Channel Spotlight: 3Q 2010 Insert Media Universe Update

The current total universe of Bind In/Blow In and Package Insert Program opportunities gives us a sneak peek at marketer’s 2011 circulation plans.

While the year-end Market Trends studies are in development, below is an update through 3Q 2010 on the overall universe for PIPs and Bind In/Blow Ins. Both insert media channels can serve as critical tools in the multichannel mix for a variety of marketers.

Bind In/Blow In
Bind In/Blow Ins (inserts either bound in or loose in the pages of catalogs or magazines) provide huge reach to marketers. The vast universe, combined with their relative low cost, attracts a variety of consumer marketers, from merchandise offers (solo or continuity) to insurance and memberships.

There are 250+ Bind In/Blow In programs on the market, and the combined universe in 3Q 2010 totaled nearly 2.5 Billion, on par with 3Q 2009. There’s been a slight uptick in 3Q 2010 from the end of 2009 (up about 3%), signaling optimism by marketers in their 2011 circulation schedules.

More good news: a few consumer catalogs released new Bind In/Blow In programs, including:  A.M. Leonard, Home Trends and What on Earth.

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Sightings: New Nonprofit Efforts for December 2010

Here is a look at some recent notable fundraising direct mail promotions from MarketRelevance that effectively position their appeal by putting a particular face on the organization’s initiative or mission: Food for the Poor, Rady Children’s Hospital, Iona Senior Services, and The Eye-Bank for Sight Restoration.

Note: Click on any promotion graphic for a more complete view.

Food for the Poor Includes Timely Freemium
Catholic organization Food for the Poor recently mailed a package devoted to the group’s recent work in Haiti and its establishment of the Banana Bark program, which helps poor Haitians earn money by selling handcrafted greeting cards.  The 6.25” x 11” package reads “Handmade Cards from Haiti” and contains 5 sample holiday greeting cards made from naturally shed banana tree bark.   The enclosed letter tells the story of a young mother, Johanna Etienne, also a nurse in-training, who suffered serious head injuries and had her home and her possessions completely destroyed by the January 2010 earthquake in Haiti.  Now, her only income comes from her work making cards through Food for the Poor’s Banana Bark program in Cap-Haitien.  The reply form presents an ask ladder of $15/$20/$35/Other, along with the option to order packs of Christmas or all-occasion cards (suggested gift: $15 per pack of 10).  A separate insert details the steps in making the cards and offers a toll-free number and website to order more.  Food for the Poor has worked in Haiti since 1986.

Vitals: direct mail, delivered 11/22/10, 6.25 x 11” package, ask array = $15/$20/$35/Other

Rady Children’s Hospital Sends Lunch Bag
Rady Children’s Hospital, a pediatric health center based in San Diego, mailed a bulky, attention-getting 9.50” x 6.50” package with a lunch bag freemium.  While the free gift is noted on the exterior, the mailing is primarily dedicated to telling the story of a high school freshman diagnosed with cancer.   The back of the envelope reads “Football. Cancer and Chemo.  Not the typical life of your average 14-year-old.”  Darren, a patient who successfully fought off a tumor after being diagnosed with Mature B Cell Lymphoma, is pictured holding a photo of his football team.  The letter also points potential donors to HelpRadyChildrens.com to view photos of Darren’s teammates who honored him by shaving their heads in solidarity.

Vitals: direct mail, delivered 11/2/10, #10 package, ask array = $25/$35/$50/$100/Other

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Sightings: QR Codes

QR (Quick Response) Codes are data matrix barcodes that can be read via a reader application installed on a cell phone.  They are used to take a piece of information from a magazine advertisement, a print catalog or web page, and put it in to your cell phone.  Promotions like free shipping and discounts no doubt have the most impact on consumer response, but it is interesting to note how some  marketers are continuing to innovate with new ways to grab consumers’ attention. The following promotions from MarketRelevance were notable as they integrated these codes.

Note: Click on the barcode graphic for a more complete view.

