Between 1993 and 2014, the National Fluid Milk Producers, an industry group financed by a tax on milk producers, ran the Got Milk? advertising campaign. Milk is a standardized good, so advertising by one producer increases demand and benefits other producers. No single firm has an incentive to incur the cost of an advertising campaign because the firm bears all the cost but experiences only a fraction of the benefits. The result is an advertisers’ dilemma: All firms would benefit from an advertising campaign, but no single firm has an incentive to pay for a campaign. The solution to this advertisers’ dilemma is to share the cost of an advertising campaign, along with the benefits.

In 2014, the industry ended the Got Milk? campaign and switched to Milk Life, a campaign that focuses on the protein content of milk. In one TV spot, a boy and his mother harness milk propellers to chase a soccer ball. The idea is to promote milk as a food to power activities during the day.

Question.

What is the rationale for generic advertising?

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What 8 grams of protein looks like when you decide water wings are for kids. milk life