Document 3ezdJGJDQM7gn2oDwX7wEqXED

1955 Advertising SUMMARY 1 955 Advertising Paint Pacific Coast Branch Schorn Paint Metals Baroid Titanium Pigment Doehler-Jarvis Magnus Titanium Alloy Mfg. Chas. Taylor Sons Chemicals De Lore American Bearing Texas Mining & Smelting St. Louis Smelting & Refining 22,250 34, 750 7,800 2,000 250 250 $2,231,<043 20,000 28,200 5,500 2,000 687 100 $2,304,969 * Already approved by Executive Committee 3 1955 Advertising Metal Products Trade Paper Space Preparation Costs Booklets & Folders Trade Shows Blatchford Division Branch Expense Art Work & Plates Salarie s Travel Expense Contingency Fund 1955 / $ 42,587 Hy 10,800 y / 19.000Y / 15,000V 5,500 31,165 3,000 18,000 2,000 3,500 $150,552 1954 .S' $ 32,250 - * 8,000 19,000 V 11,500 5,000 ^ 32,560 3,000 17,000T ^ ---- . 3,500 . $131,810 Comment: S Advertising for metal products includes: Automotive Solders S Industrial Solders /' Chemical Lead Products Cinch Anchors y Honeycomb Base Type Metals Lead Shielding , General Metal Products S It is well recognized that the above products are sold in highly competitive markets. It is therefore important that we maintain our position promotion-wise in relation to our chief competitors. This proposal is aimed at doing just that. The chief differences over this year's expenditures are due to increases in space rates and preparation costs as well as some extra advertising effort on automotive products, honeycomb base, industrial solders, cinch anchors and lead shielding. Also involved is participation in additional trade shows which provide excellent opportunities to contact prospects in a most effective way. .( T -2 - NL 000039876 1955 Advertising Baroid Division Trade Paper Space Preparation Costs Radio Program Classified Directories News Bulletin Product & Service Bulletins Drilling Muds Magazine Distributors Lists Memo Pads Salaries Contingency & Misc. 1955 $ 53,116 26,800 17,000 5,000 29,00Q^>^ 16,700 ^ 12,600 j 3,000 10,125 / 18,000 7,900 $199,241 1954 $ 63,204 31,925 -- 5,000 28,000 12,000 6,500 3,000 8,000 19,000 8,900 $185,529 V-' s / / / '/ Comment: The proposed program covers trade advertising for all of Baroid's products including Bentone for greases and Bentonite. In relation to the trade paper space Mr. Don Fowler, advertising manager, states: MEven though we have added five publications to the advertising schedule for mud sales we are able to show a reduced overall budget despite an average 13% space rate increase because: 1. Four publications were dropped from the Bentone schedule. 2. Total number of pages was reduced in eight publications. "Although.we will use less pages we will gain 42% more reader impressions by use of a wider variety of ads in a greater number of issues of a longer list of magazines. The publications added to the list are regional magazines. Studies within our market in dicated a need for specialized messages to specific geographical areas. By using regional publications we can tailor our ads for specific areas and have greater flexibility in the advertising campaign. " .i * -3 - NL 000039877 1955 Advertising An important item of the proposed budget is the $17, 000 for a special radio program. In explanation of this Mr. Fowler has this to say: ''This is a new budget entry and at first con sideration may appear incongruous with Baroid's selling activities and market. The following para graphs outline briefly some of the factors influencing the decision to use radio as a medium of customer relations. "Studies within Baroid's market have indicated a need for improving customer relations. The oil industry has long recognized the need for selling the petroleum industry to the general public and they are spending millions of dollars annually in this effort. This is particularly true at the present time in view of possible legislative action affecting depletion allowances as well as certain anti-trust suits brought against some of the oil companies. The primary objective of Baroid's radio program is, naturally, to sell Baroid to the oil companies. However, this pro gram as planned involves a somewhat subtle approach. Rather than trying to commercialize Baroid on the radio show we, too, are joining forces with the petroleum industry in its efforts of selling the industry to the general public. We hope to create the impression in the oil industry that Baroid, a supplier, recognizes the need for a strong and prosperous petroleum in dustry and has voluntarily lent support to the industry's public relations efforts. Briefly, here is the story. "As a service to oil men and laymen of the Houston area, Baroid, a division of National Lead Company, has inaugurated a series of programs on KXYZ Radio to be known as "Oiltown, TJ. S.A," "These programs will be heard each evening at 5:45 - 5:55 P.M. - Monday through Friday. They will entail three distinct parts:1 2 1. The latest news of the oil industry. 2. Commercials that will be institutional in type. Salutes to the firms of the oil industry, the contributions of oil and the porblems of the oil industry in today's competitive market. And, of course, an explanation of Baroid's purposes in bringing this program to the air. -4 - NL 000039878 1955 Advertising 3. A salute - 'A Portrait in Oil1 - of one of the men who has contributed much to the greatness of the industry. This will be a biographical sketch lasting about four minutes. "After each show the biographical sketch will be put on a record and presented to the man who was saluted. Zt will be put in an attractive folder and be delivered to the man in person by someone from Baroid. This follow-up is where the program has a good.chance of paying off for Baroid. Conversational feelers sent out by Baroid and KXYZ personnel indicates that this program will be well received by the industry. H For the second consecutive year advertising matter put out by Baroid received a national award in the Direct Mail Advertising Association's annual contest. .1 T -5- NL 000039879 1955 Advertising Titanium Pigment Division Trade Paper Space Preparation Costs Convention Souvenirs Sales Promotional Literature Miscellaneous 1955 $43,700 20,000 9,000 15,500 750 $88,950 1954 $ 51,875 23,525 9,000 15,850 750 $101,000 Comment: The reason for the approximate $12, 000 reduction is the dropping of advertising in Chemical and Engineering News. This magazine was used this year to introduce several inew products, a program which is now felt to be successfully completed. Otherwise, the fields to be covered remain the same as this year. Once again I want to comment on the unusually effective advertisements turned out by this division. .