dc...of letters woe ived 'room one single tv spot offer na f-ee recipe t oohs. the correct...

DC

CI

0coz

CI

z

THE MEN BEHIND THE GAVEL in this year's (ta?, 49th) ACAare, lef_ tc r ght, Cliff Penaligon, convetrior Atairman; Rout E. (Bob)Oliver, ACA president; B. E. (Ernie) Legate. ACA managitg d_-ector.

THE GOLD MEDAL Award Jury of the ACA, reprserting all st ofthe advertis nE industry, will see their labors -e.uarded tomorrow at theluncheon, when the coveted award, for "ou-_standiaz services lc or majoraccomplishmen:s in the field of Canadian rilver-_:sing will be awarthd tothe winne< of their choice. Front the extreme rigat and clockwise are: 1. R.McIntosh, (jay chairman), vice-president, General Foods Ltd.; John E Foy(representing CDNPA) advertising director, Tae 73-oa-o Telegram, 3. E.Oliver (representing ACA), supervisor of pudic re r_tians and advertising,The Bank of Nova Scotia; J. E. McConnell (-epremEirtitz CAAAI presidentMcConnell Eastman & Co. Ltd.; F. G. Brander (FP4), publisher Maclean'sMagazine. P. M. Cudahy, (ACA); Walter R. Ada-rsor_ (GAIA. presidentMono Li/13 Typesetting Co. Ltd.; W. C. Tharrtot Cain (CAB. presidentCFRB; Maurice Valiquette (CBC), director of sa:, SIC French Networks;Barry Wenger (EWSIA) publisher, Wingham A3vane3-Tines; B. a Legate,maoaging director, ACA and secretary of the AWErl hry. Absea-_ from thephoto: John M. Gould (OAAC), president, Gonkl-Leslie Ltd Bran -ford.

HELD OVER from he CAB Convention in Quebec =NT this month, here isACA -member Bill Vanderburgh, ad -manager of Coca-Ccla Ltd. accept_ag a133 ounce jug of (ACA Member Company) Se-agranis V. 0., prea?ntei byCKRS, Joacpt ere, from Art Harrison, general n-ararger of Hard} Rad o &Television Ltd. The jug went to the guest gitssina closest to he ma-16erof letters WOE ived 'room one single TV spot offer na f-ee recipe t oohs. Thecorrect nunbe< received was 1864. Bill came :loses-. w th his corEervative1862. Rurner-up was ACA director Muriel NkCullar advertising managerof Bulova Wat.:h Co. Ltd., with 1867.

ACADAILY BROADCASTEFVolume 6 Number 1

April 27, 1964

NOT HOW WRONG BUT HOW RIGHT"ADVERTISING IS AS IMPERFECT as the humans responsi-ble for it. . .no more, no less.

"The best control over advertising is the free market inwhich we operate."

"As for misleading advertising, I challenge our advertis-ing critics to pick from their radios, their televisions or theirnewspapers one Judas - one single commercial or advertise-ment in twelve - which is misleading.

"Without regulation or control, people react to poor ad-vertising by a very simple expedient. They just don't buy."

This positive look at the business of advertising wasvoiced by ACA President, Robert E. (Bob) Oliver, who out-lined to the Broadcaster an ACA Convention agenda whichseemed to reflect his own positive views - not "what'swrong with advertising", but "how can we improve itsefficiency? How good can we make it?"

Doubtless as a result of this outlook, ACA will be ableto report that in the past year more company representativeshave been more active in more meetings and participating inmore projects than ever before in the ACA's 49 -year history.

One major project of the 1963-4 ACA year was treatmentof the threat last June of print media production costs be-coming subject to the Federal government's 11 per cent salestax.

In conjunction with the advertising agencies, a jointACA-CAAA Tax Legislation Committee was responsible forrescinding this legislation, after considerable negotiationwith the Department of National Revenue.

Last February, two committees were formed by the ACAand the CAAA, a Liaison Committee and a Working Committee,and Bob Oliver reports that the first project of these com-mittees is the probable production of a tax manual providingcomplete tax information, Federal and Provincial, on all taxitems as they affect advertising.

This year's ACA agenda contains the names of moreCanadian speakers than ever before.

After the luncheon talk by Sister Jacqueline Grennan,the convention, in open session, will take a long look at thecontroversial question of agency compensation, with AndrewKershaw and George Sinclair discussing the pros and cons ofcompensation by fee and compensation by commission re-spectively.

Tuesday morning, Gaby Lalande and Ralph Draper willlook into the equally provocative question of national versuslocal advertising.

(Full details of each day's agenda will be found on page8 of each day's Daily Broadcaster, which will be available atthe registration desk in Hall A).

All but one of the advertising and marketing case historieswhich are to be presented tomorrow afternoon are Canadiancases, running the gamut from Bossa Nova to pickles.

Another interesting session, chaired by ACA DirectorMuriel McCullum, will be the fifth annual exhibition of thebest advertisements, presented each year by our friendlycontemporary, Marketing, through the voice of its editor,Ted Earl.

It is the sixth year in which we have been priyileged torecord ACA's convention activities in our Daily Broadcaster.We should like to express deep appreciation for the co-operation of ACA's Ernie Legate and his tireless staff, aswell as to their public relations advisors, Public & IndustrialRelations, in the person of Al Saunders. We should also liketo say that our endeavor is made possible by the Canadianbroadcasting industry, whose advertising defrays the cost,and who join us in extending best wishes for a positivelyconstructive convention, to their friends and ours, thesponsors.

Editorial

Advertising has to be sold to the peopleReprinted from Canadian Broadcaster March 19, 1964.

The main strength behind broadcasting isadvertising, and the same thing can be saidabout newspapers, magazines and the rest.

Even the CBC needs advertising to financeits sonnets and sonatas.

Advertising depends on public ac-ceptance, not just numbers.

For advertising to be worth its salt, it hasto be directed to people who understand itsvalue to themselves. It has to be aimed atpeople who belieVe in it.

People must be made to believe in truthswhich are well-known to people in the business.

Advertising steps up production to thepoint where goods can be sold to more peoplefor less.

Advertising raises the standard of livingby introducing new and improved products.

Advertising keeps industry active withmore people gainfully employed.

Advertising keeps consumption in pacewith the production we must have to keep thecountry financially solvent.

Advertising, allied closely with the princi-ple of branded goods, is a hallmark of qualityand reliability, representing as it does, by theuse of the brand name, the manufacturer'swarranty.

Not long ago, a survey conducted in theUnited States, disclosed the remarkable factthat only twenty per cent of Americans had anopinion about advertising, either a good o-pinion or a bad one.

The remaining eighty per cent had no o-pinion at all, taking it for granted, like theweather or the eight o'clock news.

Advertising - not only broadcast adver-tising but all advertising - has done an ex-tremely poor job of promoting its own product,not just with buyers of advertising, but withbuyers of the goods and commodities these ad-vertisers sell.

This works to the very great detriment ofthe media and the advertising agencies for whomadvertising is a stock -in -trade, and also theadvertisers, who rely on advertising to selltheir goods. But of perhaps greatest im-

portance, it militates against the public, who -if someone would only tell them - need to beeducated and informed, by advertising people,of the greater advantages they - the public -could derive, if only they had a better under-standing of the aims and ideals of advertising.

More people spend more time with theirradios and television sets than with any othermedium, so why are not broadcasting channelsthe logical means for spreading the word?

Broadcasters generously donate their timeand talents for every conceivable charity and"cause". This is a "cause" too, the "cause"of business, of which broadcasters are a vi-tally important part.

Once it was organized in a practical way,there would be small difficulty in persuadingsome of the moguls of advertising -knowledge-able and articulate ones that is - to contributetheir ideas and ideals, and perhaps even voicethem.

If advertisers spent their advertising dol-lars indirect ratio to the inevitable "numbers",broadcasting would be getting far and awaymore advertising from more types of business

The only possible reason for this is thatadvertisers cannot have the same respect forthe broadcast medium as they have, for ex-ample, for the newspapers.

Advertising needs selling to the public,and broadcasting needs selling to the adver-tisers. So, if broadcasting could blaze a trailwith a continuing campaign promoting theideals of advertising - not just broadcasting- it would be achieving the ultimate in termsof reaching the people and selling them mer-chandise.

At the same time, it would be doing apretty smart job of showing its own value inthe eyes of advertisers and agencies, whowould automatically identify the whole projectwith the broadcasting industry.

Canadian Broadcaster, with a wee smallvoice which, however, reaches everyone whocould be concerned with the question, wouldwillingly co-operate within the limits of itsabilities and resources.

1964ACA CONFERENCE

Program Committee

J. H. C. PenaligonDirector ofAdvertising

O'Keefe BrewingCompany Limited

D. Stanley MacKay

Advertising Depart-ment Manager

Du Pont of CanadaLimited

(Montreal(Conference Chairman) Vice -Chairman)

Allan E. Ross B. E. LegateManager, Advertisingand Public Relations Managing Director

The Goodyear Tire &Rubber Company of Association of

Canada, Limited Canadian Advertisers,

(Toronto Inc.

V ice -Chairman)

Robert E. OliverSupervisor, Public Relations

and Advertising

The Bonk of Nova Scotia

George A. Meen

Advertising Manager

Christie, Brown and Company, Limited

Robert M. SabloffDirector of Advertising

The House of Seagram Limited

We'll admit it, we have been inembarrassing positions at times . . .

. . . because we're quite human and don't know all theanswers. But it doesn't happen very often . . . for wemake it a practice not to promise things we can't deliver.Which is a golden rule in successful selling . . . and onegood reason we keep on serving all the stations we do,as well as we do, for as long as we have.

radio -television representativeslimited

TORONTO MONTREAL WINNIPEG VANCOUVER

2Canadian Broadcaster

WHO'S WHOat the ACA

SISTER JACQUELINE GRENNA$,Executive vice-president, WebsterColie4 F

'

St. Louis, Mo. is the onlywoman and Roman Catholic on the U. S.president's Advisory Panel on Researchand Development in Education. She wasdescribed by MIT Physicist, JerroldZacharias as one who "may well turn outto be the Joan of Arc of Education. Inher talk, "Mass Communication: Indoc-trination or Education", she will suggestthat ". . .social welfare is, in somesense, a dependent variable of the GrossNational Product, and in this frameworkis it any longer possible to make simpledistinctions between advertising for'needs' or advertising for 'wants'."

ANDREW KERSHAW, managingdirector, Ogilvy, Benson & Mather(Canada) Ltd., Toronto, and a grad-uate in Economics from the Universityof London, England, has been anadvertiser as long as he has been inagency management. He willdiscussthe advantages as well as the short-comings of the fee system for agencycompensation, which his companypioneered in the United States. Hissubject - "Agency Compensation --Fee System."

GEORGE SINCLAIR, v ice-pres identand general manager, MacLaren Ad-vert is Co. Ltd., Toronto, graduatedfrom a on "The Toronto Star"became a or consultant and thenjoined the pr department of MacLarenAdvertising in 1940. With the same'company he has been successivelycopy writer, copy chief, creatived irector, v ice-pres ident, a director ofthe company and now general man-ager. Speaking on the subject,

"Agency Compensation -Commiss ionSystem", he will suggest that flexi-bility and choice of method are thekeystones to vitality in advertising.

JERRY GOOD'S, Good is, Goldberg,Soren Ltd., Toronto, at 33, is one ofCanada's youngest advertisingagency presidents. A graduate incommercial art from Central Techni-cal, Toronto, he has worked inseveral Toronto art studios, was ad-vertising manager for two companies,he launched his own direct mailbusiness which was the foundationfor the agency. Speaking on the sub-ject, "How Not to Select an Agency",he will question whether the client -agency relationship should be that ofmaster -servant, a_ partnership or amarriage, with divorce serving as anescape hatch for both parties.

YVES J. MENARD, vice-presidentand general manager, consumer pro-ducts division, Johnson & JohnsonLtd., Montreal and a director of ACA,was educated at the University ofOttawa and Loyola College, Montreal.After four years as a radio announcer -producer, he joined the Procter &Gamble Co. in Toronto. In 1961, hejoined Personal Products Ltd. inMontreal, and June 1, last year, movedinto his present position with Johnson& Johnson. Speaking on the subject,"How to Select an Agency", he willexpand his theory that the advertisergets the agency he deserves, andthat before he fires his agency andchooses another he should make surehe picks the right one for his pur-poses this time.