Target
In addition to promoting its low prices, savings with in-house credit card, coupons, gift cards, ease of shopping online and of course lots of holiday merchandise, Target’s latest print book encourages recipients to “Scan Joyfully and Often” on the inside cover, and three steps explain how. Users are encouraged to download the free ScanLife app at Target.com/scan and then scan the barcodes throughout the book “for more fun surprises” (short URLs are offered next to the QR codes as an option.) The initial one on the inside cover links to Target.com’s “Christmas Deal Feed.” Two others link to videos featuring Nina Garcia and Sabrina Soto offering fashion and decorating tips. Another, located in a catalog spread dedicated to Food Network chef Giada De Laurentiis’ exclusive line of cookware, links to the chef’s Sauteed Shrimp Cocktail recipe.

Vitals: direct mail, delivered 11/25/10, 10½” x 7”, 52 pages

Eastbay
Since the summer, Eastbay sporting goods has used tags to connect recipients to exclusive video, typically behind the scenes at photo shoots with the sports stars that grace the covers of the print catalogs. Recent efforts featured Green Bay Packer Greg Jennings and basketball star for the Philadelphia 76ers, Andre Iguodala. Microsoft Tag Reader is required to read this tag, and the book directs recipients to http://www.gettag.mobi/ to download the app.

Vitals: direct mail, delivered 9/24/10, 10½” x 8”, 92 pages

As a side note, these two examples do not use the same readers, which seems potentially problematic for an end user. It will be interesting to see if a dominant QR player emerges, as users will most likely not be inclined to download multiple apps to read different types of barcodes unless there’s a sizeable incentive.

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Sightings: New Nonprofit Efforts for November 2010

A look at some recent notable fundraising direct mail promotions from MarketRelevance: USO, Wildlife Conservation Society, American Kidney Fund, Inner-City Scholarship Fund, Reef Check, Save Ellis Island

Note: Click on any promotion graphic for a more complete view.

USO Sends Holiday Wish via Newspaper Insert
A recently tracked effort from the USO was delivered via FSI in The Daily News. It resembles a traditional #10 direct mailing envelope, but is addressed “A Holiday Message for Readers of The Daily News.”  Like other appeals from the group, it reminds recipients about conditions facing soldiers overseas with “There Are No Stockings in Afghanistan…” on the exterior. The back of the envelope shows the 3’ x 5’ American flag premium rewarded to $10+ donors. Several components are included in the package:  a letter, reply form, an insert detailing the free flag, and holiday-themed card of support, which is designed to be returned with donation. The organization has a longstanding history of using insert media as well as other channels to solicit donations that further its morale-boosting efforts for U.S. military service members.

Vitals: FSI Solo, delivered 11/14/10, #10 package, ask array = $10/$15/$25/$50/$100/Other

Inner-City Scholarship Fund Makes Personal Appeal
Asking “How many lives do you want to change?” a recent direct mail appeal from Inner-City Scholarship Fund lays out how the group works to improve children’s futures with a quality education provided by the ICSF-backed Catholic schools in New York City. The letter focuses on Charles, a 5th grader that has benefited from the opportunities provided by attending one of these schools. Although he lives in an unsafe neighborhood, his schooling has afforded him “a secure and nurturing place to learn and grow and meet new people.” The enclosed paper freemium combines a bookmark, pocket calendar and prayer card. The reply form underscores the package’s exterior message with “Yes, I want to help give as many boys and girls the chance to experience a life-changing Catholic school education…” While the piece makes no explicit drive to web, the website is included on the reply form. Visitors to the site are greeted with an image of this direct mail package and “Did you receive this in the mail?” A click on the image is directed to “About Us,” another picture of Charles, and an opportunity to donate.

Vitals: direct mail, delivered 10/12/10, #10 package, ask array =
$15/$25/$50/Other

Wildlife Conservation Society Seeks Support for Ecoguards
Ecoguards (local people trained to be on the frontlines of conservation) are the focus of the most recent mailing from Wildlife Conservation Society, the international nature/wildlife organization behind the Bronx Zoo. The group is responsible for global wildlife conservation work, including preserving gorillas in the Congo, tigers in India, wolverines in the Yellowstone Rockies, and sea turtles. The solicitation letter begins with a dramatic story of poachers who killed elephants in Chad, but were tracked down and arrested thanks to ecoguards. The reply form lays out the cost for outfitting and training these vital people, on the Ecoguard Shopping List: “$20 Rain Gear, $35 Boots, $50 Uniform, $94 Radio, $200 Salary for one month, $329 GPS Tracking unit, $999 Computer…” The effort also shines a light on how numbers of the creatures WCS works to protect have diminished in the past 60 years (e.g. 100,000+ forest elephants of Central Africa in 1950 vs. < 10,000 today). $20+ donors receive a WCS tote bag and quarterly newsletter.

