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AOL introduces "Black Focus" to lure subscribers

(June 6, 2003) America Online, the Internet service provider with more African-American subscribers than any other, has introduced its first service specifically for them. AOL Black Focus has been launched as a comprehensive new area on the AOL service.

Visitors can choose information from categories like “Beauty & Style,” “News & Money” and “Inspiration.” These are links to content from AOL Time Warner-owned properties like Africana.com, CNN and Entertainment Weekly. There’ are also articles from Heart & Soul, Black Enterprise and Savoy and transcripts from NPR’s Tavis Smiley Show. Oddly, there’s no affiliated content with Essence magazine, which is 49% owned by AOL TW.

The new service debuts with modest offerings, considering that it is part of a conglomerate with unmatched news and information resources. AOL has one of the largest black audiences of any subscription-based media outlet, but this new service has less content and brand recognition than Africana.com.

Belinda Hankins, executive director and general manager of AOL’s African American Business Category, believes that will change. “In our next phase, we will be offering expanded broadcast features and new editorial programs around home-ownership, health and children’s literacy, which we recognize to be important issues for the community.”

From AOL's press release:

Prior to launching AOL Black Focus, America Online commissioned a national survey through Digital Marketing Services, Inc. (DMS), a leading provider of online research, to analyze online trends, behavior and preferences among online African Americans and the general online population.

The survey revealed that while African Americans may share many of the same online interests as the general online population, they have developed their own unique online identity. For example, online African Americans are taking the lead in adapting some of the newer online technologies and features, such as broadband, faster than the general population.

In addition, African Americans are active online consumers, who respond more to online offerings and purchase more clothing and music online than the general online population.

Specific findings of the DMS survey include:

-- 85% of online African Americans stated that an African American centric news source would be very or somewhat valuable to them;

-- 43% of online African Americans access the Internet using a broadband connection compared to 36% of the general online population;

-- Among those Internet users who are not currently using a broadband connection, African Americans are 27% more likely to get a broadband connection within the next year than the general online population;

-- A majority of African Americans read online ads, and 46% find them informative compared to 26% of the general population;

-- African Americans are active online consumers, purchasing more clothing/apparel online (48% vs. 41%) and more music/videos (44% vs. 39%) than the general online market;

-- African Americans listen to music online and watch videos more than the general online market;

-- 74% of online African Americans say the Internet has had a positive effect on their children; and

-- Top three online activities for African Americans are #1: check/send email, #2: access news/headlines and #3: play online games

Ken Gilbert named president and COO of UniWorld

(May 13, 2003) Byron Lewis, chairman of the UniWorld Group has announced the appointment of Ken Gilbert to the newly created position of President and Chief Operating Officer. Gilbert, 52, comes from the brand marketing side where he was chief marketing officer of Snapple. He left the company in April of 2001 when it was bought by Cadbury Schweppes.

There are interesting parallels in the appointments of Gilbert and Ann Fudge, who was just named chairwoman and CEO of Y&R, the third largest agency under the WPP corporate umbrella. Both are African-Americans who come from the package goods marketing. and have established track records of success.

”I think the big challenge in advertising is making sure that the clients value it as a real effective marketing tool. When you look at the whole marketing mix advertising is of course extremely important. But clients often question – without getting the answers they want – what advertising is bringing to the party. “

”Clients are driving advertising now a little bit more than they have in the past,” said Gilbert, “and if you want to be good at servicing, providing a great product that clients love and appreciate as part of the marketing mix, one of the smart things that you can do is have someone that has first hand experience with that.”

Gilbert returns to UniWorld where he was senior vice president, director of client services between 1989 and 1991. He has also held positions at Della Femina Macnamee Advertising, Mingo Jones Advertising and Benton & Bowles.

Ann Fudge named chairwoman and CEO of Y&R

(May 13, 2003)Young & Rubicam Inc. has announced that Ann Fudge, former president with Kraft Food Inc., has been named to replace out-going chairman, Michael Dolan, who submitted his resignation yesterday. The appointment makes Fudge the highest ranking African-American executive in the advertising industry.

(May 13, 2003) Fudge, 50, has a long and successful history of packaged goods experience like her predecessor Dolan. At Kraft she was responsible for $2.7 billion in business encompassing a wide assortment of brands, including Maxwell House, Post Cereals and Log Cabin Syrup.

She earned a graduate degree in business administration from Harvard University in 1977. Upon graduation she started her career as a marketing assistant at General Mills. She soon after became marketing director, taking charge of four brands simultaneously.

