Poly Bag Promotion

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Poly Bag Promotion

• Kelly A. Velander
• May 21, 2003

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America Online CD-ROM
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America Online (AOL)

• Client relationship
• Increase membership
• Newsstand promotion

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Newsstand Promotion Opportunities

• Advertisers (AOL)
• Viable investment
• New marketing audiences
• Magazines
• Additional revenue
• Increase newsstand sales
• Generate additional advertising revenue

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Newsstand Promotion Threats

• Advertisers (AOL)
• Impact sales results
• Added value
• Publishers
• Packaging issues

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Research Question

• Do poly bagged magazines with promotional pieces
  increase sales on the newsstands?

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Research Goals

• To determine
• Do promotional pieces increase newsstand sales?
• What poly bagged promotional pieces increased
  newsstand sales by the greatest percentage?
• What are magazines objections to poly bagging
  newsstand copies?

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Methodology

• Sample
• 308 magazine employees
• Advertising sales representatives
• Publishers
• Editors
• Circulation managers
• Survey Components
• Cover letter
• Survey

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Survey Response

• 308 sample size
• 76 completed survey
• 25 response rate

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Research Findings

• Have you poly bagged newsstand copies of any
  issue?
• 53 Yes
• 47 No

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Research Findings

• How many times a year, on average, do you poly
  bag newsstand copies?
• 64 poly bag their newsstand circulation 1 to 3
  times per year.
• 15 of the publications poly bag 4 to 6 times per
  year.

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Research Findings

• What is the percentage increase in single-copy
  sales when your publication includes a poly
  bagged promotional piece?
• 34 0 5 increase
• 43 6 10 increase

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Research Findings
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Research Findings

• Why do you NOT poly bag newsstand copies of any
  issue?
• Consumer physical distraction
• Reduced sales
• Front cover distraction
• High costs
• Production delay
• Lack of request from advertisers to poly bag
  newsstand circulation

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Research Findings

• Poly bagging promotional pieces on the newsstand
  is an effective tactic to sell single copies.

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Research Answer

• Yes, poly bagged magazines with promotional
  pieces increase sales on the newsstands.

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Recommendations

• Hypothesis test in a sample of small, medium, and
  large newsstand publications.
• Reinforce advertising concept to magazine
  publishers.
• Increase newsstand sales
• Generate additional advertising revenue

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Questions?
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Poly Bag Promotion

• Kelly A. Velander
• May 21, 2003