Vol. IV, No. 23 June 6, 1949 This issue commemorates the 3rd anniversary of the JWT News. At the age of three, the average child has be­ come an accepted part of the family pattern, has emerged from his swaddling clothes, stands firmly on his own sturdy legs and has an individuality of his own.. These characteristics, in part, apply to this publication. Having become an accepted part of the J. Walter Thompson pattern, the JWT News, now like any growing child, needs not only continued nourishment, but suggestions and guidance from members ^~ of the family To all the many people who have contributed so much to this publication, the JWT News Editor ^A/2 offers sincere thanks. JOHN IRVING SHOE CORP. of Boston, Massachusetts, has appointed JWT-NY as its advertising counsel effective immediately. Operators of a chain of 93 women's shoe stores, the John Irving Shoe Corp. features popular-priced Mary Jane shoes. The company also re­ tails ladies' hosiery and pocketbooks. Preliminary plans call for a national campaign in leading women's national magazines and newspapers. Anson Lowitz will be the Account Rep. LEVER BROS. INC. (NY) Lux Toilet Soap Advertising .Acclaimed By Both Men And Women. Market Research Co. of America recently asked a cross section of 5,000 U.S. homes the (purposely vague) question, "What toilet soap do you think is the best advertised?" .... Women's first choice was Lux by a wide margin and men also put Lux first, again overwhelm­ ingly. Replies showed the following: Mgn Women Lux 37% 34% Ivory 21% 16% Camay 18% 19% SAN FRANCISCO CHRONICLE (SF) Played Host To New York & Chicago Space Buyers. Approximately 25 newspaper space buyers of major New York and Chicago advertising agencies now placing Coast business traveled last week via chartered plane and/or Streamliner to San Francisco as guests of the S.F. Chronicle. (James Short, NY, and Adolph Ensrud, Chi., attended). A 4-day program offered ample opportunity for eastern media representatives to see at first hand the vastly-expanded buying power now available in the San Francisco- Oakland market. Sight-seeing trips took the visitors over the Golden Gate Bridge to Marin County, to Oakland via the Bay Bridge and included visits through the shopping and resi­ dential sections, and an aerial tour over the entire area, north to Reno. ANGLIA, PREFECT 8c THAMES DEALERS ASSN. (NY) Half-Page Life Insertions Follow Up First Suc­ cessful Page Advertisement. Anglia's first national advertisement, a full black-and-white page in March 7 Life (see illustration below right) was so successful coupon-wise (see March 21, JWT News) and read­ ership-wise (more about this later) that 4 half pages in Life are now scheduled, the first of which appeared in the May 30 issue (see illustration below left). Anglia Prefect cars are Ford products made in England. The answer to the astounding coupon return from the March 7th page appeared when Starch readership figures became available. These revealed that among men readers the adver­ tisement placed first in the "read most" category with a readership of 27% and a "cost ratio" of 1617, which is 16 times the average for g a Coupon ^ brought m • amoxmgty thorough readership among men readers in Life and low-mU drivtnff! among the very highest "cost ratio" figures ever achieved by any type of product. In view of the large amount of copy that this advertisement con­ tained — at least several times the average amount of copy — results are even more noteworthy Checking back over Starch ratings of Life adver­ tisements for the past 15 months it was found that the Anglia advertisement's readership by men has been equalled or bettered on both a cost or percentage sssssa basis only by advertisements of movies or of the Statler Hotels, the latter using cartoon or picture- and-caption-technique advertisements. -2- _^^^^^^^^^^^^^^ FORD MOTOR COMPANY (Det.) Scotch Baby Poster Again Wins Honors For Ford And JWT. Ford's out front in outdoor again. "The Scotch Baby" Ford service Ye save wi' poster illustrated at left took first place in the first «rm..qi ORD exhibition of advertising art sponsored by the Art Directors Club I of Detroit. The exhibit, which was held at Detroit's J. L. Hudson SERRRVICE -_L.\ Department Store, contained many JWT-produced posters_-..."I$y A '"•• »••"" <'-"•' '"•"' »"T Landslide! The '49 Ford Elected Car Of The Year," another piece of Ford copy, captured a third award in the newspaper field. JOHNS-MANVILLE (NY) Opens New Research Center. Governor Alfred E. Driscoll of New Jersey and top J-M officials attended ceremonies re­ cently in Manville, N.J. to open officially Johns-Manville's new research center which has been described as the largest laboratory facilities in the world devoted to research on building materials, insulating materials and allied industrial products. The center comprises a group of buildings devoted to research and administration, product develop­ ment, mechanical developments and engineering. BUXTON INC. (NY) Plans Annual Luncheon For Fashion Press. On June 15, Buxton will hold its 3rd annual luncheon in NYC where executives of the comr- pany will meet with members of the fashion press of magazines,newspaper syndicates, radio and trade publications. The entire Buxton line will be shown and Miss Julia Buxton, daughter of the founder-president of the company, will make an address on "From Coin Purse to Billfold." (Buxton introduced the first billfolds for use by women.) DEPARTMENTS OUTDOOR Progress And Trends Discussed At Recent NOAB Directors Meeting. Directors of the National Outdoor Advertising Bureau (3 of them JWT'ers, Messrs. Stanley Resor, "Henry Stevens and Norman Strouse) were told last week in NYC by the Bureau Presi­ dent, John M. Paver, that since 1943 the rate of increase in use of outdoor advertising has been about 50% greater than the rate of growth of other media. Mr. Paver pointed out that the automotive, beverage, food, gas and oil industries are using outdoor more than ever and that the tobacco industry is coming back as are cereal and flour manufacturers. He said that the trend since the war has been to extend posting periods rather than con­ centrate them in the summer. He predicted that it will be a little easier to get space next year because shortage of materials and equipment are easing. ... He pointed out that while outdoor prices have increased 31% since 1941, the population movement, in terms of vehicular and mass transportation traffic, has increased 52%. MOTION PICTURE First Of New Ford Truck Television Commercials Appears Tonight. A new series of six television commercials and six minute movies featuring Ford trucks has just been prepared by the JWT-NY Motion Picture Dept. Using the testimonial device, dramatic photographs were taken of Ford trucks being used under severe conditions. One commercial shows the Ford truck of a large contracting firm in operation on a huge dam project; another shows Ford trucks of a rural fire department in action; and a third de­ picts the terrific job being done by carnival trucks on the road with King Reid's color­ fully painted and appropriately sloganed Ford trucks pictured in action. Other commer­ cials depict Ford trucks in use in oil exploration and bonus-built Ford trucks which work in gravel pits and on rugged farm lands. The first of these commercials will be seen to­ night, June 6, over Station CBS-TV, on the "Through The Crystal Ball" program. RECOMMENDED READING "Business Is Still In Trouble." "The most important problem business faces today is the fact that business isn't out of the dog house yet. Sixteen turbulent years have rolled by since the New Deal began to rescue People from the Capitalists, and no one can say that business has retrieved the authority and respect it ought to have if the drift to socialism is to be arrested," said the May issue of Fortune. The article states that according to an Elmo Roper summary of the public's opinion about business over the past 15 years, fewer than 5% say they are against private ownership. Indeed 2/3 are inclined to think well even of the bigness in business. "However, a majority of the people," Mr. Roper points out, "believe that very few businessmen have the good of the nation in mind when they make their important deci­ sions. They think business is too greedy and that it has played a large part in keeping prices too high, and the government should keep a sharp eye on it." "The results of poor public relations are measured at the polls. Business needs votes." It is suggested that business justify profits and not apologize for them; do more to pre­ vent strikes, approach the problem of unemployment constructively — "Enough surveys have been made to show that almost all a company can do to gain good will is vitiated or wiped out, at least temporarily, by the incidence of unemployment." -3- HOW'S BUSINESS?

