NEW YORK, NY, July
25, 2005 – The Marx FSI Trend Report issued today reports
that during the first six months of 2005, more than 136 billion coupons
were delivered via Free Standing Inserts (FSIs) in Sunday newspapers,
up 2.3 percent from the same period one year ago. That is the largest
number of FSI coupons distributed in any half year since 1995, when
Marx Promotion Intelligence began tracking the FSI industry.
The Marx FSI Trend
Report is issued by Marx Promotion Intelligence, a division of TNS
Media Intelligence. Marx Promotion Intelligence is considered the
industry standard for tracking FSI coupon activity.
FSIs saw growth in two other key measures: total pages increased
5.9 percent and average coupon face values grew 6.7 percent, to
$1.09. Additionally, the average offer duration, which has trended
downward over the past several years, increased to 10.6 weeks. These
increases indicate that more manufacturers are using FSIs, and that
when they do, they are enticing consumers with increasingly attractive
promotions.
“The key metrics for the FSI show a medium in full-growth
mode,” said Mark Nesbitt, Chief Operating Officer at Marx
Promotion Intelligence/ TNS Media Intelligence. “As marketers
assess different media, they are finding FSIs provide impression
value and reach, while delivering consumer incentive and brand messaging.”
Sector Activity
The Consumer Packaged Goods (CPG) sector remains the largest user
of FSI pages and posted a 3.4 percent increase in page activity
through the first half of 2005. The Direct Response and Franchise
sectors also posted positive growth. Direct Response, which includes
general advertising activity, has been increasing in activity steadily
for the past three years. In the Franchise sector, distributed page
increases were driven in part by chain restaurants such as Quizno’s,
Sweet Tomatoes and Pizza Hut and in part by strong increases from
ice cream chains such as Cold Stone Creamery and Baskin-Robbins.
2005 1st Half Results by Sector (vs. 1st Half 2004)
|
| CPG |
75,180 |
3.4% |
70.7% |
| Direct Response |
22,792 |
13.5% |
21.4% |
| Franchise |
8,389 |
9.6% |
7.9% |
| Total |
106,361 |
5.9% |
100.0% |
|
| |
CPG Non Food vs. Food
In the first half of 2005, coupons for Non-Food items increased
11.8 percent. Two segments saw double digit increases in coupons
dropped versus the same period in 2004: Personal Care, up 15.7 percent,
and Health Care, which increased 11.8 percent. Conversely, Food
item coupons declined 7.9 percent. Activity in Dry Grocery, the
largest segment of the Food sector, declined 10.9 percent due to
decreases in the Candy and Soup categories.
Average face values of coupons rose in both the Non-Food and Food
segments. Non-Food average face values increased 4 percent, to $1.31,
while the average face value of Food items increased 5.3 percent,
to $.80. The largest increases were in Household Products, up 11.5
percent, Shelf Stable Beverages, up 6.7 percent, and Dry Grocery,
up 6.6 percent.
2005 1st half Results (vs. 1st half 2004) |
| Total Packaged Goods |
136,168 |
2.3% |
$1.09 |
$0.07 |
6.9% |
| Non-Food |
76,728 |
11.8% |
$1.31 |
$0.05 |
4.0% |
| Food |
59,903 |
-7.9% |
$0.80 |
$0.04 |
5.3% |
|
| |
| Top 10 FSI Coupon Categories in First Half
2005* Among the top 10 categories, Household Cleaning
Products dropped the most coupons in first half 2005, over 7 billion,
and posted an increase of 15.0 percent. Eight of the top 10 categories
posted increases, lead by Vitamins, up 41.1 percent, and Rug/Room
Deodorizer, up 23.1 percent. |
| 1 |
Household Products |
Household Cleaning Products |
7,032 |
6,112 |
15.0% |
| 2 |
Dry Grocery |
Pet Food & Treats |
5,581 |
5,521 |
1.1% |
| 3 |
Personal Care |
Combination/Personal |
5,201 |
4,630 |
12.3% |
| 4 |
Dry Grocery |
Snacks |
4,586 |
4,342 |
5.6% |
| 5 |
Health Care |
Vitamins |
4,282 |
3,035 |
41.1% |
| 6 |
Household Products |
Rug/Room Deodorizer |
4,002 |
3,252 |
23.1% |
| 7 |
Frozen Products |
Prepared Food/Frozen |
3,480 |
3,526 |
-1.3% |
| 8 |
Health Care |
Diet Aids |
3,382 |
2,901 |
16.6% |
| 9 |
Personal Care |
Hair Care |
3,376 |
3,594 |
-6.1% |
| 10 |
Frozen Products |
Desserts/Frozen |
3,343 |
3,268 |
2.3% |
|
|
Top 10 FSI Coupon Growth Categories in First Half 2005
Significant increases in coupon distribution were noticed
across a broad range of categories. The Gum and Foot Care categories
surged 150 percent and 130 percent, respectively. Continuing its
strong growth from last year, the Vitamins category had the largest
increase in coupons dropped, up 1.2 billion to nearly 4.3 billion
overall. The Personal Care segment had 4 categories among the top
10, including Foot Care, Shaving Cream/Razor, AP/Deodorant and Hand
& Body.
|
| 1 |
Dry Grocery |
Gum |
615 |
246 |
150.0% |
369 |
| 2 |
Personal Care |
Foot Care |
613 |
266 |
130.3% |
347 |
| 3 |
Personal Care |
Shaving Cream/Razor |
1,968 |
1,148 |
71.5% |
820 |
| 4 |
Health Care |
Mouthwash |
718 |
438 |
64.0% |
280 |
| 5 |
Refrigerated Foods |
Prepared Food/Refrigerated |
507 |
323 |
56.8% |
184 |
| 6 |
Health Care |
Ear/Eye Care |
789 |
516 |
52.9% |
273 |
| 7 |
Personal Care |
AP/Deodorant |
2,192 |
1,471 |
49.0% |
721 |
| 8 |
Dry Grocery |
Sugar |
539 |
366 |
47.1% |
172 |
| 9 |
Personal Care |
Hand & Body |
1,253 |
883 |
41.9% |
370 |
| 10 |
Health Care |
Vitamins |
4,282 |
3,035 |
41.1% |
1,247 |
|
| |
About Marx Promotion Intelligence
Marx Promotion Intelligence is the industry standard for tracking
Free Standing Insert (FSI) coupon activity. Marx provides web-based
strategic insights and tactical tools that are state of the art.
Company website: http://www.tnsmi-marx.com.
About TNS Media Intelligence
TNS Media Intelligence in the U.S. is the leading provider of strategic
advertising and marketing information – across media, brand,
industry and market. The company’s tracking technologies collect
occurrence and expenditure data on more than 2.1 million brands
spanning 19 media. The U.S. headquarters are located in New York
City with sales locations in major markets across the country.
For further information, including this and prior press releases,
please visit http://www.tns-mi.com.
About TNS
TNS is one of the world's leading providers of market information.
The company delivers strategic market measurement, analysis, insight
and advice to many of the world's largest organizations and most
recognized brands. TNS' research helps its clients better understand
the needs and wants of their customers, and its capabilities span
market segmentation, advertising and communications, new product
development, brand performance and stakeholder management. The company
is also one of the leading providers of social and political polling.
From its global network that spans 70 countries who together conduct
research in more than 110 countries, TNS allows for local expertise
and knowledge to be combined together with internationally consistent
information and analysis.
TNS is listed on the London Stock Exchange (TNN) and is a trade
mark of Taylor Nelson Sofres plc. Further information can be found
on http://www.tns-global.com.
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