Results of Advertising

Feilding Star, Volume XIV, Issue 37, 13 September 1892, Page 4

Results of Advertising

In a recent number of an Australian trade journal, a London correspondent supplies some very interesting- figures in reference to the formation ot a company to take over the " pear's soap " business It appears that a month or so before the j furniation of the Company a rumour | was current to the effect that such a course would be taken, but we Messrs Pear immediately denied the truth of the statement. A month afterwards j the company was put on the market, and a few hours after the opening- of the Bank sufficient applications were received to cover the issue. This shows the confidence the public had in the undertaking. The share capital is £810,000, out of which Messrs A. and F. Pear and J. F. Banatt receive £368,500 in cash and £236,500. This leaves the company £85,500 in cash and the balance of the current capital comprises the stock taken over ot £203,252. The prospectus shows that the net profits in JBBS were £63,946 5s sd, the next two years they decreased, but in 1888 the profits a»ain rose to £67,264 5s 6d Jn 1880 and 1890 the enormous sums of £110,903 16s 9d and £126,994 4s Id, respectively, were spent on adveresina: the famous soaps, but the net profits, owing to the competition of other soaps, were only £29,866 15s lOd and £38,350 18s Bd. Last year, however, the net profits were again enormously increased, reaching the splendid total of £71,993 15s 2d with an expenditure on advertising of £103 956 6s lOd. Under these circumstances, the proprietors have apparently seized a very propitious time for floating their company. The acquirement of such a splendid fortune by the Messrs Pears in such a comparatively brief time is a remarkable testimony to the iact that "judicious advertising is the keystone ot success," and is almost without parallel in the history of British commerce. — Palmerston Times.