Vitals: direct mail, delivered 11/1/10, #10 package, ask array = $20/$35/$50/Other

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Sightings: Black Friday 2010 Promotions

Given all the press “Black Friday creep” has been getting, it’s not surprising how many Black Friday-themed promotions MarketRelevance has been seeing already this fall.  Originally reserved for the Friday following Thanksgiving, (and referring to when a retailer typically sees the accounting switch from red ink to black), “Black Friday” now clearly has been recast to refer broadly to sales and discount shopping. Beyond calling for “Black Friday Now,” most of the retailers we’ve rounded up below are also offering savings to consumers through membership clubs, layaway, in-house credit cards and discounted shipping. Notable MarketRelevance promotions covered below include Collections Etc., Woman Within, Tiger Direct, Sears and Kmart.

Note: Click on any promotion graphic for a more complete view.

Collections Etc.
Collections Etc. asks “Why fight the crowds and long lines next month, when you can get in on the action Now and Save Up to 65% + $1 Shipping. No minimum order quantity required… Shop Now!” The discount gift, home and general merchandiser sells most products for $14.99 or less. The email also promotes the marketer’s Green & Gold Savings Club, which qualifies the member for 10% savings on every purchase for a year.

Vitals: email, delivered 10/27/10

Woman Within
Redcats’ plus size women’s apparel marketer Woman Within sent an email announcing “Black Friday Now! Extra 30% off all orders, 48 hrs only.” The festive red and green creative includes a woman dressed in Santa gear and the text: “Holiday shop preview from $9.99.” Several product categories like “little black dress shop,” “50% off shop” and “national bra brands from $14” are highlighted. The promotion also features a catalog request link and allows recipients to click through to apply for the marketer’s affinity credit card, teasing, “save up to $300 annually when you open a Woman Within credit card account.”

Vitals: email, delivered 11/5/10

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Sightings: Fall Fashion 2010 Email and Catalog Promotions, Part II

Here’s a look at some more catalog and email promotions we’ve seen this autumn.  Notable MarketRelevance promotions covered below include F.M. Allen, Maus & Hoffman, Lafayette 148, Lanvin, and German import Hessnatur.  In case you missed it, here is Part I.

Note: Click on any promotion graphic for a more complete view.

Hessnatur Brings “Design for Life” to the States
German retailer Hessnatur has mailed a print catalog targeting the U.S. with its Fall/Winter 2010 collection of organic and natural clothing.  Founded in 1976, the brand built itself on being 100% organic.  The 68-page book features products for women, children and men, including a collection designed by Eviana Hartman, the founder of Brooklyn-based Bodkin.  Products include the Pure Boiled Wool Motorcycle Coat ($248), a Silk and Alpaca Funnel Scarf ($48), and a Cashmere Sweater Vest ($108).  The catalog offers free shipping and free returns.

Vitals: direct mail, delivered 11/3/10, 10¾” x 8”, 68 pages, free shipping with any order

F.M. Allen Evokes Hemingway for Fall Catalog
Named for an African safari guide, F.M. Allen  sells an assortment of men’s clothing with a sporting tradition.  The recent Fall print catalog features a note from the creative director focused on legendary American writer Ernest Hemingway and his love of the outdoors, especially during autumn (“the fall with the tawny and grey, the yellow leaves on the cottonwoods…”)  The book features apparel and accessories ranging from outerwear and dress shirts to luggage and footwear, including the Dakota Coat ($748), the Devon Sporting Boots ($725), and Woodland Gloves ($225). 

Vitals: direct mail, delivered 10/15/10, 10″ x 7”, 68 pages

Favorite Things from Lafayette 148
New York-based designer brand Lafayette 148’s October 2010 catalog offers a free shipping incentive as a “Gift to You.”  The women’s apparel marketer promises looks for various events: “Winter soiree. Charming hostess or gracious guest. We will have you dressed and ready for any occassion.”  Products include the Wavey Weave Lucinda Jacket ($548), a Viscose Crepe Hand-Beaded Boatneck Dress ($898), and a Stretch Wool Soft Pegged Skirt ($298). 

