Insert media scores: a free ounce for promo inserts

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Leon Henry, chairman and CEO, Leon Henry Inc.
Leon Henry, chairman and CEO, Leon Henry Inc.

The premise under which the insert media industry has operated has always been that there is enough space to provide advertising and not raise postage. A win-win situation for both parties is now a real winner. The U.S. Postal Service has clarified the rules offering a free ounce for promo inserts to businesses mailing automated pre-sort First-Class Mail.

The USPS calls it “The Second Ounce Free.” The industry should take advantage of the offer at once. Here's how you can benefit.

Businesses mailing large volumes are looking at income levels approximating $120 to $150/M with virtually no cost. The new one-ounce availability can accept up to four inserts, each weighing less than one-quarter ounce. Providing for commissions to brokers and/or managers, a sales price of $50 per thousand times the four mailers will net out at $140 per thousand. A mailing of 1,000,000, or a series totaling this volume, will provide $140,000 net revenue.

There are many advertisers who have prior experience with statement distributions. They stand ready to expand into new venues. This provides a ready source of mailers who do not need to be convinced of the medium. They also have experience with what media price to pay.

Insert advertisers that have been looking for volume distributions have a strong calling card to present to statement mailers. The previous arguments against accepting outsider inserts, namely going over the postage limit of one ounce, are now invalidated courtesy of the USPS.

Advertisers that are new to statements now have a larger universe of programs, because business mailers that have not considered accepting inserts will be forced to think again. There are other benefits to advertisers using statement programs; the most obvious is assurance of delivery and the expectation of having their ad seen when the mailing is opened.

Some businesses will look for personalized inserts, which has the advantage of providing an endorsement to the advertiser. Even without the personalization, statements obviously provide an implied endorsement to the advertiser.

Insert media, whether distributed through statements or in packages or other venues, has the advantage of measurement by the advertiser. Correct keying by program provides the advertiser with information for determining repeats leading to continuations. Insert media delivered in a statement envelope or similar venue reaches the prospect with little fanfare and great precision.

Leon Henry is CEO of Leon Henry Inc.

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