ROANOKE TIMES
Copyright (c) 1996, Roanoke Times
DATE: Wednesday, February 21, 1996 TAG: 9602210011
SECTION: BUSINESS PAGE: B-8 EDITION: METRO
COLUMN: Marketplace
SOURCE: MEGAN SCHNABEL
Procter & Gamble Co., manufacturer of umpteen brand names including Crest toothpaste and Folger's coffee, this year is celebrating the 50th anniversary of its Tide detergent in a big way.
It's sponsoring a ``Dirtiest Kid in America'' contest. The corporation introduced a limited-edition collector's package - for all of us who collect laundry detergent boxes, apparently. It plans special TV commercials and print ads.
P&G even sent to the media promotional ViewMasters (remember those hand-held 3-D toys?) featuring lifelike scenes of antique washing machines, old Tide packages and - get this - smiling homemakers posing with loads of laundry.
``We only turn 50 once,'' said Cincinnati-based P&G spokeswoman Mindy Montgomery.
What's interesting is that this multimedia marketing blitz - which Montgomery says fits within Tide's advertising budget - coincides with several cost-cutting measures that P&G recently has announced.
On Sunday, the company said it plans to cut the amount it spends on marketing to 20 percent of overall sales by the year 2000. P&G had been spending 25 percent of sales - $8.3 billion last fiscal year - on advertising and public relations. That put it among the nation's biggest spenders on promoting what it sells.
Absolute spending on marketing, however, is likely to grow, because the company's sales are expected to grow. So you probably won't notice a big difference in the frequency or type of P&G ads.
The marketing cuts do, however, tie into P&G's earlier decision to stop offering consumer coupons for its products in three trial cities, all in New York state. Instead of coupons, the company said, it will lower everyday prices.
The experiment started Feb. 1. If it works in New York, P&G may stop offering coupons altogether.
Anybody who thinks junk food isn't intellectually stimulating should talk to James D'Agostino, chairman and CEO of American General Life and Accident Insurance Co. of Nashville, Tenn.
It was after reading the side of a Twinkies package in his family's pantry that he came up with a new idea for his insurance company: Make policies as easy to understand as nutrition labels.
So his company designed ``Policy Facts,'' a new label similar to the ``Nutrition Facts'' that the government requires food makers to include on the backs of packages of prepared foods.
Oh, come on. Twinkies?
``That's really the true story,'' insisted Sybil McLain, the company's corporate communications manager. As if to prove it, they sent out media kits that included packages of Twinkies - low-fat ones, no less.
They discussed sending out the Twinkie promos to customers, she said, but vetoed the idea.
``Some of our agents thought this would be something fun to do with the media, but they thought customers should take life insurance a little more seriously,'' McLain said. ``And it would get expensive.''
Although American General does business in 25 states, including Virginia, chances are good that if you don't have one of their policies, you've never heard of them.
``We haven't done much advertising lately,'' McLain said. ``We're trying to do a little more with public relations this year. This is something that's totally new, and it has a whole lot of consumer appeal.''
The new Policy Facts sheet, which will be included with all new policies, provides information including policy type, amount of coverage and frequency of premium payment - just as nutrition labels tell you about fat and calorie content. It's the same information that you'd find in the regular policy, but in an easier-to-read format.
``People have told us it's just hard to understand insurance,'' McLain said.
Ever wonder just how much good those high-tech, big-budget commercials do?
Super Bowl ads, for instance. Thirty seconds during timeouts during the game were selling for about $1.2 million this year. But did they sell any products, or just entertain viewers?
Creative Marketing Consultants of Southfield, Mich., called 493 Super Bowl watchers after the game and asked them which companies or products they remembered being advertised during the Super Bowl. Here's what they found:
The Pepsi-Cola ad that featured a Coke delivery man caught on a security camera while trying to sneak a Pepsi was remembered by almost 60 percent of the survey participants.
Almost half of the participants - 48 percent - said they recalled Budweiser's commercials, which brought back the Bud frogs.
Just under 25 percent remembered Ford's ads for its new F-Series pickup. The spots featured Jack Palance, who roped a rock and pulled a canyon shut with a lariat.
And 18 percent recalled the McDonald's commercial that featured a dinosaur skeleton nabbing a security guard's french fries.
But retention alone isn't always the most important consideration for advertisers, said Joe Sirgy, a professor of marketing at Virginia Tech's Pamplin College of Business.
``It's not one single ad in the context of the Super Bowl that's likely to make an impact,'' he said. Those multimillion-dollar commercials are important, but they're usually part of a larger advertising campaign. The key, Sirgy said, is that all components of the campaign work together over the long run.
LENGTH: Long : 107 lines ILLUSTRATION: PHOTO: 2 color photos. GRAPHIC: Chart. color.by CNB