INSERT MEDIA GLOSSARY

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Other Common Industry Terms.

Insert Broker

An insert broker works in the interest of a particular advertiser or mailer. A good broker will research and find insert programs in the marketplace that reach the specific demographic targets that the advertiser desires. Beyond finding specific media opportunities, a broker will usually coordination all aspects of that media placement on behalf of their client, including: rate negotiation, order placement, insert freight arrangements, and distribution monitoring. Most insert brokers can also assist with insert printing coordination.

Since the inserts media is unlike most other marketing channels, a good insert broker can help develop a good test strategy. A broker's relationships and experience in the industry will help an advertiser steer clear of unresponsive program managers and owners.

As an industry standard, are rebated a commission of 20% from the program owner as payment for placing advertising into the media.

Insert Manager

An insert manager works in the interest of the program owner. They are responsible for locating quality advertisers that are interested in placing advertising inserts into the mailings that the program owner sends to their customer base. Managers are not only responsible for promoting the insert program, but also negotiate rates, and coordinate with the mail production facility or distribution warehouse. Most insert media managers also bill the advertiser, pay the appropriate commissions to recognized brokers and forward due revenue to the owner.

Insert managers will look for the most suitable and best quality advertisers for their client. Their main goal is to provide the owner with advertising offers that are relevant to their customer base, thus giving the advertiser the best chance of a good return and building a lasting partnership between the advertiser and program owner.

As an industry standard, an insert media manager will retain a 10% commission on all order placed into the program. Generally, any program promotion or related management expense are covered by commission and not an additional expense to the owner. However, expenses related to the program?s operation, such as the creation of a collation envelope and production expenses associated with including inserts is an expense to the owner. Many times, these expenses are offset directly by incoming program revenue.

Mailer

The company that uses insert media as an advertising channel (advertisers) is also commonly referred to as a mailer. Most mailers work with insert media brokers to find appropriate advertising opportunities.

Program Owner

A program owner is the entity that sends mail or packages to a specific group ? usually customers. Program owners include, banks, utilities, web retailers, catalogers, and newspaper. Anyone that has an existing distribution channel of any type could potentially be a program owner.

As an industry standard, program owners receive 70% of advertising revenue generated by the program ? minus related expenses (if any).