April 1st – Advertising Censorship. Cigarette Adverts Banned For First Time

President Nixon in 1970 on this day signed legislation officially banning cigarette advertising on TV and radio.

Was this seen as an April Fool?

Even though studies showed the danger for 30 years and most states had banned sales to minors.

A difficult decision for Nixon as he was both a smoker and it had been important to America and Presidents.

Even the early American Presidents such as Washington, Jeffereson, Jackson and Madison owned Tobacco plantations. Some were chain smokers such as Franklin Roosevelt and Hoover.

The censorship of advertising continued over time into print, with the brans relying more on the image, shape and colour branding to continue to promote their brand.

Whilst  a great believer in the freedom of press and advertising, this was one where censorship was for the better good of mankind.

I miss my lung image

Image of humour applied to iconic smoking adverts. http://no-smoke.org/

I’ve decided that I’d like to spend more time with my family. Just kidding – I was fired today.

I love this honest quote from Andrew Mason the founder of Groupon who I have followed.
As an investor not surprising after further losses.

He was inspirational in spotting and setting up the opportunity. The Groupon model is a great way of getting new customers into a business. Though it is expensive, typically the offers are 50% off and then you have to pay their costs on top. So for many businesses this is a loss leader.

It works for businesses that have high fixed costs such as hotels which have major occupancy problems.

The other useful route is to get new customers used to yuor offering. Restaurants have used this a  lot. As a good restaurant can get 6 visits a year from customers who like the standard offering.

Back to Andrew Mason, it appears to be a case that he was creative and great in setting up the business, but did not have the experience to manage it at its maturity. Currently operating in 50 countries probebly too big for someone who had never run a business before.

So having had a year of poor results and the share value fall by 77% no surprise for …..

“In a note to employees he said: “After four and a half intense and wonderful years as CEO of Groupon, I’ve decided that I’d like to spend more time with my family. Just kidding – I was fired today. If you’re wondering why… you haven’t been paying attention.”

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