ADVERTISING ESSENTIAL.

Auckland Star, Volume LVI, Issue 53, 4 March 1925, Page 8

ADVERTISING ESSENTIAL.

A NECESSITY OF MODERN BUSINESS. NEWSPAPERS THE FINEST MEDIUM. Addressing members of the Auckland Advertising Club yesterday, Mr. Will Appleton, the well-known publicity expert, remarked that as an economic force, advertising gives birth to new wants, and so creates an economic demand for more goods, thus tending to increase the demand for labour. Some modern economic thinkers ha\ r e accorded to advertising its rightful place with agriculture, manufacturing, commerce and transportation as one of the prominent forms in the creation of wealth.

"The importance of the social service of advertising," remarked the speaker, "can scarcely be over-emphasised in view of the prevalence of the old idea that its value is to the advertiser only —its cost an unnecessary burden borne by the ultimate consumer. As a matter of fact, the consumer is not only saved time and effort in selecting what he buys, but is enabled to get better qualities and lower prices per piece by this very power of advertising. It assures i and enlarges the market for the manufacturer's goods. It thereby makes possible large-scale production from single patterns or designs which, through reduction of the overhead or indirect costs per unit, brings about the low prices of most standard design to-day. Take the low-priced watch, the automobile, the camera, the cigarette —all these products and hundreds more are a tribute to the economic power 1 of advertising. Without the assurance of widespread demand and easy sale which good advertising alone can give, no manufacturer could dare to produce the quantities which justify these low prices. Mass production means lower 'manufacturing cost, and the only way 'to secure mass selling is by the power of 'publicity. The ultimate consumer, of ! course, pays the cost of advertising, but !he pays it with but a small proportion jof what it has saved him.

j "There is hardly a phase of modern ; life into which the influence of advertis- ' ing has not entered. Railroad, steam- ' ship find motor transport companies, by advertising the quality of their services, I have taught us what to expect in conj venience and safety, and by advertising I the benefits of travel have stimulated j travel itself to a great degree. Insurlance companies, banks, building societies, and similar institutions have dwelt so strongly upon the necessity of thrift and protection of the family, that men who do. not provide against the rkks and accidents of life are looked upon as possessing poor' judgment at least. Car immufacturers probably have i done more to secure good roads than any other factor.

j "When a man writes his name on his ' goods, he thereby endorsee them. Then by advertising, lie puts a heavy investment behind that He i promises to be responsible. He separates himself altogether from the manufac- | turers who will not put their names !on their handiwork, but send it out into the world like an anonymous letter, I for which no one can be held responsible. The manufacturer, who, by advertising, has given the purchaser a bond, dare , not take liberties.

"Newspaper advertising," Mr. Appleton declared, "was the most economical kind of puLlicity procurable. '•'The newspaper was part of everyone's existence. It offered the cheapest, readiest and most comprehensive means of information. It recorded every activity, it held the mirror up to life. The world of busines-3 depanded upon it, for it was the world's mnrket place in miniature —just as to the housewife and every woman it was a "shop window" full of interest. These fa-tors made the newspaper the backbone of the planned advertising campaign. All other media were of supplementary importance. Thanks to the organisation and development ox our modern journals, it was now possible to produce, say, a quarterpage advertisement, and distribute this to thousands of readers, at a lesser cost than would be the actual outlay for the paper in printing. That meant that the newspaper really distributed your message free." The speaker regretted that a great deal of money was wasted in advertising, simply because many of those who used it did not realise its potentialities. Thousands of pounds were wasted in New Zealand annually in alleged publicity that was of no service whatever to the advertiser. People frequently spent money on concert programmes, guide-books, and miscellaneous media, brought under the notice as being excellent advertising vehicles, when the money really amounted to charity. Such advertising should not be charged up as publicity at all, but shown in the profit and loss account at the end of the ysar as donations."