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770<br />

Part Seven Special Topics and Perspectives<br />

Belch: Advertising and<br />

Promotion, Sixth Edition<br />

VII. Special Topics and<br />

Perspectives<br />

22. Evaluating the Social,<br />

Ethical, & Economic<br />

Aspects of Advtising &<br />

Promotion<br />

© The McGraw−Hill<br />

Companies, 2003<br />

censorship occurs, whereby the media avoid certain topics or even present biased news<br />

coverage, in acquiescence to advertiser demands. 80 In fact, Professors Lawrence Soley<br />

and Robert Craig say, “The assertion that advertisers attempt to influence what the public<br />

sees, hears, and reads in the mass media is perhaps the most damning of all criticisms<br />

of advertising, but this criticism isn’t acknowledged in most advertising<br />

textbooks.” 81 We will address this important issue in this book by considering arguments<br />

on both sides.<br />

Arguments Supporting Advertiser Control Advertising is the primary source of<br />

revenue for nearly all the news and entertainment media in the United States. And<br />

because advertising pays the bills, newspaper and magazine publishers, as well as TV<br />

and radio networks and station executives, must keep their advertisers happy. Some<br />

critics charge that the media’s dependence on advertisers’ support makes them susceptible<br />

to various forms of influence, including exerting control over the editorial content<br />

of magazines and newspapers; biasing editorial opinions to favor the position of<br />

an advertiser; limiting coverage of a controversial story that might reflect negatively<br />

on a company; and influencing the program content of television.<br />

Newspapers and magazines receive nearly 70 percent of their revenue from<br />

advertising; commercial TV and radio derive virtually all their income from advertisers.<br />

Small, financially insecure newspapers, magazines, or broadcast stations are<br />

the most susceptible to pressure from advertisers, particularly companies that<br />

account for a large amount of the media outlet’s advertising revenue. A local newspaper<br />

may be reluctant to print an unfavorable story about a car dealer or supermarket<br />

chain on whose advertising it depends. For example, a few years ago more than<br />

40 car dealers canceled their ads in the San Jose Mercury News when the paper<br />

printed an article titled “A Car Buyer’s Guide to Sanity.” The dealers objected to the<br />

tone of the article, which they felt implied consumers should consider car dealers<br />

unethical adversaries in the negotiation process. 82 A survey of 147 daily newspapers<br />

found that more than 90 percent of editors have been pressured by advertisers and<br />

more than one-third of them said advertisers had succeeded in influencing news at<br />

their papers. 83<br />

While larger, more financially stable media should be less susceptible to an advertiser’s<br />

influence, they may still be reluctant to carry stories detrimental to companies<br />

that purchase large amounts of advertising time or space. 84 For example, since cigarette<br />

commercials were taken off radio and TV in 1970, tobacco companies have allocated<br />

most of their budgets to the print media. The tobacco industry outspends all<br />

other national advertisers in newspapers, and cigarettes constitute the second-largest<br />

category of magazine advertising (behind transportation). This has led to charges that<br />

magazines and newspapers avoid articles on the hazards of smoking to protect this<br />

important source of ad revenue. 85 One study found that magazines relying on cigarette<br />

advertising are far less likely than others to publish stories about the health hazards<br />

associated with smoking. 86<br />

Individual TV stations and even the major networks also can be influenced by<br />

advertisers. Programming decisions are made largely on the basis of what shows will<br />

attract the most viewers and thus be most desirable to advertisers. Critics say this often<br />

results in lower-quality television as educational, cultural, and informative programming<br />

is usually sacrificed for shows that get high ratings and appeal to the mass markets.<br />

It is well recognized that advertisers often avoid TV shows that deal with<br />

controversial issues. Most advertisers also have contract stipulations allowing them to<br />

cancel a media buy if, after prescreening a show, they are uncomfortable with its content<br />

or feel sponsorship of it may reflect poorly on their company.<br />

Advertisers have also been accused of pressuring the networks to change their programming.<br />

Many advertisers have withdrawn commercials from programs that contain<br />

too much sex or violence, often in response to threatened boycotts of their<br />

products by consumers if they advertise on these shows. For example, groups such as<br />

the American Family Association have been fighting sex and violence in TV programs<br />

by calling for boycotts. A number of companies, including Procter & Gamble, Mars<br />

Inc., and Kraft Foods, pulled their advertising from certain talk shows, like those of<br />

Jerry Springer, because of some of their incendiary topics. 87

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