In a recent newsletter from the Global Institute for Leadership Development, Fudge was asked about her management philosophy. "I do not lead from my heart," she said, "rather I lead from a core of integrity, honesty and respect for the individual. I'm open and I listen. The ability to truly listen to all perspectives is the key to real leadership."

UniWorld spots score among highest with consumers

(May 6, 2003) If you read the quarterly rankings from Intermedia Advertising Group that recently appeared in Ad Age, you may have missed the fact that the UniWorld Group ad agency had not one, but two commercials in the top ten of the “Likeability” category.

That’s no small feat. The IAG Quarterly Recall Report comes from a panel ranking only new ads appearing over a three-month period. The pool consists of spots viewed by general market audiences. The Likeability Top 20 ranking is based on more than 2.6 million surveys of TV viewers conducted between Jan. 2 and April 1.

UniWorld captured the number three spot with its “Steve Harvey Live” commercial plugging Burger King’s Croissan’wich. The agency also took the sixth spot with a commercial titled “Car Wash” for Ford’s Explorer SUV. The ads had an index of 208 and 204 respectively. BY comparison, Budweiser’s hit Super Bowl commercial featuring the Clydesdales playing football was the number one likeable spots with an index of 256.

A third commercial for former client, Pepsi, featuring the attention-grabbing movements of hip-hop dancers, also placed on the Likeability list.

The popularity of the commercials was not a mystery to Valerie Graves, UniWorld chief creative officer, “It’s like our chairman, Byron Lewis often says; that is black creativity fuels American culture. America is hungry for a new picture of itself. The ‘Car Wash’ spot is a low-key commercial but it shows a tremendous amount of camaraderie between an African-American, a Hispanic and a white guy.”

Julie Bailey, director of media for UniWorld, said that the spots were part of a general market rotation, and were only five to 20 percent of the schedule. “If you can make that much of an impact with less than one-tenth of the exposure that the general market ads are getting, that’s got to tell you something about the tastes of the general market.”

”This report shatters this unspoken myth that black creative is not ready for primetime,” said Graves.

GlobalHue mounts Harlem debut for Chrysler's Pacifica spots

(April 25, 2003) Just days before the opening of the New York Auto Show, Chrysler hosted a rare debut for its multicultural ad campaign spotlighting its new Pacifica SUV. The black-targeted commercials created by GlobalHue were screened at Harlem's famed Schomburg Center to an audience of African-American media, politicos and luminaries.

The new campaign is part of an effort to re-position the entire Chrysler line as a premium brand rather than as a mainstream brand. "We can accomplish that with this unique fusion of terrific American style combined with the German DNA of quality, engineering and technology," said Bonita Stewart, director of Chrysler Brand Communications.

The vehicle's African-American target buyers are 35-54 year-olds with median household income of $70,000. "What we're going after is African-American trendsetters and influencers, to get them to really understand Pacifica," said GlobalHue chairman, Don Coleman. He hopes to give Pacifica a hip cache among black consumers that will translate into strong demand among all car buyers.

Pacifica will compete with comparably priced vehicles from Lexus and Audi. The suggested retail price starts at $31,230.

The name for vehicle comes from Chrysler's design studio in Pacifica, California where it was born. To contrast that West Coast affinity, all of the black-oriented spots were shot in Harlem to capture an aura of cultural sophistication. No black spokespersons have been assigned, but Coleman says that singing duets are being considered with vocalist Celine Dion, Chrysler's new endorser.

The black television creative will be rotated with general market spots, all of which of debut during the start of TV ratings sweeps on May 1st.

Kudos to Burrell for being named Sears' Quality Vendor of the Year

(April 25, 2003) Each year for the past 20 years, Sears, Roebuck & Co., has selected vendors from among more than 10,000 to bestow its Quality Vendor of the Year honor. The nominations come from the retailers' employees who are buyers and purchasing agents.

Burrell Communications Group was honored earlier this month by Sears chairman and CEO, Alan J. Lacy as this year's winner in the "Strategic Initiatives" category. "We at Burrell are truly honored to be the recipients of such a prestigious recognition," said Tom Burrell, chairman and CEO of the ad agency.

Harris polls the religious and other beliefs of Americans

(April 25, 2003) If you thought that African-Americans are more likely to have a stronger spiritual foundation than other folks but couldn't prove it, now there's proof.

In January (well before Easter and the start of the Gulf War), The Harris Poll conducted an online survey of 2,201 adults and found significant differences between African-Americans and other respondents. Here are some highlights.

