RJ Reynolds
A Study of Ethnic Markets.
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- MARKETING RESEARCH
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- Named Person
- Reynolds, R.J.
- American
- Bat
- B&W
- Liggett
- Loews
- Lorillard
- Philip Morris Inc
- Rjr
- William Esty
- Parke Gibson & Assoc
- Joesph Jacobs
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- Black, J.
- Harvard Business Review
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- Evans, W.L.
- Center For Research, I.N. Marketing
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- Amsterdam News
- Afro American
- Pittsburgh Courier
- Ebony
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- Wook
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- List, O.F. Negro Publications
- Business Week
- Natl Housing Producers Assn
- Greyhound
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- Waok
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- Atlanta Daily World
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- Wenn
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- Birmingham World
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- True Story
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- True Confession
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- Kcoh
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- List, O.F. St Louis Blacks Media
- List, O.F. References
- Clay, W.
- List, O.F. Ca Metro Blacks Media
- List, O.F. Washington, D.C. Negro Media
- Ucla
- 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
- Kcor
- Kwkw
- Wado
- Whom
- Wmie
- Caballero, E.
- Wbnx
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- Wnju
- Wciu
- 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
- List, O.F. Spanish Radio Markets
- List, O.F. Spanish Publications
- Gillette
- Pulse Study
- Wevd, A.M. Fm
- List, O.F. Jewish Publications
- Fitzhugh, H.N.
- Wskm
- General Longshore Workers Union
- Richmond Chamber, O.F. Commerce
- True Confessions
- Consolidated Bank & Trust
- I Cgh
- King, M.L.
- Small Business Administration
- Carmichael, S.
- Johnson Publishing
- First Research
- List, O.F. Major Negro Radio Markets
- Nyc Board, O.F. Education
- Quaker Oats
- Pulse
- Abc
- Best Foods Hellmans
- Pan, A.M.
- Pimienta
- List, O.F. Spanish Television Markets
- List, O.F. Ny Spanish Movie Theatres
- Hadassah
- Bnai Brith
- American
- Request
- Minnesota
- 1rfp8
- Texas
- Initial
- Disclosure
- 1rfp8
- Referenced Document
- Love Is Blue,by Moriat P. My Rabbi Doesn't Make House Calls, by Vorspan A. List of Footnotes.
- Date Loaded
- 27 Feb 1998
- Litigation
- Minnesota Selected
- Author
- Holland, G.
- Unk
- Box
- Rjr3331
- Brand
- Multi Brands
- UCSF Legacy ID
- kkn29d00
Document Images
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PREFACE
Since 1965, R. J. Reynolds has spent $5,260,000 tailoring
advertising to the Negro, Spanish-Language, and Jewish special
markets. The consumers in these markets have grown steadily
in numbers, and, collectively, now comprise a potent force of
about 38,000,000 potential customers. Together they represent
19% of the total U. S. population.
Today's competitive pressures demand that firms become more
sophisticated in marketing strategy development and execution.
Marketers are required to gain broader and deeper knowledge of
each distinctive market segment. Advertisers must become in-
creasingly more skillful not only to reach efficiently but also
to influence effectively.
This document is structured to allow marketing professionals
to determine for themselves whether or not they want to direct
part of their marketing effort to the Negro, Spanish-Speaking or
Jewish consumers.
If a decision is reached to establish a franchise in these
special markets, this document contains the information necessary -
to.develop the required marketing strategy.
Quantitatively, this presentation is not intended to represent
the actual situation. The accuracy of available standardized data
on these groups is hampered by the shortcomings of both research
availibility and measurement methodology, as well as by obsoles-
cence. However, the figures are the most accurate available.
They were gleaned from the best sources available, cross checked,
and, in my opinion, can be used to make sound decisions concerning
advertising expenditures. Qualitatively, it represents the con-
clusions of the leading experts in the field including those of
William Esty, D. Parke Gibson and Associates, The Joseph Jacobs
Organization, and the WINSTON Brand Group.
Finally, since no document with the breadth and depth of this
one has ever been compiled for R. J. Reynolds concerning these
market segments, this is not a final statement; rather, it is only
a beginning.
A1V'Vk4LyvV11
Gehrmann Holland
September, 1969
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R. J. Reynolds
L
NEGRO MARKET STUDY
I. Profile of the Negro Market
A.
B.
C. Population
income/Employment
Education
II. Media Planning
A.
