Tobacco Documents Online

-ii- - On February 22 a meeting was held at BBDO between RJR Legal (MC, EJ, W~) and Agency Legal and Management to discuss and refine cop~ frcm the February I0 meeting. Among other things it was agreed that the basic "disease" claim must be qualified and that the Surgeon General "Warning" label would be required in SOSAS ads. - On February 23 BBDO updated Mr. R. Aurelio of Edelman Inc., regarding SOSAS creative. Agency Management presented its passive smoking position .~as weli as legal comments from the February 22 meeting. Mr Aurelio also reiterated the confirming Edelm~n position that all their research to date showed that non-smoker health was the root of the overall SOSAS issue. BBDO provided Mr. Aurelio with specific scientific quotes to aid in an Edelman white paper on the subject. - On February 27 Agency Management (TD) reported the Aurelio meeting to Mr. Ron Sustana by letter. - As a result of these meetings, subsequent conversations and corre- spondence, it was decided that BBDO should concentrat~ all creative efforts on the passive smoking issue in anticipation of impending cop~ research.

-12- - In February an Advertising Image Study was conducted by Peruzzi and Walzer, u~der the direction of BBDO, to gauge the perception of smokers as typified in cigarette ~dvertising. It was found that in general, people do not identify smokers with the positive attributes they relate to their friends. However, ~okers as portrayed in advertising are more likely than "actual" smokers to be identified as frier~s. March - On March 21 R~R r.~equested BB~O to re-consider "courtesy" as well as the "corporate profit" approach ar~ asked that work on these two areas be developed along with the basic passive smoking creative. - At a March 28 meeting in NYC, HC presented rationale for re-examining the "courtesy" position. HBDO presented creative in the passive smoking, courtesy, ar~ corporate profit areas. It was agreed to hold a ~rk session on April 5 to review how courtesy could be integrated with the basic passive smoking advertising. Additionally CT asked BBDO to develop SO~AS promotional ideas (e.g. carton stuffers). - ~ased on the March 28 meeting, BBDO forwarded revised "Corporate Profit" and "Basic" ads to CT on March 31.

-13- _April_ - A work session was held on April 5 with CT at BBDO~ New courtesy ads ("Look Before You Light") we.re presented ~ncluding small space ads, outdoor, and POP examples. Additionally several examples introducing courtesy into existing ads were presented, along with update~ promotional materials (booklets and carton stuffer "dunmies"). C~ requested revised copy for the courtesy ad, additional "booklets addressed to the family (i.e. employees, salesmen, growers), and examples of current ads .which included people. Tnese requests were developed and forwarded to CT in April. - On April ii Phase I of the Segmentation Study was approved. Tne Phase I objective was to identify and evaluate .key population segments relevant to the tobacco industry. - On April 15 correspondence from W. McGuire confirmed that attitudes can be changed on social issues through only one presentation of a persuasive communication. This input supported the BBDO research design for testing SOSAS ads. - On April 27 W. Shinn approved using "Health Hazard" in the basic ad. This ad (the California ad) would be tested along with the basic "disease" ad and courtesy ad.

-14- - On May 2, Edelman Inc. issued its rationale for no~t forming a Smokers' Alliance. The primary reason was that people consider the "right to smoke" argument as weak. - On May 16 a revised "California" (health hazard) ad was forwarded to CT. - On May 25 BBDO forwarded a s~mmary of secondary sources identifying problems ar~ opportunities in countering the alleged health costs and productivity.losses related to smoking. - Results were received in May frcm the Roper Study sponsored by the Tobacco Institute. ~"~,e study confirmed hhe L~portance of the passive smoking issue (2/3 non-.~mokers, 1/2 ~nokers believe) and the need for developing and publicizing medical evidence to the contrary. Additionally there appeared to be growing acceptance of more government involvement in the regulation of smoking. - Focus groups were conducted in May as a preliminary phase of the larger Segmentation Study. Tne purpose was to identify possible population segments against which to target future SOSAS efforts. No new information was obtained as the research could not identify any special group sympathetic to tobacoo industry positions.

