Show I IA BABSON'S STATEMENT A I Br W ribs to THE EXPRESS BABSON TALKS ABOUT ADVERTISING I DABS BABSON ON PARK MASS Advertising does not need to tc tobe be defended against its critics t it can defend itself I am quite aware that tremendous sums of money have been wasted in advertising but think how much money has gone down the drain in drilling for oil all or- or mining for gold When the right media and techniques are used in advertising they can bring tremendous re re- rewards wards Just as can drilling In oil rich terrain or mining in promising lodes Advertising Is of course a risk and it should be sold as such Chance Worth Taking Nevertheless it is a risk well worth taking I can think of few gambles more likely to payoff pay off It Is obvious from the record that officials of Amerl Ameri can companies agree with me meon meon on this so their outlays must have been profitable Indeed When the final total is figur ed for 1982 1962 I expect that both national and local advertisers will have shelled out about 8 billion for ads in ers era and magazines This represents Bents a most spectacular than chant of cash Into newspaper advertising Proof of the success of ad is found in its steady growth oT at popularity Ten years ago for example ex- ex expenditures for for- newspaper and magazine advertising totaled only 3 2 3 billion while they amounted to only 1 billion billionI I just twenty years ago For some years a steady greater part of corporation corpor-atlon costs have been going into advertising and I am certain that this trend will wUl continue over the years ahead It is interesting to note that along the way those concerns doing Ue the greatest amount of advertising have nearly always been at or near the top In their fields Advertising Helps Everybody Some labor tend sometimes to complain that companies are putting too much money into this type of publicity Union officials want higher wages for for- their their- memo mem hers bers and more and more ex benefits and and pensive fringe benefits I often think of advertising as mere diversion of money that should go to the employees in one form or or another hence Henc company officials should make plain to their personnel the value of advertising in holding up production and keeping employment high Awell A well run firm Is careful not to waste funds in profitless ad vcr Results are always alwa's carefully studied and diree are c pursued that bring about greater greater- sales which in turn lead to larger payrolls Newspaper advertising is to toa toa a great extent responsible for our our- having the highest wage rates and the best standard of living in the world There could he be no mass selling without out newspaper advertising Mass production would be 00 an impossibility without selling Without mass lion our standard of living could not conceivably have reached its present historic height Smaller Cities Important Many corporations located i in or or- Immediately outside of big cities place most of their outlays In national media but butmore butmore more and more are ing the value of local place ment For instance even some of the biggest concerns are giving more mor-e attention to small dallies dailies and weeklies I expect this tendency to increase Aver ver the coming years Surveys have indicated that people of small communities read ad with great care In fact I should I still consider newspapers both large and small as a safe Investment This Is particular ly true where there Is only one newspaper which controls a given area with the focus in a smaller city True pro costs are moving up up- upward ward war but it is still relatively easy to raise the price of a newspaper by a cent or or- two People still want written news and the more they pay for a paper paper- the more carefully they read both the news and the ads This means that the advertising space becomes more valuable Advertising and You Occasionally I hear hear- some some- somebody body say What is advertising doing to help me That is an easy question to answer It is helping you for one thing to hold your job 52 weeks out of the year year- It is helping to up your our take home pay It is Increasing employment so that your your- children too can get geta a good education All of us should encourage newspaper advertising |