This feature is based on reports from our Research y^*^] Dept. and information received from JWT Representa- \ K**7fo§ tives on various accounts. *\Jr*ds *** *** *** Of the eight JWT clients whose earnings are reported below, three are making annual re­ ports - one showing an increase for the year 1948 over the previous year and two showing a decrease; and fj.ve are making first quarter reports, with two showing an increase in the first quarter of 1949 over the previous quarter and three showing a decrease. *** *** *** ANNUAL REPORTS 1948 Safeway Stores. Inc. total income of $1,178,702,381 for 1948 was up 13.6%; net profit after taxes was $9,978,231 — up 23.2%. ***•*• Parker Pen's 1948 income off from previous year. Net income for fiscal year ending Feb. 28 was $2,100,083 or $5.64 a share as compared with $3,637,683 or $9.77 in previous year. ****** Lines reports cut in profits in 1948. Scarcity of freight offerings during 2nd and 3rd quarters of the year and increased operating expenses were responsible for the reduction of net profits froip $10,145,572 for 1947 to $3,421,996 at the end of 1948 ac­ cording to John M. Franklin, President. *** *** *** 1ST QUARTER 1949 Radio Corp. of America — Reports 1948 most successful year in its history. Also net profit for first quarter after taxes was $5,932,083, an increase of $167,585 from corres­ ponding period last year. Common stock earnings of 37.1# per share in the first quarter were above the 35«8# for 1948 period. ****** U.S. Playing Card Co. Net profit for 1st quarter of 1949 was up over similar period last year — $687,772 or $1.78 a share against $672,144 or $1.74 in 1st quarter of 1948. ****** Eastman Kodak's net profit off slightly for first quarter of 1949. $11,728,892, or 89. a common share as compared with $12,903,244 or $1.03 in like period of 1948. Sales for first quarter were up over a year ago but included sales of Distillation Products Inc. which was acquired last July. ****** Textron. Inc. and subsidiaries had a consolidated loss of $295,000, for first quarter of 1949 before giving effect to a possible carryback tax credit of $107,000. On May 24 Tex­ tron announced discontinuance of production at three plants, two in Maine and one in New Hampshire.

