It Pays To Advertise

Hokitika Guardian, 27 June 1922, Page 4

It Pays To Advertise

\' id it 1)1 CT Or DA I’.M (■'.!{ S' CXION THAIMXO COM PAX V. ■ A 1 OK I.AX I). June 22 ll was demonstrated itli entertainiii!* brightness at the annual meeting of the Auckland Karniers’ I'nion Trading ( oniiuiny that, it pats, in advertise. The lad (dim the company had spent over i: 12.(1!: ) last year on advertising p.ompted a keen discussion on the character of the advertising, the* cost of full-page displays, and its value in relation to sales. Opinions dilfeied more ns regards methods than in respect to expense. One shareholder deplored the modern spirit of advertising. There was, lie thought, iust a little toe. much of Amei it ;;11 hustle about the system of giving away a new Cl-! 10s sewing machine for the Mimulstion of competitive purchasing. 1!.- did rot like it at all; it 1001-r----i d too much like an appeal to the spirit of gambling iii i 11 <• community. Anoliii’i' sneaker criticised the system of : own ids as something that was, in his opinion, " a very near relative id the t: .alisalor." A quiet philosopher, with mem rics of pioneering frugality, suggested that the real trouble everywhere to-dav was that people did not just buy wii.it t!*»_*y needed, .luit bought what they wanted, and in that there was a great difference.

Merriment was raised by a shareholder's reference to the possibility that high prices were first put oil in order to he taken off later, by wav of emphasising au apparent bargain. Wan there anything in that k The general manager composed all the differences of opinion, lie pointed out 1 hai tie* latest American reports justiiird an expenditure of from 2to 1 per cent, of ret nil sales oil advertising to gel still more sales, and it paid, 'file c: mpanyks sales last year totalled L'l ,2.'h!,1)i)(1. and some C12.U01.1 was spent in advertising, or only 1 per cent of its sales. That 'was exceelingly economical. As a matter of fact, tho sales by. branches in May were £B6OO over those in April. while headquarters sales were £21,800 more, or practically a total of £0(t,000 more retail sales in J!;n over April. They could not possibly scud out commercial travellers n.;d; r ail expenditure of J per cent ol !•'e total sales, lie was afraid that if the company were lift to continue ad; ertisiug, it would have to get. a