Dr. BERNARD HYMOVITCH,presi-dent, Marketing Research Centre Ltd.,Montreal, obtained his B. A. from SirGeorge Williams University and hisdoctorate from McGill. Space does notallow a listing of his Work as lecturerand professor at various seats of learn-ing. In his ACA talk. "The VaryingConsumer Psychologies", he will ex-amine consumer habits and practices andtheir variances in relation to areas, pro-ducts and media.

GABY LALANDE, vice-presidentand manager, Young & Rubicam Ltd.,Montreal, was educated in classicalcolleges in the Province of Quebec, andhas been associated with Young &Rubicam in Montreal since 1950. Pre-viously he was correspondent with theCBC and was also with the CanadianArmy Show, with activities in Canadaand Europe. In his talk, "Nationalism...or the Search for the Average Canadian",Mr. Lalande will expand on his theorythat "our country is so rich in individu-alists that it is enough to lay down a lawto find an exception to it". He willraise the question of whether it is wisefor an advertiser to depend on nationalcampaigns to advertise his products withmaximum efficiency.

RALPH G. DRAPER, mediadirector,Foster Advertising Ltd., Toronto for thepast five years, and previously mediadirector for Leo Burnett and BBDO, is adirector and member of the executivecommittee of the Bureau of BroadcastMeasurement and also chairman of theMedia Practices Committee for the TorontoChapter of the Association of IndustrialAdvertisers. In his speech, "What canMedia do for Selective Marketing"? hewill discuss the facts of media strengthsand weaknesses across the country.

J. ALPHONSE OUIMET, president,the Canadian Broadcasting Corporation,enjoys the distinction of having gradu-ated in arts from St. Mary's College endin Engineering at McGill. He started hisbroadcasting career with the old Car.a-dian Radio Broadcasting Commission in1934. One of his chief responsibilitieswas the organization of the CBC tele-vision service. He becameCBC presidentin 1958. In his address, "Advertising andthe National Service", he will discussthe CBC's commercial policy and theplace of advertising in a publicly -ownednational broadcasting service.

TED EARL, Editor of "MARKETING"which he first joined in 1926, probablyknows more advertising executives thananyone else in Canada. He will presideover his paper's Annual Exhibit onWednesday afternoon as he has for thepast five years. Prior to going with"Marketing", he was with CFCH NorthBay and the McConnell, Eastman agency.He is married, has two daughters and twosons, and indulges in rose -growing,bridge and painting.

THE HONORABLE MITCHELLSHARP, Minister of Trade and Com-merce, Ottawa, originated in Winnipeg.He graduated from the University ofManitoba, where he did post -graduate

Sister Jacqueline Andrew G. KershawGrennan

George Sinclair

Yves Menard Dr. Bernard Hymovitch Gaby Lalonde

Alphonse Oiumet Ted Earl

Allan R. Fleming William Bernbach

economics, followed by similarstudies at the London School of Econo-mics. He is a former deputy minister ofthe Department of Trade and Commerce,in which capacity he acted on trademissions to London, Washington, Geneva,Moscow and Japan. In 1962, he resignedas vice-president of Brazilian Traction,and, upon his election to Parliament forthe Toronto-Eglinton constituency in1963, he was made Minister of Trade andCommerce. The title of his talk has notbeen announced, but is described as"a message of extreme interest concern-ing Canada's position in the area of in-ternational trade."

Dr. GARY A. STEINER, AssociateProfessor of Psychology, Graduate Schoolof Business, University of Chicago, is atthe present time consultant to CBS,WBBM-TV, and Elrick and Lavidge Inc.,market research planning. Author of "ThePeople Look at Television", and co-author, with Bernard Berrelson, of 'HumanBehavior: an Inventory of ScientificFindings", in 1963 he directed a sym-posium on "The Creative Organization",which will be published under the samename. In his address, "The Psychologyof the Creative Man", he will summarizethe characteristics of highly creativeindividuals, and the kind of environmentti,ct fasters or impedes creutive activity.

ALLAN R. FLEMING, ExecutiveArt Director, MacLaren Advertising Co.

Toronto, who has received numerous.wards from Art Directors' Clubs inCanada and the U. S. is probably bestknown for the development of the newsymbol for Canadian National Railways.Title of his speech is "How an Art Direct-or Talks without Moving his Lips", orulternatively, "Non -Verbal Grammar",With the humorous approach for which heis noted, Mr. Fleming will examine thesubject of non-verbal communication.

Jerry Good is

Ralph Draper

Hon. Mitchell Sharp Dr. Gary Steiner

Lawrence Duncalfe F. Ross Johnson

WILLIAM BERNBACH, president,Doyle. Dayne, Bernbach Inc., New York,started his career ghosting articles andspeeches for some famous politicians,but soon decided it was more interestingto ghost for famous products than people.In his talk "What makes Advertising%Yak?" he will expound his belief thatadvertising is more of an art than ascience, and that a copy -writer will learnthe art of persuasion more effectivelyfrom great literary critics than fromapprenticeship in a department store. Inhis talk, he will present the backgroundplanning of some of the most successfuladvertising campaigns developed underhis direction.

LAURENCE DUNCALFE, adver-tising and sales promotion managerFacelle Co. Ltd.After medical discharge from thearmy, became a copywriter in theadvertising department at Simpson'sMontreal store. Going over to theadvertising agency side, he was witha number of agencies and worked ina creative capacity on a long list ofsuccessful national campaigns -from petroleum products to groceryshelf lines. Two years ago, went toFacelle Company as advertising andsales promotion manager. He willparticipate in Tuesday morning'"Advertising in Ac.tion" session.

ROSS JOHNSON, manager, Market-ing, Lamp Department, Canadian GeneralElectric Company Limited, Toronto.Your share of market has been decreas-iiSg drastically over a number of years.What to do? The planning and revampingof the marketing approach and the re-capturing of the market are all outlinedin this fascinating success story, "TheChristmas Light Story of CGE".

April 27, 1964 3

You'll likethe

re -actionto

ACTION

STATIONS!

CFCNRADIO/TVCALGARY

AIRCovcracc

(and what a target area!)

Banff

BritishColumbia

Edmonton

Red DeerSask-

atchewan

Medicine Hat

Lethbridge

Border

164,400 radio homes inthe Southern Albertamarket!

Leading in 10 out of16 time periods.

SEEPOWER!

122,000TV

HOMES


Satellites launched inBanff, Drumheller,Kimberley, ColumbiaRiver Valley, B.C.

am am.

To put wind

into your SALES

send a signal

to CFCN

our crews are

fast, fearless,._._.._...._.._

flexible and

always ready imm

for ACTION!

AlAction -packed pr omot ionsand special programmingdepartments give retail mer-chandising a shot in the arm!

For example:

World's largest in - store displaygets big bite of the baby foodmarket for PABLUM!Special Christmas promotion cap-tures total market for G.E. decor-ative lights!CFCN Teen - Beat parties packthem in! Average turnout 3,000teenagers - keen on CFCN andsponsor's products.Sell out! Total stocks of CHEERIOYOYOS cleared out by CFCN pro-motion!

2,000 customers at 2 a.m. at lead-ing furniture and appliance store.For action day or night get intouch with CFCN!FIESTA, the fast -paced mail -pullshow originated by CFCN - TV,triples label -pull for varied super-market products in 3 years.

CALLUs

on the

OVER THE DESK

PEOPLE ATTENDING the annuallunch meeting of the Quarter CenturyClub of the Canadian Association ofBroadcasters in Quebec City earlythis month adjusted their bi-foclas,souped up their hearing aids andsubjected themselves to a shortaddress. The occasion was thepresentation to them, by this paper,of their club's first MembershipRoster, and the "address" wasdelivered by its editor and publisher,whose name escapes me. I am run-ning the text of this oration, partlybecause it met with unusual appro-bation. What I mean is nobody com-plained. I am also running it becauseI may want to read it again myselfsome time. So here it is.

"Mr. Chairman - fellowSWABs.

"Maybe I should explain thisSWABs bit. It's my own privatename for the membership of thisclub - "The Second Wind Assoc-iation of Broadcasters".

"It was kind of you, NormanBotterill, to say nice things aboutus and our little gift. Actuallythough, in giving the club its firstroster, I had an ulterior motive. Itgave me an opportunity to stand upup on my hind legs and proclaim,just as I used to, at the drop of ahat, when the scheduled speaker hadmissed his plane, in those dear

dead days before -- along with therest of you -- I had graduated fromadolescence into adultery.

"Mr. Chairman and fellowSWABs, each year, when we meetas we are meeting this afternoon,we get all dedicated and devotedand talk about projects to elevateour industry to higher and higherplateaus.

I've a project to suggest toyou today, a project eminently suit-able for adoption and sponsorshipby us stalwarts of broadcasting,who are beginning to face up withthe fact that right here and now wefind ourselves on the threshold ofmiddle age.

"What I want to suggest isthat our industry has grown to itspresent stature on the accom-plishments of individual people.Many of these people are sittinghere, in this room, today. Stillothers are listed in the final sec-tion of the roster, under the head-ing, -30--'.

"I am referring to such namesas Carson, Chandler, Elphicke,Murphy and Sedgwick, to mentionalphabetically just a few.

"Today we are able to say withpride that we are members of agreat industry, because of thesemen, broadcasting's pioneers; be-cause of their courage and init-

New...exciting

Day -Prime availabilities

IT'SYOUR

MOVECKey your '64-65 campaign to the Four Seasons Plan . .

News, Day -Prime, and Wide World of Sports. Call on usin our Convention suite, or phone us at the office.

CTV Television Network

. . . of shoes and shipsand sealing -wax - ofcabbages and kings

iative; because of their triumphs;and, perhaps more than anythingelse, because of the disastrous mis-takes they had the guts to make.

"Today, we are enjoying thefruits of the labors, not of largeand mighty corporations, but ofindividuals, individual people whoinjected their personalities intobroadcasting to the point wherethey are still influencing theirsuccessors, most of whom nevermet them.

"Today, broadcasting stationstend, more and more, to become theproperties, not of rugged individ-ualists, but of the mighty corpor-ations.

"This is a natural progression,and I am not objecting. But I feelthere is a fight for us, not for thedestruction of these corporations,but to help them maintain theirstrength and their usefulness,bolstered by the survival of theindividual. I feel it is incumbentupon us to take up the cudgels inbattle of People versus the Corp-orate Image.

"People come in two categor-ies. There is the sort everyonelikes - but everyone. This is anapathetic 'Milquetoast' liking, in-spiring such remarks as - "there'sa nice guy...you know...old Joe...Joe What's -his -name.

"Then there's the other breed.He reacts on people in one or otherof two ways.

"Either he's `tops'...`the most'as the rising generation terms it.To the rest, he's a son of a bitch.

"Mr. Chairman, fellow SWABs,I don't know how you feel about it.I don't know how you regard the guyeveryone likes. I do know thisthough. Speaking for myself, I'd farrather be a son of a bitch than aWhat's -his -name."

And that is all you s.o.b.'s aregoing to get this issue except...buzz me if you hear anything, won'tyou?

NOW

IN OUR

TWENTY-

THIRD YEAR

OF

REACHING

PEOPLE

WHO

REACH

PEOPLE

canadianbroadcaster

$5.00 a year$10.00 for 3 years

KEY

ToBUSINESS

IN THE

WHOLE NIAGARA PENINSULA

DIAL 610PAUL MULVIHILL & CO. LTD.Toronto Montreal C KT B

Reps.

ST. CATHARINESIn Toronto: 924-5454 In Montreal: 849-8021

6 Canadian Broadcaster

Beaver Awards

Radio sweeps the field

RADIO TOOK THE WHOLE FLOCK OF BEAVER AWARDSthis year, when six stations operating with the older medium,

from Vancouver to Montreal, won CANADIAN BROADCASTER'Sawards for distinguished service to Canadian radio and tele-vision broadcasting in 1963.

Winners, as voted by an in-dependent board of five judges,and their points out of a possible60 are as follows:

CHQM, Vancouver 53CKGM-FM, Montreal 39CKLG, Vancouver 37*CJBC, Toronto 37*CHUM, Toronto 32Northern Broadcasting

Company Ltd. 27

*Tied

Beaver Awards,based on articles whichthe Broadcaster during

which areappeared in1963, were

chosen by the judges from 17 articlesselected for consideration by thepaper's editorial staff, They werereprinted in our April 2 edition.

