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Wal-Mart told the National Newspaper Association last week that it would no longer put run-of-press ads in local newspapers, BrandWeek writes.
However, Wal-Mart CEO and president Lee Scott told the Newspaper Association of America that the company would use local newspaper ads as part of the “Wal-Mart Jobs and Opportunity Zones” initiative. The program works with store managers to identify and feature up to five local businesses per quarter in its “Small Business Spotlights” in community newspaper ads.
In December 2005, Wal-Mart ran a test ROP ad in several hundred small newspapers in the Midwest for its electronics department.
“Wal-Mart told us they did see a pretty good bump in sales on the items and in the department,” said Mike Buffington, former NNA president and co-publisher of MainStreet Newspapers. “But they bought very expensive full-page process color ads for thin margin electronic items… [so] I’m not sure that that’s a true analysis.” He added, “The day will come when they want to take another look at what community newspapers have to offer.”
Wal-Mart said that the test didn’t change existing programs to advertise in local papers. “We advertise in weekly circulars and around new store openings,” said Wal-Mart representative Kevin Thornton. “This entailed an ad campaign around holiday time over high-end electronics. We’re not going to continue that kind of advertising.”
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