Part of the fun of watching AMC’s Mad Men is marveling at how much things have changed since the 1960s. Set in a fictional ad agency in New York City, the show is almost a time capsule of a lost way of life. But look beyond the huge typewriters, hair pomade and prodigious liquor supplies and you’ll find some pretty smart business lessons that are as relevant today as they were then.
With the series’ last run of episodes in full swing, Marketing‘s sister publication Canadian Business compiled the smartest strategies (and the most painful lessons) learned over the years by Don Draper and company. Pour yourself a tumbler of Canadian Club, sit back on your midcentury couch and read on.
Think different
Creativity can be the ultimate competitive differentiator
From his stellar pitch to cigarette-makers Lucky Strike in the series’ first episode onward, there’s no doubt creative director Don Draper has something special: the ability to wow clients with perfectly distilled—and unexpected—ad ideas. Throughout the run of the series, it has been the creative prowess of Don (and his staff) that has, more than anything else, lured in client after client tired of competitors’ pitches-by-rote.
Spot talent
Look for hidden talents in your staff
When the timid Peggy Olson is hired as Don Draper’s secretary at the start of season one, there’s little evidence her skills extend beyond taking shorthand. But while participating in a focus group on Belle Jolie lipstick with fellow members of the steno pool, she quietly shares a brilliant campaign idea. Don makes the unorthodox (for the time) decision to give Peggy copywriting duties (though no more money); she goes on to become a star player.
Culture matters
M&As can flop when you ignore cultural compatibility
Late in season two, Sterling Cooper is bought by Putnam, Powell and Lowe (PPL). The cultures of the two companies are wildly different, as Don learns when PPL brass nix a potentially lucrative account with the soon-to-be-built Madison Square Gardens because the upfront costs would be too high. Tensions between Sterling Cooper and its acquirer ultimately become irrevocable.
Character counts
For startups, people are everything
At the end of season three, the partners of Sterling Cooper make the bold decision to break off from PPL and start their own firm. To do so, they enlist a skeleton team with the skills needed to becoming a going concern: fiscal prudence (Lane Pryce), clients (Pete Campbell), media contacts (Harry Crane), copywriting prowess (Peggy Olson) and organizational wizardry (Joan Harris). They have nothing else—not even an office.
Leave room to grow
Some stars shine brightest when you don’t micromanage them
In season four, Don’s personal demons mean he’s MIA from the creative process at the new Sterling Cooper Draper Pryce (SCDP) firm. Without her boss looming over her every decision, Peggy really comes into her own, delivering work that lands the Sugarberry Ham, Playtex and Topaz accounts—all crucial bits of business in the startup’s salad days.
Diversify
Don’t build a business on a single client
SCDP was built around one client: Lucky Strike, which represented 70% of the firm’s billings. When the cigarette manufacturer decides to pull out, the agency is blindsided. With no contingencies in place, the founders have to pool money from their own pockets to keep the company afloat.
Set your own terms
Good PR can “change the conversation”
After losing the Lucky Strike account, Don retaliates by taking out a full-page ad in theNew York Times listing the evils of the tobacco business and stating SCDP’s decision to no longer welcome cigarette accounts—a classic “You can’t fire me, I quit!” move.
Partner carefully
Business can get very messy; you have to trust your partners
The partners in the Mad Men universe are united by little more than the fact that each is prone to very bad behaviour. Yet despite their indiscretions, many characters are supremely trustworthy, holding secrets of their colleagues for years at a time. Some of the show’s most stirring dramatic arcs (including Lane’s departure at the end of season five) occurred because trust between two principals was breached.
Don’t mix business and pleasure
Keep your personal life personal
Don is a legendary womanizer, and on several occasions he’s obliterated professional lines by sleeping with female clients (Rachel Menken, Bobbie Barrett), colleagues (research consultant Faye Miller) and, worst of all, subordinates (his secretary Allison). Only once has this gone well for him—and that’s debatable, depending on your opinion of Megan, his secretary-turned-wife.
This article originally appeared at CanadianBusiness.com.
