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To: LindyBill who wrote (177615)	8/29/2006 7:55:31 AM
From: Glenn Petersen	Read Replies (2) \| Respond to of 793817

Wal-Mart Counters Criticism With a Political-Style Ad Campaign August 29, 2006 By MICHAEL BARBARO Wal-Mart, under attack now from unions and prominent Democrats, yesterday introduced a marketing campaign that closely resembles the television advertisements used by political candidates. In a local experiment that is eventually to be seen across the country, the giant discount retailer began broadcasting two television spots that, in unusually detailed terms, trumpet its health care plans, charitable contributions and positive impact on the American economy. The ads do not attack Wal-Mart critics but introduce its merits, much as a candidate would. “Our low prices save the average working family $2,300 a year,” says the narrator of one ad. “Which buys a lot of things — and a whole lot of freedom.” For Wal-Mart, the ads represent a significant departure from its practice of rebutting critics in the media but presenting itself, at least in consumer television marketing, as untroubled by its image problems. Increasingly, however, Wal-Mart appears to believe it has failed to persuade the public that its benefits and wages are generous, leaving it open to attacks from union-backed groups and political parties. Democratic presidential contenders, for example, have seized on the company as a symbol of substandard pay and health insurance, hoping to address voters’ economic anxieties. Robert S. McAdam, Wal-Mart’s vice president of corporate affairs, said the new ads were not a response to attacks by senior Democrats like Senators Joseph Biden of Delaware and Evan Bayh of Indiana but, rather, an effort to “clear up” what he called inaccurate perceptions. “There is a lot of misunderstanding about what we do in health care,” he said. “It has been troubling that we cannot get our message out.” As a result, he added, “these ads are more direct than anything we have done before.” The ads look and sound like campaign spots — and are a far cry from previous Wal-Mart TV campaigns, which featured a yellow smiley face and blue-smocked employees. One of the spots, which evokes Bill Clinton’s “A Place Called Hope” message during the 1992 presidential election, begins with an image of Sam Walton’s first five-and-dime store. “It all began with a big dream in a small town,” says the narrator, “Sam Walton’s dream.” Later, the narrator ticks off a list of Wal-Mart’s benefits: “Last year alone, Wal-Mart created tens of thousands of new American jobs — many in areas where they’re needed most. And we offer eligible associates health insurance for less than a dollar a day.” The ads, running in Omaha and Tucson, underscore Wal-Mart’s transformation over the last several years from an insular company obsessed with low prices and technological efficiency to one that openly acknowledges its public relations troubles and has introduced numerous programs to counter them. In the last year, the company has expanded health care coverage to the children of part-time workers, has committed to sweeping reductions in energy use and has promised to work with competing retailers in urban areas where it builds stores. The ads also reflect the influence of Edelman, the public relations firm Wal-Mart has hired to rehabilitate its image. The firm has assigned former political operatives to develop a public relations strategy for the retailer, including a rapid-response war room and a blog that attacks its union-backed critics, like WakeUpWalmart.com, which organized a bus tour featuring Democratic leaders. Blue Worldwide, a division of Edelman, created the ads. Eric Dezenhall, a veteran corporate crisis expert and president of Dezenhall Resources in Washington, said it appeared that Wal-Mart had become tired of communicating its message of change through news organizations. “There is no guarantee of effectiveness,” he said of the new TV ads, “but there is a guarantee that your message goes out undiluted.” nytimes.com