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 Too Truthful? 10 reasons why responsible marketers
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Two months ago we created a stir in the "Second First Anniversary" column from the publisher because, in the words of one bank's marketing executive, "You told too much truth." Actually, we told too little and so late in a very long column that some busy marketing executives missed it. At the end of the column we advised that "The Best and Worst Marketing Agencies" would be tackled in November. Well, indeed, some of the best and worst are featured in these pages this month, even pictured beginning on Page 56. You decide who's who. In an earlier draft, we listed all the winners of recent Ad Club and Public Relations Society of America competitions. But we pulled those at the last minute for two reasons: First, too many mediocre agencies won too many awards, so the lists are misleading. Second, we needed more room for this publisher's column. We decided to compare the San Diego Business Journal and San Diego Metropolitan head to head, lay out all the reasons why advertisers are switching, and not just include a few tough paragraphs about the B.J. at the end of a column. By the way, even a senior marketing guy at the Business Journal thought our treatment two months ago was "fair and square," thank you. But all of the facts need to be presented to San Diego’s marketing community, with time to let them sink in, before we add as real criteria whether marketing agencies are using the wrong medium for business-to-business communication. To buy ads in the Business Journal out of habit, or because your ad agency in San Francisco or New York didn’t know better, these are unfortunate practices that will be corrected with time. But if your advertising executive insists on buying the B.J. exclusively after reading this column, these may be legitimate grounds for dismissal of your ad agency or marketing guru. So we’ll wait a while before we add thick-headedness to the judges' criteria for the Worst Marketing Agencies. This time, we won’t name the hypocritical advertising agent who retains a p.r. agency for himself rather than buying an ad. But we do promise, barring some catastrophe, we’ll get there. Until then, be advised: Here are the Ten Best Reasons Why San Diegans Are Re-Thinking Their Business-To-Business Advertising. 10. Buying San Diego Click here to see Ted Owen in Action The B.J. The Business Journal's principal owner, Larry Bridges, lives in Kansas City, though his top employee, Ted Owen, sits on the board of the San Diego Regional Economic Development Corp. and endorses its Team San Diego and Buy San Diego campaigns. Larry Bridges' Business Journal is part of a chain that includes the Orange and L.A. B.J.s, so there's no wonder why it accepts move-your-business-to-Riverside-County advertising, contrary to San Diego EDC's principles. The Metropolitan The San Diego Metropolitan's principal owners, Gary Shaw, John Davies and Tim McClain, have lived in - surprise - San Diego, almost forever, and are members of the EDC's Team San Diego. Shaw also is a director of the Downtown San Diego Partnership and a member of the San Diego Chamber, Golden Triangle Chamber, Port Tenants Assn., BIA, BBB and San Diego ConVis. Davies' father established the Old Globe Theater, for gosh sakes, is a University of California regent and member of the San Diego and State Bars. The Metropolitan also publishes sandiegometro.com, The Guide To Downtown San Diego, and broadcasts the Daily Business Report - all promoting San Diego commerce. OK? So the Metropolitan is the righteous choice to keep San Diego advertisers' dollars working in San Diego. 9. San Diegans Prefer The B.J. After a 10-count federal indictment charging conspiracy, major fraud against the United States and making false statements in an IRS office-space bid-rigging scheme, and as many pleas of innocence, Larry Bridges plea-bargained with prosecutors to a criminal misdemeanor admission of guilt in making false certifications, and a felony fraud guilty plea in behalf of one of his corporate interests, the Executive Hills Merchandise Mart Partnership. He and his associates paid $1.5 million in restitution to avoid the remainder of their trial, following what the Kansas City Star says was "the most expensive federal criminal investigation in the city's history." Says U.S. Attorney Stephen Hill, "We hope that this case demonstrates that no matter how wealthy, powerful or influential a person might be, our justice system will hold them accountable..." (Hill also notes that the son of one of Bridges' associates was found guilty just a few days ago of bribing a local politician.) The Kansas City Star added, "The defendants also were banned from obtaining any government contracts for six years. But that ban already has been in effect for four years, so it has only two years remaining." U.S. Attorney Hill says he'd like to know of any U.S. government relationships with Bridges. Hill can be reached by writing the U.S. Attorney's Office, 1201 Walnut St., Suite 2300, Kansas City, MO 64106-2149. The Metropolitan We try to be fair and practice good citizenship always, even though we have to expose bad things sometimes. The owners of the San Diego Metropolitan are almost Boy Scouts, including honors from local, state and federal governments, local business and civic groups, and professional journalism and legal affairs organizations. The U.S. Small Business Administration even guaranteed Gary Shaw's SBA loan. Davies is such a straight shooter he advises the California governor on all judicial appointments. Resumes are available upon request at (619) 233-4060. 