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Anne Landman's Collection

A Study of Ethnic Markets.

Date: Sep 1969
Length: 240 pages
501989230-501989469
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Abstract

This R.J. Reynolds marketing document shows how cigarette marketers viewed U.S. ethnic markets in the 1960's. While today cigarette companies are often cagey about admitting they target certain ethnic groups for their products, this document states right up front that "Since 1965, R. J. Reynolds has spent $5,260,000 tailoring advertising to the Negro, Spanish-Language, and Jewish special markets."

The document gives demographic information about the "Negroes, Spanish-Language and Jewish markets" in the U.S. and then makes general assumptions about these markets. In profiling the African-American market, for example, the document contains the following descriptions and conclusions:

"In the typical sociological diagram of American power and prestige, the Negro woman is at the bottom of the heap. Above her is the black male, then the white female, and, at the top, stands the white male. The majority of Negro women are still imitating the styles and attitudes of white women who are considered more sexy and attractive. The white image is deep inside them, planted there by a lifetime of exposure to white standards of beauty as reflected in the media. Now a movement is underway to elevate the Negro woman, to reshape her vision of herself from broad-beamed kitchen laborer and head-of-household to svelte femininity, to make her a target of male desire and to give her a separate identity that is black, warm, and cherishable. Although her role is beginning to change rapidly, today it is the Negro male who dominates the movement, venturing along new paths, and presenting an image of defiance and resolution."

[From page 62, Bates No.5019809291]:

Negro masses are only at a point in time where economic security is a possibility. They have only begun to feel the freedom of economic security. Quality rates as a cherished attribute. Negroes buy the best Scotch as long as the money lasts, most marketers agree.

[From page 64, Bates No. 501989293]:

The strategy for advertising the Negroes through their media is to create "Negro upscale situations" and to make these consumers feel that the advertising is directed to them. Negro principles should be used against the background of identifiable settings and situations in which they might find themselves. When considering settin showing an integrated football team at work). Effectiveness depends upon the degree of Negro realism captured in the situations in which the Negroes are principals. Negroes are primarily urban dwellers, and as such, settings and situations used should reflect this. Examples of urban situations that could be used are:

• A scene outside a telephone booth on a busy street;

• A night out at a cocktail lounge;

• Driving an automobile in a traffic snarl;

• Just missing a bus; and

• Leaving a motion picture theater.

Fields

Quotes

[Preface]:

Since 1965, R.J. Reynolds has spent $5,260,000 tailoring advertising to the Negro, Spanish-Language and Jewish special markets...

[501989259]:

Outdoor advertising is considered an effective medium in the Negro community. It allows for showings keyed to concentrated Negro population centers tailored for desired markets. Generally, transit is not considered an effective Negro-oriented media as seldom do routes have confinement within Negro communities. However, like outdoor billboards, subway station billboards in Negro areas can be very effective.

[501989263]:

Negro radio, of all media directed towards this segment of the population is undoubtedly the best, and most efficient means of reaching the Negro. This medium is universally available with several hundred stations throughout the country programming all or a portion of their broadcast day for the Negro...

In the typical Sociological diagram of American power and prestige, the Negro woman is at the bottom of the heap. Above her is the black male, then the white female, and, at the top, stands the white male. The majority of Negro women are still imitating the styles and attitudes of white women who are considered more sexy and attractive. The white image is deep inside them, planted there by a lifetime of exposure to white standards of beauty as reflected in the media. Now a movement is underway to elevate the Negro woman, to reshape her vision of herself from broad-beamed kitchen laborer and head-of-household to svelte femininity, to make her a target of male desire and to give her a separate identity that'is black, warm, and cherishable. Although her role is beginning to change rapidily, today it is the Negro male who dominates the movement, venturing along new paths, and presenting an image of defiance and resolution.

