New revenue streams are like gold dust for businesses. It’s important that you’re exploring every avenue of your touchpoints and constantly evaluating where you could generate revenue.
So, what about your distribution? It’s often seen as purely a cost. Yes it’s a positive because it means someone has placed an order, but it costs you money to package and send, so what if your distribution was also generating revenue?
Partnership marketing is about creating a mutually beneficial relationship between two brands. It allows brands to work together to drive brand awareness, broaden their reach and increase revenues. Partnership inserts are an example of partnership marketing where branded collateral is packaged within a partner’s distribution, creating a host and partner relationship. The host gets revenue from the partner, while the partner gets access to the host’s audience.
What do you need to be a host?
Well first off, you’ll need a product that’s distributed, something that is packaged up and sent to the customer. To generate meaningful revenue, you’ll need a monthly distribution of over 25,000 items.
While this isn’t a strict rule, we do recommend that in order to be able to host enough inserts with enough information to be effective, that you have a minimum parcel size of A5 (210mm x 148mm x 20mm).
In terms of your audience, pretty much every business has an audience that will be appealing to a non-competing company in some form. It’s all about either profiling common attributes such as interests, income, age etc. If your product is for a very particular life event, for example a pregnancy or is student focused, then this gives an additional level of targeting for potential partners to market to.
Why host?
Well the first reason is the most obvious, it’s extra revenue for you. For example, a company despatching 100,000 items a month could expect to generate additional revenue of around £130,000pa.
But it’s not just money. Creating an insert brochure for your distribution gives your own brand another channel of regular communication with your customers. It’s ideal for promoting new products, preparing seasonal launches, and re-emphasising your brand story etc. And the best part? It’s funded by your advertising partners.
An insert brochure also provides your customers with added value on top of their order. You’re giving them a way to discover new products and brands they’ve not tried before but will likely love, as well as discounts and offers to take advantage of.
It’s on-brand. Don’t worry, these aren’t ads that are going to cheapen your brand. We make sure your partners are aligned to your brand and you always get the final say on any advertising partners that feature. The inserts are branded in your brand with the size, shape, material and design that you choose.
Ready to host?
Ready to turn your distribution into a new revenue stream for your business? Great, it all starts with a chat with PSE Offline marketing. With over 25 years in the industry, we can find your perfect partners and manage your campaigns, basically we do all the hard work for you. So get in touch today and see how we can help you.
