The Bamberg herald. [volume] (Bamberg, S.C.) 1891-1972, 1920-06-17

machinery, material, rent, insurance
1-d :Ee various other items of eX
pense which are standard 1t was
found that a number of publishers
who own their own buildings are not
charging the item of rent in figuring
what their publications are costing,
nor have any considerable number
been including interest upon the
money invested in their plants as
part of the production cost of their
newspapers. Others have been fail
ing to put themselves upon their own
payrOllS for any adequate salray such
as they might easily earn elsewhere,
and from year to year have been la
boring under the false delusion that
they were making money. They have
not taken into consideration the de-
probation of plants and of the tre-
medously increased cost of replace
ment of machinery and still they have
continued to sell space in their publ
cations at rates which have prevailed
for years.
''The committee is strongly of the
opinion that disaster and ruin faces
thousands of publications, unless they
Immediately adjust themselves to the
new condition and rigidly adhere to
the rates which the committee of in
vestigation recommends"
By E. X. Whiting.
OmiIting a repetition of the sched-
ule given above, the little folder pub
lished by Mr.. Whiting is as follows,
and will probably open the eyes of
many who have not thoroughly inves-
tigated the matter of cost of advertis-
ing space.
I'm the formulation of schedule
of advertising rates for country news
papers the committee appointed by
the National Editorial association in
dorsed the accompanying schedule
only after careful study of all cost
data Obtainable. The cost data of
two well-knoWn midwest home print
weeklies wi. circulation of 1900 was
used as basis upon which to build
the proposed schedule. Both Of these
newspapers operate with standard
cost systems and the papers are very
similar in makeup, size and number
of pages issued during the year. The
total cost of production, including
ad composition, news composition,
presswork, makeup, mailing, print pa
per, editorial department and all di-
rect expenses chargeable to the news
paper, was S11,212.42 for one and
$11,119.03 for the other.
''In order that publishers of this
class of papers may net themselves
20 per cent. profit on the gross re-
ceipts of their newspapers it was
shown by the cost data presented that
basic rate of 35 cents an inch must
be charged. This rate provides for
Is per cent. agency commission for
all plate contracts and a similar dis
count to local advertisers making
yearly contracts. In this connection
attention of doubling Thomases is
called to the fact that the average
hour cost on the two newspapers
taken as basis upon which to formu-
late the schedule of advertising rates,
are considerably lower, than the ma
tional average for 1919.
''The committee was thoroughly
convinced by the cost data presented
that no publisher could produce an
inch of advertising for less than 20
cents and for that reason papers of
500 circulation or less are given that
rate. In stepping up and down from
the basic rates of 35 cents for papers
of 1900 circulation one member of
the committee suggested the hereto
fore accepted rate one one-half cent
per hundred circulation. This rate
was quickly rejected when it was
found that print paper costing 10
cents a pound, which is the average
price these days, and carrying SO per
cent. advertising and so per cent.
reading matter actually costs 1 cent
an inch per 500 copies for white space
alone 1t was found possible to de-
crease this "spread" slightly with pa
pers of over $500 circulation due to
the possibility of distributing the over
head charges over greater volume of
business.
'The committee suggests that pub
fishers overload rather than under
load their pages with advertising mat
ter and regularly avoid splurging with
additional two and four pages unless