~»' :‘1 | v I \ \ w, «\ x , I ‘ I ‘ m 7 1 i 3 "y :14“ _ . w 11/ N l 1,, 7‘ ; - ,1 > »' 'z- ‘u . .5. ., . ‘ _ A" / '4/1 " 5 . ‘ 1 , ' - / I .4» F H PLACE IN RETURN BOX to remove thin checkout from your record. TO AVOID FINES return on or before date due. DATE DUE DATE DUE DATE DUE Cmm V A STUDY OF TH; couurzuorlon 0F NEWSPAPER ADVERTISEMENTS WITHIN RETAIL FOOD CHAINS 3? Thomas Fenos, Jr. A THESIS Submitted.to the School of Graduate Studies or.Miohigan state College of Agriculture and Applied science 1n partial fulfillment of the requirement. for the degree or HASTfifi 0F ARTS Department or General Eustace: Curriculum ingrood Distribution Yonr 1952 I'll! I’llllllll ACKNOWLEDGEMENTS The author sishes to eXpress his sincere appreciation for the sise counseling given during the preparation of this thesis by Dr. Kenneth Wilson, Director of the Curriculum in Food Distribution. The author is indebted to Dr. E. A. Brand, Professor of narrating, for the careful reading of the material and his valuable suggestions. Thanks are due to Mr. Russell Veldmsn, Advertising Manager of the Market Basket, Incorporated, Lansing, Kich~ igan1 Mr. Donsld.R. Boos, Advertising and Sales Promotion Manager of the.Jevel.Food Stores, Chicago, Illinois, and Er. William.J. Sanning. Director of Advertising for the Kroger Company, Cincinnati, Ohio. for the supplying of information used in the preparation of this thesis. The sriter appreciates the help of‘Jamas Keefe. Adver- tising Department of the Kroger Company, Cincinnati. Ohio, for the information supplied concerning the Kroger General Office Advertising Department. Thanks are also due to Jay Oasley, the Kroger Company's Detroit Branch.Advertising Manager for supplying the information concerning his department. {ABLE 0! COWS GHAPTEB Is INTBOL‘UCTIOHseeeeeeeeeseesee PurpOBO and '9130 of ‘hi. 3.90" e e e e e Restrictions e e e e e e e e e s e e e e e ilethods Used to Obtain Infomtion . . . . II. FORMS AND PURPOSES OF FOOD OHAIII ADVERTISIEG tom of F004 Chain Ad'Crt1D1n‘s e e e e e Purposes of Food Chain Advertising . . . . Other Reasons for Advertising III. DESCRIPTION OF THE MARKET BASKET, INCORPORATED O O O O O O 0 Organizational chflrD e e e e e e e e e e e s usnagenent Flexibility . C Q C Storeoiarehouse )‘lexibility. . Sales Promotion Flexibility . 3. a H. Green Stamps . . musical Jack Pot Radio Progras IV. CONSTRUCTION O! A MARKET BASKET, ADVMIBW‘! . . . . . . Theme ......... Photo-engraving . . . . Duplicate Plates . . . . Bee the Advertisenent Is 0 INCORPORATED, Printed leading............ PAGE $5533.. is . is n as 83 u n I. 29 35 33 37 37 cmpm FAG! Illa-‘re ‘ ‘0“ O l O O O . O O . . C O O O .0 O 3‘ O O O p 0 STEP 1 «- Preparation of Rough Layout. . STEP II - Correcting the Proof . . . . . . . ‘5 STEP III - i‘hs Published Advertisement. . . . 40, Advertising Agreements . . . . . . . . . . . d! v. DESCRIP’IlOH ca THE Juan. ma comm. INCORPORATED . . . . . . . . . . . . . . .,. . 53 The Home Service Routes . . . . . . . . . . . as The Finance Department . . . . . . . . . . . 58 The Food Stores Department. . . . . . . . . . as Hanagenent Organization . . . . . . . . . . . 66 Advertising Depart-ant . . . . . . . . . . . 56 Production and Sign Department Hansger . . . 00 Capy Chief . . . . . . . . . . .'. . . . . . 68 Television and Radio fianager . . . . . . . . 63 Artists . . . . . . . . . . . . . . . . . . . 04 SignShopllanager.............. es Advertising Budget . . . . . . . . . . . . . 06 Source of Ideas . . . . . . . . . . . . . . . on V1. THE COHSTRUOTIOH OF THE 3m FOOD STORES ADVERTISEIMI‘................. 69 i'hsee....................d. ”Crohau‘.. “03‘1“ e e e s e e e e s e e e e 70 Illustrations . . . . . . The Tissue Layout . . . . Phctestatie Proof . . . . Original Proef . . . . . first Revision . . . . . Second and Final Revision Completed Advertisement . Q“1.t1.. eeeessee C "I. DESGRIP‘I‘IOD O? m KROGER GOHPAHY can": 0:11.. 0 e e e e s e e Organisational chart . . The Advertising Department Ocpy Departun. . . . . . Art Department . . . . . Production Depertnsnt . . Advertising Policy . . . TAIQ Elfi“ e c e e e e O O Notifying Branches of Pronetiens. malifl.esseeeeeeese 8°M..f”!d...eeseeees AQDOW gran”. e e e e e e e PA 333383822888333338 §§== .I In In. .' CHAPTER VIII. THE CONSTRUCTION OF A KROGER COMPANY ADVERTI ESE-FARM O O O O O O O O O I O The Detroit Branch of the Kroger Company Management Organization . . Weekly Heating Theme Constructing the Advertisement The Tissue Layout . . Proof . . . . . . . . Second Corrected Proof Finished A d vert isemant Small-sized Newspaper Advertisements 0 O O O 0 IX. SUMMARY AND CONCLUSIONS . . . . . . . BIBLIOGRAPHY O O O O O 0 PAGE 104 104 106 106 108 100 110 115 115 117 117 183 136 ll LIST 01" noon: Matrices 01‘ "BOB” 1? 89 39 ‘9 59 ‘9 79 '? A Rough Layout . Copy sheet . . . Copy Sheet . . . 00p) Sheet . . . i'hs Pros: . . . s FIWRES fhe Conplatsd Advertisenent 0 Advertising Agreement Information Card Advertising Agreement Invoice Card . . The tissue Layout The Photostatis Proof 0 O O O O O O 0 First R.'1.1°‘ e e s e s e e Second and Hal Revision the Completed Advertisement The tissue Layout 0°91 8h.."e e e e s e e e Preef OOOOOOOCO. In. Fill-lied ‘4'.“‘Mfl' s e e e e Baa ll-sised [seeps per Advertisenents 000p.m‘1" Au...“ rm e e s e e PAGE nan 1? 11. 11:. LIST OF TABLES Chain Store Advertisingxxpenditures Check List of Advertising-Aids . . . Grocery Chain Sales of the Heath . . Sign Shop Copy Schedule. . . . . . . PAGE 80 07 LIST OF CHARTS CHART mar. 1. Organization of the Market Basket. Incorporated . . . . . . . . . . . . . . . . . .' 20 II. Management of the local Tea Company, , Incorporated . . . . . . . . . . . . . . . . . . 57 III. Organization of the Advertising Department, " the.Jeeel food Stores *. . . . . . . . . . . . . 56 IV. .lanagensnt Organization of the General Office of _ the Kroger Company . . . . . . . . . . . . . . . CC V. Crganization.of the Kroger'Company Advertising , “D'Partnent . . . . . . . . . . . . . . . . . . . 87 '1. Organization of the Detroit Branch of the Kroger capan’seesseeeseeeeeeeeseelOT CHAPTER I INTRODUCT ION Purpose and Value of this Report This is a study of the construction of feed chain nece- paper advertisements, from inception to actual publication. Fee subjects could be of greater value to the food store Operator at the present time. Competition is very keen nos, for many businesses have stepped up the tempo of competing for the consumer's dollar. Developments in the field of retail 0 food advertising have lagged behind progress made in food mer- chandising techniques. Self-serve neat counters and Food-C- 1 are two examples of the many innovations found in the flats ultra-modern super markets of today. Very little has been developed in retail food advertising that even remotely parallels the development of these modern merchandising tech- niqucs. Many chain store operators have not devised noder adver- tising procedures and. as a result. advertisements are not con- structcd intelligently or efficiently in many cases. Deny articles and pamphlets chich explain briefly the steps in building general advertisements are available. Also. books written by cenpetent authors are available which explain I IEe Iooi-O-uat is a rear Ioaded, gravity Jf'cd patentei ' ' display fixture for dry groceries. It was invented by Lansing P. Shields, President of the Grand Union Conpany, lest Petersen. lcs Jersey. in great detail all the phases of desirable advertising pro- cedures. What is lacking, however, is information pertaining directly to food chain advertising. The food chain business is not new, but very little information concerning advertising in this field has been published in the past. One reason was the old idea of each chain keeping its own procedures secret. The folly of this idea has been generally realized and today most food chains are very eager to exchange facts and figures for their mutual benefit, and the benefit of the public at large. Food chain sales reached a use high in 1950 of ten billion, two hundred million dollars.2 Sales and advertising are two functions in the grocery business that go hand in hand. One cannot be considered a separate entity from.the other. Pro- .grcssive advertising should be given considerable credit for pushing grocery chain sales to the aforementioned all time high, and will be instrumental in maintaining and increasing grocery chain sales in the future. This report, then. will attempt to supply some greatly needed information regarding the construction of newspaper advertisements in the food chain industry. § facts in.!oed and Grocery Distribution es of January: .1951. A special report by the Progressive Grocer, New York City, New York, 1951, 23 pp. Ir Restrictions This study sill be restricted to nesspaper advertising since sore nosey is invested in this sedins.then in any of the other channels. table I shoes the dollars alloeated by sons chains for advertising purposes in lees and 1960. mm the extent to shich these shains rely on nesspapers to carry the bulk of their advertising load. lots also that the asount allocated in 1950 see increased in every ease eseept one over the figures for 1968. the portion of each.ehain'e .total advertising budget spent in the various channels is ahosn in percentages. If these large snss spent yearly are to be adninistered sisely and sithout saste. it sould be profit- able to spend time and thought on the principles underlying the preparation of chain store advertise-ants. This report sill sot try to ansser the question ~ shat is good or poor advertising procedure or arrange-eat? Gene orally speaking, each of the hundreds of chain organisations in this country has its csn policies regarding advertising procedures and arrangements. This phenomenon is explained by the feet that each chain operates under a diffierent set of conditions, in different sections of the country. finally. this report sill be restricted to studying the sethcds esployed by the follosing chains in constructing a. 39' 0|}- $0. «11...!!! $0.00 -swmonM bwm .bnm omad o “no .vcwdooodo . mdrnfioo we.ma mo.ed as.nn no.0” vnm.now mood unannoum . seamen one 111 1 . lip“: {till—Ill! 4 $0..“ e,.e wo.aa em.eo ooo one m anon aeoaHHHH om leefino .hnoaacu me.aa ea.nd ma.na obn.mov.a mead ewe saucepan w .o em.mu an.v mo.ae ooo.nbm omaa . aqoanaaH eo.na wo.~ no.oo ean.onn neon .omeaano .uououm coon Hench mm.m as.o wm.mm oom.on« anon enuncunaso . , .ufleaxeo ..onH wm.oa mm.ea ue.mo mHH.noa mood .mpncam henna eemmmeuaao am.en ma.e mo.en Hmm.oom eomon .aonoeaq non ..onH .eponho: no.pa mo.ne ome.onam moved coca econ unna< hwaaqu enmmwml mca~ coamfipofioa noddohao momma HHaa one Incanm wad dunno no ele- mwmwo roman one cauam oeauho>o4 venom aeonfia nopuom mflmDBHQZHMMfi omHmHBmflbnfl Hmnfim 2H¢mu H Hundu ll 1 41 it - squeamwmanom aw.n mm.» mo.m~ mo.sa ooo.mmo.a omen .mnhanwcea«nm . . ..o:H .eeaoam no.n mo.na mo.om ooo.oao econ «new econ 11,11 4:11.!; “(1 Nu ll. .1, HM~=a>HNeuaom mu.om ma.+ mm.na ma.«o een.ene.n one” .«Mnaaueeaahm .maaoaoo nonoum m~.a no.0m «n.ee ame.mflm.m mean amonuoa< U: 1: 1 4mm.“ 1 immense Momma 4 neurone.” 82 3308 .mpnodum ..oaH an.“ no.0» no.0» «an.¢nm mean .monoom aiaaoaoo mw.em v l.wo.owa wo.¢du mw.en. ti.ne««oom.e on.“ also rauaanaoaeo _ . tmneqaoo ab.au ma.e «o.on no.o~ mae.ebn.o mood humans can ww.ea :1, mm.ou mn.n me.omw. «nn+«ow wooed oaao .wwmaaaoado ..oaH .mponacz am.m« we. wa.om mom.oanm mean neeam unoaaq pry| .Lr 1 \wanmfin ,1. ‘1 onspmd I. II. it made magmaoefioa noadou«o_uoamm «was one towaxw wad adeno Mo each Ehfibfwilflwflmmfrwdm MW e. IMIIOZ koala“ Hobmokm . thme>UQil consensus .H an «a .aoapaadnpaflu muooouo no paoaom «mad n.9cnuenwn home «has no apneadamem .qofinsnanaufla uneconu do phenom mean o.en«newem_aoog owns no munxuanwfim .nm graces» an momma .anoa .aaop use .ocaaemen neon snag "eohsom 1 .na naaoaap no women .aeoa .eao» uaz .oeamwman not; easy E “ransom n 11111 mw.oa he.m no.0 munch “w.m con.amm_4aomma teshausnoamusn . .aoueom ..onH no.” no.am owo.mam mead .aoao a scam 4L11| "u, .. a .1 it auwwanuocmomw no.0m wo.m we.» mo.oo new.a«o.m omen .ohae>aoaon . , ..oaH .eonoum mo.ea no.9 mo.ee ooo.oon.~ mead accolamm sound 1 moonwh mm.am we.» no.» mo.om oo¢.ome one” son .noenmsam . Homu,.maoaaoo w«.ea wa.m o~.e wo.aa o>e.«mna mead acaaa.ea¢ao one 1. err : he sewn owzpwu :1 came cowofiaoaoa nondoufio women Mama was vaoanm Qua nacho we oaoz uofitb annoy the owmom r nmnoz noonam nephew uafiahonmd cosfiapcoo .H mamsa hem | I their advertisements: i'he flarket Beshst. Incorporated, Lansing, Michigan. The Kroger Oonpnu. Gineinnati, Ohio. The level food Btcres. Ohiccge, Illinois. Methods Used to Obtain Infernatiea Bone of the information eentained in this report is based upon textbooks, special studies and handbooks concerning the subject of advertising. Other information has been gathered through personal interviews and discussions with executives of the Harket Basket, Incorporated. and the Kroger Company. correspondence sith the advertising sanager of the level Iced Stores sas used to secure information free that departunt of the level Tea Company. Incorporated. A case study of the methods saployed by each of these grocery chains in constructing their seekly nesspaper adver- tiseaents sill be presented is this report. these coapanies have been selected for a purpose. One is a chain of six super markets and is classified by the author as representative of small-sized chains. Another is a chain of 185 stores and is elessified as representative of aediua-sized chains. the third is a chain of approriaately tso thousau stores and is classified as representative of large-sized chains. I I I Representing the cull-sized chains is the Hornet Basket, Incorporated, of Lansing, Michigan. This chain. consists of six stores shich have total sales of apprcniactely six sillicn dollars a year. Five of the stores are located sithia the city liaits of Lansing. The sixth is located in East Lansing. shich is four nilcs frea Lansing. The tseaty -fcur thousand people in East Lansing consist of approxiaatcly fifteen thou- sand college students . and nine thousand local citiscns. All the stores are supplied by a central sarchouse. The company aanufacturcs a complete line of baked ocds and the bakery occupies a section cf tin sarehousc building. The offices of the oeapaay are situated in a building next to the sarchenec. The aiddlc-siscd chains are represented by the level reed Stores. of things. Illinois. This chain consists of lob stores shich have total sales cf approxinatcly one hundred and fifty aillien dollars a year.