Western Union's first quarter of 1949 report revealed a deficit of $2-,550,878 compared with a net income of $3,964,236 in comparable period of 1948. Sales of $44,257,936 com­ pared with $47,221,824 in 1st quarter of last year. www w w w __ M M OTHER STRAWS IN THE BUSINESS WIND .... Retail sales volume in April was 1% higher than March but 2% off from April of previous year Vergil Reed (NY) in a speech prepared for delivery tomorrow before the Institute of Cooking and Heating Appliance Mfrs. in Cin­ cinnati, says that the only real cloud in the business sky today is the consumers' hesi­ tancy to buy. This can be dispelled if businessmen will reduce prices and aggressively promote better values that will appeal to prospective buyers, he stated. Emphasizing that "Americans get the jitters easily," Dr. Peed charges that many newspapers and news magazines are "encouraging undue pessimism through misinterpretation of the facts about business and absolutely misleading headlines." "This is the most talked of, most forewarned, longest expected and most guardedly ap­ proached economic readjustment in history. This in itself is most encouraging, for great depressions usually start with unexpected and sudden panic. A gradual process of read­ justment holds no basis for fear, but for confidence and hope instead. It should be neither severe nor long," says Dr. Reed. ... He points out that the stock market today is thoroughly deflated in sharp contrast to the rampant inflation of 1929. -4- National Advertising Expenditures M + R TOTAL ADVERTISING EXPENDITURES ffl -^lY ePQrt - April (___*_ UtES • NEJ-SPAPEhS - NETWW hJdilO . KO£S TDtt - OUTLOOK]

$130,000,000^

MAGAZINE ADVERTISING EXPENDITURES NEWSPAPER ADVERTISING EXPFNn1 TURFS 120,000,000

: $50,000,000 •a. or. »y Jina Jala to.. 3.pl. Oc-.. Boa. D $50,000,000 110,000,000

45 000,000 _1949_J 45,000,000 1 i 100,000,000 K 40,000,000 40,000,000 i i 90,000,000 i 35,000,000 * 35,000,000 * 1 1 , 80,000,000 30,000,000 !/ #/ 0 t rf 30,000,000 70,000,000 25 000 000 ft 1943 1948

;•: .:•: »UiA2INiS t .rTJCflJ. .UCI3- PJ9L.-> .Q

(CROSS Tin) losses in newspaper and network

» Jul, Au_- Sat*. Oct. NOT. D* radio expenditures and enabled $22 000 000 -n. F.B. -tar. kvr. <. t Jiat J .IT AH. *•-•-. N.v. -• the total revenue figure for all $10 000 000 four media to surpass the March 20 000 000 1949 level by 2.9%. 8 000 000 In this April vs. March 1949 com­ 18 000 000 parison, magazines regained the Ae* ^1943 \ 000 000 1 43 V / • 6 J. number one spot as the leading . medium revenuewise with an April 16 000 000 ^f / income which was 12.5% ahead of 4 000 000 the magazine figure for March and 14 000 000 5.2% above newspapers' April 2 000 000 total. ... On the other hand, 1948 12 000 1 newspapers fell 3*4% from their J'.T .-Tl_ 1 r_s MA ThI S- 0Ju:tS March total. Network Radio was 5.3% below its March level but Outdoor was 10.1% above the previous month. Comparing April 19A9 with April 19A8. we find.the overall total up 8.6%, led by news­ papers (+12.6%) and magazines (+11.8%). Network Radio was down 1.8% and Outdoor down 4.2%. The totals for first four months of 1949, when matched against the revenue figures for the same period in 1948 show a 6.6% increase. Newspapers are 15.7% ahead of their four- month 1948 total, mainly as a result of their March surge, although they have been ahead of 1948 levels in every month of this year. While magazines are up 3*5%, Network Radio and Outdoor are down 1.2% and 2.3% respectively, their 1949 monthly totals having fallen below the figures for comparable 1948 months ever since February. A glance at the revenue totals for some of the more important magazines shows the follow­ ing percent changes, January-April 1949 vs. 1948: Life (-1%), Saturday Evening Post (+9$> Collier's (-16%), Look (+35%), _ialidax(462%) and Liberty (-49%). ... Despite the 3.5% re­ venue rise for all magazines, 1949 page volume is down 4% as compared with the January- April 1948 period.