Vitals: direct mail, delivered 10/13/10, 10½” x 8”, 52 pages, free shipping on any order

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Sightings: Thanksgiving 2010 Email and Catalog Promotions

With Thanksgiving fast approaching, here’s a look at some promotions that cater to the Fall harvest tradition, and kick off the upcoming holiday season.  Noteworthy promotions tracked by MarketRelevance include efforts from Pottery Barn, Williams-Sonoma, NapaStyle, Bed Bath & Beyond, and Harriet Carter.

Note: Click on any promotion graphic for a more complete view.

Pottery Barn Offers Thanks
The November 2010 print catalog from Williams-Sonoma’s home furnishings brand Pottery Barn reads “Give Thanks” and displays a festive turkey-themed table setting on the cover. Inside, all the items needed to outfit the Thanksgiving Day celebration are available, from the dining room table to napkins and decor. Specific products include the Toscana Dining Collection ($3,632), individual Windsor Dining Chairs ($159 – $199), and the Bellora Chandelier ($239). Looking ahead to upcoming holidays, Christmas decor is also offered, including an assortment of ornaments, stockings, and wreathes. A few versions of the November effort were tracked, with varying page counts and incentives, including 10% off all orders and a 10% affinity credit card reward.

Vitals: direct mail, delivered 10/9/10, 10/12/10, 10/13/10, 10½” x 8”

A Few Favorite Things from NapaStyle
NapaStyle also kicked off its annual holiday season with a print catalog featuring 75 new products for entertaining.  Founded by Food Network personality chef Michael Chiarello, NapaStyle specializes in food, furniture, home decor and kitchen items that embody Northern California. Copy (“Bright Cooper Tumblers and… Warm Golden Candles…”) plays on “My Favorite Things” from The Sound of Music. A note from the founder lists some of Chiarello’s favorite products, including the Silverwood Bowls & Cheese Tray ($99 – $199), along with exclusives from the retailer like a Vintage Champagne Bucket ($249), and Vintage Bells by the Pound ($39 – $99).

Vitals: direct mail, delivered 10/5/10, 10½” x 8”

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Sightings: New Magazine Efforts from Fall 2010

A look at some notable consumer magazine direct mail promotions from MarketRelevance: The Weekly Standard, The Nation, Forza, Veranda, and Eastern Fly Fishing.

Note: Click on any promotion graphic for a more complete view.

Veranda Gives Measurement Guide Freemium
Hearst Corporation’s Veranda magazine updated its voucher package with a slightly new look and a new paper freemium sure to get the attention of home decorators and professionals.  The interior design magazine’s #9 package reads “Do Not Bend” and includes a “Decorator’s Measurement Worksheet,” which leaves room for the recipient to record window measurements, room dimensions, and rug sizes for their next home project.  The freemium also lists standard space guidelines to help lay out a well-functioning floor plan, listing typical traffic lanes, how much room you need to open a door and other useful measurements.  The effort also contained familiar elements seen in past mailings, including a foldout brochure with sample images from past issues.  A subscription for the magazine is sold via hard offer of $15 for 8 issues, with a two year option of $25 for 16 issues.

Vitals: direct mail, delivered 9/24/10, #9 package, price = $15/$25 for 8/16 issues

The Weekly Standard Updates with Obama
The conservative magazine The Weekly Standard updated its magalog with a caricature of President Obama and “Why is this man smiling?” The joke continues “Because he knows you aren’t reading America’s foremost political magazine!” The 5¼” x 8” mailer unfolds to reveal its longstanding creative — caricatures of founder William Kristol and co-editor Fred Barnes in front of the nation’s capitol. A new banner at the top reads “Special Report on the Obama Debacle.” Headline copy clearly makes the case for subscription: “Annoy Arrogant Liberals! Get the Newsweekly That’s Well-written, Informative, Bold, Passionate, and (Yes!) Conservative.”  Inside the mailing, the letter from the publisher references the magazine’s history since its founding in 1995 and the state of the current political landscape, citing The Weekly Standard as integral for keeping up to date, especially with the 2010 elections around the corner.  A soft offer of $36 for 30 issues (4 free) is presented on the reply form.

