Document znDV4kKgEoznkRgRv6yBnjZg

MEMORANDUM TO: Mr. D. A. Merson, Vice President FROM: T. H. Serine DATE: July 31, 1953 I am not prepared at this time to submit our Paint Advertising Budget for your approval. This will be done in early September when you have returned from vacation. I do wish, however, to point out to you what I con sider a very serious situation, advertising-wise and promotionwise. This is graphically shown on the attached record of expenditures since 1947 when we first went into the mixed paint business. Note that our position in the industry has gone from 3rd place to 7th and:8th. True, our total paint budget has increased from $800.OOP to about a mill-ion but the percentage of this budget devoted to space advertising has dropped from 37% in 1947 to an average of 23% the past four years. Plus the fact that in 1947 we were paying $11,600 for a page in Better Homes & Gardens as against $16,325 now, $15,000 for a S.E.P. page compared with the present $23,310. The result: we have dropped from a 22-page schedule with double pages to a straight 15-page deal. This might not be so serious if competition had stayed where they were in 1947. But look what has happened to competitive expendituresi Sherwin-Williams has more than doubled Pittsburgh has tripled DuPont has expanded from just a Duco job to a full paint schedule Glidden is up over 50 per cent DeVoe and BPS have doubled What has occurred - and the pace is accelerating is that more and more competitive impressions are being made .. ."Dutch Boy" is getting shoved farther and farther back in the public consciousness. We are well on the way toward losing the very thing we have to sell against competition "Dutch Boy" acceptance and "Dutch Boy" recognition. When we started the mixed paint business in 1947 only two paint advertisers were doing more than "Dutch Boy". Now a short six years later there are six or seven ahead of us in line, some not even in the running in 1947* Note that the total spent by the eight companies listed has gone from 1.7 million to 4.6 million in the & years. NL 000039904 2- The indication seems clear - and I know Sales fully agrees - that our space advertising in 1954 should definitely be stepped up. I ? NL 000039905 Dutch Boy Paint Advertising NL 000039906 k N 26128.01 t p. 0 %* H.HVJM OajH M I UlO Fs io *a& h u u oolH 4>- 00-P- VO -O HjsO to<fVlO Ux VsO Is) WCO|Qlt-^ vn vo gssO --3 88888 wVOttoOo f* HMU1W Uill P- Ul M VO VO 00 4>- VO VO Qs Sj)l O of <2V O0 4!- 00 O Vft .p~ VO H & j IOOOOs Os Os Uj OOIS) Mi M P-P-ui ui oa tvomo svD N $Vo , ,, HMNW4S Os|H jkkwo^O?>0s V*O*s^%4^V-H^V^i^3VJ^jvJSQ .KHo vHo vvjoxswQ rtao vOn -O_ to00 CM3SWto HtoOOto St-o4- s00 Ko M O) HUI4S -3 3 HW4-Is)So4-~-3sOH >IQ3 t^o0tS-o3!Its-o-)3Qto^~5tJooOotovsntQoOs-Ovjynj > -3 no VO vo Q -O sITOS sO sO sO sO sp SO sO CD VU* MV< HViOVh'f4l)-O4*J- 4'>I~'JP VHO p)s)H0MsOvOOs Hf' VO 00 O VO Os VO mmmh mw m 4>- VO JO so so H SO to0>toOtoMto< tCo OtoM tMo ps IOs)' vQOossPWU.-). 4H, ^- USqOlsU4y5sls\4s>j)~, Is a luISi) fKO5 vIso) MK5 UH) Uvo) V-oO t- N5-1 !VJ1SII OS Os Q Os IS) -41 00 Os 4^ 4s- VO