Home' Local Media Today : March 2006 Contents They are big believers in testing and cur-
rently they are looking at radio, Advo,
front page post-its and other opportuni-
ties. If you are interested in the front
page post-its, send Dave an email at
They are especially interested in research
from newspapers. SNA informed Dave
that our upcoming study of over 7,000
interviews will measure Michaels’ shop-
pers and we will be able to deliver a
comprehensive profile. He seemed very
pleased with that.
They currently have over 800 stores and
are in 205 of the 215 DMA’s. They have
about 60 new stores planned for 2006.
They do not like forced zoning. 65% is
their target penetration. They like
Sunday drops but recognize that
Thursday/Friday is good for setting up
strong Saturday sales. A 5 mile radius is
ideal but in some markets this can be
stretched to 10.
As far as
starting a Sunday program (second day
drop – 12
15 times this year). The mid-
week program will stay the same.
NEWSPAPER SERVICES OF
Represented by: Craig Desens, Chief
Operating Officer and Jessie Solomon,
President, NSA Media Division.
The number one need is to help their
retail clients target their customers. Their
clients are big believers in print but con-
tinue to need more targeting options.
That is why sub-zip is so important. A
new trend is a greater appetite for test-
ing. Also, some of the old stigmas
regarding free, non-ABC audited week-
lies are gone. They are now an accept-
able option for many.
NSA just commissioned a large Belden
study to look at insert readership and
usage. They are eager to get the SNA
results so that they can compare notes
and hopefully show some strong trends.
On the NSA Media side that Jessie runs,
current clients include The Sports
Authority, BMW, Quest, Mervyns,
Citibank, Walgreens (database lease
only), Coldwell Banker, Toys R Us, Value
City, Shoe Carnival and Meier’s. Pier
One is no longer with them and have
dropped newspapers altogether.
Toys R Us just announced a new CEO.
They closed some under-performing
stores and this should help them moving
forward. They are a little open to mid-
week products although they are still a
Sunday preprint advertiser.
Represented by: Dennis Miller, Vice
President - Advertising and Sarika
Rastogi, Customer Loyalty Manager.
Modell's has 128 stores from New
Hampshire to Virginia. They operate in
11 states. They are a family owned com-
pany that can make quick decisions.
Their core customer is within a 15
minute drive time. They are opening 6
interested in promoting their frequent
shopper program - MVP. They are also
very interested in event marketing. Any
opportunities to partner with the
newspapers on community events
should be brought to their attention.
They are willing to donate gift certifi-
cates for prizes at community events.
They love events involving any aspect of
the community in addition to the obvious
Dennis is reached at: dennism@msg-
today than ever before. This is due to
major declines with metro dailies, the
“my way or the highway” mentality from
some metro daily companies and the
emergence of Wal-Mart, Costco and oth-
ers. Sub zip is important but Chris thinks
that we are a few years away.
ACG is a private company with about 65
employees representing 20 different
clients. They use 1,500 – 1,600 papers
with the JC Penney account – many of
which are suburban and community
newspapers. They are a fee based compa-
ny, in other words, they don’t take or
charge a commission from the newspa-
pers. The retailers pay for their services.
In addition to penetration numbers, day of
distribution is really important along with
being audited. It doesn’t matter which
company you use; it’s just important to
Regarding Petco – they just moved out of
Advo and into newspapers and they are
seeing a better ROI. For JC Penney, they
are expecting 34 preprints in 2006.
Represented by: Greg Bogich, Director –
New Business Development and Rob
Mason, VP – Sales, Retail & Services.
Valassis was traditionally a Sunday FSI
company but now they have 2 other
groups – retail sales (grocery, drug, etc.)
and auto/specialty retail/consumer elec-
tronics/direct marketing. They went from
a consumer products and goods company
to a very diverse company with $1.1 bil-
lion in revenues.
90% of their revenues go to newspapers
through FSI’s, ROP and polybags.
Valassis conducts a ton of research espe-
cially with regard to preprints and how
consumers use them. They also have a
140 person marketing team.
There are 4 things that matter in advertis-
ing (this came from one of the keynote
sessions at RAC and Valassis thought it
Relevance – suburban and community
newspapers certainly fit this bill
Recognition – trust and brand equity
Receptivity – does the consumer want
it/respond to it?
Response – is it easy to use?
60 – 65% of Valassis business comes
from advertising agencies. Their experi-
ence level and focus on newspapers is
next to nothing.
All SNA members are urged to visit the
targeting team at Valassis. This is the
group that makes the buying recommen-
dations so it is extremely important that
they understand your products. SNA will
work with Valassis to set up SNA days
with the targeting team.
Represented by: Rita Jurczyk
Dollar General is the big opportunity
right now. They have 8,284 stores and
they are looking to conduct a newspa-
per test pro-
gram in April,
only use direct
mail for grand openings. They do not
have a newspaper program. They are
looking for 100% penetration or as close
to it as possible. They are looking for a
test rate and TNN will waive commission
for the test. If you are interested in bid-
ding on this and did not receive a survey
from TNN, contact Rita right away.
They are working with a company that
produces a glossy insert entitled Boomer
Magazine (addressing the needs of Baby
Boomers). It has editorial and national
advertising and currently runs in the
Miami Herald. If you are interested in
running this preprint, contact Rita with a
Rita encouraged everyone to make sure
that their information is updated in the
Vertis database. Contact Brian Davis at
(518) 373-0419 x 3013 or bdavis@vertis-
Lowes is TNN’s largest account and they
were awarded the vendor of the year
award from them this year. They are very
proud of this accomplishment. They have
a new automotive manager – Iain
Williamson – he is reached at
email@example.com. TNN current-
ly represents Lincoln/Mercury dealers
associations, Nissan, Lexus and Land
Represented by: Dave Gusse, Strategic
Tom Bulger left Michaels in December
and Dave has been spending two
days/week in Dallas until his replacement
is named. A new VP- Marketing has been
added and his name is Dave Abelman. He
comes from Office Depot.
Michaels had a great 2005 on top of a
great year in 2004. Currently, 99.9% of
their advertising is newspaper preprints.
SPECIAL RETAILER REPORT
continued from previous page
TownNews.com and PowerOne Media
have made a deal for TownNews.com to
purchase ZWire, AdQuest and a national
advertising network from PowerOne
Media. Announced in mid-February, the
deal was expected to close around
The acquisition will bring to approxi-
mately 1,500 the number of newspapers
served by TownNews.com, which is 83
percent owned by Lee Enterprises,
Incorporated (NYSE: LEE).
"ZWire and AdQuest are proud and his-
toric brands, and we are pleased to be
associated with them," said Marc Wilson,
chief executive officer and founder of
TownNews.com. "The national advertis-
ing network will help us sell and deliver
advertising to newspaper companies
throughout the nation."
Jack Lintol, chief executive officer of
PowerOne Media, said, "The combina-
tion of ZWire, AdQuest and
TownNews.com will be good for the
newspaper industry. The Internet is
becoming more and more central to the
future of newspapers, and the combined
assets of the two companies will help
ensure that newspapers have the
resources needed to compete in this rap-
idly changing media world."
TownNews.com to acquire
ZWire and AdQuest
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