Monday, August 6, 2012

Some thoughts on how holding companies work.

Some years ago I was at a small agency in a big holding company. Like many such agencies, there was a kitchen that had coffee machines, coffee in little "K cups," assorted teas, sweeteners and creamers.

This one particular agency also made available Quaker instant oats in little sealed envelopes. You can buy a box of ten of these little envelopes for about $5. That's 50-cents an envelope.

One day, my little agency lost a piece of business. Before our 90 days were even close to being up, the oatmeal disappeared. Never to return.

I can't imagine more than 20 people a day ate oatmeal at the agency. It would have cost them $10/day to keep those 20 in oatmeal. A whopping $2,500/year.

The price of a bottle of a typical bottle of wine ordered by a holding company honcho.

But still, it disappeared.

I wish they would.

No comments: