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Opening up your packages to third-party advertising offers can be a valuable source of added revenue. But in doing so, you want to make sure your program is making—not costing—you money. To find out how marketers can get the best return on their insert media program investment, Target Marketing spoke with Jill Eastman Vidal, director of specialized media marketing for 1-800-FLOWERS.COM.
Target Marketing: What are some points to consider when you want to improve your insert media program ROI?
Jill Eastman Vidal: Shoring up your operations is really an important component to ensure you’re making as much money as you can. [For example] making sure the people who are packaging your collated inserts are really putting one in every available package, not putting two or three or ten of them in there. Understand your operations, [and] any restraints. Work through any issues, making sure that you’re regularly communicating with [all] your teams, and not just operations. [This includes] customer service, [and] even returns.
TM: What specific areas should marketers examine to improve their operations?
JEV: In this day and age of freight costs, are you working with the right collation shop? How much freight are they charging you? Have [these charges] gone up exorbitantly? Do they think of the [rising] price of gas as another opportunity to charge you more than what is relevant? As well, [consider] your envelope costs, where you print them, and the freight component of that.
[Consider] the envelope creative. Do you really need a four-color envelope? Will a one-color or two-color work just as well? That’s something to test, because it can [result in] considerable cost savings.
TM: What are some additional cost savings opportunities to keep in mind when running an insert media program?
JEV: Unfortunately, we’re all paying more at the gas pump every time we turnaround. With the fluctuation in gas cost, make sure your [freight] cost is locked in with a collation house.
I would make sure that all of those components—from the collation house that you work with, to your envelope printer—is right in line with where they should be. For instance, we’re getting ready to reprint some envelopes right now and we’re using a new print service for our entire enterprise. [The printer] asked why I don’t want glue on the envelope. I [explained that] two of my three programs don’t require glue because [the envelope] goes directly to the customer and we want the offers within the envelope to come out easily. Also, glue not only weighs more, it costs something, and we don’t need the extra cost.
Target Marketing: What are some points to consider when you want to improve your insert media program ROI?
Jill Eastman Vidal: Shoring up your operations is really an important component to ensure you’re making as much money as you can. [For example] making sure the people who are packaging your collated inserts are really putting one in every available package, not putting two or three or ten of them in there. Understand your operations, [and] any restraints. Work through any issues, making sure that you’re regularly communicating with [all] your teams, and not just operations. [This includes] customer service, [and] even returns.
TM: What specific areas should marketers examine to improve their operations?
JEV: In this day and age of freight costs, are you working with the right collation shop? How much freight are they charging you? Have [these charges] gone up exorbitantly? Do they think of the [rising] price of gas as another opportunity to charge you more than what is relevant? As well, [consider] your envelope costs, where you print them, and the freight component of that.
[Consider] the envelope creative. Do you really need a four-color envelope? Will a one-color or two-color work just as well? That’s something to test, because it can [result in] considerable cost savings.
TM: What are some additional cost savings opportunities to keep in mind when running an insert media program?
JEV: Unfortunately, we’re all paying more at the gas pump every time we turnaround. With the fluctuation in gas cost, make sure your [freight] cost is locked in with a collation house.
I would make sure that all of those components—from the collation house that you work with, to your envelope printer—is right in line with where they should be. For instance, we’re getting ready to reprint some envelopes right now and we’re using a new print service for our entire enterprise. [The printer] asked why I don’t want glue on the envelope. I [explained that] two of my three programs don’t require glue because [the envelope] goes directly to the customer and we want the offers within the envelope to come out easily. Also, glue not only weighs more, it costs something, and we don’t need the extra cost.
Companies Mentioned:
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Strategic Catalog Marketing
