know much about it. I would not have minded if the consultant sat in on interviews that I conducted with people in advertising.
If I was allowed to meet with anyone from the scheduling or financial areas of the department, I do not remember it at all. I do remember spending an afternoon with the head of the company’s photography studio. AdDept had a module (that no one used) for managing shoots and another (used by Macy’s East) for managing the merchandise that is loaned to the studio for a shoot.
I remember the photo studio guy mentioning that they also did billable work for outside clients. He mentioned Eddie Bauer by name. He could not believe that I had never heard of it/him.
I probably botched this opportunity. Before agreeing to come out the second time, I should have insisted on meeting with whoever placed their newspaper ads and the person in charge of advertising finance. I did not want to step on the toes of the lady from Buffalo, but I probably should have been more aggressive.
Kate accompanied me on one of these trips. We probably flew on Saturday to save on air fare. On Sunday we drove out to Mt. Hood, where we saw the lodge and the glacier, and visited Multnomah Falls on the way back.
Freddie’s was acquired by Kroger in 1998, but the logos on the stores were maintained. There still is a headquarters in Portland, but I don’t know if ads are still created and/or placed there.
Aside from our dealings with Federated divisions2 TSI had very few whiffs during the period that Doug Pease (described here) worked for us. After one of our mailings Doug received a call from Debra Edwards3, the advertising director at May Ohio, a May Company division that had its headquarters in Cleveland. Doug and I flew Continental non-stop to Cleveland and took the train into downtown. My recollection was that we were able to enter the store from the underground train terminal.
The presentation and the demo went very well. I am quite certain that we would have gotten this account were it not for the fact that in early 1993 the May Company merged the Ohio division with Kaufmann’s in Pittsburgh. Management of the stores was transferred to Pittsburgh. Debra was hired as advertising director at Elder-Beerman Stores.
We stayed overnight in Cleveland and had time to visit the Rock & Roll Hall of Fame, which was right down the street from the huge May Co. building. I cannot say that I was greatly impressed with the exhibits.
A few years later Doug and I undertook a second trip to Cleveland to visit the headquarters of Sherwin Williams. Doug had talked extensively with the lady who was the advertising director there. He was very enthusiastic about the prospect of making this sale. By that time Doug had already closed a few big deals for us, and so I trusted his judgment. However, I could not understand how a company that really only sold one product could possibly need AdDept. Yes, they have thousands of stores, but how many ads do they run?
I don’t honestly remember anything about our discussion with them. Needless to say, Doug did not close this one, although he never stopped trying to revive it.
I don’t really count it as a whiff, but Doug was unable to close the deal with Liberty House in Honolulu after our epic trip to Hawaii in December of 1995. The details are recounted here.
I drove past two of the stores in Texas, but I never went inside.
Just as Marvin Elbaum had backed out of his contract with TSI for a GrandAd system in 1986 (as described here), so also one company signed an agreement for TSI’s AdDept system and, before we had installed the system, changed its mind. There was one big difference in the two situations. The second company was the Tandy Corporation, which had actually ordered installations of AdDept for all three of its retail divisions. At the last minute the company decided to close down Incredible Universe, one of the three divisions. The other two companies became TSI clients in 1997, as is described here.
It was not a big loss for TSI. IU was one of a kind. Its stores were gigantic multi-story combinations of electronics and theater. There were only seventeen stores, and only six were ever profitable. Those six were sold to Fry’s Electronics. The other eleven were sold to real estate developers at pennies on the dollar.
I did a demo for Mervyn’s California, a department store based in Hayward, CA. I think that I must have done the demo after finishing a training/consulting trip at Macy’s West in San Francisco. I cannot imagine that I would have flown out to the west coast to do a demo without spending a day or two gathering specs.
The IBM office nearest to Hayward was in Oakland. I took BART in the late afternoon from San Francisco to Oakland. There was quite a bit of excitement at the Holiday Inn at which I was staying. Someone had been murdered on the street in front of the hotel the previous night. There was one other very peculiar thing about this stay. I checked into a Holiday Inn with no difficulty, but I checked out of a different hotel (maybe a Ramada?). The hotel had been sold, and its ownership had changed while I was asleep.
The demo went fine. The guy who had contacted me—his name was Thiery or something like that—liked what he saw. However, the sale never advanced any further. This was almost always what happened whenever I got talked into doing a demo without taking at least a day to interview the potential users. At the time that I did the demo Mervyn’s was, unbeknownst to me, owned by Target. This might have explained the lack of progress. Target may have been restricting or rejecting any capital purchases at the time.
