Broadcasting Telecasting (Oct-Dec 1957)

ADVERTISERS & AGENCIES continued national spot advertising). Television, the agency estimated, will increase by 6% from $954.7 million in 1956 to a little more than $1 billion in 1957 (in network and spot). National newspaper advertising is expected to rise 5%, from $788.9 million to $825 million; national magazine 3%, from $794.7 million to $820 million. The McCann-Erickson estimates do not break down local advertising by media. Total investments by local advertisers in all media are expected to rise 4%, from $3.9 billion to $4.1 billion. Clients Receiving NRI Reports On Network Radio Audiences A. C. Nielsen Co. has been mailing out expanded Nielsen Radio Index reports to clients showing cumulative audiences, listening frequency and commercial minutes delivered for advertisers using national network radio. Alluding to first reports of the new service, announced several weeks ago, Henry Rahmel, general manager of Nielsen's broadcast division, noted that, depending on buying patterns, sponsor-audiences range from several million homes upward to 10-15 million homes on a four-week unduplicated basis. Commercial minutes delivered vary from an average of 18 million to 100-150 million per month, he added. The new service includes the previous frequency of NRI pocket pieces and complete reports, plus auto radio and audience composition data. Also retained are crossnetwork cumulative network audience and duplication studies, along with similar data for combined use of radio and tv. Six features of the new NRI are: (1) number of homes reached by sponsor for his entire network schedule in terms of "average week" and "four-week" cumu lative audiences; (2) number of broadcasts to 48-million-plus radio homes by each advertiser in four weeks; (3) number of minutes of commercial announcements each month for each sponsor; (4) individual program data (per-minute, perbroadcast and four-week audiences), plus station facilities, number of broadcasts and time segments for each program used by advertiser; (5) all ratings (audience perminute and per-broadcast, besides unduplicated cumulative audience — actual number of homes reached throughout the country, not abstract percentages), and (6) full-network, quarter-hour audiences expanded to include audience share and average audience ratings. Mr. Rahmel said the fixed sample and continuous day-by-day, 24-hour recording of listening makes possible the new types of data for expanded service to advertiser, agency and network subscribers. Perlstein Named Pabst President Harris Perlstein has been elected new president of Pabst Brewing Co. following the resignation of Marshall S. Lachner from that office over policy differences. Mr. Perlstein continues as chairman of the board from which Mr. Lachner also resigned as a director. The latter joined Pabst in April 1956 after 16 years with Colgate-Palmolive Co., where he was vice president in charge of its soap division. Pabst Brewing, substantial radio-tv advertiser, reported a net loss of $610,000 the first six months this year, compared to a profit of $576,314 the first half of 1956. Kibrick Named to Manoff Post Robert R. Kibrick, assistant media supervisor, Kenyon & Eckhardt, has been appointed to the newly created post of director of media and broadcast planning for Richard K. Manoff Inc., New York. Mr. Kibrick supervised media for such accounts as RCA and Lever Bros, at K&E. He not only will be in charge of the media operation at the Manoff agency but also will select and negotiate for radio and tv program properties. Agency Should Know All Client Data— Toigo An advertising agency can "make or break" a product and its manufacturer, Adolph J. Toigo, president of Lennen & Newell, New York, told the 29th annual Boston Conference of Distribution last Tuesday. Mr. Toigo said that unless an agency is privy to all an advertiser's business information, it cannot fulfill its true function as "a planning adjunct to the client," resulting in a potential loss of "millions of dollars." He said the day is past when a client can keep company secrets from its own agency. The phrase used most often by Mr. Toigo to sum up his theory is: "Total marketing plans." An agency, he said, should be wedded to the client, rather than merely produce advertising copy; it should receive the total trust of the client and in turn be able to provide valuable — if not always positive or favorable — advice. Though Mr. Toigo declined to name the client or product concerned, he told of the time L&N stopped a major "package goods" advertiser from launching a new vitamin product (estimated "growth" budget, $3 million) because market research had found that (A) while the vitamin market seemed to be booming, many vitamin users quit not long after taking up the "habit" and (B) those who stayed with vitamins eventually would turn to vitamins produced by pharmaceutical firms. After showing the advertiser the story of two big vitamin "flops," Mr. Toigo noted that Lennen & Newell's client dropped the project altogether. Another instance cited by Mr. Toigo involved a manufacturing client who had allocated $8 million to push a new product, but L&N found this figure could at best produce no more than $14 million in sales. The solution: backing up the ad campaign with a national "sampling" of the product among consumers at an additional cost of $6 million could increase projected sales to $75 million. Mr. Toigo declared that the increased allocations did the trick. (Back in New York at midweek, Mr. Toigo said he could not, under any circumstances, divulge the names of the clients and products referred to in his Boston speech.) Other speakers at the Boston conference — touching on topics of interest to advertisers such as packaging, design, distribution, marketing and research — included Robert E. Kahl, national advertising manager (merchandising & research), Borden Co.; Walter P. Margulies, head of Lippincott & Margulies, industrial designer; L. T. White, vice president of Cities Service Petroleum Inc.; Max Hymans, board chairman of Air France, and Philip M. Talbott, president of the U. S. Chamber of Commerce. HOW PEOPLE SPEND THEIR TIME THERE WERE 123,417,000 people in the U. S. over 12 years of age during the week Oct. 13-19. This is how they spent their time: 67.9% ( 83,800,000) spent 1,897.1 million hours watching television 53.5% ( 66,028,000) spent 1,000.7 million hours . listening to radio 82.6% (101,942,000) spent 404.6 million hours reading newspapers 29.0% ( 35,791,000) spent 150.3 million hours reading magazines 24.8% ( 30,607,000) spent 388.2 million hours watching movies on tv 26.1% ( 32,236,000) spent 134.3 million hours attending movies* These totals, compiled by Sindlinger & Co., Ridley Park, Pa., and published exclusively by Broadcasting each week, are based on a 48-state, random dispersion sample of 7,000 interviews (1,000 each day). Sindlinger's monthly "Activity" report, from which these weekly figures are drawn, furnishes comprehensive breakdowns of these and numerous other categories, and shows the duplicated and unduplicated audiences between each specific medium. Copyright 1957 Sindlinger & Co. * All figures are average daily tabulations for the week with exception of the "attending movies" category which is a cumulative total for the week. Sindlinger tabulations are available within 2-7 days of the interviewing week. SINDLINGER'S SET COUNT: As of Oct. 1, Sindlinger data shows: (1) 104,470,000 people over 12 years of age see tv (84.6% of the people in that age group); (2) 40,423,000 U. S. households with tv; (3) 44,440,000 tv sets in use in U. S. Page 50 • October 28, 1957 Broadcasting