[Page 62, Bates No.5019809291]:

Negro masses are only at a point in time where economic security is a possibility. They have only begun to feel the freedom of economic security. Quality rates as a cherished attribute. Negroes buy the best Scotch as long as the money lasts, most marketers agree.

[Page 64, Bates No. 501989293]:

But perhaps one of the most important decisive motivatons of the Negro consumer is best reflected in the results of a regional study about beer among white, Negro and Puerto Rican consumers. Reaction to product benefits (lightness, body, color, etc.) were about the same. Difference occurred, however, when personal versus social motivations were considered. Negroes placed very little emphasis on the social interaction associated with drinking although Puerto Ricans placed much emphasis on it. On the other hand, Negroes placed great emphasis on the personal satisfaction of drinking beer and Puerto Ricans did not. Obviously the point here is that the personal satisfaction derived from a product is perhaps one decisive motivation of Negroes and any attempt to sell them had better take this into primary consideration.

The strategy for advertising the Negroes through their media is to create "Negro upscale situations" and to make these consumers feel that the advertising is dir- ected to them. Negro principles should be used against the background of identifiable settings and situations in which they might find themselves. When considering settings, the "outdoors" (hunting, skiing, sailing) is not felt to be suitable, as these are stiil considered unfamiliar to the Negro in general, and .part of the luxu- ries afforded only whites. However, there are settings which could be universal to both white and black consumers (i.e., Pepsi's commercial showing an integrated football team at work). Effectiveness depends upon the degree of Negro realism captured in the situations in which the Negroes are principals. Negroes are primarily urban dwellers, and as such, settings and situations used should reflect this. Examples of urban situations that could be used are:

• A scene outside a telephone booth on a busy street;

• A night out at a cocktail lounge;

• Driving an automobile in a traffic snarl;

• Just missing a bus; and

• Leaving a motion picture theater.

...Any good strategy will create the music for the campaign theme in the sound of rhythm and blues, which is the pri- mary ,format of Negro-oriented radio stations. The beat, the tempo, and the "feeling" of the "Soul" music is almost instinctively identifiable to the Negro ear which is accustomed to this sound...Disc jockeys, who for the most part consider themselves entertainers, often are the best for the delivery of commercials, provided they do not have a "screaming" delivery often associated with Negro announcers...