‘ The stores are located is as cities found in four counties surrounding the Ohicagc area. This chain's share of the total food store sales in this area is 8.5 percent... The giant-sized chains are represented by the Kregcr Oonpany of Oincinneti. Ohio. This chain has total sales of I §a5s for the Ices! Tea anpanyffneorpoiated, for I“! ears in excess of tee hundred nillion dollars. This figure includes the conbincd sales of the Jcsel Food Stores and the level Hone Routes. for a ccaplcte description cf the ccapaay. sec Ohaptcr t‘. . t This Ices lcgasinc. 91. ma page 71. '8 approxisatcly a billion dollars a year. Tscnty-fivc branch offices direct the operation of 1,985 individual stores. Teenty-ene manufacturing units. including 16 bakeries. five dairies, tsc factories. a peanut plant, a shrimp packing plant and 89 sarehcuses sanufacturc and distribute products sold in the stores. The ceapany has stores in 1.898 cities located in 088 counties. The territory of this chain consists asinly of the heavily industrialized states in the Great Lakes and mid- sestera regions. Ohio. Illinois, llchigan.and Missouri account for a solar portion of the total retail outlets of the company. Some stores are also located in.lndiana. Arkansas, Georgia, Kansas, Virginia and other neighboring states. The company's share of the total food store sales in this area is 8.8 per- “Q‘s, By studying the advertising procedures of those different sized chains, a better understanding of the asthode used by each can be gained. It is important tc’reaeabsr that the use of favored adver- tising practices alone cannot bring success to any business. It is one of several links in a chain. the breaking of any one of shioh may bring failure. Good serchandising, good executive and edninistrative ssnagement. good enployccs and reel service to the consumer are all necessary. If used 7 This Week nagasinc. 93. 333.. page 79. l0 siscly, advertising sill contribute its share to the success of the organization. I l CHAPTER II FOPMS AND PURPOSES OF FOOD CHAIN ADVERTISING This chapter outlines cone of the many media available to an advertiser. The purposes of food chain advertising are also discussed. In addition. sons of the reasons shy food retailers advertise are pointed out. This information is presented in order to give the reader a better understanding of the forms and purposes of food chain advertising. forms of Food Chain Advertising Boss of the sore popular advertising media and notor- ial are presented in Table II. The United States Department of (Scarecrcc1 defines an advertising nediun as, "a channel. or say, by shich a nossage say be given to the public”. idver- tising asterial is defined as. “ferns shich the retailer uses although they say not be prepared by him". The grocery advertiser has a large selection of advertising chia in shich to place his message. This list nay cover more itcns than are logically used by most chains. Also. by using radio. ncsspapcr and other ncdia, it is possible for the adver- tiscr to tie! in his efforts sith national advertising appearing in magazines. en out-door posters and cvcr the air. 1 Miller nelson d. and Harvey I. sue v. Establ sh- % ' e'T+s epa - i and O are in a Grace 8 . United tat non! of Censorec. Washington. E. 8.. 1m. page 183. IH mm x: cm us: or ADVERTISING nus" martising Radio: V lewspaperl .Hagazinel Radio Outdoor Posters Road Signs Shopping He's Oar Cards Direct nail gendbigg;_w: e as or” Floor-«nonstraticn laterials Samples and tree Goods nanufacturers' Folders and Inserts Catalogs Selling and Service Literature Bonuses or Prizes for Outstanding Bales Achievcnent Price 1st an 1 Pu t sp y Ma e a : binder Disglays Floor Disp aye Inside Advertising Displays Inside Good Displays Special-price Sale Electr - o a d IO. 300M! Inhibits church Prograns Special Occasions gnascbgll Unifogg “ source: Hiller, Nelson 1.. and Harvey i. Euegy. Establish- an. and Operating a Groceg Store. Unite a as spar nent of Gonnarce, Washington. D. 0.. 1946. DIG. 183. l l ls Purposes of Food Chain.ndvertising There are many purposes of food chain advertising. No tec sources will provide the sane list of purposes as it depends to a large extent upon local nenagenent's advertising policies. Mr. Willien J. Sanning,8 Director of Advertising for the Kroger Company, said the main purposes are: l. ”to achieve dominance for your advertisements in your area, 8. to increase your store traffic, and 8. to build the confidence of your custonera in your store”. Hrs. Beatrice Oldfield,§ Advertising Manager of Ton.Thunb stores, said the nain purposes of her coapany's advertisements are: l. ”to attract attention, 8. to identify us and our institutional personality, and 3. to leave the reader with a good taste in her mouth, an impression of reasonable prices, oongeniality and good I111"e 5 Sending, ’a‘iffiam 3., Director of Advertising, the Kroger'Conpany, in.address before the class of food nor. ohmudising students, michigen State College, 1952. e Oldfield, Beatrice. What Do We Want Our Advertising to Do? i Handbook of Super.market Advertising and Promotion, Super Market Institute, Inc., Chicago, 1949, page 13. IH ld .inothcr list of the purposes of grocery-store adver- nna. is given by the United states Depart-eat cf connsroe.‘ It say have as its purpose: 1. to identify the store eith certain kinds of food nerehandicc of a certain grade. _ I. to build confidence, good sill, and reputation for the store. 3. to attract new customers and to hold old customers. 4. to increase sales and speed turnover, and to do this at a profit. 3. to reduce expenses by spreading it over an increased volume of business. ‘ d. to stabilise nerahandiac. ncthodc, and price. 7. to increase the customer traffic and thus sell other its-s than those ehioh are advertised. food chain advertising does not sell nerchandise directly. It serves nainly to attract attention and pull the traffic inte the store. it thus point the direct selling function is par» for-ed through displays, printed earaa and the store personnel. Other Reasons for Advertising closely related to the purposes of chain store advertising is the question.cf chat are some of the influences proepting I finitedwstatesjfiipartnent of connerce, 93. 3”... page no. 15 the retailer to spend large amounts of money for advertisingd Advertising is more and more being relied upon as a major ecapon to attract trade. With the growth of self~ ‘ service came the familiar super market. \In many respects, super markets have features that make then.all appear sililar. for example, many of thea.havc large parking lots; their construction and layout is similar: a side variety of items are carried in nest of then; items are sold at prices bearing relatively low markups; and carry-cut service is previded in Imny of them. These sinilarities have definitely increased the impor- tance of advertising, because it gives the operator a chance to be different by permittingihun to publicize his giant baby food department, speedier cheek-out systen, or ether items characteristic of only his operation. reed manufacturers. particularly anong the national adver- tiscrs, contribute a large share in influencing chains to advertise. To a great extent, it is the manufacturers' pre- duets which attract the housewifc's attention vhcn the adver- tisencnts are scanned. Likevisc some chains rely on adverw tising to popularize private brands, which are brands owned by the chain selling them. the ease with chich chains obtain advertising alloaanees fro-.mannfacturers acts as another factor to induce the retailers ll id to buy space in local neaspepers. These payments to retailers for advertising the manufacturer's merchandise results in the senses sight of secing*veehly chain store sales shieh feature maticnal‘brsnds; for example, “Libby leak“ or "Del Hontc Carni- valF. the habit of using these advertising campaigns is gracing and many chains feel it is advantageous to associate their company vith national brands. By so doing the chains can derive some of the benefit of the manufacturer’s national pres ‘metienal activities. leaspapcr solicitors are very eager to have sn.advcr- ticer increase his advertising budget. through reports and intervicee, space sellers frequently demonstrate to a client . that competitors have larger advertising budgets. The result, in.many cases. is the client increases his appropriation te meet scepetitien. tincthcr reason.ehy chains advertise in to apportion more evenly store traffic throughout the entire seek. this means that in addition to the regular weekly Thursday or Friday . advertisement, some chains publish an advertisement on Honday, featuring early~in~the~ecek specials. the success of this eetiVity is difficult to measure. factories, and many other places of employment, pay seekers on.rriday or saturday and the feasibility of attempting to attract a large trade in the early part of the seek is questionable.r. I ! 1'! Many ferns of advertising are available to the retailer. l'here are many purposes of advertising and any reasons shy merchants advertise. The above material serves to provide sees understanding of the anaerons fares and purposes of advertising available to an advertiser. I I DESCRIPTION OF THE.MARKLT BASKET, INCORBORATED A brief description of the;Kerket Becket, Incorporated, will be precented at this time. This material sill give the reader come insight into the organization of this chain and sill, therefore, nerve no background information relative to the construction of the advertisement. This company sells in excess of six million dollars worth of merchandise a year through air retail atoree, five or which are located within the city limits of Lansing, Hichigan. The sixth store is located in East Lansing, a town approximately four miles from.Lenaing. The main office in located very near the center of Lansing, end a combined aerehouae and bakery building is situated about fifty yarda behind the office building. The company manufactures a complete line of bakery producta, which include white, cinna- mon, rye, wheat and french breeds, cakes, doughnuts and sweet rolls. Seven trucks are owned by this organization. Four are need for the delivery of dry grocery items carried in the ware- house. These items include canned goods, flour, cereals and other packaged products. Two are need for the delivery of bakery items. The remaining truck in need for daily produce heule from Detroit to the stores. Some produce and grocery ‘3 'i.! I l 19 items are delivered direct to each store by wholesalers. Meet packers deliver meet requirements directly to the stores. Organizational Chart The organization of this chain‘s management is presented in.Chart I. iha chart shows that the owner of the company is also the president and general manager. The advertising manager, in addition to his advertising responsibilities, is also responsible for sales promotion and personnel matters. Some of his sales promotion activities consist of nriting store merchandising bulletins, and arranging with manufacturer's representatives for the building of displays in the retail stores. some of his personnel duties are hiring, maintaining employee records and scheduling various company meetings. In the remainder of this report he till he referred to as the advertising manager. The produce and most buyers are responsible for pur- chasing produce and meat products, respectively. In addition, they are charged with supervising their respective depart- ments in the retail stores, which includes devising ingenious methods of displaying and selling the items purchased. Produce sales account for ll percent and meat sales 84 percent of the total business. The grocery department accounts for | ! 20 CHART I A _ 1 ORGANIZATIOH OF THE new? BnSKiT, INCORPORATED -0Insr. President and 8 Me a e Essistant nsrs Hana. :- h L ‘ l _ Advertising, recs reosry '. uysr Sales Promotion 811 err ser Bu :- and Super. and Personnel visor Manager Si no artlsst [heinous soreness Department manager ~— _i l " lgtties Honegg [Ishry Usnsgsq Produce" 'T-‘quysr end Supervise 1 this information was gathered tron on interviss sith Ir. Russell Veldnen. Advertising, Sales Presotion and Personnel Manager or the flark‘et Basket, Incorporated Lansing, liehigan, 1958. 81 63 percent end, therefore, warrants a separate supervisor and buyer. The grocery supervisor has the added responsibility of scheduling the work in the maintenance department. The warehouse department manager reports to the grocery buyer. These depart-onto are assigned to the grocery supervisor and buyer respectively because of their wide sXperienoe and general knowledge of the Operation of the company. hros.thc foregoing. certain conclusions can be drawn. First, responsibility for the management of the company is concentrated in s few hands, with one man performing two or sore functions in solo cases. Second. because of this cone sentreticn of responsibility. inherent flexibility of spare- tions is possible. For exsnplc, the produce buyer knows exactly whit to order each day as kneelsdgc of what the inventory situation is in the stores can be gained through the performs once of his supervisory function. This local. flexible nature gives this oonpany an opera- ticnsl advantage over cospetition not having these sens char- sctsristios. Ksnsgsnsnt Flexibility The proxility of the stores to the company office and warehouse offers many advantages. It is a relatively simple ‘A‘... I] . H.1_ 88 matter for tap management to nest regularly sith the stern nanagars to discuss future plans and peat reeults. In a chain this size, the store nanagers are counted on very heavily for information.regarding customer wants. nerohan- .dising scheses and news of the activities of competition. These meetings include the following: Produce sanager's nesting, lvery'nondey afternoon. Store manager's meeting Every'ruesday afternoon. lhrohandisers and adver- tising manager meeting Every.uonday morning. Top managenent nesting Once a nenth. Store-Warehouse Flexibility The warehouse carries sufficient dry grocery stock at all tines to fill a store manager's entire need. lash.store receives tso regular delivery of groceries esch week. Orders received by the warehouse are filled and delivered within one day. The store-warehouse opereticn is extresely flexible. A store manager can call in at any tine for a special delivery of its-s he say need. .ifter s cell is received fro-.e store smneger. the nerchandise ordered is billed. loaded on a truck and delivered within e few hours. Sales Promotion.rlexibility ‘rhis