- 96% of African-Americans surveyed professed a belief in God; 90% of whites said likewise, as did 85% of Hispanics

- 90% of blacks believe in miracles; 84% of whites also believe, and so did 81% of Hispanics

- 86% of blacks surveyed said they believe in Heaven; 83% of whites and 79% of Hispanics

There's clearly a difference in perception about those who have gone beyond. Only 43% of blacks believe in ghosts, but 51% of whites profess to their existence, as did 59% of Hispanics.

ELEVEN BELIEFS BY RACE

	All Adults
	All Adults	White	Black	Hispanic
	%	%	%	%
God	90	90	96	85
Survival of the soul after death	84	85	79	86
Miracles	84	84	90	81
Heaven	82	83	86	79
Resurrection of Christ	80	81	88	74
The Virgin birth	77	78	78	72
Hell	69	69	77	69
The devil	68	69	76	63
Ghosts	51	51	43	59
Astrology	31	29	47	33
Reincarnation	27	25	29	33

Russell Simmons moves Rush into financial services

(April 2, 2003) Russell Simmons has already put his mark on music, television, clothing, stage productions, cellular services, marketing services and more. Now add to that list his latest business foray; financial services.

The ubiquitous entrepreneur of hip-hop has announced the creation of the Rush Card, a Visa debit card targeted to those to whom banks traditionally will not cater. The card is a product from UniRush Financial Services, a joint venture between Rush Communications and Unifund Corp. The latter is a Cincinnati-based firm that buys unpaid consumer debts.

Enrollees will be able to make deposits on their cards by wiring money or directly from their payroll checks. After signing up for a minimum of $19.95, the user pays $1.50 for ATM withdrawals and $1 for Visa purchases. Simmons said the card will offer greater convenience and lower charges for those who now do their banking at check-cashing facilities.

UniRush Financial Services has a goal of signing up 250,000 customers by the end of the year. The service quietly debuted in January and already has 11,000 cardholders. Marketing for the Rush Card will initially rely on Unifund's database of four million customers.

Johnathan Rodgers to head Comcast-Radio One cable channel

(April 2, 2003) After working as a consultant to Radio One for a year on the development of its cable channel, Johnathan Rodgers has been named president and CEO of the venture. The channel, which for the momentis being called TV One, is a joint venture between Radio One, owner of 66 urban stations, and Comcast, the nation's largest cable company.

Rodgers has 26 years of broadcasting experience and is one of the
industry's most successful executives. His most recent tenure was
with Discovery Networks where for six years he headed the programming, marketing, distribution, ad sales and research operations. His efforts led to cable ratings records and hundreds of programming awards, including a Peabody, 11 Emmy awards and an Oscar nomination.

Prior to joining Discovery, Rodgers, 57, spent 20 years at CBS in a
variety of positions. He rose to become president of the television
stations division where he built his reputation on creating the most
profitable stations in the industry.

"There are few people in America that have as much experience as he
does in both the broadcast and cable network industry," Radio One
president and CEO Alfred Liggins III told the Washington Post, "and
certainly there are no African-Americans that even come close."

The channel's founders had hoped to launch this summer, but that's
being pushed back because the team is still being hired and
programming has not been selected.

MBC's nightly news show a sample of the channel to come

(April 2,2003) The other cable venture that's being closely observed is the one that the Major Broadcasting Cable network (MBC) is planning as a 24-hour news channel. As a means of staking out the category as quickly as possible, MBC is launching a one-hour nightly newscast this week on
Friday, April 4.

The program will air Monday through Friday at 7:00 pm (eastern). "MBC
Network News is a prelude for viewers to our MBC News - The Urban
Voice [channel]," said chairman and CEO Willie E. Gary. The program
and channel are being produced with Florida's News Channel, a
minority shareholder which is providing infrastructure for the news
operation. MBC is available in 24 million homes.

Chicago ministers' boycott of Chrysler to go national

(March 19, 2003) Automaker Chrysler appears to be headed for a public relations problem.

In February, six African-American customers in Chicago filed a lawsuit against Chrysler Financial alleging they were intentionally denied low-interest car loans. The plaintiffs charge that Chrysler Financial "redlined" minority car buyers using a computerized credit-scoring system.

Local clergymen, acting in support of the suit, plan to announce a national boycott against Chrysler in Washington. this week. Their action comes after unsuccessful efforts to address what was mainly a local issue involving one dealership in Chicago. Marquette Chrysler Jeep and Sales, located on Chicago's South Side, was the dealership cited by the six customers in their suit.

