Broadcasting Telecasting (Oct-Dec 1957)

STATIONS CONTINUED RADIO OUTLETS VALUE PROMOTION • Upped ratings, new local, national accounts seen as result • E&E poll shows most will maintain or expand promotion Radio stations today are promotion and advertising-conscious and for the most part will maintain or expand station promotion activities in 1958, according to results of a study by Eye & Ear Inc., a new company announced in New York last week (see page 40). The survey indicated, E&E President Jack Kayne pointed out, that most stations are advertising; that this advertising and promotion is building higher audience ratings and developing more sponsors locally and nationally; that they intend to continue and in most cases to expand their advertising and promotion programs in 1958. Highlights of the survey: 1. Present station advertising and promotion programs resulted in higher audience ratings, increased the number of local sponsors and increased the number of national accounts. 2. Of the stations responding, 77% used newspaper advertising. 3. Planning to increase their advertising budgets in 1958 were 41.8%, while 51.6% plan to maintain their present budgets. 4. About 18% of the stations reported using direct-to-the-home mail and plan to continue. Others indicated they will try this in 1958. 5. Of the stations responding, 62.3% stated their present advertising and promotion could be more effective. The survey was conducted among 300 representative radio stations throughout the country, covering all billing classifications. A questionnaire was mailed Nov. 1 and findings were tabulated on all answers received by Nov. 20. A copy of the questionnaire sent to the 300 radio stations, with responses from 122, includes the following percentages. (Since not all questionnaires were answered completely, some totals do not add up to 100%.) 1. Does your station do any of the following types of advertising? Please check which of the following you use. A) Local newspaper tune-in ads 77%. B) Direct mail to potential local advertisers 77% . C) Direct mail to national or regional advertisers 68.9% . D) Direct mail to advertising agencies 64.8%. E) Direct mail to radio homes in your market 18%. 2. Do you supply advertisers with: A) Point of sale materials 58.2% B) Other promotions 72.1%. 3. Do you use trade publication advertising to promote your station? Yes . . . 45.9%. No ... 51.6%. 4. Does your station employ an advertising agency? Yes . . . 38.5%. No . . . 59.8%. 5. Do you have a full time promotion manager on your staff? Yes . . . 23.9%. No . . . 72.1%. Do you have an advertising manager? Yes . . . 39.3%. 6. How much of your annual advertising and promotion budget is done by free-lance work? Very little . . . 67.2%. About half . . . 14.5%. Almost all . . . 12.9%. 7. Assuming that your advertising and promotion budget will not be increased — do you feel that it can be used more effectively? Yes . . . 62.3%. No . . . 30.3%. 8. Has your present program resulted in higher audiences? ... 77%. More local sponsors . . . 81.9%. More national accounts . . . 66.2%. 9. What are you planning to do with your advertising and promotion budget for next year? Increase it . . . 41.8%. About half . . .14.5%. Reduce it . 2.5%. 10. What is your approximate annual budget for items checked in question No. 1? Approximate annual budget figures are based on 63.9% of the stations who answered this question. Spent $1,000 to $2,000—56.4%. Spent $2,001 to $4,000—12.-8%. Spent $4,001 to $6,000— 7.7%. Spent over $6,000—23.19%. 11. What is your approximate annual budget for items you checked in question No. 2? Approximate annual budget figures based on 65.5% of the stations who answered this question. Spent $1,000 to $2,000—75%. Spent $2,001 to $4,000—10%. Spent $4,001 to $6,000—6.25%. Spent over $6,000—8.75%. WRAPPING UP the National Telefilm Assoc. purchase of 75% interest in United Television Inc., licensee of KMGM-TV (ch. 9) Minneapolis-St. Paul, are (I to r) Thomas P. Johnson, UTI board chairman, representing the sellers; Ely A. Landau, NT A board chairman and chief executive officer, and Don Swartz, who was named by NTA as general manager of KMGM-TV and is slated to become president. The transaction marks NTA's entry into station ownership; the firm's purchase of WAAT-AM-FMWATV (TV) Newark awaits FCC approval. Page 64 • December 2, 1957 NTA Announces Appointment Of Swartz to Manage KMGM-TV The appointment of Don Swartz, upper midwest representative for National Telefilm Assoc., as general manager of KMGM-TV Minneapolis-St. Paul, was announced last week by Ely A. Landau, board chairman of NTA, which holds a 75% interest in United Television Inc., operator of the station. Mr. Swartz joined NTA in 1953 and has represented the company in eight midwestern states since that date. Earlier, he had been in sales posts for Warner Bros, and had been secretary of the North-Central Allied Theatre Owners. Until he joined NTA, he operated his own film distribution organization, Independent Film Corp., in the Minneapolis area. Mr. Swartz said KMGM-TV shortly plans to expand its broadcast day by signing on at 3 p.m. instead of 5 p.m. The station operates until 12 midnight. The formal contract turning over 75% interest in United Television Inc. to NTA was signed last week following approval of the transfer by FCC. The remaining 25% interest in the company is held by Loew's Inc., which acquired the stock interest when the Metro-Goldwyn-Mayer library of feature films was turned over to the station in the summer of 1956. Broadcasting