Real World Solutions

Folio: The Magazine for Magazine Management, Sept 1, 2002

AD SALES

Haute Advertising

Looking to strengthen its position as a shopping magazine and jump-start slumping ad sales, Marie Claire recently struck a deal with DownloadCard, a New York-based tech company, to develop a Web-based promotional retail program. The result is the Marie Claire Haute Card - or "hot" card, as Hearst executives like to call it. About the size of a credit card with a unique PIN, the card was included in 1.4 million copies of the October issue. With the card, readers are able to access a Web site loaded with exclusive retail offers. "We wanted to create a new retail experience for our readers, a new way to shop, a new way to connect with our advertisers," says Katherine Rizzuto, publisher of Marie Claire. But the move wasn't altogether altruistic: The program brought in 60 additional pages from over 50 advertisers, making the issue Marie Claire's biggest ever. To participate, advertisers had to buy an additional page versus fourth quarter last year and each paid a $5,000 premium, says Rizzuto. The program is scheduled for an encore performance next year, running in one special issue. "It's given my sales people a leg up going forward into selling into 2003," says Rizzuto, adding that additional Hearst titles may run a similar program in 2003. But other publishers will have to look for their own haute ideas: Hearst locked in an exclusive agreement with DownloadCard.

PARTNERSHIP MARKETING

A Real Simple Relationship

Back when Real Simple was an unknown brand struggling to make a name for itself, Time Inc. started scanning catalog data cards the way singles scan the personals. Seeking a compatible partner that would be open to a "nontraditional" cross-branding relationship, the publisher approached mail-order catalog company J. Jill in early 2000. "We realized, by looking at the catalog and their data card, that they shared the values of Real Simple," says Steve Sachs, Real Simple's associate publisher for consumer marketing and development. Thus began a relationship involving shared e-mail lists, frequent RS sub cards inserted into J. Jill catalogs, and the regular appearance of J. Jill ads in the mag. Sachs says that RS has gained 40,000 subs through the deal. In fact, the relationship has proven so successful that RS is working with two more catalogs: Solutions and Soft Surroundings. "We're interested in expanding with other catalog companies - we're in discussions," he says. But the competition for new partners may heat up now that word of the successful venture has spread through the Time & Life Building. Adds Sachs, "Now other Time Inc. titles are talking to catalog brands that match their customer set."

CIRCULATION

A Latina with Your Lipstick?

Traditionally, a magazine sells product for an advertiser. But one publisher recently flipped that equation and enlisted one of its biggest advertisers to sell its magazine. Under pressure to find new sub sources, Latina called on Avon to see if its army of door-to-door sales reps would sell Latina alongside its beauty line. Turns out, Avon Products was about to launch a comprehensive marketing effort aimed at the Hispanic community. "That was the linchpin," says David L. Kahn, Latina's publisher. "That quickly brought us together." This fall, 80,000 Avon sales reps catering to Hispanics clients will offer discounted Latina subs (at $10.99 a pop, that's about a dollar less than most offers). In return, the beauty company will get a piece of the revenue. (Kahn would not discuss specific terms of the deal.) Seems Latina's partner is pretty excited about the prospects. "Avon's goals are even more aggressive than ours," Kahn says, adding that he's expecting sales "in the thousands." As the desperation for new sources continues, other publishers will undoubtedly test more and more unconventional tactics, says Kahn. And if the Latina/Avon alliance is a hit, similar grassroots efforts may become the rage.