THOMPSON TRIBUTES In the Pacific Coast competition for the Western Transit Advertising Artists Award, two J. Walter Thompson Company-SF car cards have been selected in the top ten, from a total of 81 representing San Francisco. Judges picked the Lucerne Milk (Safeway Stores) card, "Lucerne is the Rich Milk" and the Ford card, "Drive a '49 Ford Yourself" — (Ford Dealer's Advertising Association of Richmond.) -5- JWT CAMPAIGN OF THE WEEK LUX RADIO THEATRE f ^k A "te The Lux Radio Theatre has grown and developed enormously since its first broadcast on Oct. 14, 1934. Currently in its 15th year, radio's oldest, most praised and most popular dramatic show began as a hope­ ful experiment. Aired weekly for the first 2 years on Sunday afternoons over NBC, the pro- gram aimed to present Broadway to the country. Pb| Today, the show is synonomous with Hollywood, ^ Monday night and CBS. /jL The success of the Lux Radio Theatre, unparal­

leled in the history of broadcasting, is the f* ^L^ story of imagination supported by a great deal J| of hard work. It took imagination to conceive me^ the idea of bringing the theatre, its scripts and its stars, to the air; to translate a primarily visual experience into terms of pure sound. Im­ agination was again required to foresee that the new movie industry would one day usurp the place of the ste-ge as the most popular form of entertainment. The Lux Radio Theatre was the first big national radio show to move its center of operations to Hollywood (May 9, 1937), and the first program to present movie stars in screen plays over the air. In other fields, the first is not always the best. However, the Lux Radio Theatre, although it is the most imitated show on the air, has no rival for.ratings, achievement awards, or listener devotion among all dramatic shows. At the end of last season, the Lux Radio Theatre had led the Hooper and the Nielsen Index more times than any other program on the air. Radio's oldest dramatic show leads all its competitors in quality of scripts, calibre of stars, and skill in production. This achievement is the result of the hard work of many people. The Lux Radio Theatre gets the best stories because it has established the most effective personal contacts with the studios, and be­ cause the script editors exercised care and wisdom in choosing its plays. The top stars prefer to perform on the Lux Radio Theatre because they are assured the finest pos­ sible showcase for their talents. The statistics on the Lux Radio Theatre are staggering, and the best indication of the effort involved in producing such a series. Since that first program in 1934 which starred Miriam Hopkins and in "Seventh Heaven," more than 400 top stars have appeared on the Lux Radio Theatre, including every ranking personality in Hollywood, without exception. In addition to the stars, 1100 AFRA players have acted in support­ ing roles on the program. Many of them later became stars themselves. For the 65O shows in its 15 years, the Lux Radio Theatre has required 456,400 man hours, or 53 years of one man's life. 39,120 pages of script have been written, totalling 7,724,000 words, enough to fill 80 novels of average length or 40 "Gone With The Winds." Musical Director, Lou Silvers, has composed, arranged and conducted 14,344 musical cues, enough for 239 full-length symphonies, and soundman Charlie Forsyth has invented and executed 68,460 sound effects. Broken down, these impressive figures mean that every time announcer John Milton Kennedy says "Lux Presents Hollywood" at the beginning of each broadcast, 75 people have worked 700 hours to produce the single hour-length show. CURRENT ART EXHIBITS IN NEW YORK OFFICE The Art Gallery Display Boards on the 10th floor this week display an E. Erickson exhibit haofs thbeee worn doink ogf variouthe arst worartistsk for. thIncludee Whitde wilOwll Ciga be rth eadvertising work of Jos. e Bartoli, who currently -6- * HOW WELL DO YOU KNOW YOUR JWT'ERS? / \ Thumb-Nail Sketch . NUMBER 40. BERKELEY SQUARE t > (London) > > The nightingale still sings in Berkeley Square I We know — 'cause > we are there'. (Sketch of Berkeley Square at left drawn by JWT Art £ Director Anthony Gilbert shows JWT office building on the right). jj I JWT'ers, now some 320 strong, arrived in the Square just over three > years ago, like Odysseus after long wanderings. They had been pushed out of Bush House £ by the Air Ministry; they evacuated North to Manchester and Northwest to Watford-; they t returned to London, squeezing into a temporary but attractive Georgian house in Grafton |j Street, just off Bond Street. Now they wander no more. Number 40 has become their per- * manent home. Only the research department remains behind in Grafton Street.

