U. S. Radio (Jan-Dec 1960)

Record Details:

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GEORGE FINNIE (I.), director of adver+islng and merchandising for Hires goes over advertising program schedule with Charley Weiks, -franchise bottler in Grand Rapids push market. Hard Sell for Hires finds that radio provides local sales impact necessary to give its root beer consistent nationwide coverage Being packed in ite is a fine thing if you are a bottle of root beer. If you are the company producing the soft drink, however, a similar situation could prove to be quite distressing. The Charles E. Hires Co., Philadelphia, probably the oldest and largest manufacturer of root beer in the country, recently found that its share of the soft drink market was "frozen." According to George F. Finnie, the firm's director of advertising and merchandising. Hires was "being crowded in the market place by aggressive competition enjoying the advantages of overwhelming advertising budgets." In a major effort to improve its position and broaden its sales base, the beverage maiuifacturer decided to overhaul and streamline its promotional activities and still remain within the confines of its budget. One major result of this effort has been an expanded use of local radio to provide national coverage. Describing radio as "one of our prime equalizers," Mr. Finnie reports that Hires is currently channeling 25 percent of its advertising and promotion budget, estimated to be about $200,000, to the sound medium. Working on a cooperative basis with its bottlers, the beverage firm is sponsoring spot campaigns on 1,000 stations in 400 markets. Although the length of the campaign varies from market to market, Hires uses radio on a 52-week basis, Mr. Finnie says. Frequencies of the announcements also vary with local conditions, he explains, and range from 15 to 70 spots a week on the stations being used. "Push Markets" One of the most important aspects of the Hires campaign has been labeled the 'push market" program. "Under this strategy," Mr. Finnie says, "Hires is concentrating its heaviest promotional guns in selected territories across the coimtry where market studies in depth have pinpointed the greatest potential for 24 U. S. RADIO • September 1960