Vitals: direct mail, delivered 9/24/10, 5¼” x 8” magalog, price = $36 for 30 issues (4 free)

The Nation Urges Recipients to “Go Rogue”
On the other side of the political spectrum, The Nation also mailed an updated package, with a crowned Sarah Palin winking on the front.  The teaser on the package states “Remember when GWB was just a joke?  Ready to go rogue?”  The package also warns “Tea-Baggers” not to open the envelope.  The letter inside references the magazine’s 145-year history, and how it remains “the most independent-minded, strong-voiced and fearless champion of liberal dissent in this country.”  It references several current political hot topics, like the rise of the Tea Party movement and the possibility of Palin as a future presidential candidate as reasons to stay informed with a subscription to the weekly magazine. A clever longstanding lift note reads: “I wouldn’t recommend The Nation… (says Rush Limbaugh).”  The note opens up to reveal a message from president Teresa Stack, full of high praise from icons such as Gore Vidal and Paul Newman.  A soft offer of 30 issues (4 free) is offered at $20.

Vitals: direct mail, delivered 10/9/10, 6” x 9” package, price = $20 for 30 issues (4 free)

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Sightings: New Nonprofit Efforts for October 2010

A look at some recent notable fundraising direct mail promotions from MarketRelevance: African Wildlife Foundation, American Action Fund for Blind Children and Adults, and two Thanksgiving-themed efforts from New York City Rescue Mission and Union Gospel Mission.

Note: Click on any promotion graphic for a more complete view.

African Wildlife Foundation Promises Results, not Giveaways
The African Wildlife Foundation mailed a #10 package with the attention-getting teaser “No Plush Toys. No Scare Tactics. Just Real Solutions.”  The full color package depicts a lion, referenced in a note on the top of the letter: “I could have sent you a plush lion toy, but I think you care more about saving real lions.”   The letter emphasizes that the organization puts donor support to work on saving wildlife rather than using “gimmicks to make the case for your support.”  Instead of promising a free gift, the organization makes the promise that “as a member of the African Wildlife Foundation, you will help guarantee the survival of Africa’s wildlife in the most effective way possible.”  The reply form suggests that a donation of $35 “would be a really big help” on an ask ladder of $25/$35/$50/$100/Other.  Past mailings from the organization have included a calendar freemium.

Vitals: direct mail, delivered 10/1/10, #10 package, ask array = $25/$35/$50/$100/Other

Braille Books for Blind Children Offers New Greeting Cards
The American Action Fund for Blind Children and Adults recently mailed a new set of greeting cards in its “Midsummer Light” collection for its Braille Books for Blind Children program.  The initiative aims to provide learning resources and tools for blind children to give them the same opportunity as other children.  The 6” x 8” package included a letter detailing specific projects including a Braille Lending Library, scholarships and grants, as well as a Twin Vision books, which combines text and Braille so the blind and sighted can read together.  The five greeting cards portray different summer landscapes including a lighthouse and a country road.  The reply form offers an ask ladder of $8/$16/$24/$40/$56/$100/$1,000/Other. Each step notes what the donation will produce, with $8 providing for one Braille book, and $1,000 contributing to adding specialized reading and writing equipment in the International Braille and Technology Center.

Vitals: direct mail, delivered 10/2/10, 6” x 8” package, ask array = $8/$16/$24/$40/$56/$100/$1,000/Other

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Consumer Direct Mail List Prices – 3Q 2010 Update

Our 3Q 2010 list price trending shows nominal changes over the past 12 months for the key categories of consumer goods, magazines and nonprofits. Following the trend seen throughout the year, all segments saw increases, but prices rose less than 1% year over year for the three markets studied.

While there are a few list price studies available, Paradysz Research assesses only key mailing list segments that are consistently comparable.  In addition, to make this trending highly relevant, we focus exclusively on direct response lists with verifiable sourcing, avoiding enhanced, compiled and mixed source files. The lists in our studies are evaluated individually each quarter to make sure they still warrant inclusion.  That means these benchmarking CPMs represent either 12-month or active names, including 12-month select charges to avoid artificial price fluctuations. 

Consumer Magazines

Like last quarter, the largest year over year variance in average list costs came from the consumer magazine sector, which was up $.95 (+.9%) to $106.32/M in 3Q 2010 from $105.37 in 3Q 2009.

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