Magazine article Editor & Publisher

Penney Buys into Newspapers; Retailer to Place Ads Using CNPA and State Press Associations

Magazine article Editor & Publisher

Penney Buys into Newspapers; Retailer to Place Ads Using CNPA and State Press Associations

Article excerpt

IN WHAT IS predicted to herald the future for major advertisers, J.C. Penney Co. has struck a deal with the California Newspaper Publishers Association to place ads with newspapers in all 50 states through state press associations.

CNPA's California Newspaper Network, which provides one-order/one-bill service, has been working with J.C. Penney's Western corporate media manager, Larry Walker (Sept. 20, p. 25), and will take on the additional task of facilitating Penney's ad placements throughout the country.

CNPA executive director Jack Bates said the process was to begin in October with association ad groups in Oregon,Washington, Idaho, Arizona, Nevada, New Mexico, Colorado, Kansas, Utah, Montana and Wyoming. Eventually, he said, 1,300 U.S. newspapers will get business through the system.

Bates said the California network, in addition to continuing to work with Walker for Western newspapers, will team up with three other Penney district managers and will serve as the hub linking the giant retail chain with other state press associations, all of which offer one-order/one-bill service for member papers. "This signals a new way that major advertisers want to do business," Bates said. "Radio and television have been doing this for years and now we are having the first big rollout for the arrangement." Since it began in 1992 with $800,000 in billings, CNN has grown to handle $40 million worth of ads a year.

Bates disclosed that CNPA already has expressions of interest from other big advertisers "who like our model and the job we're doing. …

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