8. The Metropolitan's Circulation Is At Least 4.0158 Times Larger and Better Than The B.J.'s The B.J. The Business Journal has a history of equivocally representing its circulation. Its 1996 advertising rate card advises 22,000 circulation to insert brochures, for instance, and some advertisers have been printing and delivering that many inserts only to discover that many are not delivered or get delivered twice to the same recipients. Its membership in the Audit Bureau of Circulation was terminated two years before the Business Journal dropped its ABC membership logo from the masthead, according to the Transcript, an ABC member. By its own admission, the Business Journal's so-called paid and requested circulation has dropped 5.5 percent in the last year to 11,330, while total distribution has plummeted 14.3 percent since 1996, or 35.78 percent since publication of the 1995 Book of Lists, to an alleged 13,830 copies. But as recently as four weeks ago, an advertiser says she based her decision to advertise on the Business Journal's verbal claim of 22,000 circulation. The Business Journal's circulation remains unaudited. The Metropolitan The San Diego Metropolitan's circulation of 45,500, including paid, requested and complimentary distribution, is being audited by the nation's largest specialty auditor of business, trade and consumer publications, BPA International. We never go around fibbing. We distribute a lot, and we make sure they get on the right desks. U.S. Postal Service recipients include every member of the San Diego Chamber, BIA, Downtown Partnership and top two execs of all local UCSD Connect members, locally based publicly traded corporations and local banks. That distribution alone cannot be duplicated by the B.J. or anyone else. Plus, requested, door-to-door office delivery includes virtually every major office building in Downtown, Hillcrest, Mission Valley, Kearny Mesa and North City. 7. The Best Marketers Like To Surround The B.J. We like Mike Allen and Rich Acello best, worked with them at the Transcript, where Metropolitan management used to run the newsroom in the good ol' days. They win a lot of awards, which says something about the competition. Graphically, dull, but OK. If you’re in town and in business, you should read it. But spend advertising dollars to buddy up to them? Maybe Liz Harman. The Metropolitan We be sizzlin'. No one publishes a prettier book, except maybe San Diego Magazine, and we’re the only one with the Daily Business Report online and on the radio. Journalistically, we’re talking about decades of local business reporting experience, hard and thorough business news from Tim McClain, Janet Lowe and Gary Shaw, all former Transcript editors, she the longtime business editor of the Tribune and author of eight books on business, including the current "Warren Buffett Speaks" bestseller. Editor McClain is the most respected real estate and tourism writer in San Diego. Plus nationally acclaimed reporters Lynne Carrier, Denise Carabet, Libby Brydolf, beloved historian Woody Lockwood, respected economists Sandy Goodkin, Gary London, Alan Nevin and Kelly Cunningham, former City Attorney John Witt, Mexico consultant Pat Osio, associate editor Sandy Pasqua, Dirk Sutro, Pam Wilson, Terryl Gavre, Brage Golding, Neil Murray, Gwen Rosenberg. If these names aren’t familiar, you’re out of town or relatively unplugged from who's who in San Diego’s business press and civic affairs. 6. The Worst Marketers The B.J. The Business Journal's marketing material says its average reader's household income exceeds $140,340. A year. Yeah right. In Rancho Santa Fe. (Hint: Ask yourself the last time you heard people say, "Did you see what they said in the Business Journal?" Out of town agencies are disqualified from this test.) The Metropolitan The Metropolitan's average reader's household income was $68,500, with 33 percent claiming $100,000 or more, but that was before the current owners bought and upgraded the publication in August 1996. We’re sure it’s improved and we’ll commission a new marketing survey as soon we can afford one. Meanwhile, we stand on our circulation guarantee, as presented in Reason No. 8. (Hint: Ask yourself the last time you heard someone say, "Did you see what the Metropolitan did?!" Out of town agencies are disqualified from this test.) 5. You Shouldn't Advertise The B.J. The last time we checked the rate card, it cost $3,125 on a one-time buy of a full page, which was something like $223 per thousand readers, presuming one reader per copy. The Metropolitan Try $1,950 on a one-time buy, or less than $44 per thousand readers, presuming one reader per copy, though we know an increasing number of spouses are demanding the magazine. We’ll always stay below the competition because this is all about delivering an important, cost-effective service to the San Diego business community before it’s about profit. (There are no big salaries to support here.) Our full-color glossy stock is the best glossy bargain in town, for as little as $2,340 per page on a 12-time buy, and our pages - your images - are 41 percent larger than San Diego Magazine's. 4. Trend Setters Stay Close To Where The Trends Are Being Set The B.J. The Business Journal is tired and so it often remains within a stack of mail. Its Web site shows a complete lack of understanding of the WWW. The Metropolitan Whoa! Where do I find another copy? And our World Wide Web product, sandiegometro.com, including the Daily Business Report, is the finest business Web site and and handiest business database to be introduced in San Diego in the last three or four years. Really. 