In 1866 the brothers Cornelius and Joseph Hoagland formed a partnership to develop a baking powder company. William Ziegler and John H Seal were brought in as investors in 1873 and it was at that point that the Royal Baking Powder Company was formed. It all started when they noticed that the baking powder did not make much revenue. They suffered from competition, because baking powder was easy and cheap to make. They therefore decided to name their powder the “Royal Baking Powder” and to sink a huge sum into an advertising campaign. Soon they were spending half a million dollars a year on advertising, an enourmous amount at the time, but customers came to have a boundless trust in Royal Baking Powder. They were willing to pay several times the price of exactly the same thing from another produces.