Pre-war, Number 40 was a block of flats. Some flat-dwellers remain, but part of the ground floor, the 1st, 2nd, and 3rd floors and part of the 7th have become JWT. The building is on the West Side of the Square, next door to a bomb hole and facing a second hole.

Enter the building, walk up a flight of stairs, and there is JWT reception. The realms of the "elect," however, are two floors higher. Here, in rooms overlooking the Square, is Douglas Saunders, JWT-London Chairman and William Hinks, the Managing Director* Also, on this floor, reside Eric Knott, the Director who marshalled the Odyssey to Watford, and Director John Rodgers, prospective Conservative candidate in the next election for Mr. Winston Churchill's constituency.

On this same floor, at the back, Director George Butler presides over the Art Department which is housed largely in ex-bathrooms and ex-kitchens, so small it is sometimes nec­ essary/to turn out the occupant of the room if you want to get in yourself! A noble army of controllers also inhabits this floor, and few who visit there forget the redoubtable Mrs. Youel who has so long guarded the production work on Lever Brothers.'

The second floor is a kind of no-man's-land, largely occupied by "squatters" from various departments. At last permission has come to occupy this floor, but not the license for alterations. "Squatters" remain at their peril, liable to rehousing at a moment's notice. ... On the first floor. Harold Stansbury, Director, broods over the Copy Department, while his writers, pulsating with ideas, sit facing pads of paper pregnant with buttercup yellowness, and Director Mltchell-Innes prowls and ponders. ... On the way out, take a glance at "Smithy" who dispenses the mail and the weekly distribution of precious ciga­ rettes. And so once more back into Berkeley Square, where if you turn left and left again, and then half-right, you come into Grosvenor Square. There, facing the United States Embassy, the statue of the late President Roosevelt, looks toward the New World. PEOPLE At its 91st commencement exercises yesterday, Michigan State College conferred on DON FRANCISCO (NY) an honorary degree of Doctor of Science "in recognition of his outstanding achievements." CAL KUHL (H'wood) has transferred to NY Office to work on Kodak television plans. MICHAEL PATMORE (London) sailed for home Sat. on the Queen Mary after spending several weeks in the NY Office. HAROLD WILT (NY) in Buffalo June 12-16 for N.I.A.A. con­ vention. O'NEILL BYAN (NY) left Sat. for a several weeks' visit to Europe. ANSON LOWITZ. RUTH WEST & WM. PATTEN (NY) in Boston today for John Irving Shoe Corp. JACK REESER (Det.) in NY Office, June 9 & 10. ELI GORDON (NY) in Chi., June 8-9 to attend Mechanical Confer­ ence of ANPA. ROBT. CURTIS (NY) to Boston, Wed. & Wash., D.C, June 3 & 4 to introduce Sprite in dept. stores at request of client. MIGUEL de laCRUZ H..Mgr. of JWT-Santiago, was in Buenos Aires last week for Panagra. ED MITCHELL (NY) left last week on a 3-month leave of absence. WM. RESOR. STAN MARSH & ARNO JOHNSON (NY) in Rochester, June 8 & 9 for Atlantis Sales. HENRY JACKSON (SF) via Clipper to Honolulu to help launch the Ford cam­ paign. TERRORS (NY) Softball team had a recent 21-4 win over Wm. Esty, but lost last week to McCann-Erickson 9-8. Ruthrauff & Ryan next Wed. RENE WEAVER (SF) was installed as Director of the SF Advg. Club last week. MARILYNN SCHMIDT (NY) became engaged to John Holmes, May 26. MARILYN GORE (H'wood) married last month to Jim Latham. SEND AN ITEM FOR THE JWT NEWS TO JEAN C. HURLEY. EDITOR. BEFORE JUNE 8. 1949