3. No One Wants To Be The Last Re-Assessor In San Diego The B.J. With plenty of vanity awards programs and sponsorships, a sales network of Los Angeles and Orange County Business Journals, and a large team of saleswomen deliberately chosen for their youth and good looks (according to insiders), the product is shrinking but won’t disappear. The paper increasingly relies on network buys from out-of-town ad agencies, and out-of-town ad agencies advising San Diego clients. Astonishingly, too many advertising executives and marketing consultants can’t read. The Metropolitan A few big ones, but mostly small and mid-size businesses making decisions locally have been the first to switch, some from other publications as well. The biggest advertisers sometimes react the slowest. Most of our sales people are OK to look at. While our news people have been delivering quality journalism to San Diegans for decades, as the new Metropolitan we’ve only been selling the product since late '96. Many of the toughest, largest prospective accounts say we’re proven now, and we’ll be included in 1998 budgets, thank you. But, astonishingly, too many advertising executives and marketing consultants still can’t read, a problem we intend to fix. 2. I Want My Ad To Be Seen Tomorrow And Next Week, Too The B.J. You've read it. You know. Twenty minutes? The Metropolitan We’ve become the most popular business publication in executives' hands, on their desks, coffee tables, in their washrooms and on their nightstands. An ad in a daily is gone the next day. Heck, it takes hours or days to get through each Metropolitan edition, so we’re picked up again and again. Plus each edition is restocked at high-traffic retail and business locations at mid-month. If the ad budget is limited, long shelf-life is the only way to go. 1. And Finally, The No. 1 Reason Why Business-to-Business Advertisers Are The B.J. With one simple phone call, the Business Journal will be happy to deliver less circulation for more money. The Metropolitan The San Diego Metropolitan will be proud to deliver way more targeted circulation and superior quality for way less money with a simple phone call to (619) 233-4060. Ask for me, the publisher, Gary Shaw, at Ext. 308, sales director Sue Robbins at 314, business development director Jack Lane (a former Business Journal publisher, prior to the Kansas City buy-out) at 315, or account executives Dave Kelso at 313, Kelly Nichols at 310, or Loni Alexander at 307. We’ll give all of San Diego’s business-to-business advertisers time to catch up. Then be on the lookout for The Best and Worst Marketers, Part 2, coming to a newsstand near you. You'll know Part 2 is on the way when our researcher asks you, "Where do you direct your client's business-to-business advertising and why?"
Why were some marketing executives uncomfortable that the Metropolitan had "told too much truth" in just a few buried paragraphs of criticism of the Business Journal two months ago? And why will some be more uncomfortable with even more truth in this current edition? Because someone in the business press - with access through these pages to this marketing executive's superiors - is preparing to hold the marketing profession accountable for its business-to-business communication. How? If an ad agency or marketing executive chooses a more expensive publication with smaller circulation, a publication that was terminated by its auditor, a publication with an out-of-town owner who is barred from doing business with the United States government, that marketer may be identified in these pages in the near future and asked to explain why he or she can’t read English. We hold politicians accountable, bankers accountable, and executives of publicly traded corporations accountable. This is not entirely a first for marketers, but holding them all accountable might be fun.
Marketers aren’t the only ones getting a little goosy about hearing that the Business Journal isn’t all it’s cracked up to be. The CEO of a local resort mused: "Ted Owen's done some good things. You reported once that Ted's boss lives in Kansas City, pleaded guilty. We don’t criticize our competitors. Why bring it up again?" Because it didn’t sink in with a lot of people the first time, probably our own fault for abbreviating and burying the information at the end of a long column. And because the magnitude wasn’t reported the first time. We didn’t say Ted Owen's boss pleaded guilty to bid-rigging following the largest criminal investigation in Kansas City history and is barred from doing business with the U.S. government. We didn’t say that Business Journal circulation claims have been all over the board and that the 1996 rate card led advertisers to believe the circulation was tens of thousands more than it really was. We report these matters more thoroughly today because Ted Owen holds some positions of civic responsibility - on the board of the San Diego Regional Economic Development Corp. and next in line to chair the Convention and Visitors Bureau, for instance - yet he has not been held accountable for questionable business practices. And unlike operating a hotel, for instance, part of what we do in the press is to hold people accountable for their behavior. Our job is to praise them when they do good and nail them when they do bad, especially if they hold themselves up too high while taking people’s money. Owen spent an entire column in the Oct. 27 edition patting himself on the back for the Business Journal's 4-year-old Women Who Mean Business program, which has done more to stunt the growth of San Diego’s leading women's organization, the YWCA and its 19-year-old Tribute to Women & Industry (TWIN), than anything else. Owen's program sucked up tens of thousands of marketing dollars from unwary organizations large and small, with most, if not all, proceeds benefiting the Business Journal. Janie Davis, executive director of the YWCA of San Diego County, actually was one of the Business Journal's own Women Who Mean Business this year. Says Davis: "I, as well as others, appreciated very much receiving recognition for our hard work. As the for-profit Business Journal, however, provides significant competition for the not-for-profit YWCA's 19-year-old Tribute to Women & Industry (TWIN) program, it seems the next appropriate step for the Business Journal is to award 100 percent of Women Who Mean Business proceeds to a charity collectively chosen by the annual honorees and committee." What do you think the guy in Kansas City would say about that? |