Company
R.J. Reynolds
Author
Holland, Gehrmann
Recipient
Presumed recipient, R.J. Reynolds
Region
United States
Litigation
Minnesota Selected
Operation/Project
Ethnic marketing
Type
MARKETING RESEARCH
REPORT
Named Person
Reynolds, R.J.
American
BAT
B&W
Liggett
Loews
Lorillard
Philip Morris Inc
RJR
William Esty
Parke Gibson & Assoc
Joesph Jacobs
Cencus Bureau
Fortune
Opinion Research
Black, J.
Harvard Business Review
Proctor & Gamble
Evans, W.L.
Center For Research in Marketing
Crest
Colgate
Commerce Dept
Amsterdam News
Afro American
Pittsburgh Courier
Ebony
Jet
Tan
Sepia
Life
Wook
Tuesday
List of Negro Publications
Business Week
Natl Housing Producers Assn
Greyhound
Basie, C.
WAOK
WERD
WIGO
Atlanta Daily World
New Crusader
Atlanta Inquirer
WENN
WJLD
Birmingham World
Birmingham Times
Birmingham Mirror
True Story
List of Chicago Negro Comm Media
True Confession
Southern Christian Leadership Confe
WCIA
Stokes, C.B.
Call & Post
Cincinnati Herald
WABQ
WJMO
KNOK
Post Tribune
Dallas Express
Fort Worth Mind
In Sepia Dallas
List of Detroit Negroes Media
KCOH
KYOK
Houston Informer
Forward Times
KPRS
Kansas City Call
KGFI
Stokes, L.
Los Angeles Sentinel
Wdia
Memphis World
Milwaukee Courier
Milwaukee Star
La Weekly
Wnjr
Katz
Nj Afro American
List of NY Blacks Media
WRA
WHTH
Norfolk Journal & Guide
Philadelphia Tribune
Philadelphia Afro American
Richmond Afro American
List of St Louis Blacks Media
List of References
Clay, W.
List of Ca Metro Blacks Media
List of Washington, D.C. Negro Media
UCLA, University of Calif. Los Angeles
Mexican American Study
Ted Bates
Needham Harper & Steers
Pepsi Cola
Coca Cola
Shaeffer
Kraft
Dancer Fitzgerald
Compton Grey Young & Rubicam
Louis, D. Albertini
Colgate Palmoltive
Caballero, E.
Petgen, A.
Medmark
Ny Times
Novella
Temas
Pimenta
Sullivan, E.
Velilla, M.
Persuasian Research
Ny Daily News
Ny Subways Advertising
Bacardi
Canada Dry
El Pico Coffee
Campbells Soup
Benton & Bowles
El Diario, L.A. Prensa
Vanidades
Tv Guide
Lis of Spanish Radio Markets
List of Spanish Publications
Gillette
Pulse Study
List of Jewish Publications
Fitzhugh, H.N.
General Longshore Workers Union
Richmond Chamber of Commerce
True Confessions
Consolidated Bank & Trust
King, M.L.
Small Business Administration
Carmichael, S.
Johnson Publishing
First Research
List, O.F. Major Negro Radio Markets
NYC Board of Education
Quaker Oats
Pulse
ABC
Best Foods Hellmans
Pan Am
Pimienta
List of Spanish Television Markets
List of NY Spanish Movie Theatres
Hadassah
Bnai Brith
Subject
Target/ethnic (targeting ethnic markets)
Target/Low-Income (Target Groups)
target market
Ethnic marketing