Mervyn’s was sold to some vulture capitalists in 2004. A much smaller version of the chain went out of business in 2009.
For some reason Doug and I once had a very short meeting with the president of Gottschalks, a chain of department stores based in Fresno, CA. He told Doug and me that he would get all of the other members of the Frederick Atkins Group to install AdDept. This organization (absolutely never abbreviated by its initials) somehow enabled its members to shop for foreign and domestic merchandise as a group. Nearly every department store that was not owned by the May Company or Federated belonged to it.
A few years after he made this promise he (or someone else at Gottschalks) arranged for me to speak before the members at one of their conventions in Naples, FL. I flew to Fort Meyers and rented a car from there. Naples was beautiful and reeked of new money. I gave my little spiel, but I did not have an opportunity to interact with any of the members of the audience. So, I did not get any direct feedback.
We eventually did sign up a few members of the group—notably the Bon-Ton (described here) and Elder-Beerman (described here). I don’t know whether my speech had any effect.
I think that the Frederick Atkins Group is defunct in 2021. The references to it that I could find on the Internet were all from decades past.
In (I think) 1999 Doug Pease and I made an unproductive trip to Columbus, OH, to talk with the IT director of of Value City about the possibility of installing the AdDept system for use by the advertising department. That adventure is described here.
First stop: Norfolk.
TSI got a phone call from a chain of furniture stores in coastal Virginia, Norfolk4, as I recall. As part of my crazy automotive support trip, I stopped by to talk with the advertising director at this company on my journey from Home Quarters Warehouse in Virginia Beach to Hecht’s in Arlington. I spent a couple of hours with him. When I discovered that the company had only three stores, I knew that this was a mistake. I told him that our software could address his problems, but the cost and effort would not be worth it for either of us. I advised him to hire someone who was a wiz with spreadsheets.
I think that I got a free cup of coffee out of it.
I can’t tell you what happened to the company thereafter because I don’t even remember its name.
We had two reasonably hot leads in 2000. I had to handle both of them myself. The first was at Bealls department store, which has its headquarters in Bradenton, FL. This was another situation is which I had to deal with the IT department rather than the advertising department. I am pretty sure that the company already had at least one AS/400. I have a few notes from this trip, but it is not clear whether I intended to do the demo on their system or on one at a nearby IBM office.
In any case I think that there was a technical problem that prevented a successful installation of the software needed for the demo. So, I had to improvise, and I did not get to spend much time with the people who would have benefited from the system. The whole thing made me very depressed.
I had some free time, and so I went to the beach. I stopped at a Jacobson’s store to buy a tee shirt to wear at the beach. The cheapest tee shirts in the store cost $100!
The beach was lovely, and it was unbelievably empty. The weather was pretty nice. A beach in Connecticut would have been packed in this type of weather.
All of these stores are gone.
We did not get the account, but the tale has an interesting coda. Bealls is still in business today. For years Bealls could not expand outside of the state of Florida because a different store with exactly the same name was already using it in other states. These Bealls stores were run by Stage Stores, a long-time AdDept client that was based in Houston. Stage Stores was still using AdDept when TSI went out of business in 2014.
In 2019 Stage announced that it was changing all of its stores into Gordmans, its off-price logo (which did not exist while I was working with them). When the company declared bankruptcy Bealls purchased, among other things, the right to use the Bealls name nationwide.
I remember going to Barneys New York in late 2000 to talk with someone in advertising. I also have discovered three emails that I sent to Christine Carter, who was, I think, either in charge of the advertising department or in charge of the financial side. Barneys only had twenty-two stores, and that included some off-price outlets. I don’t know how much they actually advertised.
Flagship store on 60th Street.
We never heard from them after my last email, which emphasized how easily AdDept could be adapted to differing needs even for companies the size of Barneys. By this time the very affordable AS/400 model 150 had been introduced. It would have been perfect for them.
I think that Barneys is dead or nearly so in 2021. All of the stores in the U.S have been closed, and even the “Barneys New York” brand was sold to Saks Fifth Avenue. However, the company also had a Japan division, which is evidently still operational.
I received a very unexpected phone some time in 2001 or 2002. It came from a man who had formerly worked at Saks Fifth Avenue and had taken a job as a Vice President at Sears. He knew that the advertising department at Saks had been doing things with its AdDept system that Sears’ advertising department seemed utterly incapable of. He invited me to the Sears headquarters in Hoffman Estates, IL, to investigate the possibility of installing AdDept at Sears.
