MARKETING POWER L.A. PASSES TEST FOR NEW PRODUCTS.

Byline: Brent Hopkins Staff Writer

Jim Koch already figured he had a good beer, but he needed the right place to drink it.

Koch, head of the Boston Beer Co. and brewer of Samuel Adams, knew his suds would be a hit in his hometown, but he needed a very large second opinion. So, he followed the lead of a slew of other manufacturers and headed to Los Angeles to test market his new Sam Adams Light. Whether Angelenos are trying new threads or flooring sports cars, their opinions are increasingly desirable to manufacturers of nearly every imaginable product.

``It's the very representation of 21st-century America,'' Koch said, sipping a glass of his new brew at a recent Melrose taste test. ``In the '60s, people would test market to Columbus, Ohio. But this is the 21st century - there's not many Hispanics there, not many blacks. The demographics are right here - you have this huge rainbow here with racial, cultural and ethnic diversity, and that's America today.''

Census data confirms Koch's supposition, with Los Angeles reporting 70 percent of its residents were non-white in 2000. Its large Latino makeup makes it a favorite for companies introducing Latino-themed products - frequently alcohol-related, which raises the ire of Latino advocates. But beyond merely the demographic makeup, the city has a cache that can rub off on the products showcased here.

``L.A. is America everywhere, from Culver City to Glendale, but there's also a cutting edge,'' said Rob Schwartz, executive creative director for advertising giant TBWA/Chiat/Day. ``You get the best of 'Will it play in the square states?' and the leading edge, as well. It's one part practicality and one point future forecasting.''

Schwartz saw this firsthand when his agency handled the marketing account for Nissan's SE-R earlier this year. Figuring the tricked out sedan would appeal to Los Angeles' fast and furious street racing scene, the ad agency designed its campaign with a hip edge, using an anime-inspired DVD rather than standard promotional literature. Though designed with a limited market in mind, the cache rubbed off, and the car has been given national launch.

Similarly, Hollywood can turn to its own back yard to test the waters. When studios have a product with questionable broad-based appeal, Angelenos and New Yorkers get the first look before it comes to theaters near you. According to Robert Bucksbaum, president of box office tracking firm ReelSource, Los Angeles has broad general demographics, yes, but more importantly has access to entertainment's elite.

``You're not talking about just one specific audience,'' Bucksbaum said. ``There's so many different ethnic groups and high-profile people. There's lots of people in the business, directors, producers, actors - if they see a movie before it's released (elsewhere), word spreads like wildfire across the whole country.''

He cited the recently released Jennifer Aniston vehicle ``The Good Girl,'' strong in its initial run locally and eventually destined for wide distribution by summer's end. Additionally, the phenomenally successful indie ``My Big Fat Greek Wedding'' enjoyed strong reviews and box-office support from locals before a slow-building widespread release.

Particularly useful for Hollywood, but for other lifestyle products as well, is the city's omnipresent place in the spotlight. Saturation media coverage provides free advertising for a product that would normally need heavy promotion in multiple markets, according to Kate Fitzgerald, a contributing editor to Advertising Age.

``L.A.'s the center of a lot of media,'' she said. ``A lot of entertainment content is generated there, so things in that market are covered faster. You just don't have that access in Des Moines.''

That's not always a good thing, however, because if Angelenos and their cosmopolitan counterparts in the 212 reject a product, that sends manufacturers into a panic.

``They'll either try to re-merchandise it and repackage it,'' said Scott London, a partner with KPMG's Warner Center office. ``I have a client who sells hair care products, and they had one that didn't work out. They totally repackaged it based on the initial sales. After two to three attempts, if it won't sell, they have to do more drastic things.''

And in the film world, that can mean the end of the run for a release that's not pushing tickets.

``Usually if a film tanks in New York and Los Angeles, that's the last you'll hear of it,'' Bucksbaum said. ``That's why studios don't talk about their release patterns; they want to see how it'll do here before they let it out somewhere else.''

The same proves true for something more run of the mill, like Koch's beer. He released it to restaurants and bars last week, and will offer it to retailers by Sept. 16. And if Angelenos take to it, the nation at large will have the brew by year's end. Ad guru Schwartz said if successful, the test could provide a much-needed boost for the brewers.

``A company like Sam Adams needs some momentum,'' Schwartz said. ``They've had some success in the past, but they may be getting a little dusty on the shelf. So they get a new product, and they bring it out to L.A. and get a trend started. They know if they make it in L.A., they'll make it anywhere.''

CAPTION(S):

2 photos

Photo:

(1 -- color) Jim Koch, founder of Boston Beer Company, pours a glass of his new Sam Adams Light beer during a luncheon to introduce the brand to the media Tuesday in Hollywood.

(2 -- color) When Boston Beer Co. wanted to test-market its new Sam Adams Light, the target market was Los Angeles, not the Midwest.

Tom Mendoza/Staff Photographer