Jan 23, 2008 6:05 AM, PROMO P&I

Some 257 billion offers totaling more than $320 billion in consumer incentives were made available through free standing insert (FSI) coupons in Sunday newspapers during 2007, a new report found.

The average coupon value increased to a record $1.26, up seven cents from 2006, according to the Marx Promotion Intelligence 2007 FSI Distribution Trends Report released this month.

“Marketers continue to leverage FSIs as a cost-effective advertising medium to deliver consumer impressions and to create purchase intent for their brands,” said Mark Nesbitt, COO, Marx Promotion Intelligence, in a statement.

FSIs reach almost 70 million households each week.

Consumer Packaged Goods accounted for 69% of total FSIs, followed by direct response at 22% and franchise at 9.1%, the report said. The face value of non-food FSIs rose by 5.8% to $1.54 and by 5.1% to 87 cents for foot categories.

Household cleaning products led overall FSI activity and was the top category in new product introductions, Marx Promotion Intelligence said. Snacks ranked second and was the No. 1 food category. Other categories in the top 10 list include pet food and treats, cough, cold, allergy, and sinus care, hair care, vitamins and bar/liquid soap.

The top 10 categories accounted for 32.4% of all coupons distributed across the CPG industry, the report said.
For manufacturers, Procter & Gamble held the top spot for dropping FSIs, followed by General Mills and SC Johnson & Sons Inc. Reckitt Benckiser PLC rose two spots while Unilever dropped to sixth from fourth in 2006, the report said. L’Oreal rounded out the top 10 list from the 11^th spot last year.
The report is available at http://www.tnsmi-marx.com.

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