Special Report Insert Media Buying Guide
September 2005
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If location is any measure of success, that this year's Insert Day will be held in the Big Apple suggests that insert media as a sector is gaining more visibility. And nothing fosters success like more success. According to research conducted by Leon Henry Inc., about 60 new insert programs entered the market in the first six months of 2005. Given that Media Horizons puts the number of programs with annual circulations of 500,000 or more at 650, this growth spurt is a promising sign for a prospecting channel that used to be considered "alternate."
And yet it's hard to define the size of the sector, since some programs either are not listed or exist only as the occasional partnership. To some degree, insert media opportunities still are under the radar.
Maybe that's OK with companies that are getting strong results. Steve Berg at Cosmetique finds package insert programs often produce new customers with lifetime values better than that of his firm's direct mail campaigns. (Learn more on page 49.)
If you're thinking about starting your own program to cash in on this growth, you first need to get educated on the business economics. The money might not be as free as you think, says Guideposts' John Lyskowski. See page 50 for a Q&A on this topic with Lyskowski and Michael Feldstein of Boardroom Inc.
—Hallie Mummert, Editor in Chief
Sourcing New Insert Programs
Most types of insert programs, by nature, are a reflection of the program owner's business plan. If the owner conducts less prospecting, the program's inserts will reach fewer new customers. Conversely, if the owner invests more money in housefile promotions, inserts will continue to be presented to the same customers.
Depending on the desired reach, frequency and audience composition, insert media users must continually be on the lookout for new sources of prospects. It's rare, says Amy Benicewicz, vice president, list brokerage/insert media at Media Source Solutions, a list marketing firm in Plantation, Fla., for marketers to find the volume they need with only a couple of insert programs. For marketers targeting niche audiences, such as regional customers, it's especially difficult to find enough programs, she adds.
In previous years, finding additional programs to test was like selling door-to-door: Some people were instant sales, some slammed the door in your face, some didn't have the means to buy, and others simply ignored the doorbell.
But conditions continue to improve for this channel's progress, urging marketers to develop new insert media programs—or at least be open to partnerships that help both parties expand their market exposure.
And yet it's hard to define the size of the sector, since some programs either are not listed or exist only as the occasional partnership. To some degree, insert media opportunities still are under the radar.
Maybe that's OK with companies that are getting strong results. Steve Berg at Cosmetique finds package insert programs often produce new customers with lifetime values better than that of his firm's direct mail campaigns. (Learn more on page 49.)
If you're thinking about starting your own program to cash in on this growth, you first need to get educated on the business economics. The money might not be as free as you think, says Guideposts' John Lyskowski. See page 50 for a Q&A on this topic with Lyskowski and Michael Feldstein of Boardroom Inc.
—Hallie Mummert, Editor in Chief
Sourcing New Insert Programs
Most types of insert programs, by nature, are a reflection of the program owner's business plan. If the owner conducts less prospecting, the program's inserts will reach fewer new customers. Conversely, if the owner invests more money in housefile promotions, inserts will continue to be presented to the same customers.
Depending on the desired reach, frequency and audience composition, insert media users must continually be on the lookout for new sources of prospects. It's rare, says Amy Benicewicz, vice president, list brokerage/insert media at Media Source Solutions, a list marketing firm in Plantation, Fla., for marketers to find the volume they need with only a couple of insert programs. For marketers targeting niche audiences, such as regional customers, it's especially difficult to find enough programs, she adds.
In previous years, finding additional programs to test was like selling door-to-door: Some people were instant sales, some slammed the door in your face, some didn't have the means to buy, and others simply ignored the doorbell.
But conditions continue to improve for this channel's progress, urging marketers to develop new insert media programs—or at least be open to partnerships that help both parties expand their market exposure.
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