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09 R. J. hFYNULLS TUk3ACC0 CU?".YANY OUTDOOR NFZR0 ( ~' ~~CHI$IT ~r Criterion - 3 Sheet Junior Posters -.6 Sheet i:brkc•t Number of ),osters Monthly Cost Number of Posters Monthly Cost Atlanta, Ga. 50 $ 1,613 Baltimore, 21d. 150 1,575 50 1,CCA Bir:nin;hnm, Ala. 50 . 1,0'.rJ Boston, I:ass. 50 525 30 825 Chicago, 111. 250 2,625 150 3,c00 Cincinnati, Ohio 40 960 Cleveland, Ohio 100 1,G50 60 1,440 Columbus, Ohio 90 945 30 480 Dallr::, Te.x. - 40 1,000 Detroit, t;ich. 125 1,313 60 1,155 Fort M:orth, Tex. 15 293 Houston, Tex. 60 1,855 Indianapolis, Ind. 25 263 30 600 Kansas City, Mo. 55 578 40 1,200 Los Angeles, Calif. 50 525 200 6,OOJ Mer.phis, Tenn. - - 50 1,125 24ilwaukee, :disc. 50 525 40 960 Newark, N. J. 50 525 1co 2,300 New Orleans, La. - - 50 925 New York, N. Y. 220 2,310 250 6,250 2JorfoLk-Portsmouth, Ya. - - 40 SC0 Philadelphia, Pa. 200 2,100 100 2,300 Pittsburgh, Pa. 50 525 5C 1,100 Richmond, Va. - - 30 600 San Francisco, Calif. 70 735 70 2,450 St. Louis, 110. 175 1,838 60 1,410 9/15/69 lAZ6 96t05
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I ADVERTZSING PLANNING 50198 9282
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Ir- R. J. ReYnolds NEGRO MARKET STUDY IV. Advertising Planning A. Nature of the Market Few fields of marketing are in so pronounced a state of confusion as that of selling to the Negro consumer. Some firms even seem uncertain about how to proceed. They are unsure of choice of media, type of appeal, mode of presentation, and above all, the element of good•taste. Systematic market studies are scarce and much of what is available comes from Negro media and so may serve specialty interests. In addition, Negro consumers them- selves are responsible for confusing many potential adver- tisers in Negro-oriented media. For instance, some demand to be referred to as black, another group is sensitive ., to any name other than Afro-American, another group wants to be called Negro, and some still insist on "colored". Despite these handicaps, some guidelines can be set forth which reveal some very important distinguishing characteristics. This market can be defined as two predominant groups, the "haves" and the "have-nots". The Negro middle class, the haves, is socialogically farther removed from lower income Negroes, the have-nots, than middle class whites
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are from low income whites. The five million Negro mem- I- bers of the middle class (often defined as those with family incomes of $6,000 or more) not only control a large fraction of Negro discretionary spending, but also are sensitive to poor taste and willing to do something.about it. This middle class, while only about 22% of this Ethnic group, comprises the most influential buyers among Negroes. Usually, these people are the elders and more often than not follow the teachings of the late Dr. Martin Luther King and, in addition, pattern their living on white norms. The middle-class Negro has little in common with the low income one. The gulf between poor and prosperous widens as white collar and professional jobs open up faster than the much-needed blue collar jobs. The Negro market is very young with a median age of 21 as compared with 29 for the white market. The younger segment of the Negro population, the low class, is divided. One group wants only to leave the ghetto. The other pre- fers to stay in the ghetto and go "militantly Black". The youngster who idolizes Stokely Carmichael or goes all out for the "natural Afro look" does not identify with his elders. Ln It should be understood, however, that there is a trend o ~ %0 `_ toward "blacks getting together". This is evidenced °D N m 2 C
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in some identifiable for-ms. Membership in ethnocentric L_ organizations is on the-increase. More magazines and newspapers serving black readership have been initiated One of the most successful contests held recently was the "Miss Black America" Contest. This is not to indi- cate that efforts to eliminate discrimination in the Miss America Contest are being abandoned, but rather that the Negro community collectively will accept and support a Miss Black America. Organizations are being created, such as the National Housing Producers Asso- ciation, which is comprised of black contractors, join- ing together to achieve certain goal-s. The Negro society today is essentially a matriarchal one with the woman of the house making most of the deci- sions. One out of four Negro families has a female head-of-household as compared with one out of ten white families. They play a more important role in holding i families together than their white counterparts. In the District of Columbia, 53% of the potential Negro women's work force is employed; Florida is second with 52% and the greater metropolitan New York market is third with 50%. With the average employed Negro woman contribut- ing about 32% of the average median income, her consumer , . advice is heeded. However, as employment opportunities open up for the Negro male, he is beginning to play a ~ 0 ~ 3
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more important part in family life. In addition to the emergence of the Negro male to become an influential decision maker, is the search of the Negro female for her real identity. In the typical sociologi- cal diagram of American power and prestige, the Negro woman is at the bottom of the heap. Above her is the black male, then the white female, and, at the top, stands the white male. The majority of Negro women are still imitating the styles and attitudes of white women who are considered more sexy and attractive. The white image is deep inside them, planted there by a lifetime of exposure to white standards of beauty as reflected in' the media. Now a movement is underway to elevate the Negro woman, to reshape her vision of herself from broad- beamed kitchen laborer and head-of-household to svelte femininity, to make her a target of male desire and to give her a separate identity that,is black, warm, and cherishable. Although her role is beginning to change rapidily, today it is the Negro male who dominates the movement, venturing along new paths, and presenting an image of defiance and resolution. The Negro market means many things to many people. To some firms, the Negro is a consumer like anybody else. To others, he is among many special markets in the demo- graphic spectrum. But to an increasing number, he is 4