The judges, who donate theirservices gratuitously each year outof interest in the broadcasting in-dustry, were: Carson Buchanan, re-tired manager of Station CHAB,Moose Jaw; Mart Kenney, veteranmusician and conductor; Mrs. BillieKent, manager of the Bermuda NewsBureau; Dr. Alan Thomas, associatedirector of the Canadian Associationfor Adult Education; C. W. "ktill"Wright, formerly a broadcaster in therepresentation field, now operatingas a consultant in public speakingand salesmanship.

Winners' citations will appearon their copper plaques as follolks:

CHQM-AM-FM, Vancouverfor vigor, enthusiasm and energy inprogramming with "music to match

--7ki IR; 8s

the mood of the moment" to less thanone third of Vancouver families, whoaccount for more than two thirds ofthe total income, and, inthe process,increasing the number of Vancouversets in use by 2 5 per cent. Theaward is based on the article "Musicfor the -Market that Matters", by KitMorgan, published in CanadianBroadcaster for January 3, 1963.

CKGM-FM, Montreal for "its24 -hour a day stereo schedule ofquality music, sophisticated talkprograms, and a commercial policythat limits interruptions to four timesper hour", presenting during its firstweek on the air serious and lightclassical music, well-known showtunes, good jazz, a full length operaand Shakespeare's Macbeth. Theaward is based on an article, "Workswith Music Leaders for Live Stereo",published in Canadian Broadcasterfor November 7, 1963.

CKLG, Vancouver for itsdramatic documentary series of tenprograms, "Narcotics Expose", in-cluding interviews with anonymousdrug addicts and an ex -drug -squadofficer, designed to "arouse publicopinion and bring the situation tothe attention of the government."The award is based on a news storypublished in Canadian Broadcasterfor January 3, 1963.

CJBC, Toronto for its work inthe field of adult education with"The Learning Stage," produced byArt Stinson as program organizer forthe listener who is "interested inself-improvement, in mental sti-mulation, in deeper understanding ofhimself and his environment". Theaward is based on an article, "Aims

NE SAID IF 1 WOULDN'T HE'DTURN OVER THE NEW ACCOUNT

TO THAT BITCH JEANNETTE

AND HEWOULD

HAVE TOO

at those with Interest and Capacityto Learn", published in CanadianBroadcaster for January 17, 1963.

CHUM, Toronto for its "semi-nar", designed to encourage andeducate charities and public serviceorganizations to supply broadcast-ing stations with appropriate andacceptable material for public ser-vice announcements and otherbroad-casts, donated by stations to theseorganizations free of charge. Theaward is based on an article, "Knowthe Medium. . . Meet the People",by Ben. Holdsworth, published inCanadian Broadcaster for August1, 1963.

Northern Broadcasting Com-pany Ltd. for its "stay in school"campaign, in the form of spots broad-cast by some of Canada's leadingbusiness executives on the five"Northern" radio stations, CHEXPeterborough, CKWS Kingston,CFCH North Bay, CJKL KirklandLake and CKGB Timmins, and alsomade available to stations acrossthe country through the CanadianAssociation of Broadcasters' Pro-gram Exchange. The award is basedon a news story, published in Cana-dian Broadcaster for September 5,1963.

HARDY RADIO

SELLSCKCLCKDHCKMRCKNBCKMLCHNCCKBLCFVLCJFPCJAFCK RSCHRLCHRCCKSMCKJLCKLCCHICCHFACKRNCKVDCHADCKLSCJSOCJLMCKBSCHEFCKLDCKLYCFTJCJAVCJMECHRC-FMCHFM-FMCKLC-FMCHIC -FM

- Truro- Amherst

NewcastleCampbe I Iton

- Mont Laurier- New Carlisle- Matane- Vnl leyf ie Id- Riviere-du-Lour- Cabana- Jonquiere- Robervnl- Quebec- Shawinigan- St. Jerome- Kingston- Brampton- Edmonton_ Rouyn- Yal d'Or- Amos- LaSarre- Sorel- Joliette- St. Hyacinthe- Granby- Thetford Mines- Lindsay- Galt- Port Alberni- Regina- Quebec- Calgary- Kingston

Brampton

HARDY MEN

KNOW

THEIR MARKETS

WESTWARD HO!

Name the richest province in Canada for thenext 12 months. That's right. Saskatchewan.Little old Saskatchewan, producer of two-thirdsof the nation's wheat...the province that hasnosed out Ontario as Canada's richest in termsof per capita income due to the recent staggeringsale of wheat to Russia. Westward ho, indeed.

Quote Time, Sept. 27th: "As it filters into theeconomy, the Russian wheat money will alsoseed orders for farm equipment, autos, clothingfabrics, refrigerators, TV sets," Selling any ofthese things? Your best bet is CFQC, the onlyradio station heard for hundredsof miles aroundin the rich farm lands outside Saskatoon.

CFQCradio - Saskatoon

Apr i :17, 19f,4 7

WHAT'S ON TODAY AT THE ACA?Monday April 27th 1964

Morning

8.30 a.m. REGISTRATION - Hall "A"

9.15 a.m. ..ACA ANNUAL BUSINESS MEETING(Members only) - Ballroom

10.00 a.m. Fifteen -Minute Presentation On:Bureau of Broadcast Measurement

By. J.F. GLASIER - Immediate Past President, BBM

Canadian Advertising Research FoundationBy J.N. MILNE - CARF Chairman

10.30 a.m. Intermission - Tea and Coffee TimeCFRB, Toronto and CJAD, Montreal

10.45 a.m. Canadian Advertising Advisory BoardBy E.V. RECHNITZER - CAAB President

ACA-CAAA Joint Broadcast CommitteeBy Wm. INCH and HUGH HORLER - Committee Co -Chairmen

and

GABY LALANDE, Montreal Committee Representative

12.30 p.m. LUNCHEON - Canadian Room

Speaker

SISTER JACQUELINE GRENNANExecutive Vice -President

Webster CollegeSt. Louis, Mo.

Subject:

"MASS COMMUNICATION: INDOCTRINATION OR EDUCATION"

REEVE ROBERT SPECKTORONTO TOWNSHIP

"Located in one of the most favouredareas in Canada, Toronto Townshipoffers to private and corporate citi-zens alike, advantages found nowhereelse. Six major highways runningthrough the township, C.P. and C.N.Railway facilities, together withbeing the home of Toronto Inter-national Airport, make the area unique."Already more than 100 major indus-tries and 70,000 people make theirhome in Toronto Township and morecome every month."CHWO Radio's coverage of an urban-izing area and the township far be-yond our boundaries, makes it a

popular and important part of Town-ship life."

TORONTONational Sales Office,

66 King St. W.366-7182 - Hal Pirner

923-6814 - Howard Caine

Afternoon

2.15 p.m. BallroomChairman - P.J. McGINNIS

"AGENCY COMPENSATION - FEE SYSTEM'ANDREW KERSHAW

Managing DirectorOgilvy, Benson & Mather (Canada) Ltd.,

Toronto.

2.45 p.m. BallroomAGENCY COMPENSATION - COMMISSION SYSTEM'

GEORGE G. SINCLAIRVice -President & General Manager

MacLaren Advertising Company LimitedToronto

3.15 p.m. Intermission - Tea and Coffee TimeCFRB, Toronto and CJAD, Montreal

3.30 p.m. Ballroom"HOW NOT TO SELECT AN AGENCY"

JERRY GOODISPresident

Goodis, Goldberg, Soren Ltd.,Toronto.

4.00 p.m."HOW TO SELECT AN AGENCY:"

YVES J. MENARDVice -President & General Manager

Consumer. Products DivisionJohnson & Johnson Limited,

Montreal.

ACA MEMBERS' DINNER & COCKTAILS(Members and their ladies only)

6.00 p.m. PRESIDENT'S RECEPTION - Ontario RoomCourtesy of The House of Seagram Limited.

7.00 p.m. BUFFET DINNER DANCE - BallroomACA Members Buffet Dinner

The White Oaks Market

Population 233,500*Retail Sales $148,054,000*

Households 61,700*

Buyers Income $431,281,000*

24,592**Employees in 445**PlantsEarning $109,874,000**.

The White Oaks Station

CHWO RADIODial 1250

1000 WATTS, SPEAKING TO PEEL AND HALTON COUNTIES

Call these Representatives for the Facts

WINNIPEGBroadcast Representatives

211 Dayton BuildingWH 3-6115

Mrs. Helen Kolomaya

MONTREALRadio & Television

Sales Inc.,Windsor Hotel.

UN 6-2749 - Jim McLennan

MAYOR ALLAN MASSONOAKVILLE

"Once a summer colony, - now oneof the fastest growing commercialand industrial centres of Ontario,Oakville claims to be Canada's larg-est town. Beautiful parks, modernschools, cool breezes from the Lake,all contribute to good living for its46,721 people."Being a huge consumer and productmarket with a substantial labour pool,excellent transportation facilitiesand ample housing, makes it a primesite for new business as well."Through its regular reports ro thepeople, CHWO carries the voice ofOakville far beyond municipal bound-aries and this renders a valuablepublic service to the community"

VANCOUVERRadio Representatives Ltd.,

1131 Richards Street,MU 5-0288

Frank Jobes* Sales Management - 1963

** DBS - 1961

Canadian arocdcasver

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ACADaily BroadcasterVolume 6 Number 2

April 28, 1964

Gentlemen, Your President!ALL-ROUND CANADIAN MAN seems to sum up theingredients which go to make up ACA's new president.George Meen, age 46, Toronto born and educated,played football for the Argos in 1940 and again in47-8 (with time out for war service); has a 21 -year olddaughter Georgette, in University, a son of 17, David,just going into it and another son of 9, Arthur into justabout everything.

Himself a graduate of U of T, 1941, George seemsto relate the responsibilities of fatherhood to those ofthe advertising business in a practical way in ap-plauding the work of CAAA with their staff trainingproject. Also he expresses his unabashed admirationfor copy people, with advertisers, agencies and media,who appreciate the use of good English and interest-ing English in advertising, and who have the gumptionto urge those who see, hear or read their ads, to comethrough with an order.

George does not take his election to the presi-dency of ACA lightly. As he has passed through thecommittee stages in his work with the association, headmits he has looked forward to the day he would pickup the gavel.

He started his business career with GoodyearTire & Rubber Co. and finished there as assistant ad-vertising manager, - assistant to Allan E. Ross. In1955, he joined Christie, Brown & Co. Ltd., and hasoccupied this post ever since.

As ACA president, his main interests willtwo areas.

First on his list is education of membership- howto do it, case histories, planning, budgeting, research,marketing new products.

"The sophisticates know all these things," hesaid, "but most of us have lots more to learn. Jobsare so fragmented these days.. .

"I want to foster our (ACA) group meetings; re-gional sessions in Toronto and Montreal. I want to getspeakers who know and can tell what they know; notnames but people who really know."

George's second target will be governments (allof them) and performers' unions.

"There are great fields for improved relationshipsand greater harmony in both these areas," he said.

"In governments, there is a need for greatermutual understanding, - government understanding ofbusiness, as well as business of government."

"I should like to spearhead a campaign designedto get it across to the members of our various parlia-ments that advertising plays a major part in bolsteringthe economy, with more employment, more sales, moreprofit and so more revenue for the public purse."

As far as the unions are concerned, he is surethat a better understanding of advertisers' problems onthe part of the performers would improve the lot ofboth sponsors and talent, and vice versa.

He proposes to work with ACA and CAAA on theproblem of selling the benefits of advertising to thepublic, and will investigate the possibilities of per-suading the media to give their support, "because theystand to gain equally in telling the public the truerole of advertising?'

In commending the CAAA for their work in theadvertising education of young people, thereby esta-blishing high standards and developing high degreesof skill, he said he hoped that in his year ACA toowould co-operate in fostering the education and train-ing of advertising aspirants who show aptitude.

Agency compensation

FEES versus COMMISSIONS

FEE SYSTEM --"A fee or not a fee: that is the

question:Whether 'tis better for the agency

to sufferthe slings and arrows of outrageous

client demands,or to take arms against a sea of

of troubles,and by resigning, end them? To

gripe: to moan:to lose the account: and perchance

!o see it in "Marketing:"...Aye, there's the rub."