inherent flexibility is carried over to the relation- ship between the advertising sanager. tn buyers and the store 23 asnagcrs. For example, when the buyers come in contact with a product that can be offered at an appealing savings, ineediate action is taken to keep one step ahead of competi- tion. The store managers are notified immediately by phone. Orders are taken_and the merchandise is delivered the ease day. if possible. The advertising manager is notified of the pro-etion ilnediately so that he can make plans to advertise the pre- duet. If necessary a special advertisement is printed. but the usual practice is to inelude the itsn in the regulsr vastly advertisement on Thursday. Flexibility is the keynote of this organization, and its importance can.not be overs-phasined. consider the fact that this chain is competing*eith.nnch larger chains, such as the Kroger Company and the Great Atlantic and Pacific Tea Company, as well as numerous independents. ‘This company's very existence depends upon its ability to respond to current changes in the immediate area. Price reductions are generally made the day they are received and notice is given consumers through a newspaper advertisement: as soon as possible. i large chain organization, which decides upon the itess it sill advertise seeks and even months ahead of tine, has less opportunity to take advantage of price reduction publicity. This company often ties in its pro-etions with local ll 24 civic actiVitias, thereby drawing much attsntiou from the populace. The larger chain, with a branch office in a distant city. can not easily take advantage of this type of tie-in advertising. .5. i H. Green Stamps Included in tnis company's over-all advertising program is the 5. h E. Creen St mp Plan.2 The S. d 3. green stamps are 0’ used by this chain to attract customers and are considered a _very important part or this company's advertising program. The plan coats about 2 percent of net sales, which means that this company gays in excess of one hundred thousand dollars a )GRr icrethe exclusive rights for super markets to the plan in the Lansing area. retailers on non-competing ner- chandiec are permitted to adopt the plan, but competing food companies can not use it. This company's oriiciele aie satisfied with the results of the plan up to this time. The plan was adopted in October, 1951, and in Harch, 1952, sales had increased approximately 23 percent, when compared to this some period last year. This percentage appears to be favorable when cognizance is made of the percentages in Table Ill. Compare the percentage change of 2 Sperry and Hutchinson Company, 114 Fifthinvenue, New York City 11, New York. 25 colon of the listed cheinc with the change in the narket Becket'c. Incorporated, percentage. Note that the latter has increased its sales over last year by approximately 15 percent over what thcce larger chains have increased their bucinece. The advertising manager feels that e large portion of this extra increase is due to the use of the S. k H. Green Stamp Plan. . In making this compariecn, caution should be exercised in comparing e chain nith six million dollars a ygar busi- ncec with chains doing in excess of one hundred and fifty million dollars e year business. ‘Hcvcrtheleoc. the figures do shed some light on the effectiveness of this plan. How does the ctemp plan work? This food chain obtains the stamp: fron.thc S. &.B. pronotcre end then passes them on to their customers, one for each expenditure or ten cents. l cmoll booklet is given to each customer in which the green stamps are posted. Each completed book requires twelve hundred stamps. After the books ere filled, the holder may redeem then for his choice tron among 1,200 nationally advertised gifts. A display store is maintained by the 3. & H. promoters in Lansing where the cuctcnerc take their tilled book: for redemption. Gift catalog: are available in all retail store: cubecribing to the plan. 2. TABLE III GROCERY CHAIN SALES OF TEE MONTH“. (1n thouaendl of dollars) r ' ‘ Poroon!~ Janggrx, 1952 Januarl. 1951 :52 Chaggg Safeway Stores $101,851 $92,274. } 15.0; Kroger Coupany 78,348 7£,90l { 7.3 American Stem 50.400 46,624 I 0.1 Rational To: Coupon! 25.763 27,278 - 5.5 and Tea Company 15,775 15,993 i 4.! Colonial Storou 15.466 14.513 ;‘ 6.0 Winn & Lovott Grocery Company 14,843 13,887 } 0.! Grand Uniol.conpany' l3.‘58 18,347 I 9.9 V—vw * Source: Grocery Chain Sales of the Mbnth, Chain.830ro Ago, March. 1952, post 4. “in l I 27 hucical.Jeck.Pot hadio.Prcgram Another important part or the advertising program of thia chain in the fifteen minute,.flonday through Iriday, radio progrzm called Husical Jack Pot. sale itome and helpful chopping tipe are announced on thie radio program. Lietenere are eligible to win both a each and a green etenp Jock pct if they can correctly aneeer a question asked over the telephone by the announcer» Three calla are node each day. The queetion and answer eheete are given to the cuetcnere and are available in the retail etorea. The person called Inet be able teraneeer the queeticn exactly ae it ie printed on the question and aneeer cheat to win the Jack pct. It unable to aneeer the queeticn correctly, the perecn called is cent two tickete to a local theater. plue 100 green etcape. Quite frequently, the queetione concern new. about tool pro- ducte and their preparation. rcr example. the rollceins queetione acre acted during the Ohrietnae eeaecni5 l. Queetion: What ace the original none for mince pie? .Aneuer: Mince pic was first called nuttcthie. 2. Question: When does Christaae begin and end in Scandinavian countriee? Aneeer: 2 It begine on;Decenber 13th. Santa Lucia'e Day, and ende|Jennory llth. 5 Fueical 38 ch Pot Queationnaire, the Hurket Becket, Incorporated, Lancing, Michigan, December 24 through 28, 1951. 28 5. Queetion: Hoe are market Becket ehOppere caving more than ever before? hunter: 8. &.H. Green.8tampa make it peeeible to have two ways: Every day low prices plue valuable nationally advertieed girtSe A question and anewer sheet in Operative for a period of one week, after which time another sheet in applicable. These aheete are placed in the stores on Thursday, where they are available to the customers. Over twelve thoueand eheete are distributed each week. The advertising manager {cell that those eheeta are a potent force in pulling customers into the stores. CH {PIER IV COflSTRUCTISN OF A MARKET BASKET ADVERTISEMENT This company usually publichee a double truck; adver- tieenent every Thuraday in.lanein3'a only newsprper, the State Journal. Occasionally, however, emaller advertiee- eente are need. Theme The theme in ueually eelected veeke or even a nonth ahead or time to permit ample opportunity for the company buyere to order enough merchandiae to aupport the adver- tieement. Alec, time nnet be provided no that contact any be made vith manufacturer'e repreeentativee to enliet their aid in building diaplaye in the etorea. Finally, the etore manager ie notified of the eale two weeks in advance, par- nitting bin to prepare tor the event. Some of the meat, produce and grocery itene, that are to be included in the advertisement, are determined at e ealee meeting attended by the advertieing manager, the buyere and the superviaore. The meeting ie held oneflonday morning of the neck in which the edvertieement will be pub- liehed. Ken: of the iteme and tentative prieee are decided upon at thia tine. Often, hecauee of market conditione, l A double truck advertieement ie one‘ahich covere tic racing pagee in e nevepaper. I I 50 produce and meat pricce are not determined until the earn- ing that the advertieenent ie to appear. ‘The theme, or keynote idea, or the advertiecncnt ie drawn from two general eourcee ci‘ information: l. within the organization. Thic would include any idcac by the advertising manager or other repreccntativee or meage- Icnt. Alec included could be the nee er unueual ncve itene concerning the company or the coenunity. For example, a non check-tend eyeten which penite factor eervice in ringing up the groceriec, collecting the noney and begging the grocer- iee in none to the ouetoncr. many could be anlioul to ace the checkatend after reading the advertiecncnt. 'l'he adver- tieing manager rill uce any there that he teele ic tincly, interacting and flexible to permit relating attractively priced merchandise with the thcnc. 8. Iron outeidc ecurcee. There are any organization throughout the country that cpcoializc in helping anall feed rate ilere prepare their advertieenente. 'i‘ha eervlcce offered by the national Rcccarch Bureau, Incorporated, 4.15 lcrth Daarborn Street, Chicago 10, Illinoie, are need by thie chain. rm- erganiceticn ctudiee advertieemantc publiehed in non- popcrc in all ccctione or the country. Becultc of the effec- Jflflhfl 51 tivcncss of advertisements and copies of those studied are sent to Operators who are nenbers of the bureau. By studying the material supplied by the bureau, the advertising manager is able to keep informed on nationsidc advertising trends. Occasionally, he sees something in the reports that he can adapt to his organization, which often results in a very pro- fitablc promotion. The services offered byMcCall'shagazinca are used quite extensively by the Market.Basket, Incorporated. There is no charge for this service as it is free to all members of‘Supcr Hurket Institute, a nonrprofit organization of super’narhet operators,.sith headquarters at 500 North Daarborn Street, Chicago 10, Illinois. This is has the service corks. The staff'onMccall's . prepares in detail a couplets food store promotional esnpaigs. Manufacturers she advertise in licCall's Mega zinc sort in con- Junetien sith the Iagazinc staff} Together they prepare an ”Advertising Pronotien Service Book". Suggestions are included shieh.ccntain information on the following subjects: 1. itene to be advertised a. headline to be used 3. advertising layout 4. borders for use in advertisements 5. in-store displays I Iditorial'and Publication Office, McCall's Magazine, 439 Madison Avenue, Rec York 22, Nos York. 32 The book is then nailed to the food store operator. After receiving the book, the advertising manager any use the material contained therein as he sishes. To illustrate, forte particular~month a series of advera tisenents proneting a "Pageant of flational.Brands' nay be planned. The service booh is sent to the food company sell ahead of the date scheduled for the promotion. While the food company is preparing for the event, McCall's publicizes the promotion by printing some special advertisements in the appropriate issue of their magazine. These advertisements are designed to help promote the current event. For example, they may say, ”Shop at the food store having the 'Pageant ef National Brands' sale”. This message, directed at the thou- sands cf semen she read “coall's, probably does a lot to con- vince the readers that they should shep at a store having the aforementioned promotion. full color, d8 inch posters and giant display material are furnished by'uecall's for in-store selling. In addition, shelf erross, shich can be used to point out the individual shelf specials, are furnished, as sell as blcs-ups of saga- aine advertisements, shich can be displayed in the store sindoss. {Also, ever-sire hangers, shich are posters that hang fron.sire stretched fron.cne sell of the store to another, are as supplied. Finally, scripts and spot recordings to be used for radio tie-ins are furnished. ‘Matrices or ”mats” are baked cardboard molds of paper pulp, fron'shieh a stereotype, or duplicate plate, can be ' made. The mats are included in this service and are furnished by the manufacturer through.uc0all's. For every picture, head- line er border included and suggested in the "Advertising‘Pro~ lotion.8ervice Book," a mat is furnished free of charge. than the advertisement is ready for publication, the adver- tising manager merely sends these mate to the newspaper, there- by eliminating the coat of having the designs prepared else- share. Sons mat samples are found in Figure I. Photo-engraving It is appropriate at this tine to explain hos nets are made. The question is asked, Khan is copy, a picture or s photcgraph prepared for publication in an advertisement?“ First of all, the subject or cepy to be reproduced is photographed,3 and a negative is developed and printed. But it is not printed on paper as in the case of a snapshot; it SThe advertising manager of the.Mariet"§askat,ifncorp- orated, has this photograph taken by a photographer or by" the State Journal. - A‘.‘ “V. | I .lhl 3 Figure l. Matrices crusts" 35 is transferred or "printed" on metal. If it were not possible to use photography in this say, the design sould have to be drasn or traced en the metal by hand. :laxt, the photographed area is made to stand above the unphotcgrapbed portion, like a mountain against a valley, so that when the plate is inked, the part sith the photograph sill be covered by ink. ‘This is done by chemically etching asay, or engraving, the areas on the plate which do not have the photographed subject. The areas which, when inked, sill reproduce the desired subject are protected from the action of the acid by an acid-resist, or a "ground" as it is some- times called. The result is that a metal plate is made which bears the reproduetion cf the illustration. The photographed area is higher than the surface of the remainder of the plate, so that, when it is inked and pressed against paper, a repro- duction of the subject is obtained. Hence, a photo-engraving plate, or shat is commonly called a “cut,” is produced. Duplicate Plates This plate shich has so far been considered is an original plate in the sense that it is the initial conversion of an illustration into metallic fore. Once such an original is made, hosever, many duplicate copies can be produced at a fraction of the cost of that original. a no, l1 as Duplicates may be needed in order to run an adver» tisenent in several different newspapers at the seals tiu, to economics on the printing seat by running a nunber cf inprints off simultaneously, or to spare the originals for future use. Also, grocery manufacturers need duplicate copies to send to the thousands of retailers handling and adver- tising their product. The retailers in turn use the copies for the purpose of printing their advertisements. There are many kinds of duplicate plates but the ones scare most interested in are called matrices or note. They are made from the original plate and fron.these mats stereo- types can be made. The mat is the mold and the stereotype is the plate used for printing. To make the net, the operator presses the original plate into a damp piece of "papiervnache' pulp. ‘When the latter is dried, it looks like a piece of baked cardboard with the illustration or type stamped in it.’ This is the mat. Metal is poured over it. The metal cools, hardcns, and forms a plate known as a stereotype. The stereotype is then used for printing. If the not is needed for*enother stereotype, it is saved and more can be made from the mat in the future. The net can be curved and a corresponding stereotype made to fit on the cylinders of a rotary press. do many news- 37 papers, especially those in large cities, print on such presses, their shops are generally equipped to make stereo- types rron sets. A grocery advertiser using a large number or nesspapers may consequently save money in making plates by forwarding merely a mat of the advertisement to each news- paper in which he is buying space. How the Advertisement 1s Printed The advertising manager sends the original illustrations and copy of the advertisement to the newspaper printer or type- grapher, who makes the photo~engraving plates, or cuts. The type for the advertisement is set up and the cuts are inserted in their preper place, according to a layout plan. The adverf tisemsnt is nos ready to be printed. When a pros: is desired, the printer may place the entire torm.on the press and ”run it off! Headll‘ The advertising nnagsr or the Market Basket. Incorporated, usually creates the heading used in the advertisement. Some- times, a heading suggested by McCall's Magazine or a member of this chain's management is used. The heading of the advertisement should be original and should give some indication of the theme or the advertisement. as The heading is created from one to three seeks before the ties the advertisement is published. is mentioned earlier, the local nature or this company permits it to be flexible he its operation. The advertising manager lay seit two or three days before the deadline to decide on a headline it necessary. The exanples of this company's advertisements round in this chapter sere based on the material supplied by the uoCall's advertising service. Illustrations Pictures tell a story at a glance. They can display ner- chandise enticingly and make peeple sent it. The illustra- tions or the products used in the advertisements in this chapter sere developed tron sate furnished by the manufactuere through the McCall's service. The advertising manager aerely sends the nets to the newspaper printer who includes then.in the printed advertisement. On the other hand, note the picture or"Uncle George" in Figure 2. this picture was drove by band by the advertising sanager. It was subsequently photographed and printed by the staff of the State.Journal. A case study sill be presented at this time. explaining the steps that this OOIpany goes through in preparing a typical. weekly advertisement. the steps can be broken doen into three broad classifications. Examples of one advertisement are J - u.i4H Isl. sis £- ‘4 hi! i illo .' see-II dais—8.. MES—h a; E... §>§E .. fl as included in this chapter shoving the three steps necessary is its preparation. STEP I - Preparation of Rough Layout The rough layout is a drawing showing how the various ele- manta of the prOposed advertisement are to look. The theme, or keynote idea, of the advertisement mry have been selected seeks ahead of time. but work on the layout is usually started the Thursday afternoon or Friday of the week prior to the one in which the advertisement is to be published. it this point. the advertising manager knows the theme, the headline, and some of the items which will be included in the advertisement. He then decides what size advertisement to use and usually plans on a single or double page spread. A photograph of an actual rough layout is shown in Figure 2. Then, eith a drawing pencil. the headline is lettered as it is to appear in the finished advertisement. Next, the decision regarding allocation of space to the produce, meat and grocery departments is made. This decision depends upon sany factors. For example. a promotion may be held on some produce items when they are in season. Therefore, the greatest space in the advertisement may be allocated to these special items. Consideration must also be given to the cost or space. what competition is doing and the importance of the particular sale or feature. ‘1 Next, the items to be included in the advertisement are listed on the l*yout. Khan the advertising nannger uishes to say a few words about a product, he types the cords on a separate sheet of paper, called a cepy sheet. Be marks the copy sheet and the rough layout with a letter or figure so the printer sill understand share the copy is to so is the edvertisesent. Examples of cap: sheets are included in this chapter in Figures a..s and 5. Note has the nuuber on the sepy sheets correspond with the numbers on the layout. Illustrations are then inserted in the layout, including the ones draen by the advertising manager and those furnished by manufacturers. Illustrations are quite frequently furnished by the manufacturers through.the.uc0all's service. For example, note the picture or the can of Chase n.8cnborn coffee is the rough layout. This picture eas taken tron.the "Advertising and Serviee Boot" supplied hy'iccell’s. It was cut out or the book and pasted on the rough layout. This saves the edvertisinc senager the job of having to dree this picture. lots were sent along with the 'ldvertisisa and service Book“ to support every picture contained therein. Therefore, when this layout is sent to the newspaper, the advertising manager sill send along the not or the Chase & Ssnborn coffee can. If no net is furnished, the newspaper I111 have to take a photograph and 31m SID! / Uncle George reec-ends that you stock up on all these featured nationelbrends. Ramos you know on brands you like st prises you sent. fee. you're bound to save. VT: Libby‘s Fresh Frozen Fees 8 8 oz. pkgs any 2 Honor Brand Fresh frozen v” strawberries All the family enjoys- shorteekes. Nos 10! priee. pks- 59¢ Pesco Fresh Frozcn'Orenge Juice Drink 0' Health. 3 6 oz. cans 39¢ Booth's fresh Frozen Asparagus Cuts end tips. 12 oz. pkg. Nee Lee price. 86' 4/ Bear! Market Becket Jack Pot Program. VIII! - 12:18 P.1d. I Hondey through fridey. Get your questionnaire at one of our gient markets and be ready to Win the daily Prize ~ that gross and cross. Ie lisits. le coupons. Open rhuredey I. rriley until 9:00 P.M. 621 Best Grand River. East Lansing. 101’] West Engines 2002 North Larch “ Special offer sorth 28;! Send in label fro: any can of Swanson Chicken or .turkey. Offer expires larch 31, 1968. Get tech 15! see coupon with all details in store. Figure 8. copy sheet w vwflarx’” I seenson's Whole Chicken 3% lbs. Reel Gold Orange Juice . OZe can Puss '3 Boots Get Feed 8 oz. can llarie's Ice Be: Stuffed Olives What e Pickle! Aunt Jane's Candied Dill strips 16 0‘s 1" ".ml. ‘e Cap] 8h... 31.08 15¢ 91 551 59¢ LEFT SID! 1’ Scottie: Facial Tissues 400 count Miller‘s Dog food 5 lbs. neat Palmolive Soap e reg. bars 2 hath size Blue Suds I packages Peter Pen r-m Butter 13 Ole Jar onion. Thin Blades . - lo ecunt figure 5. 33¢ on; 17' 37‘ 35¢ Copy sheet cc sets the photo-engraving plate, or out. This sould involve edded eXpense. The advertising nnncgor keeps 8 not file on thousands of products. These nets are supplied directly by the manufacturer. or through McCall's. free of charge. The manufacturers feel that if the retailer has the nets to use in his advertising. they stand a better chance of having pictures of their products appear is the store's weekly advertisement. The rough layout is then eonplcted by filling in ell the details regarding location of stores and store hours. It is then scrutinized for errors. It is sent to the nesspepcr with the copy sheet no later than 12:00 o'clock noon on Tuesday of the see! of publication.. STEP II - Correcting the Proof Iron.the layout and copy sheets, the printer'et the news- paper makes 9 proof, which is a printed impression of the pro- posed advertisement token for purposes of inspection. This proof is received by the M rket Basket. Incorporated, on Wednesday afternoon. The purpose of the proof is to give the advertising msnnger an opportunity to cake necessary revisions regsrding lest-minute changes in price, typographical errors and any other necessary alterations. The changes are directions to the printer. end are usually made in red pencil. The adver- tising neneger shoes the proof to the buyers she also any it“ I: es suggest e necessary alteration. the proof or the edvertiseeent is shown is‘rigure s. This proof is returned to the sense paper on.rhursday morning. STEP III - the Published.ddvertisesent After the newspaper receives the corrected proof. they note preparations to publish it as a complete sdvertisenent. taking into consideration the indicated alterations. Ho- sdditionel proofs are furnished. the importance of indi- eating corrections in s clear manner is readily understood. The printer for the newspaper will do a good Job it the sdvertising manager indicates clearly what is vented. The completed advertisement is presented in Figure 7. The approximate schedule used by the edvertisina sens- ;er of this company in the construction of the sdvcrtieesent is es follows: These: i:::cted s seek or even e month shssd er Rough.Leyout: Preparation started Thursday or*!ridey or the week prior to seek or publication. sent to newspaper no later than 12:00 o'clock noon on.rueedey of the seek or publication. Proof: Received on.Wednesday efternoent Corrections are made and it is sent back to the news- paper Thursday earning. completed Advertise-eat: Printed Thursday afternoon. I! _ ’r._ _. ...; III: .... .13.... p siliceous. .seeaell .- fix 5282.. E... 51:?! were: 3...: sea... .....m—u. uh- .mmfi, iteratil. a... ...? tr... .k..sufl¥slll: 3 2...: :5 .2 Ju flex... mks—.20 .Lm ... .2 . .3. ...... ...... .. (...... SE... S .93.. ...... muokSzokme; .........i...... ES... 3 NF in a f u 3. H032. .. sex-.- Van A s3. Isl! .... gflo nth. FF, to ace. kl.. aflL ...u... r... 3.311.; 2m: .... .. Eugen «KARO ”girl: t. EEG-ll: Ear..- ..... «33...: gay—o: m. ”OPP—h.— OE... ...”... .... .... eels-Is es niece-«u s ...-t is 7 .3333“...umuu , is bill... a. ‘I . m 53>:ng 313.. _ .. 3m... ......Efimmfimm Eli-8 .l a...» .’.»A.y .x. .¥. . lads .. 4.. .. .9... .... . -m..u<..<..mc........h.v...._ buuufi... 35. 325...... .. .mmznw.m.m.u.¢¢un3<¢km . .N¢ .l 31...”... . ...... qungz L 6.25:3 M. I8..( 38%. , 5...... 5.3.2.... .. ...... 9 .. ... g >,. .Egu 38..— gram... F. \ % m 3.5.3.... ,,3......... a... 49 Advertieins Agreements In many cases a mnureoturer will pay a fixed amount to a retailer Ihen the letter includes the manufacturer's pro- duct in one or his weekly advertisements. As a eource of income, advertising agreements are very profitable for the retailer. If enough agreement items are included in the advertisement, it will be paid for largely by the money re- ceived from the manufacturers. I An important point not to be overlooked is that the manufacturer is usually billed the national rate, while the retailer is billed the local rate. This is how it works. Local nesepapers usually have a rate structure consisting of local end national rates. Ldeal rates are given to adver- tisers who operate in the immediate area. National rates are charged to national manufacturers of nationally distributed products ehc desire to advartiee in this local newspaper. When the Market Basket, Incorporated, advertises in the State Journal, they are charged the local rate for the entire ad~ vertiaement. But, many manufacturers who entered into agree- manta with this. chain are billed at the national rate. The difference or the tee rates is retained by the Market Basket, Incorporated, and helps defray the cost of the advertisement. Some system is needed to record the agreement between the manufacturer and the retailer. Examples of the forms used by this chain for their records are included in this 50 chapter. The first card in.Figmre 8 is used to record the manufacturer’s name, the aaleaman's name, his address and his business phone. In addition, information regarding the contract is recorded, including the frequency of insertion, the rate due the chain and the date invoices are to be mailed to the manufacturer. A second card, in Figure 9, contains information re- garding the invoice. After the manufacturer's product has been advertised, he is invoiced the amount agreed upon. The amount billed is recorded on the second card and when payment is received, a note is made to that effect in the "amount paid” column. The other columns contain related 1? information. These cards are kept in a file in the advertising manager's office. They are referred to quite frequently when the weekly “W advertisement is being constructed. This is done to make sure that items covered by an advertising agreement are advertised on.achedule. case nouannueunu naeaeeuma msueuuueeum .m shaman edge; .02 .._.¢4 eeutem eeouoed- noun. and-om; concave—fl . _ out would: «on no...» onus—933 den Hen... deacon—L lacunae: _ loam cede» Soon e34 .338; { . . . «nee-u one: _ e938.“ utenfluhmx- A _ neg-acne I sedan; 9433:- uni—«ohm. .. engage. oven-main the: 3395 .. _ . eeuuoo _ . .. «Antennae—.-. 83.30.31 1 3.33m 2.33:3 . £3.33. .. 3:33 533-8 w. a I eeuueuona . can $335 the: need . ’«nooam uexoeuo 4 a . 333.3.— eeeuaonem . r heed one a ...-no.6. caeL . «canal guano-dew eeuuuuuauuuo .. 9.3.334 one: «en .. undone-gen: $3204 echelon I . onoee .. . #32..— . on: 4 .9333? ... 9:882- 3.32.? no: «aaaoflo nee-83L Le: .3398 235 .3 non-g $3.333 toque unsaved unusual 3238 nan- 353ml gossip egos-ace? com 32am «o . can: a no anew the: «o noes no «new .qu «.0 anew dong-hem I. denounce nueeumbvoo «b ..«eoumaooub ...«eehhoeoab ...«eehmneeub no «3933 1‘. a . x» m #flevueehm £3253 «a .53 .3 «o ...-5.8 «Enema—co gcofi HEB ho WUHhho Aaimzmo Mm.