June - Results w~[e received in June from the BBDO conducted copy research of 3 ads designed to shift public attitudes toward smoking issues. Tne more direct passive ~smoking ad ("Basic Disease Ad") caused large positive attitude shifts in the general population and direc- tionally positive shifts among opinion leaders. "Courtesy" had little effect in shifting attitude. - A second tracking of attitudes toward the proposed California s-noking restriction was conducted by V. L. Tarrance in June. Attitudes were still positive towards the restriction with the major issue being passive smoking. - Focus groups were also conducted in California to determine attitudes toward the "Clean Indoor Air Act." There was no general interest in the act among smokers or non-smokers, with most respondents regarding the act as nonsensical. - In June BBDO supplied representative media plans of a typical cigarette brand along with a prototypical plan of an advertiser targetting specifically at the teenage market. The purpose was to refute allegations that the industry was targetting its marketing efforts against youth to influence an early smoking decision. Tne tw~ suhnitted plans were significantly dissimilar.

-16- - In June BBDO supplied the sources cited by HEW as the basis for Mr. Califano's estimated costs of business productivity loss and increased medical expenses caused by smoking. - On June 20, a review of SOSAS research to date was cor~ucted in W/S with JP, DO, HC, MC, CT, RR as well as BSDO research personnel. - On June 28, ~R MRD suggested proceeding to Phase II of t~e Segmentation Study. - On June 29, W. Mc.Guire reported that he had reviewed the results of the attitude shift research of the three SOSAS ads tested. W. McGuire agreed that the methodology %Drked well and with the conclusion that the two "passive smoking" ads had sizeable attitude shifts while the "courtesy" ad was not particularly successful. July - On July 17 Agency Management (TD) addressed the Tobacco Institute and presented BBDO's position on why passive smoking was the key SOSAS issue over ii other viable directions. Additionally qD reiterated why the specific ads should be straight forward and "non-slick."

- On July 27 it was decided by eT and ~ to discontinue further work on the Segmentation Study since the expected value of Phase II information was not considered co.~ensurate with its cost. - In July BBDO developed three alternative SOSAS media plans at different budget levels with each targeted against adults involved in any public activity (e.g. voted, etc.). August - Results were received in August from the attitude shift research regarding the "Businessman" ad. Research results were directionally positive, but not.. significant. - On August 18, the Tobacco Institute instructed BBDO to release the "Basic Disease" ad ~ Intermedia for the purpose ~ ~ting it under "real world" conditions. The ad was run in' newspapers in E1 Paso, Tex., and Madison, Wisc. for a one month period (2 inser- tions per ~ek). ~sults were inconclusive since the ad only ran one month and generated only 7% awareness. - On August 9, at Dr. Colby's request, HBEO forwarded a review of secondary sources and studies relating to the effect of cigarette advertising in creating brand sw~tching versus category expansion.

-18- - A third tracking of the proposed California restriction was conducted in August. Attitudes were still positive towards the restriction, but attitude was amenable to ~change if meaningful arguments against the restriction could be communicated. Additionally it appeared that passive smoking as an issue can change attitude, but still may not change behavior (i.e. voting intention). September - In September 1978 a Tobacco Forum was held by several Sou£heastern Congressmen to provide public documentation of passive smoking medical facts, me press generally downplayed the Forum and its expert testimony "due to the fact that family legislators were conducting the procedure. - In September BBDO supplied a correlation analysis between deflated cigarette advertising expenditures and per capita cigarette consumption over the last twenty years. The purpose of the analysis was to refute allegations that cigarette advertising increased consumption as opposed to the industry's 6ontention that advertising was intended to differentiate among brands. The analysis showed virtually no correlation between advertising and consumption.

-19- October - At a meeting on October 3 it was reaffirmed to discontinue the Segmentation Study. Information still desired from the Study by Public Affairs will be gathered by more specific research designs. - In early October, results of attitudinal research conducted by Civic Service among the "family" were presented. Basically RJR employees do not differ significantly from the general population regarding attitude towards SOSAS issues. However it was decided to undertake an educational effort among PJR employees.