So, a few days after the 400thanniversary of Shakespeare's birth,soliloquised Andrew Kershaw, man-aging director of Ogilvy, Benson &Mather (Canada) Ltd., speaking on"The Fee System of AdvertisingAgency Remuneration" at the ACAconvention yesterday afternoon.

"Agency remuneration throughthe commission system is a grotes-que anachronism. It obstructs thedevelopment of better professionalrelations between client and agen-cy," he said, after disclaiming anystatus as a spokesman for his ownagency, other agencies or media,saying he spoke only for himself.

An ACA survey taken in March,with 101 replies from 180 members,showed that 28 per cent thoughtcompensation through media com-missions was unfair to agencies,with 13 per cent registering "don'tknow", Kershaw said. 33 per centthought this form of compensationwas Unfair to themselves, with 12per cent answering "don't know."

"Barely half of the members ofthe ACA are satisfied with the fair-ness of the present system. Andone-half are dissatisfied or unsure"he said.

"I believe that a rational feearrangement solves the problems ofagency profit, the scale of clientservice, and the quality of advert-ising," Kershaw said, citing fivemain advantages to both cl ent andagency.

Andrew KershawThe agency can be completely

objective in its recommentationsand the advertiser can believe inthis objectivitity,

The agency has adequate in-centives to provide either totalmarketing services or just those theclient requires,

The agency's income is stab-ilized, and the fee enables it tomake a fair profit on professionalservices rendered

Every account pays its ownway,

The fee lets the agency con-centrate on its job of improvingadvertising quality without the dis-traction of profit considerations.

"The commission system re-wards all agencies at the same rate.The fee system makes possible fin-ancial recognition of differences inthe quality of professional servi-ces," Kershaw pointed out.

Ogilvy, Benson & Mather pio-neered the fee system in the U.S.in 1960 and has an impressive listof clients using it, including Amer-ican Express, General Foods, Hath-away, IBM, Interriational Paper,KLM Airlines, Sears -Roebuck andShell.

"The elements of a fee," Ker-shaw said, " are the time used toperform the service, the skill requi-red, the importance of the assign-ment, or the results accomplishedthrough it. The system is totallydivorced from media commissions.The agency bills everything net andrebates all commissions to theclient.

"The total amount is based onan estimate of costs including over-head, subject to eventual verific-ation and audit, and an allowancefor agency profit.

"There are some variations.There is a fee which is composedof a fixed sum for overhead and pro-

(Cont'd. on page 3)

COMMISSION SYSTEM -- George Sinclair"HOW WELL IS THE COMMISSIONSYSTEM DOING?" This topic wasdiscussed by George G. Sinclair,vice-president and general managerof Mac Laren Advertising Co. Ltd.,at the ACA convention yesterday.

In the evolution of agency com-pensation arrangements, Sinclair said,"the method of remuneration hasnever been stable for more than fiveyears and has never been universallystandard at any time. Today, feesare a lively subject of discussion,but there is no issue on fees as afact of the advertising business inNorth America. I doubt if there is asingle agency in the Canadian As-sociation of Advertising Agenciesthat is not receiving fee income.

"In our own company it exceedsour net profit,' he said.

"If we were to try to maintainthe level and diversity of service wenow provide to clients, and to dothis on commissions alone, we wouldbe quietly headingtoward bankruptcy.I think this would be true for manyagencies today, and will be true formore as this natural evolution goeson."

Sinclair traced the evolution ofadvertising back to the first advertis-ing brokers,seventy or so years, whobought space at a price and sold itto advertisers at a higher price. Togain an edge on their competition,some brokers did layouts and wrotecopy for the advertisers in additionto selling them space.

About 1900, several magazinepublishers banded together and of-fered a discount to the brokers whowere increasing the volume of adver-tising by serving the advertiser andmaking him more successful. Thusthe commission system was con-ceived, and its gestation took another35 years or so.

"Some business terms came tobe used in strange new senses,"Sinclair said. "The discount wascalled a commission, which it is not.

The organization that qualified forit was called an advertising agency,which we are not. We were princi-pals at the outset, and we are princi-pals today."

The view, held by advocates ofthe fee system, that the commissionis an anachronism and that the 15%is really the client's money, couldbe extended to argue that if agenciesdid not exist, media rates could bereduced by that 15%, Sinclair said.

"Assume with me a hypotheticalsituation in which there are no agen-cies in their traditional role betweenmedia and advertisers," he said.

In actual fact, about 85% ofCanada's national advertising isplaced by the 45 CAAA agencies,which list 2,933 clients. In thehypothetical case, each medium wouldhave to do business with some thou-sands of firms directly, calling for agreatly increased sales force.

As it is now, media accountingdepartments make out hundreds ofinvoices on retail advertising, asmall percentage of that number tothe relatively few agencies repre-senting the bulk of their national ad-vertising volume. In the hypotheticalsituation, accounting costs wouldsoar.

And suddenly, each mediumwould have to concern itself with thefinancial responsibility of everynational advertiser, calling for creditinsurance, careful policing of ac-counts and prodding of advertisersslow in remitting.

"There are other ways in whichwe serve the media and it is clearthat in the absence of the agency,media prices could not reduce by 15%to national advertisers,' Sinclairsaid. "The greatest reduction anymedia representative has suggestedto me as possible is around eightper cent. So advertisers must notassume that they are paying agen-cies 15% for planning and preparingadvertising."

(Coned. on page 3)

All our people are well -suitedto their jobs

. . . even those who joined us from other walks of life.True, they did NOT have radio backgrounds . . . but theycould sell. And that, to us, was far more important. Time,

and our coincident increase in time sales, keeps provingus right. So do the generally healthy sales curves ofthe stations we represent.

radio -television representativeslimited

TORONTO MONTREAL WINNIPEG VANCOUVER

2 j:anad iun L',roadcaster

GEORGE SINCLAIR(Cont'd. from page 2)

"As the renumeration systemworks in Canada today, most clientscan be served in the traditionalfunctions, planning, creating, pro-ducing and placing advertising, oncommission income only and returnan agency a moderate profit.

"Exceptions exist only on ac-counts on which the work is verylargely for trade and industrial media,which generate little commission in-come.

"On some large consumer ac-counts, the agency cah afford to gofurther, to provide some degree ofmarketing counsel and perhaps otherextensions of service, without re-quiring fees. But since agency pro-fits as a percent of volume havedescended with fair consistency overthe same period that our diversity ofservice and professional competencehave been increasing, I think it'sevident that we've been over -ser-vicing many accounts.

Sinclair acknowledged that thereare advantages to the fee system,and he would like to see them incor-porated in commission system agree-ments. "The greatest potential ad-vantage is that a fee system opensthe way to a freedom in rate settingthat would allow agencies to be paidaccording to quality,' he said.

"Probably the most valid pointin favor of fee systems is that it canprovide for payment according towork done in special situations.Straight fee systems automaticallycompensate the agency promptly whenit gains a new account, and fullywhen a campaign is aborted.

"I warn you that the eventualeffect of general adoption of thosefee systems that involve rebating ofmedia commissions will probably bean eventual increase in the cost ofadvertising to the advertiser."

Clients and agencies who workon the fee system are likely to behappy, Sinclair said, not because ofthe system but because of the directand specific discussions the systemforces upon both parties.

"The commission system, withsupplementary service where justi-fied, supplementary fees where need-ed, is working well for the vast bulkof agency -client relationships inCanada. With open discussion con-ducted in good will, it can work foreveryone."

Pibs

ANDREW KERSHAW(Cont'd. from page 2)

fit, and a variable amount dependingon the direct time costs of agencypersonnel on the account.. Or a feeset to cover all costs plus profit,but with an incentive clause forlower operating costs than estim-ated and a penalty clause for highercosts than those forecast. Finally,there is a fixed fee computed tocover costs and overhead, and avariable fee related to sales in-creases."

To experiment with the feesystem in Canada, three things arenecessary, Kershaw said. The ag-ency must have a good cost account-ing system. The client must be pre-pared to discuss the profitability ofhis account freely and frankly,which he said 92 per cent of ACAmembers agree to. And the agencyfranchise agreement with mediaowners. must be revised to permitcompensation by fee.

"To operate a fee systemtotally divorced from media com-missions could be interpreted as abreach of agency franchise agree-ments." he said. " The Canadianrestriction on rebating of commis-sions is of course a form of pricemaintenance. A similar clause inthe agency franchise contract couldnot be upheld in the U.S. courts. Ithas not been tested in Canada. Ihope it will not have to come tosuch a test.

"Advertisers, media owners,and agencies will surely favor ne-gotiated revision of the no -rebatingclause."

Rebating of commissions andcharging fees would lead to pricecompetition amongst agencies, Ker-shaw said, but "what is wrong withthat? Some want to buy in the bar-gain basement and some want thebeet.

"Some people are afraid of feenegotiations. There is no need tobargain if you don't want to. Re-luctance to negotiate is probablydictated by fear that under a feesystem the clients might pay morethan under the commission system.In the ACA survey, 43 per centthought they would pay more, 26 percent thought they would pay less,and 31 per cent did not know.

"Those who think they wouldhave to pay more under a fee sys-tem are actually admitting that theyare now paying their agencies lessthan they ought to receive."

.:7-k-k7Zt

I NOW CALL ONMR F.L.I3 GZNTPLP

TO THANK THE SPEAKER

If the lifting of the no -rebatingrule brought sane national adver-tisers to place their business direct,he said, "good luck to them."

"Others argue that national andretail rate structures could not bemaintained. That is poppycock.These differences are already soconfused, so arbitrary, so incon-sistent, and so heavily biasedagainst the national advertiser thatwhatever purpose agency commis-sions were supposed to serve, theyhave now been lost in the shuffle."

Acknowledging that media own-ers are right that the commissionsystem encourages quick paymentand insures against bad debts, Ker-shaw suggested the agencies couldoffer appropriate guarantees throughtheir association.

None of these fears have ma-terialized in the U.S. since the firstfee arrangement there four yearsago, he said.

"In an economy that does nottolerate price maintenance, andrestraint of trade, we must not con-tinue to be bound by a system thatprevents change. Let there be free-dom to experiment for those thatwant to move ahead.

"It is a sorry commentary onthe state of the advertising bus-iness in Canada that lethargy andarchaic franchise agreements shouldprevent progressive clients and ag-encies from trying new methods."

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How not to select an agency

Go to the agency and talk to its people"THIS IS A FIVE THOUSANDDOLLAR SPEECH," Jerry Goodis,president of Goodis, Goldberg, SorenLimited, told his audience at theACA convention yesterday.

The price tag was based on thetime spent by agency presidents and

advertisers replying to his letters'asking for their comments on thetopic of his address, "How Not toSelect an Agency".

Don't use questionnaires , Good issaid, citing them as "one of the manydegrading aspects of the advertisers/agency relationship" and saving he

had seen them "running severalpages long and calling for the com-bined skills of a lawyer, accountantand psychiatrist to fill them out."

Instead, "go to the agency andsit down with its people," he said.

And, "please, please, don't askfor a speculative presentation. Doyou ask a doctor for a trial operationbefore you take him on to whip outyour appendix?" Also, he pointedout, somebody pays for the time, art-work and organization put into aspeculative presentation, and if anadvertiser takes on an agency on thebasis of a speculative pitch, he willend up paying for its pitches to otherclients.

"Frankly, when it comes to apresentation, I believe what youdon't see is often more importantthan what is selected for your ex-amination," he said.

Other "how not to's" were:don't use a selection committee ofnon -advertising men; don't use the"second coming" approach, so im-pressed by an agency man met on thegolf course or around a conferencetable that he's taken on in the capa-city of "miracle worker, first class";don't see how fast you can select anagency.

"There is little evidence ofcasual agency switching," Goodissaid. He quoted a survey of indus-trial advertisers which showed that

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35% of advertisers switched agenciesbecause they were generally dis-satisfied; another 35% felt a need foradditional services; 30% felt theyneeded a new copy approach.

"If what I have publicly claimedon a number of occasions is true,namely that 75% of the advertisingdollars spent in Canada are wasted,this is a clear indication to me thatnot enough account switching takesplace," he said.

"There should be more agencyswitching, and it shouldn't be one-sided. The agencies should kisstheir awkward clients goodbye, andthe advertisers who haven't had adecent campaign in years shouldstart drafting diplomatic letters tothe agency presidents.