“ ho meaaflmmmdao Bamfimcfimfid DH BEA—mo 87 part calec promotion group, including calee planning. reeearoh and cpbcial pronotione. This. and the organization of the advertising department. is all shown in Chart V. cam v ommrion OF THE moom comm! ADVERTISING DEPJZRTIWT' Sales Promotion Department I -: l T u Salee Planning advertising Recearch Special Manager Manager Manager Promotion k Manager m cat, Produ'otien chp'aper Bad'io Paola - Department Depart- and Dicplay Depaftlent Deport~ Departunt nent Department rent I O People 8 People 6 People 5 People 4 People 1 Percon ' §our333 A Excerpt from a letter7mn Mr... William 3.. §anning . Adverticing Manager, the Kroger Conpany, Cincinnati. Ohio. dated March 7._ l952. The Adverticing Depa rtnent The beet way to get a clear picture of the function of the general office advertieing department would he to novel- ize the department ac an organization quite cinilar to a regular advertieing agency with the 25 branchec of the coupon: ac itc 135;}; 88 regular oliente. Although there are many variationa, the ctandard dutiec of thin department are to cuggeat, prepare and produce the bulk of all the advertising material need by the Kroger Company. at thic time, the adverticing department will be broken darn into itc component parts. The department ic headed by ~the advertising manager, who ie to eupertiee and approve all the varied adverticing material produced by hie ctaff.1 The advertieing manager has under hin.eix departmente come prising the entire advertieing cection. The first tee depart- lento include two of the main channelc for company communi- cation eith the ooneuner. These are the neeepaper and radio depart-cute. Store dieplay, which ic aleo a main channel of communication with the consumer, in part of the production department. Here ie what Mr. William J. Banning, Adverticing Ehnager of the Kroger Company, had to an: about thic atore dicplay-production relationshipzz f.Meny of the duties and reeponsibilitiee reported for the advertising manager of the Jewel Food Storea in chapter V, alco apply to the advertieing manager of the JKrogor Company. 8 Excerpt free a letter from Mr. William J’. Sanning, ddverticingjnanager, the‘Kregar Company, Cincinnati, Ohio, dated March 7, 1952. 89 In our advertising department, the production mane agar also handles the management of our display program, since he is completely familiar sith the display needs of our branches through long experience in the company. He is also familiar with planning methods and sources, so that he is competent to manage both mechanical pro- ' duotion and the display program. The foregoing ansscrs any questions that might arise as to why the display department is part of the production depart- ment. A smaller division is the packaging department which designs and produces the labels used oanrog r Company pro- ducts. Working with the above divisions of the general office advertising department are three more departments, shich handle the technical ends of producing the promotions of newspaper, radio and store display. These are the cepy, art and production departments, the latter having been already mentioned as part of the production-display section. Their services are directed tosard reaching the common goal; that is, the finished piece of advertising. The nsscpaper department covers all the nesspaper adver- tising for the twenty-five branches. This includes contacting branches for advertisement requests and requirements, ascertain! ing their needs relative to other branches, local factors and competitors' advertising and producing the requests of the branches. The radio department serves as the newspaper 90 counterpart in its particular field of consumer communi- cation. The radio division plans and produces all promotions, spots5 and programs that fell under its classification. In this respect, radio shows are planned and developed by adver- tising agencies which earn 15 percent of all time and talent costs in exchange for copy and production services. The store display division, handled by the production department, is in charge of all the displays, window banners, and interior decorations of almost two thousand stores in the company. In a smaller classification, is the records section, which keeps the advertising department's accounts and budgets. The cepy, art and production departments are the tech- nical workhorses of the advertising department. The men in these divisions are the ones who must produce the finished advertising product. Copy Department Taking them in their order of Operation, the first is the cOpy department. Headed by the cepy chief, the capy division 3 A spot is a program issued directly from a station in behalf of a national or wide-area advertiser, in contrast to a network broadcast, which is broadcasted over a series of con- nected stations, or a local broadcast, which is a program sent out by a local advertiser over a station in his city. ‘a_ 91 produces the written.eord, and the thought behind that cord, is the advertising that comes out of general office. The copy department and the art department are tso creative depart- aente of advertising. It is in these tao depart-ants that specialists sith the cord and the paint brush search for nee approaches to attract the customer to the store. It is in these two depart-ants that these nan exyerinent endlessly sith their imagination seeking the elusive “no!" approach for presenting the.Kroger company to its potential customers. art Depart-est After the ccpy depart-ant has produced its specialty, it turns its copy ever to the art department, which adds its artistic contribution. The result is the finished piece of art ready for reproduction. In the process of producing this finished art, it is apparent that there aust be close cooperao tion betaeen the tee departaents. The copywriter and the artist assigned to the particular Job consult frequently on setters of layout, spacing, choice of words and drasings. Productios.Depertaent Finishing out the process started by the copy and art depart-ants, the production departsent coupletes the technical tea-nor! that results in the finished piece of advertising. The production department serves its Iain purpose in trans- 92 forming the finished piece of art into whatever manner of consumer communication is deemed advisable; like, newspaper advertisements, store displays and radio commercials. lhis is only a portion of the duties of the production staff. Headed by the production manager, this department handles the many detailed procedures in the transformation of the finished created product to its use in different media. This includes sitting in conference with the art and copy depart- ments when a Job is being planned, constant contact with both groups when the Job is in work and completing the procedure by arranging for the printing and shipping of the final piece. The production department follows the Job from its inception to its absolute completion when the branch office receives its advertising material. It serves as a go-batween and double check between the art and cepy divisions. To aid in this work, the production department keeps a daily record of all Jobs in work and at what stage each is in at any given tine. Beside the regular artist-cepywriter conferences on a Job, there is the production man who also works with the two men from the other departments. He keeps in constant contact with the artist and copywriter. In any problems that may arise pertaining to the reproduction of the job, he gives the production division point of view, Just as the other men give 93 the point of view from their respective divisions. It is a case of three trained specialists uniting to produce the finished piece. This makes it eVident that a great deal of cooperation and compatibility must exist. sash men must be aware of the problems of the other two and cork toward the goal in a manner that would best meet all the problems from all three points of view. Assisting the production manager are four assistants and his secretary, the letter's duties being so breed that she must also be classified as an assistant. The production manager‘s secretary serves as an intermediary between the advertising department, the branches, and the many companies who print the advertising material. These duties are in addition to the regular functions or a secretary. The other production assistants are assigned to various tasks pertaining to their specialties. There is a newspaper assistant who specialises in the production or the newspaper advertisements, the advertisement book4 and special requests from the branches. Ea works closely with the art and copy departments in seeing that the newspaper advertisement material comes out of the art department on time, is approved by the cepy department, sent to the sngrsvers for plating, to the 4 The advertisement—book centsinswsuéhestedfireproductiois at actual size advertisements that branches can use if they elifle 9d typo company for nets and then shipped on to the branches. In the case of the advertisement book, it is his duty to see that the art is sent to the printer and shipped to the branches on tins. linothor one of his duties is ordering all the type used by the artists in creating their finished work. ‘Working with this newspaper man is a net order clerk whose duties are to take branch requests for nets and relay than to the net company, which in turn ships than to the hrsnohes. The other assistant handling the other large division of production is the display assistant. His duties are to work with art and copy on ell interior store displays, inolud- ing the display catalog,5 and arranging for its printing and shipping to the branches. He must keep track of all the display pieces in work, fron.origin to receipt by the branches. He also prepare: a "Jobs Due" cheat each day listing each Job in work and at what time each Job is to reach the copy, layout or finished art divisions, that day. Cepiee of the "Job Duo" sheet are then distributed to the production manager, the art directors, and the copy chief no that each may know what Jobs must he in that day. EtThe display catalog contains auggeated’suall scaIe display cards which the branches order from the general office when needed. The size of the card ordered depends upon the need of the individual branch. 95 The other production assistant concerns hisself with the department files, as well as helping the newspaper end display assistants in the performance of their duties. The production department has on file art in all sizes, shapes and types for use by the artists in their worth This art can be used over and over again.and the files assistant aids the artists when they need a particular piece of art for e job. Also kept on record are proofs of all the advertisosents produced by the advertising depart-eat for the past four or five years, as well as records of these advertisements for possible re-use is a similar job arising at a later date. These, as well as display couples, are available in tho pro- duction department to anyone at the general office. This suns up the organization of the general office advertising departlont. Advertising Policy The advertising policy of the Kroger Company is deter- lninod by the top level executives of the company at regular neetings. This policy. formulated by the president and viso- presidentsgis decided upon after consultation with branch sanegesent, nerohandising divisions, the advertising manager, the sales promotion manager. the specialists in these depart- sents, the research staffs and the public relations depart-eat. The advertising sanager confers with tho vice-presidents cone earning the policy for advertisingland then directs his staff accordingly. These policy seetings are held regularly oeeh nonth at general office and results of recent progress are reviewed and plans for coming periods are discussed. Following these conferences,'thc advertising neneger esscnblos the heads of the production, copy and art depart- nents and they plan the detail work behind the program. ‘As a promotion begins to crystallize into a concrete program, the production nanager confers with his staff. explains the promotion and than the production department begins its work of overseeing the entire venture. With a represente- tive of the art and copy departments present. the production Ieneger charts the schedule of the promotion, how it will be presented, to when and other pertinent date. Job sheets are prepared and distributed and the Job officially because "in work?. The degree of seaporatios necessary for the attain-ant of the objective is again evident here. Pros the kick-off conference down through the intra-departsent seatings, there lust be a unity of thoughts on the cannon probles. While there any be many disagree-ants of one kind or another free the early stages, the differences of opinion nust be cleared satisfactorily if the Job is to reach 97 a successful conclusion. The art. copy and production division must work together like a well oiled nechino or a promotion could never be completed. Tine Element The tine closest is.preparing proseticne and advertise- nente varies with the type of Job. Generally speaking, pro- nations are planned three periods“ prior to use. The techni- cal wcrk is scheduled so that it is coupletsd and projected to the branches six weeks in advance. There are exceptions to this rule in both directions but this is the progras that is generally followed. ‘in example of this is the progras.of the (north period (march 33 threugh.ipril 19. ices).