* -6- NL 000039880 1955 Advertising Doehler-Jarvis Division Trade Magazine Space Preparation Costs Booklets Direct Mail Trade Shows Motion Picture Service Miscellaneous 1955 $45,400 6, 700 5,000 3,500 11,200 1,000 750 $73,550 1954 $43,250 7, 500 5, 500 3, 500 12,300 1,500 -- $73,550 Comment: The trade advertising program is essentially a continuation of the one proposed for 1954, except for the addition of one magazine to the list to reach 25,000 more prospects in the engineering and design field. Of course, the 1954 program was curtailed during the Fall by about $19,000. However, it is our considered opinion that in spite of Doehler-Jarvis's leading position in the die casting field it is most important that they continue to set forth their advantages in service, production facil ities and general know-how. Not only is there a job to be done in retaining and expanding present markets but the even more important objective of developing new ones. -7 - ML 000039881 1955 Advertising Magnus Metal Division Magnus Brass Division Trade Paper Space Preparation Costs Railroad Magazines Direct Mail Department Expense & Salary Contingency Fund 1955 $29,100 6, 000 s' 4,290 7,000 11,550 r 2,000 $59,940 1954 $36,989 12,400 4,662 16,250 11,550 2,500 $84,351 Comment: In submitting this proposed budget, Mr. R. G. Altizer, advertising manager, makes the following comments: "Reduced carloadings and revenues have caused railroads generally to defer or curtail all but the most necessary expenditures for new equipment and maintenance. For this reason, persistent efforts have been made during the current year to minimize advertising costs in every reasonable way. Actual expenditures for Magnus advertising during 1954 will reach approximately $65,000 - or about $20,000 less than authorized by the approved budget. , ^ "During 1955, a further curtailment in adver tising expenditures is being scheduled - despite a 20% increase in rates by Modern Railroads and a 10% in crease in rates by Railway Locomotives and Cars, two of the major publications that Magnus uses. Principally this will be done by elimination of a second color in all space advertising, resulting in savings of about $3,300 in actual space costs as well as compa rable savings in production costs - art work, engravings, electrotypes, etc. Also, during 1955 a single campaign will include all diesel locomotive products and specialties. In effect, this move will combine our traction motor bearing campaign with the Magnus Brass campaign, and will eliminate the need for a separate 1955 budget re quest for the Magnus Brass Division. Savings should be approximately $H$00. ^ "Our screen plate advertising budget request for 1955 is also reduced to some extent. It is con templated to use 1/4 page advertisements for this jy|L 000039882 -8 - 1955 Advertising product throughout 1955 rather than 1/2 page ad vertisements as during the current year. This will result in savings of about $1,000. "It should be pointed out that the sizeable reductions in advertising expenditures, both during the current year and for 1955, are not expected to hurt our competitive position with respect to freight car roller bearings. Because of the higher cost of roller bearing freight cars, present conditions will not work to the advantage of the roller bearing. In the meantime, Magnus will continue all vital elements of the current campaign for solid-type bearings with the view of further solidifying our competitive posi tion in this important market. " ? -9- NL 000039883 1955 Advertising Titanium Alloy Mfg. Division Trade Paper Advertising Monthly Reminders Trade Shows Printing Contingency Fund 1955 $34,500 10,000 3,000 1,500 1954 $29, 560 10,000 4,000 1,500 $45,060 This is practically the same program as this year except for increased insertions in Scientific American. Part of the increase is also due to rate increases. Advertising is done in the ceramic, chemical, metallurgical and welding fields. Also, to technical people primarily interested in research and development. Chas. Taylor Sons Co, Trade Paper and Directories Direct Mail Sales Literature 1955 $18,000 1,750 2,500 $22,250 1954 $14,500 1, 500 4,000 $20,000 Comment: Advertising in the glass, ceramic, steel and metallurgical markets is on practically the same basis as this year. Increased insertions in three magazines are recommended. - 10 - NL 000039884 1955 Advertising "Dutch Boy" Chemicals Trasde Paper Advertising Preparation Costs Directories Foreign Advertising Contingency Fund 1955 $23,500 7,500 2,750 1,000 -------$34,750 1954 $20,500 5,000 1,200 -------1,500 $28,200 Comment: This program includes advertising of stabilizers, plasticizers and the Bentones in the various fields to which they are adapted. Sutstantially it is the same program as this year except for adding one publication to advertise BEN-A-GEL. The increase in directory advertising is actually a decrease over this year since the amount budgeted ($1,200) was less than actually proved to be necessary. De Lore Division Trade Paper Advertising Trade Directories Calendar Cards Advertising Pencils Handbook 1955 $4,500 300 2,000 1,000 $7,800 1954 $3,000 500 1,000 -------- 1,000 $5,500 Comment: Actual 1954 expenditures by DeLore will be about $7,400 due to unanticipated items. This budget, therefore, represents a continuation of this year's program. NL 000039885 - 11 1955 Advertising American Bearing Corp. Trade Paper Advertising 1955 $2, 000 1954 $2,000 Texas Mining & Smelting Division Local Advertising 1955 $ 250 1954 $ 687 i St. Louis Smelting & Refining Division Local Advertising 1955 $ 250 1954 $ 100 i ? Master Metals Inc. Evans Lead Division Both these units reports they did no advertising in 1954 and plan none for 1955. - 12 - Nt 000039886