"The greatest thing that this in-dustry could do is to agree on a two-week advertising silence in the nearfuture. Just imagine it; if you can.An eleven -page Daily Star filled withnothing but news and features. Wholetelevision programs without a singleinterruption. Subway:: with nothing tolook at but people. Wouldn't that begreat? Two whole weeks of peace.Peace.

"The public would love it, andit would give us all, advertisers,agencies, and media, time for somereally critical self appraisal."

Tilting at government patronagein agency selection, Goodis said,"Federable spending on commiss ion -able advertising through agenciesruns nearly five million dollars ayear. Ten departments are involved.Each of these departments has peoplein charge of its advertising and in-formation program," But, "the selec-tion is made at ministerial level, be-cause as everyone surely knows,cabinet ministers know all about ad-vertising.

"It is only the sheerest coinci-dence that the agencies selected arealmost invariably agencies who threwin work teams or maybe made evenmore significant contributions to theparty now in power in the pre -electionperiod. It is even more coincidentalthat all, the government accountschanged hands after the last twochanges of government.

"I think it's time this payolastopped. That's my money they're

spending, and yours, and I want itspent in the most efficient and mosteffective way."

Also, "Who made the rule thatthe advertiser is the master and theagency the servant?" he demanded."Why is the agency always expectedto pick up the tab for lunch?

"A proper advertiser/agency re-lationship, and it should be esta-blished from the first meeting, is oneof mutual respect, a business part-nership where the advertiser recog-nizes that he is no more doing theagency a favor by giving it his busi-ness than the agency is doing him afavor in providing creative andplacing services. It should bemutually profitable and, if possible,pleasant."

Commenting on the "pleasant"aspect, Goodis said a number ofpeople replying to his letters madethe point that it's the people in theagency who count. But, he said,"This doesn't have to be a lovematch. You'd be far better off askingnot 'are they our kind of people?',but rather 'are they people?' We needto know how people speak and thinkand feel."

Names new boardOFFICERS AND DIRECTORS electedat yesterday morning's ACA businessmeeting were:

President: George Meen, ChristieBrown & Col Ltd., Toronto

Executive Vice -President: RobertM. Sabloff, The House of Seagram Ltd.,Montreal.

Vice -President and Treasurer: J.F. Glazier, Ford Motor Co. of CanadaLtd., Oakville.

Vice -Presidents: A. F. Biggs, Conadian Industries Ltd., Toronto; J. W.Cook, The Shawinigan Water & PowerCo., Montreal; Allan E. Ross, GoodyearTire & Rubber Co. of Canada Ltd., Tor-onto_

Managing Director (for the seventhyear) B. E. Legate, ACA, Toronto.

Directors: J. W. Baldwin, ImperialTobacco Co. Ltd., Montreal; D. A.Brown, Colgate-Palmolive Ltd., Toron-to; J.K_ Davy, Steel Co.. of Canada Ltd.Hamilton; John -Gibbon, Royal Bank ofCanada, Montreal; Boulton A. Hall,Gillette of Canada Ltd., Montreal; W.L. Heisey, The Procter & Gamble Co.of Canada Ltd. Toronto; R. S. Hurlbut,General Foods Ltd., Toronto; Muriel F.McCullum, Bulova Watch Co. Ltd., Tor-onto; Robert F. Oliver, Bank of NovaScotia, Toronto; T. P. Quinn, KraftFoods Ltd. Montreal; John Reynolds,.Industrial Acceptance Corporation Ltd.,Montr eal.

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6

ST. CATHARINES

Canadian Broadcaster

Sister Jacqueline

Relates advertising

to religion

SISTER JACQUELINE GRENNAN,executive vice-president, WebsterCollege, St. Louis, Mo., called onthe advertising people attending theACA luncheon yesterday to reinforcetheir inventive minds rather thanaccumulating a multiplicity of facts.

She said the new approachto allforms of communications - education,religion or advertising - should beto create a generation of open minds,with ideas which will become theproduction line in the next decade,rather than sponges which simplysoak up old ideas.

Speaking of this forward -lookingtype of research, she said: "Untilrecently, my own 'industry' of educa-tion has shared with at least oneother American industry the distinc-tion of spending less than one percent on this kind of research anddevelopment.

"The other 'thrifty' industry isthe railroad industry which... shouldhave remembered it was the trans-portation industry, and consequentlywould have owned the air linestoday."

Relating advertising to religion,Sister Grennan said the advertiser'smessage should make people wantsomething so much they go and earnthe money and buy it..."can't affordnot to."

"Advertising should not indoc-trinate, it should challenge", shesaid.

Instead of indoctrinating people,it is possible to help human beingsby putting them into a role andhelping them succeed in it.

"Once we have rejected thesham and the harm produced by.modern technology in materials andin services," Sister Jacqueline said,it seems to me that we must not onlytolerate the educative and incentiverole of modern advertising; we mustalmost champion it.

"Today, standards of living andeconomic growth have become con-cerns of the whole people on aninternational level. Citizens of theUnited States will again be impress-ed this summer and fall by candi-dates of both political parties thatsocial welfare is in some sense adependent variable of the grossnational product. In this frameworkit is hardly possible any longer tomake simple distinctions betweenadvertising for "needs" or advertis-ing for "wants."

"May we not properly suggestthat in our contemporary world weneed to want? What wants can weresponsibly create in what people?Does modern advertising even havea responsibility to find ways toraise crucial social questions withinthe context of its media? What kindsof tough problems has your industryfound and met in the area of racialintegration? If modern industrialistsand modern communications expectsresponsible and creative human be-ings in the late twentieth century,they cannot shunthe ambiguities andtensions created by such questions.Instead they will continue to pro-pose the searching questions of theworld we are all making daily moresophisticated, more complex.

Presentations

Research - Code - Talent Relations0).-ENING THE OPEN sessions atthe ACA convention were reportsfrom the Bureau of Broadcast Mea-surement, The Canadian AdvertisingResearch Foundation, the CanadianAdvertising Advisory Board, andthe ACA-CAAA Joint Committee onBroadcasting.

BBMReporting a record high in mem-

bership of 413, J. F. Glasier, imme-diate past president of BBM, re-viewed developments over t le pastyear, the highlight of which is ex-tension of services at no increasein cost.

New services are: four diarysurveys instead of two per year, in34 markets; four -week and two-weeksurveys instead of one -week sur-

' veys; audience composition; TV pro-gram titles with time period and rat-ings; Monday to Friday five-dayaverages in area reports; averagedaily circulation, day -time andnight-time; reach/frequency reportsfor spot camapigns on request; tele-phone surveys in 14 markets; net-work reports for advertisers, ag-encies and networks.

The operation of BBM has beenstreamlined, and its new image of"a bright, lively progressive organ-ization" is relfected in a new in-signa, Glasier said.

The study of methods used byBBM in measurement, being carriedout by Professor Dale under theaegis of the tripartite planning com-mittee, has revealed interesting fac-tors, and the study continues.

CARFJ. N. Milne, chairman of CARF,

reported on projects over the pastyear and spoke of two interestingproject possibilities for the -future;a study of over -commercialization intelevision, to determine whether ad-vertising effectiveness declines inover -commercialization and if so,when and by how much, and whatfactors affect advertising effective-ness in the situation; and researchinto the media buying process inCanada, a study suggested by theUniversity of Western Ontario.

Eleven entries were submittedfor the MacLaren Advertising Re-search Award of $1,000, Milne said,six from Canada, four from the U.S.and one from Sweden. Four of thesewere from universities, two from ag-encies, two from advertisers, twofrom research houses and one froman unspecified source. The winnerwill be announced shortly.

CAABA report prepared by CAAB

president Einar Rechnitzer was readby P. J. McGinnis, citing the Can-adian Code of Advertising Standardsapproved and adopted this year, asa real landmark in the history ofadvertising in Canada. It is a modelCode, demonstrating advertising'scapability to look after its ownaffairs without outside control, andproof of the loyalty, co-operationand friendship between advertisers,agencies and media, he said.

A committee set up to deal withcomplaints about national advertis-ing had heard and resolved fivecomplaints from advertisers, it wasreported. In each case it was re-

vealed that no one had intentionallycontravened the Code.

JOINT COMMITTEEON BROADCASTING

Co-chairman Bill Inch reportedfirst on the Committee's discussionswith the Board of Broadcast Gover-nors about new regulations on com-mercial content on television nowunder consideration by the Board.The Board had asked the Committeefor information and advice, he said,and the new regulations would pro-bably embody some of its recommen-dations.

One of the greatest problemsis definition of the problem itself,Inch said, and the Joint Committeeon Broadcasting will work withCARF on research on the subject.

Co-chairman Hugh Horler, re-porting on discussions with thetalent union, said that lengthy dis-cussions were probably in the fut-ure, with a new Board of Directorsof ACTRA and the present agree-ment expiring in October.

Montreal representative GabyLalande said his Committee hadbeen active with a CBC commercialacceptance linguistics committee,discussing proposed changes inwords and expresSions used in com-mercials, and in many cases hadsucceeded in reversing or post-poning CBC decisions to demandchanges. The Montrealhad just received a 70 -page pro-posed agreement with the Frenchtalent union and hopes to discussand resolve the points therein with-in two or three months, and thenconsult with the Committee in Tor-onto regarding the ACRTA agree-ment.

Client -Agency Relations

They must live on a two-way streetAGENCIES CAN'T BE SELECTEDin ten easy lessons, said YvesMenard, a director of ACA, vice-president of Johnson& Johnson Ltd.,Montreal.

"In point of fact" said Menardin an address to the afternoonsession of the ACA convention yes-terday, "agencies often - perhapseven more often than not - selecttheir clients rather than the reverse."

This might be wrong, he felt,because agencies often pitch a client- on the golf course or on a trip toNassau - without any regard for theadvertiser's problems.

Menard was also critical of theselection of an agency by a board ofdirectors, which is not really con-versant with the subject of adver-tising.

People on the job buy expensiveequipment and supplies on their own,yet a board of directors, with noknowledge of advertising whatsoever,contracts for the spending of millionsof dollars.

"The guys who are going to usethe agency are the people who shouldrecommend it. Then it is all right forthe directors to perform the act ofappointing it," he said.

"It is not a question of whodoes the agency work for, but whodoes it work with," he continued."There is no sense picking an agencyunless you are prepared to workwith it."

Menard's formula is to select anagency which fits in with the patternof the circumstances in your factoryor shop, with the right personnel todo the work.

"If an advertisement has to bepre -tested, post -tested and research -researched, you don't need an agencybut a statistical genius" he said.

"I don't think ideas should besubjected to research. Ideas andresearch should each stand on theirown feet."

When an agency and its clientcomes to a parting of the ways, itwill simply mean they haven't got

together to find the right approachfor the product.

Menard posed the question: "Dowe advertisers know the economicsof the agency business?"

The advertiser has to establishwhat he expects his agency or con-templated agency to give him. Theagency has to familiarize itself withwhat the advertiser wants done.

"The plight of American busi-ness," Menard said in conclusion,"is that, in advertising as in every-thing else, it wants a universalanswer to every individual problem."

"What business really needs,"he said, "is ideas, generated by men,supported by capital, rather than thereverse."

Want a Man?Want a Job?

TRY A SMALL ADin


April 28th, 1964. 7

April 28 TODAY8.45 a.m.9.15 a.m.

AT THE ACA

"THE WONDRA FLOUR STORY" - Example of Effective Co-ordinatedMarketing.

