RadioShack Takes Risks in New Ad Campaign

RadioShack launched a new advertising campaign that includes sexual and other questionable references. The situation is an interesting example of persuasive communication—catchy and potentially offensive.

A Wall Street Journal article describes franchisees’ mixed reactions to the approach as well as the company’s new cryptocurrency exchange platform. As the majority franchisee, Bob Wilke, president of HobbyTown Unlimited complained, “This is so damaging to their integrity, and the reputation of the brand. We just do not want to be associated with that type of marketing.”

The company follows a sad story line, with 8,000 at its prime in 1999, filing for bankruptcy in 2015 and 2017, getting acquired, and limping along with 110 stores today. Looking at RadioShack’s history, we do see a different picture from the current marketing. This Business Insider article chronicles ads from the company’s inception in 1921, when products were sold primarily through catalogs.

Abel Czupor, the new marketing head, responded to the controversy: “Every company that has lovers also has haters, but that just means that marketing is working. And I would rather have lovers and haters than not having anyone that knows about the brand.” Edgy marketing attracts attention, but it’s not always positive. Business communication students can analyze the company’s roots and progression to decide whether the current strategy might work or only drag the brand further down.