Paul Goodman on Dale and Thomas Popcorn's DVD Inserts
Movies and popcorn. A natural couple, right? That's what Dale and Thomas Popcorn thinks, too. So the Englewood, N.J. company teamed up with NBC Universal to put $15 promotional gift cards into 10 million DVDs this holiday season.
Paul Goodman, senior vice president of e-commerce and marketing for the gourmet popcorn company, says the sweet deal already has inserts paired with Universal Pictures releases "Baby Mama," "Leatherheads" and "Forgetting Sarah Marshall." He promises that this season is just the beginning of a two-year courtship with the Hollywood studio that will pair the same popcorn discount with plenty of DVDs.
This partnership popped up because Dale and Thomas got "encouraging results" from placing the inserts in two releases last year and one in May, Goodman says. It prompted people to buy bushels of Toffee Crunch DrizzleCorn and scads of Sweet Georgia Pecan. Here's why:
Target Marketing: How did you use the insert to expand your reach?
Paul Goodman: Our assumption is, since we're a popcorn company and popcorn and movies, obviously, go very well together, there's a natural fit between popcorn and movies and entertainment, in general. So it seems logical and natural for, when somebody buys a DVD, to have that kind of an offer in there. So we're expecting that the same kind of people that buy DVDs are the people that are going to be interested in our popcorn. So we're expanding [our reach] by getting it out to as many people as possible via this medium.
TM: What's your usual market, and how is this campaign different?
PG: Our usual market is gift givers. What we're hoping to attract here are people who buy these DVDs for themselves to watch, get the $15 promotional gift card, try our popcorn and then use our popcorn as a gift. Obviously, as it gets closer to the holiday season, in November and into December, there may be some people who buy these DVDs and use the $15 promotional gift card for a gift, right away. And there will be people who buy these DVDs as gifts for people. And so, when the person receives the DVD as a gift, inside is a kind of a second gift that they can use to buy popcorn for themselves.
TM: Is the large discount more effective than, say, a $5 gift card?
PG: I think if you'd ask anybody, they'd say, "The bigger the discount you give, the bigger your response would be." Our popcorn is a premium product. It's certainly not an inexpensive gift. And so, the $15 gift card makes it a compelling offer, because our product is a little more expensive than other people's offering. (Editorial note: A Can't Stop Poppin' Medium Gift Tin, offering three flavors in a 2-gallon tin, starts at $39.95.)
TM: What percentage of redemption have you seen on the $15 gift card inserted into Universal DVDs?
PG: We don't share those specific results. But, basically, you can assume that, since we're rolling forward and we're going to be in upwards of 10 million DVDs, it's a good program for us.
TM: Can you estimate Dale and Thomas' level of increased hits, calls and store visits tied directly to the insert?
PG: We really can only tell after they've checked out, if they used one of these gift cards ... Last year, we did get increased traffic, and our overall site conversion rate went up ...
TM: How does it benefit you to know the purchased DVD's name and the store where the Dale and Thomas customer bought the Universal DVD? (It's asked on the back of the gift card.)
PG: One of the things that we want to make sure of is that people actually hang onto these, if they don't use them right away. And so, having people write something down on that card ... gives them the incentive to keep it. ... The minute they put something of themselves into it ... they'll probably put that into a drawer and save it.