Welcome to Direct Marketing INSERT AND CO-OP MEDIA Chapter 13

Insert and Co-op Media Co-op mailings allow marketers to share costs, thus attaining a much lower cost per thousand circulation Participation in a co-op costs about one-fourth as much as a solo mailing, response rate from a co-op is also only one-fourth as much

Insert and Co-op Media To ensure readership, use a simple message clearly stated with effective graphics More alternatives means less response. If the offer appears to be too much trouble, the home shopper goes to the next offer

Direct Mail Consumer Co-ops ADVO, Shop Wise, Money Mailer, ValPack, Valassis – National – Market (retail trade zones) – Zip code, SCF etc. – Sub Zip – Carrier route – Household

Newspaper Inserts and FSI’s Valassis, Smart Source, etc. Distribution selection can be complicated Cost effective at $4-8 Takes advantage of the reputation of the distribution vehicle Total Market Coverage Programs

Statement Insert Programs Implied endorsement from the billing organization Bang tail envelope – Offer printed on the reply envelope Cost $25 - $40 per thousand

Customer Mailing Ride-Alongs Are included in mailings already going to customers Low distribution cost

Insert and Co-op Media Coupons are an excellent way to generate inquiries for a high-priced item or to sell a lower-priced product or service They work well for offers requiring a minimum of information for a target audience

Insert and Co-op Media To test co-ops, know what your break-even point is and test a sample large enough so your result can be acted Test a cross-section of the complete co-op list. If no "nth" sample is available, request distribution in several different markets—all widely dispersed Don't let too much time elapse between your test and your continuation

Online coupon activity Three major promotional models – In-store redemption – Online redemption – Continuity/Affinity programs

Key Points Co-op mailings allow marketers to share costs, thus attaining a much lower cost per thousand circulation But while participation in a co-op costs about one-fourth as much as a solo mailing, response rate from co-op is also only one-fourth as much.

Key Points To ensure readership, use a simple message clearly stated with effective graphics. More alternatives means less response. If the offer appears to be too much trouble, the home shopper goes to the next offer.

Key Points Coupons are an excellent way to generate inquires for a high-priced item or to sell a lower-priced product or service. They work well for offers requiring a minimum of information for a target audience.

Key Points To test co-ops, know what your break-even point is and test a sample large enough so your result can be acted on. Test a cross-section of the complete co-op list. If no nth sample is available, request distribution in several different markets-all widely dispersed. Don’t let too much time elapse between your test and your continuation.