Influencers versus Inserts: Is the Writing on the Wall for Print in 2013?
The co-founder and CEO of Collective Bias, John Andrews, recently told Marketing Daily that there are changes in the wind regarding shopper marketing and the last bastion of print media advertising to still be alive and kicking, the Free-Standing Insert (FSI) .
It’s amazing to me the amount of money that’s still dumped into coupons and inserts in the retail space. According to the global market research company Kantar Media, more than $419 billion in consumer incentives were delivered via FSI coupons, with retail giants Wal-Mart and Walgreens taking top position. However, with print newspapers shutting down circulation and the shift in consumer focus from print and television to internet and social channels, I think the writing’s on the wall. It’s just that brands don’t know where to put those dollars yet, and it’s comfortable to hold onto whatever print vehicle is still giving somewhat of a return—especially during tough economic times.
Marketing folks predicted a faster shift to digital mediums, but circulars are still a stubborn holdout. John thinks the “Print Cliff” is coming, and he predicts 2013 will be the year everything starts to change. So where will brands shift their current FSI marketing dollars?
With people spending more time online, sharing on social platforms and accessing information using mobile devices, the smart money will be in attracting influencers in the digital media space to recommend products and services. However, that requires a different mindset than the traditional “interruption advertising” mentality. Today’s consumers like interesting, contextual content, recommendations, reviews and information when they’re seeking to buy something—and they can find pages and pages of it by searching online. That’s where brands need to be. While their customers still use coupons and incentives, they’re looking for them in the digital space—not in print circulars.
That’s why Collective Bias was formed— to create New Media options that position brands in the space that’s gaining the most traction with today’s shoppers. Taking advantage of the power of the social graph (and integrating it with what we call the “Family graph”) for generating, at scale, targeted, contextual influencer content in a story telling narrative. Done in a way shoppers like to receive it… such as blog posts, how-to videos, attractive photo montages. We’re seeing brands increasingly grow returns on their marketing dollars in this format as they make a gradual shift away from print.
I don’t think it will be too long before the FSI will go the way of the dinosaur. In a few years most of them will not even be available, but digital influencer content can serve as a viable alternative. Established bloggers and other influencers concentrate on giving value, and their audiences trust them to keep providing that value. That’s where today’s consumers are going. By developing relationships with micro-media publishers, who as a group create content strategically, and shifting to “advertorial” content rather than advertising pitches, you can avoid throwing marketing dollars off the fast-approaching print cliff, and begin using those dollars more efficiently and effectively.
Inserts still have some life left, so I don’t think this is going to take place overnight. But trust me—it’s only a matter of time. Smart brands are already moving in the direction of emotionally connected content, social sharing and relationship building… and seeing dramatic results. Feel free to reach out and let us show you at Collective Bias… or read about some of them in my new book, Return on Relationship.