‘ The prelisi- nary sestings were held.Jenuary lath and the final eateriel was . shipped to branches on.!ebrusry 15th. Hotifying Branches of Prosctions The branches are notified of future advertising policies and prosotions by two general cathode. The first is the adver- tising layout book of newspaper advertise-ant suggestions. The second is the layout of potential store displays in the display catalog. These are regular services presented every period. over and above these, special branch-wide letters and.sonos are sent occasionally to announce special policy changes or special pre- ”‘1038s c This chain operates on a four-week period. In a years operation, there are 1: periods. The adwcrticesont book contains suggested layout for the ooning period. These layout suggestions range fro-.double truck advertise-outs down.to two coluss inserts on all the features of that particular period. For instance, the adver- tisonent book for the 12th period'sould hit heavily the Thanksgiving these in its advertise-oats. Plates of these advertisements are held in.cincinnati and the branches tele- typs their requests to the sat order clerk is the production departnent. These are sent to the sat eospany which ships immediately to the branches. The procedure is slightly different for the display cats- log. Because of the large size of the majority of store banners and cards, it is ispcssible to sake an exact size duplication to ship to the branches. Therefore. a catalog is printed of such smaller scale but fairly near proportion. The catalog is broken up each period into four weeks with a special sale for each week. For exanpla, one week the feature may be canned foods, the next Lenten specials. the next household specials and so on. The catalog shows all the banners, cards and shelf markers placed to scale as they would appear on windows, cases or wires. Order ferns are sent to the branches with these catalogs and after the branches have selected the display pieces they want. as well as the itcne they want isprinted on the material, they return the order forms to the production mane ager's secretary-assistant. She then relays the orders to the printer handling the Job who imprints the particular ‘ requests and ships them to the branches. Special campaigns. such as the Coffiesta coffee campaign, that run concurrently with a regular period promotion are included as a special page in the catalog and by inserts in the advertisements in the advertisement book. These store banners and cards are supplied to each branch at cost. ’leadlinss Strictly speaking. there is no weekly advertisenent headline prepared in the general office advertising depart- sent. There is a weekly suggestion to the branches but they have practically a free hand in choosing their headings. The general office advertising depart-ant gets its ideas for its suggestions free the werchandisere in both the general office and in the branches. For branehwide pro- motions, the advertising manager confers with the chief grocery nerohandissr and his assistants and gets an out- line on what items are to be accentuated during a coming period. For individual branch pronotions, the local merchan- dissr confers with his branch advertising manager who contacts the general office advertising departnent with the request for production. A 100 Sources for Ideas The idea for the advertising material comes from experi- once, a well stocked file and the individual's own creative imagination. The art director stated that the beat artist is the one with a good memory and a large file. This, of course, is a humorous exaggeration but it hints as to the origin of creative imagination. In creating an advertisement on a particular item the cepywriter and the artist check their files on what they have on the item and than their imagination takes ever. For example, in doing a piece on shrimp, the cepyeriter checks his sources. His file may include clip- pings on shrimps and books or manuals on accepted standard grocery copy. It should be emphasized that he does not check these sources with the intent of pilrering someone elae's idea or copying it word for word, but rather for a basis on which to start his imagination clicking. From.these samples he may develOp a new approach unrecognizable from that the samples had to say. Taking the writer's cepy, the artist follows the same plan. Glancing through previous layouts on shrimp, 5 bell may ring, a light may flesh, and the artist has his inspiration. The idea may come immediately to the copywriter or artist 101 or it may come slowly. It is an unpredictable thing. For common promotions such as store openings or holiday sales, standard, tried and true layouts are used but still the cepysritsr and artist have the opportunity and challenge to . apply nes innovations for added interest. It should be emphasized that an advertisement idea can some from any of the departments mentioned above shoving the prudence or inter' department cooperation. The advertising department takes advantage or many reference services in planning its advertising. The art department, for example, subscribes to a photographic service from which it can obtain any type or picture that might be needed. Catalogs are sent to the art director periodically showing the art available. The copy department receives help from the "Book of Grocery.Advertising and Selling”. Produced by the Grocery Manufacturers of America, Incorporated,’ the manual contains tested sales copy for all purposes for nationally advertised brands. This manual is necessary because of the many, varied products in the Kroger Company stores. The creative divisions also make use of "Food sci-Views,"a a publication pertaining to food “—V‘Vfioenfi 2018- W 1948 ed, Jew York: Grocery Manufacturers of.hnerics, .no., 178 pp. 8 Food.Ad-Yiess. Vincent Edwards t 00., 342 Madison Avenue, New York City, New York, December, 1951, 55 pp. 108 advertising. Food fd-Viess analyzes food advertisements each month from all large food companies, oommrnting on their good and bad points. The advertising department also subscribes to such trade organs as "Printers' Ink,” "Tide" and "Advertising.sge”. These periodicals are helpful in keeping the department abreast with the advertising world in general. Clipping services are also used regularly. For further help in preparing advertisements, photostats are kept of all advertisements in all the branches, as sell as competitor's advertisements, for research and analysis purposes. Autonomous Branches The branches have almost a free hand when it comes to setting up their plans. The advertisement book service is Just that ~ a service. that is offered are suggestions which the individual branch may or say not use. On the shale. the branches pattern their advertisements after the general ‘cffics suggestions, but in most cases only the skeleton is used sith many local innovations. Sons branches do not use general office suggestions and create their own advertisements. The policy is to encourage independent thinking on the part of the branch merchandisers with headquarters suggestions projected so that the general office eXperiance and Knee-hos will benefit and stimulate the branches in creative thinking. 103 In summation, it can be said that no good piece of advertising is ever produced by one individual or one depart- ment. It is many departments porting together closely to- ward a common objective. The divisions of the general office advertising department work as a coordinated unit for its expressed and - good advertising. It is teamwork, as necessary in the advertising department as on a baseball diamond, that makes the advertising department click. CHfiPTER VIII THE CONSTRUCTION OF A [ROGER COMPANY ADVERTISEMENT The Detroit Branch of the Kroger Company After the general office advertising department has pre- pared the advertiaencnt book, the display catalog and the other materiel necessary for company promotions, this material is sent to the various branches. Each branch ordcre its needs, depending principally upon their individual requirementa and the number of storee in the branch. In order to present a clear picture of the construction of a Kroger Company advertisement, the methods need by the % Detroit branch will be outlined in this chapter. Although individual procedures will vary from branch to branch, the general methods used in each branch are similar. The Detroit branch in the largest in the company, containing about one hundred and fifty stores. Weekly sales for this branch average about one million dollars. Moat of the storea in this branch are found within the city limits of Detroit, but there are around thirty stores in communities surrounding the Detroit area; namely, Pontiac, Royal Oak, at, Clemens, Wyandotte, Port Enron and others. 10! Moving this merchandise to the stores efficiently rs- quirss excellent senagement from store manager on up to branch manager. It also requires a host of experts 0213021-, enced in real estate, accounting, transportation, personnel. merchandising and advertising. Even though these men are trained experts in their field, their success depends upon their ability to sort together. for the importance of cccpcrse ticn cannot be overstressed. The Kroger company believes that every department or store in the branch should work cooperatively - as a functional shale. Each employee should contribute to his department or store, and each unit should contribute to the general plans for the branch. Hr. Joseph ‘ 3. Hall, President of the Kroger Gcnpany, uplcincdz:L Through discussions we arrive at certain policies or progress. By means of meetings we develOp an understanding of this program. We then eXpect the men in the various fields of responsibility to carry out the program. Many meetings are held betvesn the advertising manager. buyers and merchandisers. These meetings help to develop an understanding of the problems involved and the solutions .u3803‘0‘s I Hall, 3csepE E. feedershipdn enivolving Organization. Development of Executive Leadership. Harvard University Press, 1““. 8 pp. . 106 Eanagement Organization Chart 71 shove the management organization of the Detroit Branch of the Kroger Company. This chart shows the adver- tising department is under the merchandise manager and consists of two men, the advertising manager and his assistant. The grocery, neat and produce merchandisers can, and do, make changes in the advertisements whenever they feel it is necessary. These men are in the grocery business primarily, and their pro- fit depends upon selling items at current prices. If the ehols~ sale prices happen to change at the last minute. they must be flexible enough to be able to change the advertisement before I it is published. So, regardless of cost, the buyers and mer- chandisers must be able to sake changes as their good Judge- {H ment dictates. Weekly Meeting A meeting is held each.Monday afternoon between the mer- \ chandise manager, the grocery, produce and meet merchandisers and buyers, and the advertising manager. At this meeting, the advertisements are discussed and formulated. Each man mikes suggestions regarding the advertising theme, headline, items to be advertised and prices. Each suggestion is discussed and of this group session comes a definite plan for a promotion. This branch sorts on a four-week schedule of advertisement planning. some.“ .33 .2 538 32a .2233 .2233 fish-co {omega screen ....nt Memo .0 ..na sch heaven e 196 «seesaw ”season e suns-e! pegs 4. «season «33.3 WI! deb-sec flflevlueua Quavuueed semen J sedan succeed V neon queaeasee sense unevenness semen henna cease bnseoeu 233:2. 8363 ...-e #396 «see , 38.33 neon-«see _ _ _ engages sense he»; gm sedan. ex, «Jessa screen.“ Jen knocks nausea «scenes essence hen used. 1.. need. 335 «Sneeze cuouusoo accuses! lessees: flea-eases! goon deem seine-hes gang seems: OJ! jog Mange hemeai laces)" gen-L. assenn ehhafizoo mHaOMfl “ma.ho wwmawm flmomflnn “my Mo Ichaqunumo «bug 108 The advertisement that will be published in four seeks is tentatively determined at this meeting. The advertisement that will be published in three seeks is reconsidered, and proposed changes are made. The advertisement that is to be published in tea weeks is also reconsidered at this meeting. Finally, the advertisement planned four seeks ago, shich will be published during the current seek, is submitted by the advertising manager for approval and is published onuThursday, four days ls ter. Theme it this meeting. a selling idea or theme is determined for the promotion scheduled in four necks. The advertisement is then built around this theme. One of the merchandise nan- egcrs or buyers night originate the theme. or it night cone from the advance advertising material from the home office. Some themes that the branch has used in the past are“99¢ sale,“ 10¢ sale“ and ”dollar days”. The themeeen actually be built around almost anything, like a canned goods sale, a national sales event or e tie-in promotion. a four-week schedule seems to work out favorably for this branch. The sale price of many canned goods can easily be deter- mined, especially since the Kroger Company manufactures many 109 of the products sold in the stores. The cost is knosn and relatively stable, and it is, therefore, possible for the grocery merchandiser to decide on advertising a number of these items. Trends in the supply and demand or most products are studied by the meet buyers and merchandisers. and from these reports they derive a tentative plen.as to what items they wish to promote. The same situation applies to the produce and dairy fields. The produce and dairy buyers have facts which help then determine the items to advertise. Constructing the Advertisement In order to make this report as clear as possible the =dcy'by day activity of the branch's advertising department will ‘be reported. The advance advertising material from the general office is received by this branch six weeks in advance of use. This means that the branch merchandisers, buyers and advertising manager have two seeks to regard the material. Tecseeks later, the branch weekly meeting is held. .it this meeting, the breneh plans are projected to tie in e‘ith'the general office progral. This meeting, as mentioned earlier, is held four weeks prior to the seek of publication of the advertisement. 110 The edvertieing manager taken note: on the general office advertisement book. and later on, when he prepares the tiesue layout, he ueee the notee and the advertisement hook ee a guide. In this manner. he arrives at a completed adver- tisement that will meet the approval or the merchandisers and buyers. The Tissue Layout The advertieing manager in the Detroit branch actually prepares the tissue layout, with hie eeeietant aiding hil.by eeintaining mat tiles. rolloeing through on couperative agree- nente and making sure that advertising materiel ie eent to the newspaper. on time. The tissue layout ie aporoxinately the lame else as e newe- peper page. enabling the manager to organize the layout in the eane proportionate eize ae the finished advertieeuent. The organized arrangement ueually preoedee the cap: writing becauee an ettempt ie made to visualize the advertieemant as e related unit before starting to write cepy. The menoger, by referring to the approved advance material, can see what the headline is and hae e good idea or hoe much space each department will need. He actually begins by inserting the headline on the tissue layout. Next, space is allocated to accommodate a given number or items, for current elegvne, for copy and for illne- tratim e 111 Work on the tissue layout is started anywhere from two. to tour weeks prior to the week or publication. On.Thuredey, exactly one week prior to publication, the manager starts to complete the tissue layout. He has need as a guide the advance advertising outline. Notice the tissue layout an Figure 15 publicizing the Christmas sale. The value of the advertisement book received from.generel office is evident. since the pictures of the Christmas wreaths, the turkey, the can of cranberry sauce and the produce items all were out out of the advertisement book and pasted on the tissue layout. This saves the manager e great deal of time and effort since he would have had to drevthie material by hand if it use not turniehed. or course, for each picture and border sheen in the layout. nets are available tron.generel office. These late accompany the layout to the newspaper and are used in the printing of the advertieement. , At this time the advertisement is in an elementary stage. The theme has been selected and many or the items to he adver~_ tiecd have been decided upon. Generally speaking, the produce, dairy and neat prices are not released until a few days before the advertisement is published. p A D— _l /. —r\nur «p .8. 