The ministers requested meetings with Chrysler's top managers, including group president and chief executive officer Dieter Zetsche and Chrysler Financial president Jurgen Walker. While car company officials repeatedly expressed a willingness to have talks, none materialized. The Chicago boycott organizers, with the support of ministers in New York, Washington and Atlanta, decided to take their campaign national.

Chrysler now faces the possibility of a class action lawsuit. In its defense, Chrysler has said that the problem is a local issue with its Chicago area dealers, and that the company has been investigating. The findings thus far, said the automaker, did not turn up any wrongdoing. However, officials have not forthrightly denied that its credit evaluation does not systematically reject African-Americans in certain neighborhoods. The lawsuit additionally charges that racial slurs were against black customers.

One research company, CNW Marketing/Research said that African-Americans purchased 310,000 new Chrysler, Dodge and Jeep vehicles last year, or 14 percent of the company's U.S. sales.

BMW names Matlock Advertising its African-American agency

(March 19, 2003) After conducting a search with more than 40 African-American ad agencies, BMW has selected Matlock Advertising and Public Relations of Atlanta to handle its black consumer market campaigns.

Kent Matlock founded the agency in 1986 and it has grown to $25 million in billings. Among the clients on the agency's roster are Coca-Cola, Bell South Dell Computers and Publix Supermarkets. Matlock succeeds BMW's first African-American ad agency, Washington Daniel Advertising in Chicago, which handled the account since 2000. Billings for the agency were not disclosed.

New Internet study shows blacks' usage is gaining

(March 19, 2003) According to a new Arbitron/Edison Media study, African-Americans' access and usage of the Internet has grown substantially. Data show that the general population and African-Americans are virtually equal in having access to the Net from any location (75% vs. 74% respectively).

The Arbitron/Edison study also found that Internet access from home or work is available to 60 percent of African-Americans That's up from earlier estimates of 35 to 40 percent from other studies. This narrows the gap considerably with whites, 70 percent of whom were found to have similar access.

Nissan's Black History ad draws protests and criticism

(March 7, 2003) For Black History Month, Nissan launched an ad campaign it hoped would inspire African-Americans to think differently about civil rights. Instead the car company became the target of demonstrators and protests.

A billboard created by Nissan’s recently hired black ad agency, True, featured the words “Black History Month” with the word History crossed out and replaced with the word “Future.” Among the first to criticize the campaign was the Black Anti-Defamation League in Los Angeles. The group held a demonstration in front of one of the 8-sheet displays.

”To cross out our history is defaming to all of the successes that we’ve had,” said the group director, Pearl Junior. “They need to change this campaign immediately.”

”I would have felt better had it said ‘Black History is our past and our future.’ This billboard is causing controversy, and it’s not good for the company,” said Glenda Gill, bureau director of the Rainbow/PUSH Coalition’s automotive project.

A statement issued by Nissan said the company “never intended for any elements of the campaign to engender negative feelings within the African American community, and we regret if there was any misunderstanding about our intent.”

Nissan and the True agency were the subjects of controversy last year when questions were raised about whether the ad agency was black-owned and experienced enough to handle a major account. At the time it was named by Nissan, the agency had no other accounts and was housed in the offices of the general market ad agency for the automaker.

Nielsen says 10 million blacks are online; ranks top sites

(March 7, 2003) According to the Nielsen/NetRatings survey, African-Americans are now eight percent of the online population for a total of 10 million surfers. Perhaps more dramatically, Nielsen found that 32 percent of blacks online used a high-speed connection. That’s an increase of 55 percent from last January. That makes African-Americans the fastest growing segment adopting the use of broadband services.

”The emergence of strong sites with a high concentration of African American visitors gives marketers ample opportunities to target their messages to a qualified, growing audience,” said Charles Buchwalter, vice president of Nielsen NetRatings.

The average time African-Americans spent online during January was 44 hours, with 1,186 pages viewed. By comparison, the average spent online for the general population was 50 hours with 1,444 page views. The most visited site by blacks online was BlackPlanet.com.

Chisholm-Mingo Group gets assignment from Grace Foods

(March 7, 2002) Grace, Kennedy & Co., a Jamaican-based major producer of canned goods and beverages, has selected the Chisholm-Mingo Group to create advertising for its Tropical Rhythms fruit drink brand. The campaign will run in the U.S, Canada, Latin American and the United Kingdom.

The ad agency will develop radio, TV and out-of-home ads, as well as in-store promotions. Grace, Kennedy, was founded in 1922, is the largest consumer goods company in the Caribbean. It produces more than 10,000 products generating $400 million in annual revenue.

