IT PAYS TO ADVERTISE.

Hauraki Plains Gazette, Volume XXXVIII, Issue 5207, 23 November 1927, Page 1

IT PAYS TO ADVERTISE.

SIB B. BENCBAFT’S PROOFS

STRIKING FACTS AND FIGURES.

Sir Russell Bencraft, in his presidential address to 300 delegates attending the sixteenth annual conference of the British Commercial Gas Association at Southampton, England, laid stress on the great value which could accrue to businbss organisations througih advertising. “I am reckless believer in the power of advertising to cure all economic evils,” he said. “ Meredy creating new desires is not necessarily enriching the world unless people have the wherewithal to satisfy them ; but while advertising is no panacea, for depression it can materially assist in getting us out of the vicious circle of bad trade,. 30 PER CENT. INCREASE.

Sir W. Russell referred to the “ notable success of the co-operative advertising of. the British Coinmeiical Gas Association,” and went on—-

“ During the 15 years in which the British Commercial Gas Association has been in action the consumption of gas has increased by more than 30 per cent., and you cannot study the history of this progress without being forced to ths conclusion that our cooperative efforts 4 . have beep the principal factor in achieving it. We know also that every increase in the use of gas or of coke for producing heat or power means that more coal, instead of being burned r.aw, has been converted into more efficient fuels than itself, with recovery of by-pro-ducts to boot.

“ We know that this means not only less wasteful and more fruitful use of the most important raw material that this country can produce, but also the elimination of much waste of time and energy, and even waste of health, in homes and factories where gas replaces coal. “On account of all this our advertising must fall into the category which the president of the Board of Trade has described as the best, for it adds to the national weialth. I have spoken at some length on this point because it should confirm us in our determination not only to maintain but also to enlarge our national advertising efforts. BOWER OF SECOND £lO,OOO.

“It is worth being clear ip. our own minds that while the same cannot be claimed for a good deal oil advertising, our own, at least, is economically sound. When you have, as we have, an organisation on these lines you need not hesitate to spend more money in publicity. “It. is a well-known fact that the, second £lO,OOO spent in advertising has more effect than the first, the third more than the second, the fourth more than the third. There is presumably a limit to the process, but w*q may be positive t'ha.'t our national expenditure on advertisements is nowhere near the limit yet. “If we doubled it once we should reap more than double results. I scarcely neejd to add that this belief, assumes a proportionate extension of local advertisipg to back up national campaigns. “I have advocated more advertising by the gas industry; I should not have dared to do so unless I had been sure that we can deliver the goods. There is nothing more futile than the stimulation of a demand that you cannot thoroughly satisfy.” £5O FOR EVERY «1. CAMPAIGN TO ADVERTISE FRUIT. Two examples of the power of advertising which prove the truth of Sir Russell Bencraft’s declaration at the conference of the British Commercial •Gas Association were given to a London reporter. An official of, the Fruit Brokers* Association of Great Britain, which organised the ‘ Eat More Fruit ’ campaign, said! “Figures will in our case speak for themselves. We advertised extensively for threie years and spent £lOO,000. As a result th© consumption of fruit in Great Britain in that period increased by £5,000,000.” This shows a return of £5O for every £1 spent. -

The Empire Marketing Board, which has been extensively advertising Empire dried fruits, had a similar experience. A n official su’d : “We are quite satisfied with our preliminary advertising, and so far as we have had time to test its effect on ■our commodities it has been very well worth while. For instance, in the first half of September Australian sultanas had easily a record sale compared with any other year, no less than 2500 tons being sold. This is directly attributable to advertising sound goods.”