"BLAME IT ON THE BOSSA NOVA!"DAVID R. BUGLASSAdvertising Manager

Armstrong Cork Canada LimitedMontreal

REGISTRATION - Room "A" "NOW IT CAN BE SOLD!"Ballroom LAURENCE DUNCALFE

Chairman - W.T: McFARLANE Advertising & Sales Promotion Manager"THE VARYING CONSUMER PSYCHOLOGIES" Facelle Company Limited

Dr. BERNARD HYMOVITCH TorontoPresident 3.30 p.m. Intermission - Tea and Coffee Time

Marketing Research Centre LimitedMontreal

9.45 a.m. Ballroom"NATIONALISM . . . OR THE SEARCH FOR THE AVERAGE CANADIAN"

GABY LALANDEVice -President & ManagerYoung & Rubicam Limited

Montreal10.15 a.m. Intermission - Tea and Coffee Time

CFRB, Toronto and CJAD, Montreal10.30 a.m. Ballroom

"WHAT CAN MEDIA DO FOR SELECTIVE MARKETING"RALPH G. DRAPER

Media DirectorFoster Advertising Limited

Toronto12.30 p.m. ACA GOLD MEDAL AWARD LUNCHEON- Canadian Room

Speaker

J. ALPHONSE OUIMETPresident

Canadian Broadcasting CorporationOttawaSubject

CFRB, Toronto and CJAD, MontrealBallroom

"NOW PIGS REALLY FLY!"JACK D. CAMPBELL

Vice -PresidentGreb Shoes Limited

Kitchener"THE CHRISTMAS LIGHT STORY OF CGE"

ROSS JOHNSONManager

Marketing, Lamp DepartmentCanadian General Electric Company Limited

Toronto"A ROSE IS A ROSE IS A ROSE"

HENRY A. SKINNERDirector of Marketing

Nabisco FoodsToronto

"THE LIGHT THAT FAILED"JACK BUSBY

Advertising DepartmentImperial Oil Limited

Toronto6.00 p.m. Cocktail Party - Ballroom

"ADVERTISING AND THE NATIONAL SERVICE" (For Annual Dinner Guests)2.15 p.m. Ballroom 7.00 p.m. Annual Dinner - Canadian Room"ADVERTISING IN ACTION" -A dramatized session of case histories.

ENTERTAINMENTDONALD F. SWANSONDirector of Marketing, Flour and Mixes,

General Mills, Inc.,Minneapolis, Minn.

3.45 p.m.

CTV Television Network PresentsA Riotous Evening of Entertainment


"Located in one of the most favouredareas in Canada, Toronto Townshipoffers to private and corporate citi-zens alike, advantages found nowhereelse. Six major highways runningthrough the township, C.P. and C.N.Railway facilities, together withbeing the home of Toronto Inter-national Airport, make the area unique."Already more than 100 major indus-tries and 70,000 people make theirhome in Toronto Township and morecome every month."CHWO Radio's coverage of an urban-izing area and the township far be-yond our boundaries, makes it apopular and important part of Town-ship life."





Population 233,500*Retail Sales $148,054,000*Households 61,700*


24,592**Employees in 445**PlantsEarning $109,874,000".


CHWO RADIODial 1250





Mrs. Helen Kolomaya





"Once a summer colony, - now oneof the fastest growing commercialand industrial centres of Ontario,Oakville claims to be Canada's larg-est town. Beautiful parks, modernschools, cool breezes from the Lake,all contribute to good living for its46,721 people."Being a huge consumer and productmarket with a substantial labour pool,excel lent transportation facilitiesand ample housing, makes it a primesite for new business as well."Through its regular reports ro thepeople, CHWO carries the voice ofOakville far beyond municipal bound-aries and this renders a valuablepublic service to the community"




** DBS - 1961


rJ

The Gates BC -10P 10,000 watt AM broadcast transmitter was designed and built to meetcertain specific requirements regardless of cost. The aim was to make it the most reliableand compact transmitter on the market within the confines of good engineering practice.The world-wide acceptance of the Gates BC -10P is proof of its worth.*

The Gates BC -10P AM broadcast transmitter features tri-unit cooling, a complete Tee networkto guarantee meeting FCC harmonic reduction figures and the largest power amplifier com-ponent list of any 10,000 watt transmitter made. It is available with either tube or silicon recti-fiers, and a total of 22 sealed transformers and reactors are spaciously distributed throughoutthe three cubicles.

*Some Canadian users of the BC -10P transmitter:

CKDM-Dauphin, Man. CJLR-Sillery, Que. CKCM & CBT-Grand Falls, Nfld. CKX-Brandon, Man. CKRD-RedDeer, Alta. CFOX-Pointe Claire, Que. CKVM-Ville Marie, Que. CKSA-Lloydminster, Alta. CBY-Cornerbrook,Nfld. CBZ-Fredericton, N.B. CKPM-Ottawa, Ont.

CANADIAN MARCONI COMPANYBROADCAST & TV STATION EQUIPMENT SALES

Head Office: 2442 Trenton Ave., Montreal 16, P.Q.

,GATES)HALIFAX MONTREAL OTTAWA TORONTO CALGARY VANCOUVER

Full technical data available on request.

NIGHT and DAY --THROUGHOUT theWEEK

CFTM-TVDOMINATES TELEVISION

IN

MONTREALTOTAL AVERAGE HOMES DELIVERED PER I/4 HOUR, SUNDAY THROUGH SATURDAY

NIELSEN NBI, FEBRUARY 1964HOMESTUNED -

(000)

200

ISO

100

50

=lk

CFTM-TV

Station "B"

CFTM-TV

CFTM-TV

Station "B"

Station "C"

NOONTO

4:00 PM(Mon -Fri)

4:00 PMTO

6:00 PM

6:00 PMTO

8:00 PM

CFTM-TV

Station "B"

8:00 PMTO

10:00 PM

ontreal is SOLD on

CFTM-TVRepresentatives

PAUL L'ANGLAIS INC.Stovin Byles LimitedForjoe & Company Inc.

CFTM-TV

CHANNEL

10:00 PMTO

MIDNIGHT

Toronto -487 1551. Montreal -526-9201Winnipeg -943-2662. Vancouver-MU-4-4831New York-OR 9-6820

DC

ccea

z

aOOaVaOLO

OOa

V

L

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"I think the ACA Gold Medal is a wonderful wayof recognizing outstanding contributions....

....to Canadian advertising and has brought intothe limelight invaluable people and ideas.

Who? ME?"r-, EN

CBACA

Daily BroadcasterVolume 6 Number 3

April 29, 1964

For Services Rendered

WaRRen ReynoldsIT STARTED THE DAY an English carpenter, fromBrighton, arrived in Canada, came to Toronto, hockedhis tools and threw away the ticket and then got him-self a job on the old Toronto Globe.

It climaxed at the 1945 ACA Convention, whenthis carpenter, now the head of his own agency, re-ceived one of the association's coveted Silver Medals.

The carpenter in question was the late E. W.(Eddie) Reynolds, whose pioneering has born fruit inwhat is today Ronalds-Reynolds & Company, presidedover by his son, Warren Reynolds, who will by nowhave hung his own ACA Gold Medal, awarded to himat this year's ACA Convention, beneath his father'ssilver one.

Young Warren Reynolds started his businesscareer with the Maclean (now Maclean -Hunter) Publish-ing Company. In 1935 he joined the Hinde & DauchPaper Company, first in the packaging research de-partment in Toronto and Trenton, and later in the con-tainer testing laboratories in New York. He returned toCanada to become sales manager in the Montrealdivision.

Nine years later, in 1951, he resigned to join hisfather's advertising agency, E. W. Reynolds Ltd., be-coming president on his father's retirement in 1961.In 1960 he merged with Ronalds Advertising AgencyLtd. and became president of Ronalds-Reynolds &Company.

Warren Reynolds' success story reads like anarithmetical progression. From small beginnings theRonalds-Reynolds company has risen to a positionamong the top ten agencies operating in Canada. Bill-ings haVe increased over ten fold.

An ardent fisherman in the 500 -lb tuna class,Warren Reynolds has never shirked extra -curricularduties for the good of the industry.

He has performed just about every function withthe Canadian Association of Advertising agencies, upto and including the presidency.

He has represented CAAA as liaison director,joint working committee on radio and television.

He served on the Annual Business ConferenceCommittee, later becoming chairman, of the Universityof Western Ontario.

As CAAA president, he worked with Alan Yeates,then ACA president, in a joint representation to theRoyal Commission on Publications.

He organized the first French marketing confer-ence to be held in Toronto.

In 1960, he was elected governor of the FrontierCollege, later becoming a member of its executivecommittee.

While Warren Reynolds had the good fortune tostep into his father's shoes, he did it the hard way.

When he first joined the agency, his father saw toit he received no boss' son treatment. Starting outholding script on some dramatized radio spots, hetried his hand at just about every job in the business.He did store checks and other leg work, and oncetravelled clean across Canada snapping pictures ofclients' wares on display in the stores.

Whether or not this father -son situation is anotherfirst for the ACA, it is unquestionable evidence of thematuring of the relatively young advertising industry -tn.tnrity not only in I/ 1.C. hilt in rananitv for use -.,J

HARDY MEN

KNOWTHEIR MARKETS

CALL

TORONTO

Art HarrisonCharley Powell

Dick SienkoPat Rowsell

Monte HuttonGene Alton

Weldon Wilson

MONTREAL

Marc LegaultGiles Dussault

Jean Seneca!Pierre Lemieux

CBC President

Commercials are no sideline...they help CBC serve Canada

"WE HAVE ONLY ONE PURPOSE- one business - to serve the Cana-dian public, and our commercialactivities must remain a contributingmeans to that end. But our commer-cial activity is not just a sideline,it is an essential part of our opera-tion. To the extent we are in busi-ness, we are in business to thehilt."

This was the gist of CBC Presi-dent Alphonse Ouimet's admitted"pitch" which he delivered at theACA Gold Medal Luncheon yester-day.

"Business has spent millionsof dollars to advertise its goods andservices on CBC radio and tele-vision over the past 28 years," hesaid. "Without your use of and sup-port for CBC radio and television,one of two things would have happen-ed:

-30-This is the final edition of Volume6 of The Daiiy Broadcaster, pub-lished for the past six years eachday of the ACA convention

Watch the May 7 issue of Can-adian Broadcaster for reports of allACA meetings, including today'ssessions. Also watch CanadianBroadcaster's regular twice -a -montheditions for news and articles of in-terest to the advertising world.

KEY

ToBUSINESS

IN THE


Reps.DIAL 61 0

PAUL MULVIHILL & CO. LTD.Toronto Montreal C KTB

ST. CATHARINES

"Either the national servicewould be less complete and reachingfewer people, or the cost per Cana-dian in public funds would be appre-ciably higher than the present figureof $4 a year."

Ouimet had kind words for "themany advertisers who, over theyears, have sponsored and are spon-soring major programs and Canadianseries on CBC networks at relativelyhigh cost. They have done this -for Canada I believe - in the certainknowledge that they could haveachieved greater exposure at lesscost through the medium of cannedvariety, situation comedy or otherlight entertainment whipped up fromthe 'mass audience' formula.

"The CBC does not believethat this is a good formula for thenational broadcasting service," hesaid, adding:

"It may surprise you, however,to hear me say that it is not neces-sarily a good formula for the adver-tiser either - the so-called `massaudience' has long ceased to be, ifit ever was, the majority of the totalpotential audience."

Such specials as NHL playoffsand royal visits excepted,the speak-er suggested that "even the mosthighly -rated programs are still onlyminority programs, reaching some25 to 35 per cent of the total poten-tial audience. Large audiences tobe sure, but what about the 70 percent who are not watching or arewatching something else?

"The repetition from week toweek of a series of popular pro-grams, all issued from the samemold, will still yield you at the endof the year only the minor part of thetotal audience."

Ouimet pointed out that thetotal potential audience varies byage, sex, education, sophistication,socio-economics, geography and in-dividual tastes and temperament.

Therefore, he said, "it is justas impossible for you to reach themall at the same time with your com-mercial message as it is for the CBCto serve the total audience - or

even a true majority audience - alltogether at one time.

"The only way to reach thelargest possible audience, with ourservice or with your commercial, isto offer a wide choice of programfare so that everyone may be servedaccording to his taste."

The speaker emphasized thatwhile "we shall continue to seek ad-vertising dollars so long as ourmandate is as it is, we shall alsocontinue to respect those self-im-posed policies of the corporationwhich actually translate themselvesinto a code of business practice."

While, from an advertiser's stand-point, the prime interest is to stimu-late sale of products, the CBC mustmaintain proper perspective with re-spect to its programming responsi-bilities and its commercial responsi-bilities. . ."to ensure. . .integrityand good taste."

Because the broadcast media 11-1-----)Canada "enjoy the confidence andtrust of the Canadian people",Ouimet said, "we will continue tomaintain sufficiently high standardsof quality and quantity to ensurecontinuing public confidence in CBCbroadcast advertising, in spite of thefact we could obtain more advertis,-ing revenue by lowering our stand-ards.

"What would happen, of course,if we did lower these standardswould be a gradual loss of confi-dence inbroadcast advertising amongthe public at large, and that, in thelong run would work to your disad-vantage.