B. Negro Media Usage Rationale
Media Analysis
1. Radio
2. Television
3. Newspapers
4. Magazines
C 5. Sunday Supplement
6. Outdoor/Transit
7. Special Publications
III. Media Directory
IV. Advertising Planning
A. Nature of the Market
B. Reaching (Strategy Development)
1. Negro-Oriented Advertising
2. Neutral Advertising
3. Integrated Advertising
C. Influencing (Execution Development)
Exhibits
1. Guidelines for Negro-Oriented Advertisin
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2. Guidelines for Integrated Advertising w
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(Cont. )

V. Competitive Advertising Expenditures
v V2. MetroMarkets
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R. J. Reynolds '
NEGRO MARKET STUDY
I. Profile of the Negro Market
A. Population
The pre-census forecast shows the U. S. Negro population.
. .
- totals over 22 million. Since they constitute 11.2% of
the total population, up from 10.9% in 1960, they continue
-- to be a minority group. However, the Negro population
is increasing at a faster rate than the white's. The
white population is estimated to have grown 12.6% since
1960, the Negro population by 21.1% during the same period.
Birth rates have been declining for both the white and
Negro races since 1957. However, while the birth rate
was 16.7 babies per thousand population for whites in
1967, it was 25.4 for Negroes. Among Negroes, females
out-riumber males 11.6 million to 10.7 million.
Looking into the future, the Census Bureau says that there
will be about 28 million Negro-Americans by 1980 and more
than 35 million by 1990. They will account for 12.4%
ofthe total population in 1980 and 13.6% by 1990. The
Negro labor force is expected to increase by almost four
million from 1965 to 1980, while the total labor force
will be adding 23 million. These statistics, as well as
other factors, indicate that Negroes are destined to have
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an increasingly larger role in American life in the future.
Although they represent only 11.2% of this country's total
population, Negroes make their presence felt because, of
the more than 22 million, 90% are concentrated in 78
cities. In these markets, they constitute 25% of the
population. Approximately one-half are concentrated in
the top 30 U. S. Negro markets. More dramatic is the
fact that while 31% live in the top ten Negro MetroMar-
kets, only 23% of the total population is contained in
these same markets. About one-fourth of the nation's
Negroes reside in New York, Chicago, Detroit, Philadel-
phia and Los Angeles.
The first Census in 1790 counted nearly 700,000 black
people, about 1 in every 5 Americans. In 1860 they were
about 1 in 7. When America stopped importing slaves,
birth became the only basis of population growth. Africans
did not voluntarily rush to America as the white European
immigrants did, so the white population grew much faster
than the black, forcing the earlier high percentage to
decline.
In the days of slavery, and for many years afterward,
most Negroes lived on farms. At the turn of the century
80% of them still were in the rural areas, but then farm-
ing changed. Machines began to'replace people on the
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farms and they had to move to new places and to new kinds
k..
the white population.
of work. In 1940 only about a third of the Negroes lived
on farms but in 1960 the proportion went down to 8%. Now
it is about 7%, slightly higher than the percentage for
Most of them clustered in the central cities of our lar-
gest metropolitan areas. From 1950 to 1968 the total
Negro population increased by 7 million, and 5 million
of the increase was in the central cities of our metro-
politan areas. More than half (54%) now live in central
cities. So, starting out as farm people they have now
become urban residents.
The white people who were farmers also moved from the
farms to the cities, but then went on to the suburbs.
Considering only the metropolitan areas, most of the
Negroes are in the central cities and most of the whites
are in the suburbs. From 1960 to 1966, Negro metro pop-
ulation increased by 21%, almost all of it occurred within
central cities. By contrast, metro white population increased
9% and all of it occurred outside central cities and in
the suburbs. The most recent figures indicate a continued
increase in the number of Negroes in the central cities
and a slight increase in their suburban population since
-1960.
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As they moved from the farm to the city, they also moved
from the South to the Nor-th and West. In 1860 the pop-
ulation was 4.5 million including 4 million slaves. At
that time 92% of all American Negroes lived in the South.*
In 1900, 90% were still there, but then they began to
spread out. By 1960, this figure was down to 60% and
the 1968 estimate is 53%. The South lost a Negro pop-
ulation of 4 million between 1940 and 1966.
B. Income/Employment
It is estimated that the 1970 American Negro's annual
purchasing power will be $32 billion. This ranks tenth
highest among all nations of the world. Yet as a group,
Negroes are in poverty. Even though Negro families have
increased'their average annual earnings 60% since 1950,
they continue to earn less money than the average white
family, although the average Negro family tends to be
larger. Nine percent (9%) of all U. S. families are
Negro but they receive only about 6% of the aggregate
national income. Their pay is lowest in the South and
highest in the West and Midwest. Between 1960 and 1966,
*The Census Bureau counts Maryland, Delaware,,Kentucky, Oklahoma,
West Virginia, and the District of Columbia as "South", along
with the states of the Old Confederacy.
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