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one of several Ethnic groups that deserve special con- A-- sideration. Mr. H. N. Fitzhugh, Pepsi Cola Vice Presi- dent for Special Markets says, "If companies treated Negroes as they do everyone else, there would be no Negro market". What he means is that the Negro is indeed a separate and distinct market when seen by a marketer but not so from the point of view of the Negro himself. Business Week says it this way, "They just want to be part of the mainstream. Every guy in the street wants what whitey has. They want the opportunity to live the life that TV says everybody lives". Although Negroes have the same wants, desires, and needs as any other group, there is one significant difference. He sees America through a prism of 350 years of discrim- .ination. As a consequence, he has a great need for recognition'as part of U. S. society. This makes him hypersensitive to real or fancied slights, whether in advertising, the retail outlet, or in employment prac- tices. As a result of this, Negroes generally express greater national brand loyalty than do whites. They are sceptical of private label and associate national brands with quality. Because of this association, they put more confidence in these brands thereby attempting to avoid the embarrassment of "being took". From a o ~ marketing point of view, it is important to remember m N m v 5
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that loyalty associated-with quality or brand image is stronger than loyalty associated with low prices or bargains; white consumers tend to be low price and bar- gain shoppers. Another reason Negroes consistently buy the brands that are nationally advertised is that they are the ones that have the prestige connotation. Negroes have deep psychological needs and often feel left out or forced outside. Often the association of a name product with themselves provides a lift. However, this brand loyalty discussion is not intended to imply that Negroes do not switch brands, because they do. The dis- tinguishing characteristic is that, rather than their brand preferences being spread over six or seven brands in a given category, their selections tend to cluster ar.,ong two or three brands within a particular product group. And within these two or three brands, they can be influenced to switch. Joe Black, former major league pitcher and now a Greyhound vice president, has stated: "One can safely say that the Negro market is a general market in itself. It has teenagers, females, million- aires, paupers, mass and class facets, and the common denominator that unites it is the psychological inferi- ority complex that has been generated through fallacious and outmoded stereo-types". B. F.eaching (Strategy Development) In trying to reach this market, there are three operating 6
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modes: Negro-oriented advertising, Neutral advertising, ~_j and Integrated-advertising. 1. Negro-Oriented Advertising Negro oriented advertising is that advertising which uses Negro models in realistic Negro situations,.is placed in media oriented to Negroes, and is executed so to primarily establish conviction and believability in the minds of the Negro audience. This is believed to be the most effective technique for influencing - the Negro consumer because it reassures him that the product is meant for him. Effective advertising should reflect realistic considerations of the Negro consumer as a Negro, be placed in media oriented to his inter- ests, and usually should not be white-orierited cam- paigns with Negro model substitutes. 2. Neutral Advertising Product advertising, sometimes referred to as pack- age advertising, is considered neutral, since it does not.have people, and it can be used generically in any customer-oriented media. There is another. form of neutral advertising which is the use of regu- lar advertising in all media, white and Negro, count- ing on the basic appeal of the product to sell it, wherever it is placed. Neutral advertising is not as influential with Negroes 7
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as Negro-oriented advertising because of its neutrality. ~ Because he is so aware and proud of his highly visi- ble and different outward appearance, he prefers advertising keyed to him. 3. Integrated Advertising There is much debate about whether integrated ads, no matter what the medium, help sell products to Negroes. Integrated advertisin2 is that which is prepared primarily for white-oriented media, that includes Negroes either in starring, featured, or walk-on roles. It is more a public relations strat- egy than a marketing strategy. Negroes and sometimes other non-white models are used with whites in tele- vision commeYcials and print ads primarily to "secure a more realistic portrayal,of the role of minority groups in our national life" and in the companies which use them, Its use is primarily to fulfill an official or unofficial commitment to include Negroes and iden.tifiable members of other minority groups in advertising. Although it is doubtful that this is an effective technique to influence Negro consumers, white reaction generally has been favorable. How- ever, W. L. Evans, President and Editor of Tuesday magazine says that "inclusion of Negroes in TV com- mercials. was part of a social crusade and political consideration. There was no thought at the time, 8

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