Harrison's Reports (1945)

IN TWO SECTIONS— SECTION ONE Entered as second-class matter January 4, 1921, at the post office at New York, New York, under the act of March 3, 1878. Harrison's Reports Yearly Subscription Rates: 1270 SIXTH AVENUE Published Weekly by United States $15.00 Rnnm 1R19 Harrison's Reports, Inc., U. S. Insular Possessions. 16.50 Room iou Publisher Canada 16.50 New York 20, N. Y. P. S. HARRISON, Editor Mexico, Cuba, Spain 16.50 . „„ .. . . _ . . ' v 1t-7c A Motion Picture Reviewing Service Australia New" Zealand' Devoted Chiefly to the Interests of the Exhibitors Established July 1, 1919 India, Europe Asia .... 17.50 Ug Editoria, policy. No probiem Too Big for Its Editorial circle 7-4622 d5c a copy Columns, if It is to Benefit the Exhibitor. A REVIEWING SERVICE FREE FROM THE INFLUENCE OF FILM ADVERTISING Vol. XXVII SATURDAY, AUGUST 18, 1945 No. 33 THE END OF THE WAR "The end of the war," states the New York Times in its August 15 issue, "brings the country face to face with its most difficult economic problems since the depression. Most experts agree that war mobilization, gigantic task though it was, will prove to have been simple compared with the task of returning to peace conditions without serious economic effects. . . . "There is no doubt that the Administration is keenly aware of the economic dangers ahead and that key officials are struggling desperately to head off excessive unemployment, deflation, or inflation. How' ever, since all of the Government's programming was laid down on the assumption that the war in the Pacific would last until late this year, the shock of re adjustment is admittedly terrific. The article points out also that the Government's leading economists agree that temporary unemployment of up to eight million persons may be expected within the next six months. There is no question that the sudden collapse of Japan has caught the nation unprepared and that we are headed for a period of economic stress that will have a serious effect on our national economic life for many months to come until a transition to a peacetime economy is completed. It is, therefore, of the utmost importance for the individual exhibitor to make his plans now for the coming months. He must learn to practice economies he did not consider during the lush period of the past few years, and he must learn to depend on his own initiative and resourcefulness to carry him safely over the problems of the coming months. Above all, he must now exercise greater care than ever as to the prices he should pay for pictures. Think ahead! Think carefully! AGAIN ABOUT CONCEALED ADVERTISEMENTS IN FILMS Among the statements made by Mr. Harold Heffernan in his revealing article on concealed advertising in feature pictures, which was reproduced in last week's issue, was that Walter S. Kline, an advertising agent with headquarters in Hollywood, who makes his livelihood out of "planting" such advertisements for numerous clients, has stated that he pays nothing to the producers for plugging his clients' products. "On the other hand," Mr. Kline is credited with saying, "I save them money by dressing their sets and loaning them the use of standard items and props they otherwise would have difficulty in obtaining quickly." Harrison's Reports has been exposing concealed advertising in pictures for many years, and it has often stated that such advertising was apparently paid for, perhaps not to the studio directly, but in all probabil ity to some underling who accepted compensation in some form without the knowledge of his superiors. A few times, this paper's statements have been challenged by indignant heads of the different studios. They maintained that their companies had not received compensation for the showing or mentioning of a nationally known commodity, and that, if such a commodity were shown or mentioned, it was for the purpose of creating atmosphere or authentic backgrounds. Assuming that no actual money was paid for these concealed ads, what else can it be but payment "in kind" when nationally known articles of commercial concerns are plugged in feature pictures in exchange for the loan of props from either Mr. Kline or other advertising agents? And the fact must not be overlooked that this is done without the authority of the exhibitors who own the screens on which the pictures are projected. The fact that a studio does not receive any money for the mentioning or showing of nationally known products in their pictures, however, is not the point at issue. What counts is the act itself, for the harm that is done to the theatre business is as great as it would be if the studio had been paid, since the public has no way of distinguishing the one from the other. In his article Mr. Heffernan has stated also that Mr. Kline thinks that plugging a commercial product in a motion picture designed for entertainment "is great because it swoops down on the prospective buyer when he's relaxed and unsuspecting." Harrison's Reports agrees that Mr. Kline's clients could not ask for a more perfect setting than a theatre filled with unsuspecting patrons to put over a subtle advertising plug. But that doesn't mean that they like it. As a matter of fact, a large percentage of the nation's movie-goers resent such plugs, for they rightfully feel that they are being imposed upon and even duped after paying an admission price to see and hear pure entertainment only. The exhibitor, of course, is the one who suffers the consequences of the hostility of movie-goers towards concealed ads, for they show their resentment by staying away from his theatre. My motive for once again calling attention to this unethical practice is to warn the producers that it must be checked now before it reaches proportions serious enough to cause the public to look upon motion pictures with contempt. I am pleased to note, and to call your attention to it, that at least one company intends to take every possible precaution in an endeavor to keep out of its pictures anything that might be misconstrued as concealed advertising. That company is Metro-Goldwyn(Contmued on last page)