"We are serious about achievingeffective relationships with adver-tisers and agencies", Ouimet said."We try to meet your needs while atthe same time we have to be awareof the basic reasons for the CBC'sexistence.

"We would be the last to claimthat our programs and schedules areperfect. But we are not unmindful ofsome success in providing a balan-ced fare to viewers and listenerswhen compatibility between theirrights and your interests has beensometimes extremely difficult tofind."

We seldom pull our punches . . .

. . . because we firmly believe in the merits of our product.

But don't let this mailed fist mislead you. Good selling

calls for "boxing" just as much as it does "slugging". It's

not always the technique, it's the finesse that counts.

Which is one good reason why the national advertisingrevenues of the stations we represent are constantly

accelerating.

radio -television representatives

TORONTO

limitedMONTREAL WINNIPEG VANCOUVER


Media Beat

National media need local help

HOW IMPORTANT ARE THE adver-tising media? If you hired a crew ofmen to deliver your sales messagepersonally and they worked from 9 to5, five days a week, 50 weeks of theyear, with only an hour for lunch, atjust $100 a week with no expensesor mileage, no statutory holidays off,spent only one minute getting fromhome to home or farm to farm - itwould cost you $447,500 in salariesalone to have one minute per yearwith each household in Canada.

That this was just a "trailer", asidelight, indicates the wealth ofinformation, via script and slides,covered in the address, "How MediaCan Help in Selective Marketing" byRalph Draper, media director ofFoster Advertising Limited, at theACA convention yesterday.

"Canada has no national media,"Draper said, in the dictionary defini-tion of national as "common to awhole people or race. ..The ones we.terms as national(TV networks,m4a-zines, supplements) can really onlydo a part of the job in reaching ourwhole nation.

"Network television generallydelivers large audiences at an effec-tive cost per thousand. In many casesit is the only source of prime timeminutes, and often the only way wecan be sure of having an island posi-tion for our commercials. But networkcoverage does not spread equallyacross this country.

"There is a most definite needto consider supplementary, selectivemedia in many areas to be sure thatwe are going to reach an equal num-ber of potential customers in allareas.

"Supplements supply a tremen-dous circulation volume, give top-notch color at a good price, haveproven high reader traffic, and pro-duce excellent returns. Even with atremendous national supplementcampaign, there is still the need forselective advertising, if only from acoverage standpoint."

About magazines, Draper said,"Many of us tend to underestimatethe total circulation. The magazinesthemselves, and those of us in theadvertising business, tend to thinkof them individually, rather than as agroup medium"

Adding the gross circulationfigures of Maclean's, Le Magazine,Reader's Digest and Selections;Chatelaine and Revue Moderne, Li-berty, Time, Saturday Night and StarWeekly (which, Draper said, deservesto be called a magazine), the total isequal to 98 per cent coverage ofCanada, though that figure includesduplication.

"We use network television,supplements, and magazines. Theyare all important vital media, but weonly kid ourselves if we look on themas giving complete national cover-age. They must be considered aspart of a total, selective plan," hesaid.

"All business is local."Only regional and local media

can allow us to stage launches andpromotions in specific markets at the

time desired.

"Dealers are extremely impor-tant in many cases. Only the localmedia can give us dealer tie-ins andhookers on a proper basis.

"With selective media, we cancontrol our weight by market, not onlyin terms of spots or linage, but interms of dollars.

Local media on the spot canhelp in distribution checks and ingaining entry to store shelves, hesaid, generalizing that local papersare more helpful in distributionchecks, and local broadcasters morehelpful in getting shelf space, thoughall types of media are helpful in theseareas.

Flexibility is the most importantreason for using selective media,

Draper, being able to pick the market,pick the timing, book and change ad-vertising on shorter notice. "We canput in the proper weight, dependentnot only on media value, market size,but also on competitive activity. Wecan advertise the right product to fitthe market. We can pick the rightmedium or combination of right mediato do the best job within a market.

"All markets are different, andeach must be attacked with a combi-nation of marketing strategy, creativeand media strategy in mind.

"It is desperately important towatch weight on a market by marketbasis. This is awfully tough to figurein newspapers and outdoor, but mucheasier in the broadcast media.

CGE success story

Quality needs communicating"HOW TO GO FROM ZERO PERCENT of the market to 21 millionunits in four years, in one hardlesson" might well have been thetitle of the "Advertising in Action"case history told to the ACA conven-tion yesterday by F. Ross Johnson,manager, marketing, of the lamp de-partment of Canadian General Elec-tric Co. Ltd.

Johnson made two big points -one, that "when you abandon yourconsumer franchise either to an out-side firm or through your own apathy,a quick technological or price changecan have a disproportionately cripp-ling effect on your operation."

Two, that you can survive theblow and "the total marketing pro-cess, is not built entirely aroundprice and trade relations, the Cana-dian consumer will pay more for goodquality merchandise, tastefully pack-aged arid presented."

In 1960, Canadian General Elec-tric had been manufacturing Christ-mas lights for over 30 years, but thegeneral public didn't know it. Theysold their product to the manufac-turers of strings of Christmas lights,who packaged the re -sale productunder their own brand names.

"It was great until 1956," John-son said, when "the roof fell in withthe introduction into Canada ofJapanese Christmas lights. Couplethat with a marketing situation wherewe had not spent a solitary cent indeveloping a CGE Christmas fran-chise with the trade, leave alone theend consumer, who bought it foryears under brand names.

"If CGE had only been in theChristmas lighting business, underour pre -1960 practices we would havebeen finished. The trend line showedthat we would be out of business by1964. It became the marketing re-sponsibility to reverse this trend."

First, marketing decided to eli-minate the string manufacturers acidgo direct. Which brought CGE downto zero per cent of the market, start-ing into 1961 with no orders or cus-tomers.

From there, "we had to re-evaluate the total product line interms of actual consumer wants,"Johnson said. "We invested heavilyin consumer research."

As a result, CGE developed newlights for the high -style end of themarket, cut the number of colors andimproved the colors they kept, coloredthe cords to blend into their back-grounds, cut down the unit of saleand selection into multiples that re-presented actual consumer take away,and described the product in consumerterms rather than engineers'.

Price was a critical issue, andmarketing set a competitive priceand then asked manufacturing whatvolume would be required to meetthat figure. The answer was "sell141/2 million lights".

The lights were to be sold on aguaranteed sale basis, that CGEwould take back all unsold product."We started manufacturing in Januaryon a basis of what would happen inthree weeks of December. If ourmarketing prognostications were in-correct, we got everything back,which would be with us for anothertwelve months," Johnson said.

"We gambled in excess for onemillion dollars that they (the con-sumer) would buy. This placed afantastic emphasis on our marketingprogram, particularly packaging, pro-motion and advertising."

One hundred and forty new pack-ages were developed, geared to selfservice, and tasteful, "Our creativepackaging people, Lancaster andHaws, did as much or more to en-sure the success of our program asanything else."

But, "did we ever need communi-cation!" Johnson said. CGE wentexclusively to radio, for three weekscontinual communication to both menand women, and "radio once againscored as we could concentrate ourcommunication where the shelf ex-posure was."

With a happily -ever -after ending,Johnson showed a slide, sales in1963 increased 420% over 1960 sales.

The Facelle story

----first the researchthen the campaign

SALES MORE THAN DOUBLED andstill climbing, distribution increasedby better than 50% and still improv-ing - a combination of quality pro-duct, sales effort, and advertisingand promotion did it, all three work-ing in close co-operation. That wasthe punch -line to the success storytold by Laurence Duncalfe, adver-tising and sales promotion managerof the Facelle Co. Ltd., during theACA convention's series of "Adver-tising in Action" case historiesyesterday.

Reviewing the Facelle story,Duncalfe said the company had beenproducing quality household paperproducts on a limited scale since1932, with a modest share -of -market,but "things began to happen" in 1961when Canadian International PaperCompany acquired the business.

First thing to happen was theinstitution of a reSearchand develop-ment program, with a study to dis-cover a guide to product design, aguide to name development and pack-age design, and to determine themost effective way to sell the pro-duct.

Two basic factors emerged,Duncalfe said. Consumers consider-ed theirbasic tissue product superiorto competitive brands by a margin ofeight to one, after "blind tests"in -home placement tests. And con-sumers considered their packagescheap looking, non-functional andbadly color -coded.

With new package designs, ex-panded manufacturing facilities readyto roll, the sales force beefed up,the company faced two problems inlaunching the new Facelle Royale inOntario and Quebec. The old producthad had fair distribution in drug out-lets, but made a poor showing infood chain distribution, and too manypeople were unaware of the product'sexistence. What to do?

The decision was to sample1,200,000 homes in the two pro-vinces with a full size package ofthe new facial tissue and bathroomtissue, plus two "104t off" coupons.

We would let the consumer de-cide for herself what product wassofter, stronger and more absorbent,"he said. "Expensive? Yes. Butpossibly this was the shortest dis-tance between two points

At the same tirne, 35 newspapersin 25 markets in Ontario and Quebeccarried an advertisement a week forten weeks, mostly two-color ads,ranging from 800 lines to full -pagesize. Spot television was used tosupport the products on a continuingbasis.

With "a very low bow in recog-nition of a great job", Duncalfe saidthe new sales force made a completetrade canvas before the advertisingand sales promotion campaign broke.

Duncalfe's talk was titled "Nowit can be Sold". Up until now, hesaid, it was not a story, but rather aprayer. Now, however, Facelle Royaleis "on the market in a healthy andgrowing position".

Ax i 129, 1964

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Hush Puppies

Television was the base mediumTHE CASE HISTORY of Greb ShoesLimited's Hush Puppies, told byvice-president Jack D. Campbell inthe ACA convention's "Advertisingin Action" series, spanned onlyfour years, but a lot of advertisingaction - and reaction.

Greb acquired the Canadianfranchise for Hush Puppies in 1959he said, and early in 1960 appointedGoodis, Goldberg, Soren Ltd. as itsagency, with a budget of $7,000.Putting the budget into test market-ing, with the simple objective ofcreating demand, the client expec-ted sales of 10,000 pairs of shoes -and sold 44,000 pairs.

'The next year, '61, the budgetupped to $50,000, with a sales tar-get of 140,000 pairs - and 235,000pairs were sold. So it went. The1963 budget of just over $200,000produced sales of just under onemillion pairs of Hush Puppies.

"This year it looks as if weshall sell one -and -a -quarter millionpairs," Campbell forecast. He saidthe rocketing sales figures were"unparalleled in the Canadian shoeindustry."

Test markets in the launch cam-paign were Kitchener, Winnipeg andLondon. In Kitchener, TV was theonly medium, one seldom used bythe shoe industry. In London, onlynewspapers were used. In Winnipeg,both TV and newspapers were used.

The TV -newspaper combinationproved most successful, with TValone running a close second assales in both markets approximatelyquadrupled during the test period..Newspaper alone brought only mildsuccess. A final test, using thesame TV commercial (produced forless than .$1000 by Ministar FilmProductions Ltd.) in Vancouverbrought the same results.

"Television seemed to be thesuccess factor, and formed the basemedium for the first national cam-paign," Campbell said. The Adver-tising was backed up from the startwith sales promotion and POP. Dis-play materials featured the bassethound, which co-stars in the adver-tising, bones and other relateditems. Mailing pieces have rangedfrom pies to single socks, the matesto which the salesmen brought ontheir personal calls.

With the original goal met, ob-jectives widened in the last two

years to include strengthening theGreb identification with Hush Pup-pies and the acceptance of otherGreb products, preventing HushPuppies from becoming a genericterm, and building sales in MetroToronto.

Last year corporate elementswere introduced into the advertisingA Hush Puppies identification kitwas produced to combat Hush Pup-pies becoming a generic term, andthe write in -reaction to newspapercoupons left very few kits to be dis-tributed to the ACA audience.

Mentioning other factors thathave contributed to their success,Campbell said production facilitieshave kept up to provide delivery,complete distribution facilities areserved with a chain of warehousesacross the country, and,

"Having picked out advertisingagency, we have committed our bud-get to them and gone along withtheir recommendations. We have de-liberately avoided nit-picking."

