ParadyszMatera report shows PIP growth

Direct marketing services provider ParadyszMatera released the first of
a series of quarterly MarketTrends Reports for Insert Media, designed
for marketers who use insert media for customer acquisition.

The MarketRelevance MarketTrends Package Insert Programs report covers
the growth in package insert programs from January through June 2006.

The active PIP universe totaled 334.5 million insert opportunities in Q2
2006, up 10.3 percent from the same quarter last year, the study found.
The universe of package insert opportunities has climbed nearly 14
percent in the past two years, up from 293.9 million.

“This report is just a nudge to test alternative media or expand your
current placements,” said Susan Davis, director of research at
ParadyszMatera, New York.

The report also lists the top programs in terms of house file universe
and volume growth. Outstanding on the growth list was the Christian Book
Distributors package insert program, with a 414.3 percent volume
increase from second-quarter 2005.

Based on Q2 2006 distribution quantities, the largest PIPs are Package Insert (60 million), Doubleday Entertainment General
Interest Package (11.5 million), Columbia House DVD Club Package Insert
(10.38 million), BMG Music Service Positive Order Package Insert
(9,084,556) and Redcats Corporate Package Insert (7.5 million).

Of those programs, Package Insert showed a 42.9 percent
increase over last year’s second quarter while Redcats Corporate Package
Insert rose 25 percent. Also showing hefty increases were Collections
Etc. PIP (37.5 percent) and Columbia House New Member PIP (76.6

The data also show that merchandisers make up 64 percent of the PIP
universe, with continuity clubs at 20 percent and apparel marketers at
16 percent. The report also tracks insert creative and identifies some
of the best new programs that have come to market.

The growth in PIP availability results partly from the addition of more
programs. For example, Blair Corp. added package insert and blow-in
programs to its Menswear and Home brands and a blow-in program for its
Clothing for Women catalog.

Not all growth metrics from the report were optimistic. Ticketmaster has
seen a decline in its annual distribution universe as more ticket buyers
print their tickets online as opposed to getting them via mail.

Future studies will focus on other insert opportunities including
ride-alongs and statement stuffers. ParadyszMatera’s report on
bind-in/blow-ins is expected next quarter. The full reports are
distributed only to clients.

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