133?. . 115 The price of these perishablos msy be tentatively planned weeks in advance, end if the merchandise is obtains able, the item may be advertised without change. on the other hand, some eele prices mey be phoned in to the newspaper e for hours before press time. A lot depends upon the buyer‘s ability to obtain merchandise at e favorable price, on schedule. The advertising meneger becomes familiar sith some eels prices by rererring to the weekly sales bulletin. which is sent to the stores every seek. His next step is to write the capy th t will go into the advertisement. ‘He types the copy on a separate sheet, and keys the tissue layout and the eopy with a number so that the printer will know where the copy is to be inserted. .An exslple .or some copy that was inserted in this advertisement is prc~ sented in.Figure 16. Note the numbers along side of each pieee or cepy. By referring to the tissue layout, it is possible to see the preper space for each piece of capy. The tissue layout is then completed by Thursday night. This layout. the oOpy end the mats are sent to'flichigun Rotary Company, s commercial printing house in.Detroit, where a proof is made or the tissue layout. ‘When preparing the tissue layout, the advertising manager sakes setters that all cooperative agreement requirements are set on schedule. This scene constant checking or the advertising agree-ens file. that a sat. s 20-3/4' ed .‘or 12-2 ~51 ' set cony twice from left page of 2-psre ed for son, in mum of let". side or this full oeee ed..... “5"- Dinner-ere, “MW“. d- I s- F" I?) i c [cg—~~ Jar Iettsr Snee- ’ H) lseelsOil Phw @ “.3. .1. .2. L”, C In... P H / 3! W7!) « “en-pledge, lo 7"”(0: lo I ”7’ _‘:nt I31. ...- w 7 ‘W’ “4°! - ’6/7‘1'4/3 Shpieespss - 1173-17) ers- Puhee _- z 0 >1" '5”) I 7797' W Cersltsreh-HYW) UL“ ‘— Stsley's l-lb. Pkg. - Io‘mv. ’1 Prices Iti'eetise through My. Dec. 2‘. I”! - 57’“ @‘9 cm. sums: umWsssoues-o limb/3:13P— I" I ./ em“? C4D ssteer Cresberries I'lb‘ Cello be; 29! Free. Inch coon-...!»umwefloxeu Peses 1‘ 0 story WQstise sum. 0 e see e .h. I“ ’07}. W” mnm-rofinrzzflsrm 22 <7”) large 116 -31 u l/l/J/l/l/I/i/Ifl/I/fl/i/{//////////IWM/tfi/ Dressel 4?“ 8".“ ts Quevtlcn 29! “7/3) (\LB) ' ' / e713 ‘" l Hus. Io.‘ .die P c teto s s 1'! leeg 89! Button" Is (1 shes 8 Beebe. 11¢ Pee-I. "- . Mute, mug. {'3‘ .0 . ... 19‘“ m Kroger stores sill close st \ ‘ . escc p... e... Dee. es. em be /I’Mf Closed s11 Dsy. bristles _ - - 1’6) My: 4- em e ..- use At mi [noose s'roms / ‘2 3 G / 4. L; \ Viqure 16. Cory Shoot 115 the Detroit Hess, e local newspaper, will not accept double truck sdvertisesents, so the advertising senhger cau- etruets two separate advertisements that are to be plcced on peace in the newspaper. The probable reason shy this nees~ paper does not accept double truck advertisements is that there is en immense enount or edvertisinc contained in this newspaper every Thursday. The Detroit Times. e second major retroit newspaper, will accept double truck advertisements. but rather then construct seporete advertisements for each p?per, the mensger develops indentiecl loyouts for each. Proof The proofs of the tissue lcyout ere received Hondey morning, during the seek of publication. These proofs are given to the merchandisers and buyers. These wen scrutinize ‘the proofs and sets all necessary corrections. ‘Hote the proot intrigure 17. hony prices were changed and other corrections were indicated.1 The corrected proofs are sent to the news- -Iprper printer on‘hcndfiy afternoon or'Tuesdey morning. second Corrected Proof After the neespeper printer receives the first proof. he will make e second proof, toting into consideration the «SE .2 vi»? ui e... ‘ , ‘m. . Khv \. . :34 4‘ ...... , ...,eflmwgfiwz ... E I A. .t .....1... ... . f . . . . .. t ,\ T . . e \ 5—11.». ...-in: so: .325.c . \ , L A . u. . .. . . . . .3. ...hutnuu. a... A. e . ._ . . : . . \\\a» £23. £54. 338.... swig: . . t . t . bu ........ 8:23 .335 am»... a" . ...sh. 5:356 ...},W ...5 6.31.... . . e . . . 3333: a .3.ch 117 indieeted corrections. The second corrected proof is sent back to the advertising de;ortnont Tuesday night or‘Wednosdsy Iorning. Immediately, the manager shows copies of this proof to the merchandisers and buyers, who may indicate further corrections. Futhcrmore, all last minute produce, dairy end soot price changes are mode at this time; This second proof is returned. in corrected form, to the newspaper printer Wednesday night; .80 sample of this proof is provided in this chapter. Finished Advertisement Thursday morning the advertisement is printed. The noes- pepers in Detroit print four or five editions during the day, and the first edition is usually a newsstand edition. The advertising meneger makes certain that he gets sroOpy of the newsstand edition so that he can scan the eatertisemont for errors. If any are found, he calls the nonopeper printer who ‘sill.smhc necessary revisions so that succeeding editions of the newspaper will contain correct copies of the advertisements.‘ The finished advertisement is found in Figure 18. Smell-sizcdqxcwspopor Advertisements In addition to the two local advertisements, which are published in the Detroit News and the Detroit Times, four unmaomwpnozso oodmfima one .mH onuwam $22 33 >¢o>uu>u ._.< 3258 3925. no >1H~§<> «9.3 .8 . ...... .... Jaw _.........L 4...} i S». .... ...sz s! is! Ilene... . . . . . .. .. . L ...s: :3; 3......25 :2..." ES :2... .. _ .... In... :8 ...... . .....3 25:5" . “UH-h”:— .mn.... ...—cmciaox ”Julia-moo. 5...: C t .«u . ... ll ..2-35...1.w.:.2i.1r2 v, ....HHP J. 6—. ...... moo-n / in“ 3M. ..., \\ 1!. ll . . . u. 1.5: .2..-..!.._....._._/ 0. ,1 m E... x .M" HHusE. 2M“ ins-...:- bn 8.5.1285... I..- . C \q. . Q «a... .3 . 13-33... 8.5 . ...hu 0 I P. . . .1: . ,. . n . .... ... v 2.1.5“. ...:i." ”wxuuahflnfi , / ......I a .81... 5...... ...: .3,“ -5433... A w 3:5 >38”ng ... ...... 09—... is. e 2...... 528 53° .. .. . .: .... “Eu—co ...:uflhamm .3 ._ «2.8 :26 .. ... . 2 5. 5:... x, -11)....” Ava... ”as: 2.355 \ 1 m3} . , .2J L m .5. es 5.; .. xfi . C . a H ...r. NJ 4: X. :3. ...-1) L. x, .11r 1. . \ . .1 v . . .. .mx, r on its ..131u. .. . . . t . x . v . . ./.4 z a: .Ie}n.!1 41s .\ en. .. .J. x. x v ..u Sum-“NH." tee-Ho.” bg . with”... x v ( ... .2 area... 35:... ii.“ ,. . . . ........ 2...: .....s... C? e. s... .....r. ...... .m— . . . .. “......u... 2.8: .395 . . .....n. was..." i... a: . . , .2. .. . ....— .., ”.83.: .322: : u... :83 .835 >259? _. . .2 i 2:15.“... .... .3532: m ..N i, .25: REEL . . , .2 - ........ .33....» .82...» . ., ... M 2. .mgmfizc $5.8: ..., .2 £35.55 .mm ”32...: 52935.: . 3.3 .. .3823: a... ..., emaN. Sand. , . ..N... ......f .26211-32E3 . \WA. 1m. ./\\ . . .VWL (NI as... o 3 o ._ ..msflmmmgéiéitd Esau-n... l 1.8!... .....n. .. 119 additional leyouto ere constructed. Those layouto ore tor edvortioomente the? will appear in manor community non- papere eurroundiné the Detroit area. The number ot‘newepepere that each layout ie ineertod in ie ehoon below: 1 layout for the Detroit love 1 layout for the Detroit Tilee 1 layout for B eeell community neeepapere 1 layout for 18 emell eon-unity noeepeperl 1 layout for 23 email community noeepe pore 1 layout for 4. email eonunity nooepepore f Sinee moot of the etoroo ore in tho Detroit oreo, one eineo the Detroit paporo are the larseet in oireuletion, the min eater.- tioomonte ere pleeed in those papere. The other entertieelente are noon in nine and oontein rover “one. Thou leyoute are oont to the printer Thuroda‘y night, one week before publioation. The proote are reeeived Honda: morning. corrected, and oent hack to the printer on rueedoy. ruoedoy night. the printer none the not or the completed advertieonont to the non-‘- pepere in the oomunitiee enrrchtndiu the Detroit area. These newspapers in turn print the advertisement on Thursday, the eeme no the Detroit papers. Two examples of these edvertioe~ nonte are presented inJFigmro 19, to give the render an idea of the composition or these edvertioemento. he mentioned earlier, one or the important duties of the assistant advertising manager is to follow through on all cooperative agreements. He makes certain that each item is .1 Hotel on «as, u .: ;:a li letter Fer 1': . Kroger you live Bette: For less! ”Inez * “m. .1 Hill en cu m m I , .. ._. - Ill an ‘ Nuts “tutu: - 49‘ (5'. 00050171-... . A . 49‘ Villebury Pie Crust Mix 1 u 29‘ Piqure 19. Small-sized neWSpaper advertisements 121 advertieed on echodule, end that all other terme of the agreement are met. Whenever an item io advertised, acme pro- oeduro euet be used to inform the manufacturer or dietributor to this effect. The Kroger’company in Detroit tille out the torm.in.riguro 20, and condo it by mail to the manufacturer. The name of the product advertised ie included. along with an indication of the areae in which the advertisement appeared. PRODUCT THE KROGER COMPANY Detroit 19, Michigan Appeared in the following oitiee Figure 80. Detroit Flint Bay City Saginaw Ypsilanti Pontiac [Plymouth Ann‘Arbor Wyendotte River Rouge Pto Huron Howell Lincoln Park Allen Park Royal Oak Oooeeo Birmingham Lapeer Mt. Clemene South hiacomb Midland Sandueky Caro Belleville Clio l9 THE KROGER COMPANY Jay Cooley, Adv. Mgr. Advertising Department Cooperative agreement report CHAPTER IX SUMMARY AND CONCLUSIONS This study of the construction of food chain nose- papor advertisements can prove to he of considerable value to the food etcro operator and to students of advertising.l Competition is very keen not, for many businesses have increased their advertising budgets in recent years. 'ror example, the Kroger Company spent $5,576,912 for advertising in 1048. compared with $9,258,498 in 1950; thehJesol.Food Stereo spent $350,317 in 19‘s. compared with $573,000 in 1950. The primary goal of most food chains is to increase sales. Since advertising and sales promotion are too functions in merchandising that go hand in hand, advertising will be instru- mental in maintaining and increasing grocery chain sales in the future. To furnish o better understanding of chain adver- tising techniques is a purpose of this report. In addition, articles and books pertaining directly to food chain adver. tising are generally lacking in circulation. This report, than, can aid a student of food merchandising who is seeking information on food chain advertising. This study was restricted to newspaper advertising, since more money ie invested in this channel than in any of the others. This report was also restricted to studying the methods employed by the following chains in constructing ‘3} Tim on . In; a “*6- 124 their advertisements: The Market Basket, Incorporated, Lansing, hichigan The Jewel Food Stores, Chicago, Illinois The.Krcger Company, Cincinnati, Ohio There are many purposes of food chain advertising. It serves mainly to attract attention and pull the traffic into the store. There are other reasons why retailers advertise. In many respects, super markets have features that make them all appear similar. Advertising gives the operator a chance to be different. For example, advertising can be used to publicize a giant baby food section, a speedier check-out system or any other feature characteristic of one Operation. Food manufacturers contribute a large share in influencing chains to advertise. Newspaper solicitors are very eager to have an advertiser increase his advertising budget. Another reason for advertising is to apportion more evenly store traffic throughout the entire week. ' There is a series of steps that each chain goes through in the preparation of a newspaper advertisement. The three chains studied in this report differ to a large degree in the techniques used. The market Basket, Incorporated, of Lansing» Michigan, contains six stores and is classified by the author as a small- sized chain. In a company this size, inherent flexibility of 125 operation is acquired through the close relationship or the buyers, the advertising manager and the store managers. only one man works in the advertising department - the advertising manager, who also has some personnel responsibilities. The theme for a promotion or a newspaper advertisement is usually selected a ten weeks ahead or time. Some or the items that are to be included in the advertisement are detsr- E mined at a sales meeting attended by the advertising manager, j the buyers and the supervisors. This meeting is held on I Eonday morning or the seek in which the advertisement eill be published. many or the items and tentative prices are decided upon at this time. This chain relies a great deal on outside organizations for help in the preparation or their advertise- manta. For example, a complete food store promotional campaign prepared by'mcCall's Magazine has been used in the past. With the information received from the buyers and super- visors, the advertising manager creates a rough layout, which is a tissue cepy of what the preposed advertisement will look like. This is usually started on.Friday or the week prior to the deadline, or Monday of the final week. With a drawing pencil, the advertising manager letters the headline as it is to appear in the finished advertisement. Next, the decision regarding allocation of space to the produce, meat and grocery departments is made. Items, prices and illustrations are then h 186 inserted in the layout. Finally, a copy sheet is produced rhioh contains words that the advertising manager riches to say about a product. The layout and copy sheets are cent to the newspaper printer no later than 12:00 o'clock noon on Tuesday of the week of publication. From the layout and copy sheets, the printer makee a proof, which is a printed impression of the proposed adver- tieement taken for purposes of inspection. This proof in received by the'Market Basket, Incorporated, on‘Wedneedey afternoon. The purpoae of the proof in to give the advertie~ ing manager an opportunity to make neceecary revisione re- garding last-minute changes in price, typographical crrore and any other necessary alterations. Thie proof, with eore rectione indicated in red pencil, is returned to the news- paper on Thursday morning. After the newspaper receives the corrected proof, they make preparations to publish it as a complete advertisement, taking into consideration the indicated alterations. 