In 1968, Bob Seger signed with major label Capitol Records and formed The Bob Seger System. This group was essentially a Michigan proto-punk band not unlike the SRC or The Frost. Their first single was the anti-war message song "2+2=?", which reflected a marked change in Seger's political attitudes from "The Ballad of the Yellow Beret". The single was again a hit in Detroit, but went unnoticed almost everywhere else.

The second single from The Bob Seger System was "Ramblin' Gamblin' Man". Predictably it was a smash hit in Detroit, but it also became Seger's first nationally charted hit, peaking at #17. The song's success led to the release of an album in 1969, and the Ramblin' Gamblin' Man album reached #62 on the Billboard pop albums chart.

Seger was unable to follow up this early moderate success; the Seger System's follow-up album Noah failed to chart at all, leading Seger to briefly quit the music industry and attend college. Seger returned the following year, however, with the System's final album, 1970's Mongrel. In 1971, Seger released his first solo album, the all-acoustic Brand New Morning. This was done in order to fulfill his Capitol contract.