Putting the premium last: don't throw out all those soft-offer names that didn't subscribe. Here's an idea that might make them change their minds

Folio: The Magazine for Magazine Management, Dec 1, 1991 by Eliot Schein

Don't throw out all those soft-offer names that didn't subscribe. Here's an idea that might make them change their minds.

It is estimated that upwards Of two-thirds of all new subscribers come to a magazine via the soft offer-and no wonder: it's an offer that is hard to refuse. The potential subscriber is not only promised a free magazine, but is told that payment for the subscription is not necessary (or expected) unless he or she decides to subscribe. The deal goes, If you love the magazine, please pay the invoice when you receive it. Otherwise, write 'cancel' across the invoice and you owe us nothing. And your free issue is yours to keep forever."

Unfortunately, this approach attracts a significant number of people who respond positively just to get something for nothing. The result is that publishers now routinely accept (some even happily) a 50 percent pay-up rate on files generated in this manner.

But that was before Rick Kerr of Joe Franklin's Nostalgia the bimonthly that made its debut in the beginning of 1990) came on the scene. Kerr, the manufacturing director, is responsible for a variety of functions at the magazine, including circulation promotion. And he is so in love with Nostalgia that he says, AnYone who sees this magazine and doesn't want to receive the balance of a year's worth of issues is either dead, dumb or blind." He finds it incomprehensible that someone would subscribe via a soft offer) and elect not to pay to continue the subscription. He takes it personally! So Kerr is doing something about it something from which we all may be able to learn quite a bit.

It starts with knowing what you have been doing with the names of people who have failed to pay for their new subscriptions to your magazine that they acquired through soft offers. Chances are these names are languishing in some dark and dusty corner of your file. Most publishers dispense with these "bad pay" names and do nothing further with them. But, since you know that these people did once respond to an offer you made for a subscription to your magazine, they are better than the average Joe on the street corner.

In addition, you know that there was something about the magazine's subject matter that made it worth their while to put the order form in a business reply envelope and drop it in the mail. This makes them much better than your average Joe.

Unfortunately, you also know they didn't pay.

So, Kerr mused, what if we send a mailing to those "soft-offer nonconvertible puppies," sweetening the pot with a free gift? Not your regular, normal, everyday subscription premium, but a premium that they will receive at the end-that's right, the end-of their new subscription. Put this together with your basic Joe Franklin's Nostalgia-type direct-mail sales pitch, and you have a very interesting proposition.

To the point

The package is a beaut! Unlike traditional new business direct-mail packages, it has no long selling copy or four-color brochures extolling the virtues of the product, since everyone on the list has recently seen a copy of the magazine itself.

The carrier envelope makes good use of three very important direct-mail tenets. First, the headline says, "Get a free gift" in 75-point typeface. Getting the words free" and gift" as big as possible, especially the word "free," is part of what direct-marketing strategy is all about. Second, the colors on this envelope are red and black. Again, traditionally, the very colors that win in color tests all the time. And third, the follow-up copy just before the window, which contains the address, ends with ellipses, which means the copy reads into the contents of the package.

The letter inside starts with classic (if not nostalgic) pitchman copy: "You say you're not satisfied? You say you want more for your money? Tell you what I'm going to do ...... And the letter goes on to say, "Dear Friend of Nostalgia: We were delighted when you recent asked for a free examination copy of joe Franklin's Nostalgia ... but were really upset when you decided not to continue on as a regular subscriber.

"Well, I think we ought to have another go at it. After all, your dossier shows that you are a true nostalgia buff. And Nostalgia is the only magazine of its kind in America today. How could you not subscribe?

"Maybe like that TV pitchman used to say every Tuesday night, you just want more for your money.' So I'll tell you what we're going to do:

"Since the subscription price is already the best we offer, we'll sweeten the pot by throwing in a goodie at the end of your subscription-a full-color 'Howdy Doody for President' button. it's sort of a thank-you for giving us another chance."

The letter goes on to talk about a little game that is really nothing more than a direction-pointer in the letter meant to show the way toward the order form. The game is to identify Sid Stone as the pitchman from the old "Milton Berle's Texaco Star Theater." Since the only three pictures on the order form are of Sid Stone, and his name is the first choice, it's not too hard to get the answer right.