DRIFTSTONE FLOORING SOARS TO CEILING

"IN ANALYZING THE DRIFTSTONEsuccess story, all of us involvedhave varying theories as to what act-ually caused it to take off," saidDavid Buglass, advertising managerof Armstrong Cork Canada Ltd. in

Who put thein CFQC?

It took half a dozen very big corporations andmillions of dollars. But it is transforming theeconomic life of CFQC's signal area, around Sas-katoon.

Of course, wheat is our first money-maker, and wemade more billions of dollars from agriculture in1962 than ever before. Wheat, though . . . evenWinnipeg claims wheat.

And oil production was greater in 1962 in our areathan ever before. Of course, those guys in Calgarytalk as though they had all the oil.

But now magic K! K's the chemical symbol forpotassium, major element in POTASH. POTASH,used on eastern farms as fertilizer and in easternindustries. And it all comes from CFQC's signalarea. Company towns, multi -million dollar develop-ments, the whole bit. Production is just startingand may continue profitably for centuries.

We are happy to have new people, rich people inour audience. So are the advertisers on CFQC.

the ACA's "Advertising in Action"series yesterday.

To introduce its Driftstone de-sign Excelon Tile flooring, the com-pany used a three -pronged attackaimed at consumers, retailers, andthe wholesale distributor sales force.An incentive program for the dis-tributor sales force offered prizepoints for every carton sold, to beredeetned for merchandise. The floor-ing retailer was offered a chance ona two-week trip for two to Acapulcofor every carton purchased.

The consumer was offered a 12-page color booklet "Make Way forBetter Living",which was advertisedin print ads, full -color in consumermagazines and supplements, and in18 daily newspapers in key markets.

The objective was 450 stockorders totalling 13,000 cartons oftile. The seven -week promotion sold923 stock orders and over 33,000cartons.

"And today it ranks as one ofthe top sellers in our flooring line,"Buglass said.-d P/6

Spot -TVis prime mediumfor newfood product

AT THE ACA Annual Meeting yes-terday, Donald F. Swanson, Vice -President of the Grocery ProductsDivision of General Mills Inc., pre-sented the background of marketingplanning for the United States intro-duction of Gold Medal Wondra Inst-anitized Flour.

General Mills launched the pro-duct in a national introduction inSeptember. The primary medium forthe introduction was Spot TV coupl-ed with an impressive list of day-time and prime time network tele-vision snows Inree color news-paper and 4 color magazine adswere also used importantly. Theintroductory advertising campaignwas termed one of the largest everused for launching a new food pro-duct.

Mr. Swanson pointed out thatone of the most difficult decisionsfor his company to make was thechoice of initially marketing theproduct nationally with the assoc-iated risk factors and tremendouslogistical problems or to carelfulytest market the product over a longperiod of time. The national intro-duction was chosen because GeneralMills was so sure that they weremarketing one of the major' break-throughs in the food field.

"General Mills Sales Force didan outstanding job of covering allgrocery trade nationally in onlythree days and sold Gold MedalWondra to every principal grocerydistributor and chain retailer,"saidSwanson. He added that none of thetrade incentives or promotional gim-micks typical of the regular flourbusiness were used in the introduc-tion.

In discussing the creative as-pects of the advertising plan, Mr.Swanson stated that all ads werethoroughly pretested to insure thatthey were effectively delivering ahard-hitting and motivating messageto consumers.

Mr. Swanson concluded by in-dicating it was too early to fullypredict what the future holds for thenew product but did confirm thatconsumer acceptance to date hasbeen excellent.


Consumer psychologies

The audiencewas wrong

THE AUDIENCE AT THE OPENINGsession of the second day of the ACAconvention flunked its test in "TheVarying Consumer Psychologies",the address by Dr. Bernard Hymov itch,president of the Marketing ResearchCentre Limited, Montreal.

Dr. Hymovitch asked severalmarketing -oriented questions, and theincorrect answers in the audienceprompted him to point out that thetastes of ACA members and guestsare not those of the masses, yetthese are the people that plan theadvertising campaigns to appeal tothe rest of Canada.

(One question was "what per-centage of dry gin sold in Canada doyou think is consumed in martinis?".Retiring ACA president Robert Oliver,seated next toBroadcaster's reporter,said 60 per cent. The correct answeris four per cent.)

Exploring some of the psycholo-gical difference across Canada thatlead to different marketing conditionsand sometimes, but not always, todifferent marketing techniques, Dr.Hymovitch said these differenceswere influenced by economic factors,geographical location, historical andcultural backgrounds, and otherelements.

Status consciousness in the dis-play of material things is largely anAmerican phenomena, he said, andtherefore is more obvious in the areasmost influenced by the U.S., primarilyin B.C. where there is a strong north -south indentification and a geogra-phical separation from the rest ofCanada.

The purchase of luxury items -expensive homes, cars and boats -is higher per capita in B.C. than inthe rest of the country, he said, andit is not solely attributable to pros-perity. These expenses are made upfor by economies in the purchase ofnon -observable commodities, buyingnon -branded foods at discount prices,buying a cheaper liquor (and pouringit into the bottle of a better brand)and similar savings where it doeSn'tshow.

"As you would predict," Dr.Hymovitch said, "Ontario followsBritish Columbia. Also predictably,Quebec is least influenced by theU.S. and the French-Canadians donot attempt to 'keep up with theJoneses, or ahead of them' nor dothey care as much for rank and posi-tion in organizations."

The French-Canadian, he said,will buy what is most pleasing tohim. The French/English differenceis evident in their attitudes towardself-indulgence in many ways.

There are more bars, restaurantsand "places to have fun" in Quebecthan in other provinces. The French-Canadian considers it rightful andhonorable to seek pleasure, theEnglish -Canadian thinks he shouldbe more sedate in his pleasure -making, at least when it is observed.

French-Canadians also sufferless from guilt feelings after self-in-dulgence, Dr. Hymovitch said. TheFrench-Canadian may have a head-ache or upset stomach after a nightout, but it is the English -Canadianwho suffers a "hangover". TheFrench-Canadians are happy to spendmore on products for sensual satis-faCtion, though their income may belower. Gourmet foods and the mostexpensive brands of liquor sell Nestin S'uebec.

There are also psychological,.iifferences in the male -female re-lationship between Ontario and B.C.with their U.S. influence, and theMaritimes and Quebec with their is-olation, he said. Women are moreindependent in Ontario and B.C. Inthe Maritimes and Quebec the maledominates the family, makes thebrand decisions on the products formale consumption and all major pur-chases.

French-Canadian women, he said,use less shampoo and more hairspray, less deodorant and more per-fume, because they are less concer-ned with the intrinsic chafacter ofgrooming than with their .effect onothers, particularly the opposite sex.

"You gotta put the top down, man" Johnny Wayne seems to be saying toFrank Shuster, as the TV commercial director, as the two comedians spooftelevision commercials in their last hour-long special of the season, May 4on CBC-TV. Commercials for razor blades, facial tissues and soap alsoget ribbed in the sketch.

Average Canadian

Ain't no such animalGABY LALANDE, Vice -Presidentof Young & Rubicam Ltd. Montreal,set out in his address to the ACAyesterday to find the average Can-adian and came up with the decisionthere is no such animal.

To prove his point, Mr. Lalandequoted at length, with slides, froma research project he said had beenconducted by a Canadian universitydealing with people's conceptionsof the basic necessities of life,which, he pointed out, sociologistswould define as food, shelter andclothing.

Taking a cross-country average,it was found that only 32 per centof -people interviewed identifiedfood, shelter and clothing as themain basic necessities.

Area by area, the findings were:The Maritimes: Food, above

average; health, average; money up'to third; shelter and clothing, closeto average.

Quebec (as a whole): (1) health;(2) food, but way below average;(3) money. Two new elements ratedhigh - job and security.

French Quebec: Health comesfirst but below average: job andmoney come next with food a poorfourth way below average.

Ontario: Food is a strong lea-der - above average - health,

money and clothing, fairly close tothe Canadian average.

The Prairies: The only placewhere the three basic necessitiesare listed in the generally acceptedorder; food, shelter and clothingfairly close to the Canadian averagewith money at the bottom of the list.

British Columbia: Highest infood; health and shelter above ave-rage; Clothing and money, averageor'tlose to average.

Language Breakdown: The com-parison of French Quebec with therest of Canada is striking. Food -11 - 38; Health - 20 - 25; Shelter6 - 24; Money - 12 - 6; Clothing -6-16.

Other factors that vary from onearea to another:

Religion was highest in Ontario- lowest in Quebec; water and drinkwas highest in the Maritimes, withOntario a close second, the lowestwas Quebec. Love - the Maritimesfirst, with BC and Quebec at thebottom.

Mr. Lalande's application ofthese rather surprising facts to ad-vertising and marketing techniqueswas the subject of the balance ofhis address. With his consent andco-operation, his findings and sug-gestions will appear in a Broadcas-ter article in an early issue.

WIDEWORLD

OF

SPORTS

Key your '64-65 campaign to the Four Seasons Plan .



In Toronto: 924-5454 In Montreal: 849-8021

April 29, 19647

WHAT'S ON TODAY AT THE ACA?April 29, 1964

8.45 a.m. REGISTRATION -Room 'A'

9.15 a.m. Ballroom

Chairman: MISS MURIEL McCULLUM

PRESENTATION OF LEADING CANADIANADVERTISING CAMPAIGNS FOR 1963

Co-ordinator: TED EARLEditor, Marketing Magazine

Commentators:

R. G. LECKEYUnion Carbide Canada Ltd.,

Representing ACAE. C. DANIHER

F. H. Hayhurst Co. Ltd.,Representing CAAA

JAMES TRUMPERJ. Walter Thompson Co. Ltd.,

Representing The Copy Directors' Club

JACQUES GUAYDirector of Sales & PR

Melchers Distilleries Limited,Montreal

(Comment on Coq d'Or campaigns)

10.45 a.m. Intermission - Tea and Coffee TimeCFRB, Toronto and CJAD, Montreal

12.30 p.m. KEY EXECUTIVES' LUNCHEON

-Canadian Room

Honouring Top Management of ACA Member Companies

Speaker:THE HONOURABLE MITCHELL SHARP

Minister of Trade and Commerce,Ottawa

2.15 p.m. Ballroom

Chairman: ROBERT M. SABLOFF

"THE PSYCHOLOGY OF THE CREATIVE MAN"Dr. GARY A. STEINER

Associate Professor of Ps ychology,

Graduate School of Business,University of Chicago,

Chicagc

2.45 p.m. Ballroom"HOW AN ART DIRECTOR TALKS WITHOUT MOVING HIS LIPS"

ALLAN R. FLEMINGExecutive Art Director

MacLaren Advertising Co. Ltd.,Toronto

3.15 p.m. Intermission - Tea and Coffee TimeCFRB, Toronto and CJAD, Montreal

3.30 p.m. Ballroom"WHAT MAKES ADVERTISING WORK?'

WILLIAM BERNBACHPresident

Doyle, Dayne Bernbach Inc.,New York, N.Y.

4.30 p.m. GOLD MEDAL COCKTAIL PARTY - Library(A la carte, open to Members and Guests)


"Located in one of the most favouredareas in Canada, Toronto Townshipoffers to private and corporate citi-zens alike, advantages found nowhereelse. Six major highways runningthrough the township, C.P. and C.N.Railway facilities, together withbeing the home of Toronto Inter-national Airport, make the area unique."Already more than 100 major indus-tries and 70,000 _people make theirhome in Toronto Township and morecome every month."CHWO Radio's coverogeof an urban-izing area and the township for be-yond our boundaries, makes it a

popular and important part of Town-ship life."





Population 233,500*Retail Sales $148,054,000*Households 61,700*


24,592**Employees in 445**Plants

Earning $109,874,000**.


CHWO RADIODial 1250





Mrs. Helen Kolomaya





"Once a summer colony, - now oneof the fastest growing commercialand industrial centres of Ontario,Oakville claims to be Canada's larg-est town. Beautiful parks, modernschools, cool breezes from the Lake,all contribute to good living for its46,721 people."Being a huge consumer and productmarket with a substantial labour pool,excel lent transportation facilitiesand ample housing, makes it a primesite for new business as well."Through its regular reports ro thepeople, CHWO carries the voice ofOakville far beyond municipal bound-aries and this renders a valuablepublic service to the community"




** DBS - 1961


dc...of letters woe ived 'room one single tv spot offer na f-ee recipe t oohs. the correct...

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