Broadcasting Telecasting (Apr - June 1951)

udios, Phonographs ^'Continued from page 102) )DUCTION spurts in both raand television sets in 1950 over I were reflected in heavy adlising increases for those inments. There is reason to be■ that, barring severe influence ■l the defense program, both duction and advertising in the o-television category will hold n 1951. l a statement to Broadcasting elecasting, James D. Secrest, *ral manager, Radio-Television s. Assn., said: the radio set business, whose [h at the hands of television confidently predicted by many jons in and out of the industry aw years ago, seems to have e a remarkable recovery from nek bed. ^adio receiver production which jped to 11,400,000 units in 1949 iced back to 14,600,000 in 1950 during the early part of 1951 still going strong. In fact, the iction of radio receiver output anuary was only 9% under the quarter average in 1950, reas TV set production was n 21%. Television receiver .ut in 1950 totalled 7,463,800 |s, more than double that of Materials Scarcity t's too early to predict with accuracy how many radio sets be made in 1951. There is e likelihood that, as materials me more scarce, manufacturers channel a larger proportion of b into TV sets rather than rabecause of the wide difference ales price. However, there is ndication that radios will dis;ar from the market short of ill-out war. Set manufacturers during the few years have greatly insed their use of both television radio in advertising, and it is •cted this trend will continue year. Despite prospects for a ining production of both TV radio sets in 1951, most manuurers at present plan to cone their intensive advertising .rams, and some have indicated 'rtising expenditures will be er in 1951 than in 1950." mong manufacturers of radiosets using network radio in but not the year before was co Corp., which sponsors ikfast Club on ABC, Mon.9:45-10 a.m. and Admiral !>. sponsored MBS broadcasts the Golden Gloves boxing imes March 9 and 29. number of set makers engaged pot radio campaigns, some of i in cooperation with dealers distributors. Among those buyspot radio in 1950 were CrosDiv. of Avco Mfg. Corp., Allen JuMont Labs., Emerson Radio lonograph Corp., General ElecCo., Motorola Inc., Olympic .0 & Television Inc., Pilot RaCorp., RCA-Victor, Raytheon | Co., Starrett Television Corp., 'art-Warner Corp. and Zenith o Corp. CI ass tores CLASS 22. RETAIL STORES & DIRECT MAIL NETWORK IOC/I c; AAltA 1 73U -p 40, 1 JO jrU 1 LEADING NETWORK ADVERTISERS (Gross) 1949 40,632 (Net) 1949 4,144,000* Advertiser, program and agency Product Network No. of Stations Hours per Week 1950 1949 1940 SAVE-BY-MAIL INC. "Modern Romances" Mail Order — Toy Circus, Christmas Tree Ornaments ABC-59-V2 (Nov. -Dec.) $ 16,048 DR. HISS SHOES INC. "Flying Feet" Honig-Cooper Co. Dr. Hiss Shoe Stores ABC-4-V2 (Jan. -Nov.) S 15,930 $ 2,160 GIFTS BY MAIL INC. "Modern Romances" Huber Hoge & Sons Mail Offer of Bulbs & Plant Seedlings ABC-57-V2 (April Only) $ 11,196 RADIO OFFER CO. "B-Bar-B Riders" Huber Hoge & Sons Novelty Gifts MBS-56-1/2 (One Time) $ 2,962 Source: Publishers Information Bureau BROADCASTING • TELECASTING estimate CURRENT trend to put more "sell" in all advertising will continue, in the opinion of Howard P. Abrahams, manager of the Sales Promotion Division and Visual Merchandising Group, National Retail Dry Goods Assn., in a statement to Broadcasting • Telecasting. Should space rationing return, radio stations are likely to get a larger share of the retail dollar. Biggest piece of this dollar goes to newspapers. Mr. Abrahams said that in 1938, 64 cents of the department stores' publicity dollar went to newspapers. In 1946 it was down to 50 cents but in 1949 it came back slightly to 54 cents. This gives radio "a tremendous opportunity" to anchor the medium as "a big-league department in the retailers' promotion program," according to Mr. Abrahams, if stations direct their energies toward retail sales-producing programs. He added they should use retailtrained people who know the problems of stores. "Retailers are traditional optomists," Mr. Abrahams said. "They regularly plan their business to exceed the volume of the previous year. Increasing retail business in the period ahead does not appear to be a problem. Almost every retail authority agrees that this is easily possible. The amount of increase for any store appears to be a matter of degree depending upon the type of store, the location and merchandise available. Of course, in these uncertain times, anything can happen to upset all thinking. Retail Promotion Problem "The retail promotion problem, instead, is centered upon the items to promote and the cost to promote. "The soaring market, defense production and increased tempo of selling has eliminated much merchandise from the promotion scene. Some merchandise is unavailable or stores feel that it doesn't need promotion. This identical situation will be upon retailers for a considerable time ahead. "Promotion costs are and will be a serious problem for all sales promotion executives. Media, generally, has reached new cost heights and coupled with advertising and production costs, the expense to produce each line of newspaper advertising, each radio and TV program has jumped skyward. "Greater results which pay-off in retail advertising will be achieved through such methods as : "1 — More careful examination of items to be promoted and the elimination of 'weak sister' merchandise. "2— Economizing on the amount of air time taken for each promotion. Using just the amount required to accomplish a specific objective and no more. "3 — Careful timing of advertising to peaks of demand. "4 — More efficient use of radio, TV, window and interior displays to compensate possible rationing and reduce newspaper space. Additional Demand "Immediately ahead there will be an additional demand upon retailers' promotion budgets. Government activities will require institutional advertising and window displays. This will eat into stores' budgets but they will accept this problem as in the past and gladly cooperate with government defense requests. "Total promotion expenditures by retailers are bound to climb this year. While this means more dollars it does not necessarily mean a greater percentage of the store's business because the same percentage of the increased volume of business means more advertising dollars." This summary of the retail advertising situation by an executive who knows it from all angles points to a major opportunity for radio to strengthen one of its weakest spots. Broadcast Advertising Bureau is taking the lead in attacking the problem. Some of the nation's largest department stores have had outstanding success with radio. Others have bought little time. Traditionally department and specialty stores use newspapers as their basic medium. Gradually radio is cutting into this historic habit and the retailer is becoming a major air advertiser. In tabulating network advertising by retail stores and direct mail, Publishers Information Bureau lists Dr. Hiss Shoes Inc. under retail but Adam Hats under the Apparel category. Thus, the figures show only a trifle of the amount retailers spend on network, regional and local radio. The local radio advertising bill, mostly retail, totals over $205 million alone. ENJOY LIVING, heard over KSTP Minneapolis-St. Paul, was voted ". . . best health education program in state." Poll was conducted by Minnesota Radio Council. In the big Montreal area — one of the best markets in Canada — CFCF gives you maximum coverage and the friendly listenership of increasing numbers who prefer "the Station of the Stars." Many distinguished advertisers agree "It's easier to sell through CFCF." U.S. Representative : Weed& Co. ^ MONTREAL J DADCASTING • Telecasting April 16, 1951 • Page 103