At about the same time I had been in contact with the agency in a nearby town that Sears used for buying newspaper space and negotiating newspaper contracts. They wanted to talk with me about the possibility of working together. The agency’s name was three initials. I think that one was an N, but I am not sure.5
I arranged to spend consecutive days at the two places. It was cold on the day that I visited the agency. I learned that it recruited new clients by claiming that they could negotiate better rates for them because they also represented Sears. I suspected that this was baloney. Sears was a bid dog nationwide, but the amount of newspaper ads that they bought in any individual market was not that impressive. They were just in a lot of markets.
After the people explained the services that they offered to clients, I remarked that about 10 percent of what they did overlapped with about 10 percent of what we did. Privately I could not imagine that any of our clients who would benefit from their services.
I told them about AxN, our Internet product. They informed me that the papers did not want to sign on to their website for insertion orders. Of course, they wouldn’t, and they had nothing to hold over the papers.
We ended the meeting with the usual agreement to stay in touch and look for synergies, but privately I considered them the enemy.
I did not see a parking structure. Maybe I entered on the wrong side of the pond.
The next day was bitterly cold, and there was a strong wind. I located the sprawling Sears complex and parked my rented car in a lot that was already nearly full. I had to walk a long way to the main building, and I have never felt as cold as I did on that walk.
I could hardly believe it when I walked into the building. The ground floor was billed with retail establishments—a drug store, a coffee shop, a barber shop, and many more. I had to take the escalator up to get to Sears. I was met there by the woman with whom I had been in contact. She was from the IT department.
OK, now I get it. Our problem was that we did not have enough architects.
She took me up to meet the “advertising team”. Six or eight people were assembled in the room, and they all had assigned roles. I remember that one was the “system architect”, and one was the “database manager”. I almost could not suppress my amusement. What did all these people do? There was no system, and there certainly was no database. At TSI I handled essentially all the roles that everyone at the table described.
They asked me some questions about the AdDept system. When I told them that it ran on the AS/400, the system architect asked me if that system was not considered obsolete. I scoffed at this notion and explained that IBM had introduced in the AS/400 64-bit RISC processors that were state-of-the-art. I also said that, as far as I knew, the AS/400 was the only system that was build on top of a relational database. That made it perfect for what AdDept did.
I wonder how many “OS/2 shops” there were in the world.
They informed me that Sears was an OS/26 shop. I did not know that there was such a thing. In the real world Windows had already left OS/2 in its dust by that time. In all my time dealing with retailers I never heard anyone else even mention OS/2. It might have been a great idea, but IBM never did a good job of positioning it against Windows.
Besides, just because the corporation endorsed OS/2 should not eliminate consideration of multi-user relational databases where appropriate. The devices with OS/2 could serve as clients.
They explained to me that Sears’ advertising department had hundreds of employees, most of whom served as liaisons with the merchandise managers. Most of the ads were placed by agencies. I presume that the newspaper ads were produced in-house. No one whom I talked with seemed to know. The people on the committee did not seem to know anything about how the department did budgeting or planning.
The competition.
Someone talked about Sears’ competitors. The example cited was Home Depot. I don’t know why this surprised me. I must have been taken in by the “softer side of Sears” campaign a few years earlier.
After the meeting my escort took me to a remarkable room that was dedicated to the advertising project. It was a small theater that had ten or so posters on the wall with big Roman numerals at the top: I, II, III, IV, etc. There were no statues, but otherwise I was immediately struck by the resemblance to the Stations of the Cross that can be found in almost any Catholic church in the world. I asked what the posters represented. The answer was that they were the “phases of the project”. I was stunned by the assumption that the project required “a team” and that it was or indefinite duration. No one ever allowed us more than a month or two to have at least portions of the system up and running.
At some point I was allowed to give my presentation. The man who had worked at Saks attended along with a fairly large number of people. Maybe some were from advertising. I was never allowed to speak with them individually.
I never got to read the advertising department’s Wish Book.
My talk explained that AdDept was a relational database that was specifically designed for retail advertising departments. I described a few of the things for which it had been used by other retailers. I could not do much more than that. I had not been able to talk with any of the people in the department, and the IT people were clearly clueless.
When I returned to Connecticut I wrote to both my escort and the man from Saks. I told both of them that I did not know what the next step might be. I had not been given enough access to the advertising department to make a proposal. The whole experience was surreal. If someone had asked me to return, I would only have done it if I were granted unfettered access to potential users.
No one ever contacted us. I told Doug not to bother following up.
One puzzling whiff occurred during the very short period in which Jim Lowe worked for us. The strange case of Wherehouse Music is explored here.
