Day 300 - 14 Nov 96 - Page 26


     
     1        homes as a constant reminder of McDonald's.  That is bundle
     2        page 149.
     3
     4   MR. JUSTICE BELL:   This is pink 7 still is it?
     5
     6   MS. STEEL:   No, this is pink 10, the operations manual.
     7
     8   MR. JUSTICE BELL:   Page again?
     9
    10   MS. STEEL:   149, bundle page.  It is 653 of the actual
    11        operations and sales manual.  On that page is says, "The
    12        McDonaldland Fun Times magazine is the most widely
    13        circulated children's magazine in the world."  Obviously,
    14        that is a massive advertising about children effort,
    15        whatever.
    16
    17        Another thing that should be added to the McDonald's
    18        advertising budget to children is that on page 154 there is
    19        a reference to school shows which says that "Through a
    20        series of magical and funny, non-commercial events, each
    21        with a lesson, ronald mcdonald can entertain and teach
    22        children in schools in your trading area.  They are 40
    23        minute shows and the book with Ronald emphasises reading
    24        and the kids receive a bookmark which gives them a free
    25        cheeseburger or hamburger at McDonald's..." et cetera, et
    26        cetera.  The most interesting part to McDonald's is that
    27        this brings them and their families into McDonald's, which
    28        is obviously what it is all about.  It is not about being
    29        helpful to children and encouraging them to read.  It is
    30        about encouraging them to come into McDonald's and spend
    31        money.
    32
    33        On the point that Mr. Rampton was saying this morning,
    34        about children not being any more impressionable to ads
    35        than adults, on day 44, page 43, line 24, Mr. Green said
    36        that certainly children are impressionable, and then you
    37        asked, "What I think is being put to you is this, children
    38        are particularly easy to impress via advertising or in any
    39        other way.  Do you agree with that?"  He said, "I think
    40        that children are relatively easier to impress than may be
    41        someone who is older, but I do believe, at least from my
    42        point of view and experience, that children are fairly
    43        sophisticated about what they like or do not like."  That
    44        part is really by the by.  Then he says, "The most
    45        impressionable, which would be the very young children,
    46        really I believe look at McDonald's and McDonald's
    47        advertising as entertainment and not much more than that."
    48
    49        Well, that is precisely the point.  They do not see it as
    50        advertising, they see it as entertainment.  They associate
    51        McDonald's with fun, rather than with selling them
    52        products, and so they are being duped by the company to
    53        either go and spend money there themselves or to hassle
    54        their parents to go and spend it for them.
    55
    56        Further on on that page there was reference to Ronald
    57        McDonald being a strong marketing tool.  Over the page,
    58        page 44, Mr. Green said, "Yes, he is a strong marketing
    59        tool."  He was asked, "So effectively he is being used to
    60        increase the profits of the corporation?"  He answered

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