CHAPTER TWELVE : Strategy

Advertising is much like war, minus the venom. Or much, if you prefer, like a game of chess. We are usually out to capture others' citadels or garner others' trade.

We must have skill and knowledge. We must have training and experience, also right equipment. We must have proper ammunition, and enough. We dare not underestimate opponents. Our intelligence department is a vital factor, as told in the previous chapter. We need alliances with dealers, as another chapter tells. We also need strategy of the ablest sort, to multiply the value of our forces.

Sometimes in new campaigns comes the question of a name. That may be most important. Often the right name is an advertisement in itself. It may tell a fairly complete story, like Shredded Wheat, Cream of Wheat, Puffed Rice, Spearmint Gum, Palmolive Soap, etc.

That may be a great advantage. The name is usually conspicuously displayed. Many a name has proved to be the greatest factor in an article's success. Other names prove a distinct disadvantage—Toasted Corn Flakes, for instance. Too many others may share a demand with the man who builds it up.

Many coined names without meaning have succeeded. Kodak, Karo, Mazda, etc., are examples. They are exclusive. The advertiser who gives them meaning never needs to share his advantage. But a significant name which helps to impress a dominant claim is certainly a great advantage. Names which tell stories have been worth millions of dollars. So a great deal of research often precedes the selection of a name.

Sometimes a price must be decided. A high price creates resistance. It tends to limit one's field. The cost of getting an added profit may be more than the profit.

It is a well-known fact that the greatest profits are made on great volume at small profit. Campbell's Soups, Palmolive Soap, Karo Syrup and Ford cars are conspicuous examples. A price which appeals only to—say 10 per cent—multiplies the cost of selling.

But on other lines high price is unimportant. High profit is essential. The line may have small sale per customer. One hardly cares what he pays for a corn remedy because he uses little. The maker must have a large margin because of small consumption.