Perhaps the strangest telephone call from a genuine prospect that I ever received was from Albertsons, a very large retailer with is its headquarters in Boise Idaho. The person who called was (or at least claimed to be) the advertising director there.
I had heard of Albertsons, but I did not know very much about the company. All I knew was that they were a chain of grocery stores in the west. Since advertising for grocery stores is basically limited to one insert/polybag7 per week, they had never seemed to be great prospects for AdDept. However, I never hung up on someone who expressed interest in the system.
The problem was that this lady insisted that I fly out to Boise to meet with her and her crew the next day. I tried to get her to explain what the situation was, but she said that she had no time to talk. She needed to know if I would make the trip. It was a little tempting for a peculiar reason. Idaho was one of the few states8 that I had never visited. Still, this sounded awfully fishy. I passed.
The incredibly bumpy road that Albertsons has traveled is documented on its Wikipedia page, which is available here. I don’t remember when the call from the advertising director came. I therefore have no way of knowing whether she was in charge of advertising for a region, a division, all of the grocery stores, or none of those. I might well have passed up an opportunity that might have extended the life of the company. Who knows? It looked like a goose, and it honked like a goose, but maybe going to Boise would not have been a wild goose chase.
Jeff Netzer, with whom I had worked in the nineties at Neiman Marcus (recounted here), called me one day in 2010. He asked me if I remembered him. I said that I did; he was the Aggie who worked at Neiman’s.
He informed me that he was now working at Sewell Automotive, the largest Cadillac dealership in the Dallas area. He said that they were looking for help in automating their marketing. I was not sure how well AdDept would work in that environment, but I agreed to visit them. His boss promised to buy me a steak dinner.
I flew Southwest to Dallas, and for the first time my plane landed at Love Field. It was much closer to Sewell than DFW would have been.
I found a great deal out about their operation. I doubted that we could do much for the agency for a reasonable amount of money. On my computer I recently found a three-page document dated September 23, 2010, in which I had listed all of the issues that I learned about at Sewell. A woman named Tucker Pressly entered all of their expense invoices into a SQL Server database. It was inefficient, and there were no programs to help them compare with budgets.
The main objective of the marketing department was to make sure that they were taking advantage of all available co-op dollars from Cadillac and other vendors. We could not help with this unless we wrote a new module. I described my reactions to their issues in a letter to Jeff.
I never heard back from Jeff, who left Sewell in 2012. Nobody ever bought me a steak dinner.
Sewell Automotive is still thriving in 2021.
In 2011 or 2012 I received a phone call from a lady from the advertising department at Shopko, a chain of department stores based in Green Bay, WI. I don’t recall her name. She said that she worked for Jack Mullen, whom I knew very well from both Elder-Beerman and Kaufmann’s. Before Doug Pease came to TSI, he had worked for Jack at G. Fox in Hartford.
I flew out to Packer Land to meet with her. They had a very small advertising department. They basically ran circulars in local newspapers on a weekly basis. As I remember, she and one other person ran the business office.
I worked up a proposal for the most minimal AdDept system that I could come up with and sent it to her. When I had not heard from her after a few weeks I called her. She said that the company was downsizing and, in fact, her position was being eliminated.
Jack also left the company in July of 2012. His LinkedIn page is here. Shopko went out of business in 2019.
1. Allison Volpert apparently still works for IBM in 2021. Her LinkedIn page is here.
2. As I write this I can easily visualize Doug stabbing a box with a pencil after a frustrating telephone conversation with someone from a Federated division.
3. I worked fairly closely with Debra Edwards when I installed the AdDept system at Elder-Beerman stores in Dayton, OH. That installation is described here. She was the Advertising Director there. Her LinkedIn page is here.
4. The “l” in Norfolk is silent, and the “ol” sounds much more like a short u.
5. I later learned that there were actually two affiliated agencies across the street from one another. I encountered the other one, SPM, in my dealings with Proffitt’s Inc./Saks Inc., which are detailed here. The agency was still around in 2023. Its webpage is here.
6. In fact IBM stopped updating OS/2 in 2001 and stopped supporting the operating system in 2006. I cannot imagine how Sears dealt with this. I pity their employees with nothing OS/2 experience at Sears on their résumés.
7. Polybags are the plastic bags that hold a group of flyers from diverse retailers. they are ordinarily distributed to people willy-nilly.
8. The others are Wyoming, Montana, North Dakota, and Alaska. I am not certain of Arkansas. I might have gone there with my grandparents when I was a youngster. The only place that I have been in Utah is the Salt Lake City airport.