'The completed advertisement is printed in the Thursday afternoon edition of the State Journal. The Jerel Tea Company, Incorporated, which has offices in Chicago, Illinois, consists of three departments. They are the Home Service Routes, the Finance Department and the Food Stores Department. 127 The Food Stores Department consists of 158 stores and is classified by the author as a nediunrsized chain. The edver- tising and sales promotion manager, who reports to the merchene dise manger, has the ovar~all direction of the food stores advertising under his jurisdiction. Nine members of his staff aid in the performance of the advertising function for this BOIP pony; the staff consists of a production manager, copy chief, television and radio manager, two artists, a sign shop manager and three secretaries. The advertising manager does not use outside advertising services like those offered by Hodell's. It is felt that this eonpsny's advertising must reflect its own personality and it is not possible to achieve this by using outside services. The theme for a promotion or an advertisement is usually selected not later than four seeks in advance. in attempt is node to have the theme several days in advance of the merchan— dieing meeting, so that a rough layout c"n be prepared and presented to the buyers and merchandisers at the nesting st shich the items are selected, The merchandising meeting is held every Monday at 5:00 P. M. The men at the nesting for the current seek discuss the advertisement to be printed four seeks hence. The major items that are to go into the advertisement ere discussed and selected. Some prices of staple merchan- dise may be released at this time, but produce and meat prices are only tentatively determined. 128 There sre six broad steps that this conpany goes through is preparing the ecekly advertisement. The tissue layout is prepared no less than four seeks prior to the pub- lication of the advertisement. The day after the merchan- dising meeting is held, s second discuseion is held betsesn the grocery merchandise}: and the production and sin depart- ment manager. These sen decide upon a tentative prom-ell, suggest ssdis to be used and investigate the possibilities of special offers and deals to be node. Starting eith Thursday of the first seek through Wednesday of the second seek, the tissue layout is oolplsted in rough torn. It is sent to the art department of the Chicago Daily Hess before bodies- day of the second seek. The Chicagoibaily“hess eases tee photostetie copies of . the tissue layout shich are received by this chain on Wednesday of the second seek. One is put on file and the other one is processed. Sosa produce and nest items, additional prices and menus are all added to the phctcetetie proof st this title. on Isdneeday of the third seek the coupleted proof is sent back to the nesspaper. Frcs.the photcstetie proof, original proofs are made and are received fro: the nssspaper on Thursday of the third seek. These proofs are checked, corrected end seat copy is inserted. they are held until rridsy and then one copy is sent bask to the papers. 129 On Monday or the fourth and final seek, a number of first revised proofs are received, and a ccpy issent to cash buyer. Be sakes his corrections, suggests changes, initials the proof and returns it to the production manager. The first revised proof is held until Tuesday, at which tine the produce prices are added. Ii‘hen it is sent back to the newspaper. The second end final revision is received Wednesday morning. All final price changes ore made. This proof is sent back to the neu- paper Wednesday efternsu. The eelplsted edsertieencnt is published Thursday sfterncee. , The Kroger Oonpcny can be described-ere adequately by separating the information into two parts. nonely. the general office operation end s branch office operation. The general office cfthexroger company, located in cincinnati. Ohio, consists of 1,985 stores? and is classified by the author es e large-sized cha in.‘ Teeny-five branch offices direct the operation ef these stores. Each branch is autenonous; that is. the branch Ionegencnt hoe allost complete charge of all their yaricusfuncticns, with ths'nanegcncnt in the general office acting. as c suggestive body. . The edyertieing eoneger, who reports to tie sales prono- tion manger. supervises and approves-ellthe varied adver- tising material produced by his staff. Twenty-might people work 130 in the art, cepy, production. newspaper. radio and packaging departments of tthKrOger'Company advertising section. The advertising policy is determined by the tap level executives of the company at regular meetings held each month. Following these conferences? the advertising manager assembles the heads of the production, copy and art departments and they plan the detail cork behind the program. Generally speaking. promotions are planned three four-week periods prior to use. The technical work is scheduled so that it is completed and pro- Jected to the branches six weeks in advance. The branches are notified of future advertising policies and promotions by tso general methods. mum is the adver- tising layout book of nesspcpsr advertisement suggestions. The second is the layout of potential store displays in the display catalog. These are regular services presented every period. Over and above these. special branchpvide memos and letters ere sent occasionally to announce special policy changes or special promotions. Strictly speaking, there is no weakly advertise- neat headline prepared in the general office. There is a weekly suggestion to the branches but they have practically a free hand in choosing their headings. The ideas for the advertising Iatsriel prepared in the general office come fron.thc experi- ance of the staff, the staff's cvn creative isaginaticn and a is). well stocked file. The advertising department takes advantage of many reference services in planning its advertising. The art department. for example, subscribes to e photogaphie service. catalogs are sent to the art director shoeing the art available. The copy department receives help free the "Book of Grocery Advertising and Selling". The creative divi- sions. also make use of "Food ltd-Views," a publication which contains analyzed food sdvcrtisceents. The advertising depart- ment also subscribes to such trade organs cs "Printers’ Ink,‘ ”ride" and "Advertising Age: clipping services are also used regularly. For further help. photostats are kept of all branch advertisements. as sell as conpctiter's advertisements, for research and analysis purposes. The branches have almost a free hand ehcn it cones to setting up their plans. The advertisement took service is Just that - y a service. What is offered are suggestions shich the individual branch may or may not use. ' After the general office advertising departmt he prepared the advertisement boot, the display catalog and the other material necessary for a company promotion. this Iatcrial is sent to the various branches. The methods of preparing finished advertise- cents used by the Detroit Branch of the Kroger Ooupany sere cut- lined in this report. 132 The Detroit branch is the largest. containing about one hundred and fifty stores. .A meeting is held each Monday after- noon between the merchandise nanager, the grocery, produce and neat merchandisers and buyers, and the advertising sanagcr. it this meeting, the advertisement that will be published in tour seeks is tentatively determined. The advance advertising material from the general office is received by this branch six seats in advance or use. This means that the branch merchandisers, buyers and advertising manager have two seeks to regard the material. Tee seeks later. the branch seekly meeting is held. it this nesting, the branch plans are projected to tie in sith the general office progren. The advertising manager takes notes at this branch ssettng, iron which he prepares the tissue layout. Work on the tissue layout is started tron.two to tour seeks prior to the seek ct publication. _On.Thursday, exactly one seek prior to publica- tion. the manager starts to complete the tissue layout, and it is sent to the printer Thursday evening. The proofs of the tissue layout are received.nonday sorning, during the seek or publication. The merchandisers and buyers scrutinize the proofs and make all necessary corrections. The corrected proofs are sent back to the printer on Monday afternoon or Tuesday unrnr ing. After the newspaper printer receives the first proof. he sill 133 take a second proof. taking into consideration the indicated corrections. The second corrected proof is sent back to the advertising department Tuesday night or Wednesday morning. Immediately, the advertising manager shoes copies of this proof to the merchandisers and buyers, who may indicate . further corrections. Furthermore, all last minute produce. dairy and neat price changes are made at this time. This second proof is returned to the printer hcdnesday night, and the cons plated advertisement is printed.Thursday afternoon. Sons of the important functions that are required in the preparation of an advertising program are: 1. Production 2. Cepy writing 3. Preparation of television and radio shows 4. Artwork ‘ Very for food chain advertising departments have the same organization. In smaller chains the above functions may all be performed by one nan with the technical cork being done by outside paid specialists. In larger chains, a staff of 25 to so experts say be on hand to parfors.these jobs. ‘No good piece of advertising is ever produced by one individual or one department in a chain organization. It takes the combined efforts of many sen sorking together on a common lad objective. The different departments in a chain's adverb tisisg department Inst sork together as a coordinated unit for one express purpose - good advertising. Coordination is also needed betseen the advertising department and the other essential departments in a company; such as, buying and merchandising. Many meetings must be held betseen the buyers, merchandisers and advertising manager for planning and projecting future promotions and advertising. It takes the combined cooperation of these departments to secure the aforementioned objective - good advertising. In addition, cooperation between newspapers, printing houses, manufacturers and other helpful agencies is essential in the preparation of a good advertising program. The quality of the relationship that a chain has with the newspapers is very important. It may mean the difference between a pre- ferred position or an undesirable location for an advertisement in a newspaper. Printing houses generally publish excellent material if instructions are clear and samples are neat. Mann- facturere are in a position to supply an advertiser with mats and advertising allosances if a chain will cosperate in promo- tions. Excellent relations eith the above group is essential for the presentation of a good advertising pregrem. Teamwork in 155 an advertising department, with merchandisers and buyers, and with outside agencies is absolutely necessary if the advertising is to click. 136 B 131.1 OGRAPHY 137 BIBLIOGRAPHY A. BOOKS Breseter, arthur Judson, Herbert Hall Palmer, and Robert G. Ingraham. Introduction to Adverti in . Nee York: The Greg Publishing Eonpeny, I547, 527 pp. de Lopatecki, Eugene. idvertiei La out and T c h . New York: The Bone ress cspany, , 3 pp. Frey, Albert Wesley. Advertisigg. Res York: The Ronald Press Company, 194 , pp. Kleppner, Otte. Advertising Procedgge. use York: Prentice- E81;. 133.. 194 . 4 ppe Vincent, Zola. Book of Grocery Advertisin and Sellin . Hen York: Grocerylianufecturers of America, inc" 194g, 173 pp. 3. BOOKLETS Hell, Joseph 3. Leadership in en Evolving Organization. Develop- ment of Executive Leadership, Harvard University Press, Cambridge, 1949, 8 pp. Oldfield, Beatrice. What Do We lent Our Advertising to Do? A Handbook of Super Market Advertising and Fraction, Super Market Institute, Inc., Chicago, 19“, page 13. C. 0031.?th LITERiTURE The Crusader. Jevel Food Stores, Chicago, Illinois, Volume a, June 7. 1950e Editorial and Publication Office. McCall's magazine, {.39 Madison Avenue, New York 22, New York. Musical Jack Pet auestionnaire. The Market Basket Incorporated, Lansing, Michigan, December 24 through 28, lsbl. apex-:7 1'ind Hutchinson Company, 114 Fifth avenue, Nee York 11, Nee 0 e 158 D. GOVETdi'Igi‘LNTI L PUBLICATIONS Miller, Helson 1., and Harvey W. Euegy. Istablishirnj and Opera-‘- ting a Grocery Store. United States epar an 0 cameras, fiihington. De 0. a“. 37. pp. 3. ORAL COMICATIOI’S The information in Chapter III and 17 see gathered {rm an inter- vies with Mr. Russell Veldnan, Advertising, Sales Function and Personnel fianager or the.larket.Basket, Incorporated, Lansing, Michigan, 1952. F. PERIODICALS rood lid-Views. Vincent Edwards and Company, 542 Madison Avenue, as or City, New York, December, 1951, 16 pp. Grocery Chain Sales or the Month. Ghain Store Age. Harsh, 1958, page e. Pgintm' gnk. August 24, 1951, 99 pp. 'i'ide. December 28, 1981, 98 pp. 0. REPORTS Facts in food and Grocery Distribution as of Janusry, 1951. A special report by the Progressive Grocer, ls: York, 1951, 83 pp. Highlights of This leek Magazine's 1M9 Report on Grocery Distri- bution. This Week kegszine, Res York, 19e9, pages 06-93. Highlights of this week Magazine’s 1951 Report on Grocery Distri- bution. This Week Magazine, Hes York, 1951, pages 88-98. 139 H. SPEECHES. Banning, William 3., Director of Advertising, the Kroger Company. in address before the class of food distribution students, Michigan State College, 1952. I. PRIME! CCWIOAT I“ Letters from Mr. D. R. Baez, Advertising and Promotion Hanager, ‘ the Jewel Food Stores, Chicago 9, Illinois, dated February 3, 1962 and April 1, 1952. Letter from Mr. William J. Canning, Advertising Manager, the Kroger Company, Cincinnati, Ohio, dated harsh 7, 1952. Letter fru Mr. C. Olaf Tells, Branch Manager of the Kroger Conpany, Detroit, Hichigon, dated October 29, 1961.