Pepsi negotiates with Russell Simmons and avoids boycott

(Feb. 12, 2003) Hip-hop entrepreneur Russell Simmons has suspended a call for a boycott against Pepsi for disrespecting the hip-hop community. By featuring the Osbournes (famous for their profanity laced show) in its latest TV commercial, Simmons said the beverage company practiced a double standard when it pulled spots featuring rapper Ludacris.

Pepsi has agreed to contribute $5 million to the Ludacris Foundation and to continue negotiating with the Hip-Hop Summit Action Network on its other demands. On Feb. 5 Simmons outlined three demands he wanted Pepsi to meet: that an apology be issued to Ludacris, that a donation of $5 million be given to the Ludacris Foundation, and that the commercials featuring the artist be put back on the air.

The Campaign for Respect, as Simmons called it, is “looking forward to some kind of resolution. But if not, one week from today we start the boycott.” He insisted that this was not a black issue. “It’s all of young America that buys into hip-hop and has respect for this culture that will refrain from using Pepsi products.”

A Pepsi spokesperson originally responded to the boycott saying, “The Ludacris situation was unfortunate for all concerned. We learned from it and we moved on. We completely understand and respect Russell Simmons’ passion for promoting hip-hop music and we are working with his and others to do just that.”

In September, Pepsi pulled its spots featuring rapper Ludacris after Fox News commentator, Bill O’Reilly, said his viewers should boycott Pepsi because of the artist’s hardcore lyrics.

The Ludacris spots were created by the UniWorld Group ad agency in New York. When the agency’s contract ended this past December, Pepsi named Spike DDB as its new African-American agency and signed singer Beyonce Knowles of Destiny’s Child as the company’s latest endorser.

Skip Finley appointed vice chair of Inner City Broadcasting

(Feb 12, 2003) Skip Finely, the radio veteran who already serves on the board of Inner City Broadcasting, has been named vice chairman of the company. Inner City Broadcasting Corporation owns and operates 17 metropolitan radio stations, including flagship station WBLS 107.5 FM in New York.

MBC announces launch of first black-oriented 24-hour news channel news

(Feb. 12, 2003) The African American-owned and operated Major Broadcasting Cable Network (MBC), today unveiled plans for "MBC News: The Urban Voice," the nation's first 24-hour African American news channel. attorney Willie E. Gary, who is also the chairman & CEO of MBC, made the historic announcement at a press conference Tuesday following the Cable Advertising Conference in New York City.

"A 24-hour black-owned and operated news channel will bring news from a different perspective to urban communities across the country," said Gary. "This is a major breakthrough in television news. MBC News will have a tremendous impact by broadcasting the positive aspects of African American culture, which are too often ignored by other networks."

MBC will have a minority shareholder in the venture, Florida's News Channel, to assist with the infrastructure for the news operation, including production and distribution. "MBC will have total and complete control of the news content, including the reporting, gathering and editing of the news, and we will help get the news out," said Bob Brillante, managing partner of the Florida News Channel.

The four-year-old MBC is now available in some 24 million homes and 2,400 cities. The announcement of the news service comes of the heels of BET recently dropping most of its news and public affairs programming. Radio One and cable giant Comcast announced last month a joint venture to launch a new black-targeted cable and digital channel this summer.

Howard School of Communications to be named for John H. Johnson

(Feb. 12, 2003) Howard University is to receive a $4 million contribution from John H. Johnson, publisher and chairman of Johnson Publishing Company, publishers of EBONY and JET magazines. The School of Communications will be named in Johnson’s honor.

Johnson’s gift supports “The Campaign for Howard: Leadership for America and the Global Community,” a five-year initiative to raise $250 million. Launched in March 2002, the goal of the campaign is to harness resources to further enhance the University’s academic programs and create new facilities for learning and research. To date, the campaign totals more than $75 million in contributions.

“Mr. Johnson is a pioneer in African-American publishing,” said Swygert. “His contributions to journalism have played an extraordinary role in chronicling the struggles and successes of African-Americans in all facets of life for six decades. It is very fitting and with a deep sense of gratitude that we look forward to recognizing Mr. Johnson by naming the new Howard University School of Communications in his honor,” said Swygert

“ I have been a big admirer of Howard ever since I attended the first NAACP meeting in Baltimore when Thurgood Marshall was named assistant counsel,” Johnson said. “I knew that he was a Howard graduate and I have been so inspired by the marks that he and so many other alumni have made on this nation. I am honored to make a contribution that will help to advance the cause of Howard.” Johnson Publishing Company employs a number of Howard University graduates in many facets of the business including journalism, advertising and public relations.

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