Valassis’ creative design capabilities and top-notch printing facilities make it a key partner.

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Every American household that receives mail has more than likely come into contact with a product developed by Valassis – a Livonia, Mich.-based marketing services company. Valassis might be well known for its many printing services and products, but it is much more than a commercial printer, says Executive Vice President of Manufacturing and Client Services Bill Hogg. “We’re clearly a marketing services company and we also happen to provide manufacturing services, which has allowed us to be a low-cost producer,” Hogg says.

Valassis’ competitive edge is its diverse media platform, which includes products and services such as shared mail; newspaper-delivered promotions such as inserts, sampling, polybags and on-page advertisements; solo mail; in-store marketing; direct-to-door advertising and sampling; Internet-delivered marketing; loyalty marketing software; coupon and promotion clearing; promotion planning; and analytic services. It also is the leading coupon processor in the world.    

The company has relationships with approximately 15,000 advertisers worldwide in industries including automotive, consumer electronics, consumer packaged goods, financial services, franchise food, grocery, specialty retail and telecommunications.

“We have grown by adding products and services to our own business,” Hogg says. “We also made a major acquisition when we brought on ADVO, a shared mail business. We believe in having profitable growth, and we expect to increase revenue
in 2008.”

In early 2007, the company acquired ADVO, a direct mail media company, to cement its position in the direct mailing category. Now, Valassis handles 90 percent of all third-party co-op direct mail in the United States.

The company retained almost all employees from the ADVO acquisition, and Hogg says as it brought in more printing work to its plants, Valassis manufacturing increased its employment by about 10 percent this past year. “Because we have a philosophy to promote from within, we’re going to give our people opportunities to move up, and then we’ll hire to fill those entry-level positions,” he notes.

In January, Valassis launched its new consumer brand, RedPlum, and its new interactive consumer Web site, redplum.com, where consumers can access special deals in an array of categories including grocery, beauty, travel, electronics, home and entertainment. RedPlum offers national, regional and local values as well as relevant information about products and services. Additionally, it is simple to navigate: by entering their ZIP code, consumers can access information and print coupons.

The online tool will also help Valassis stay connected with a younger generation. “There is certainly a change in the demographics of the consumer,” Hogg notes. “There’s a younger generation who is more interested in getting value off the Internet as opposed to getting it from traditional media.”

To market RedPlum, the company is utilizing public relations efforts, its 650-person sales force and its printed products, each of which lists the RedPlum Web site.

Engaging Services
As a marketing services company, Valassis must provide the most relevant research and market data to its clients to help them better target their audiences. Valassis works with well-known research organizations such as BIGreserach, Mediamark Research Inc., Scarborough Research, Forrester Research and the Newspaper Association of America, as well as conducts proprietary quantitative and qualitative studies.

Using  targeting capabilities, Valassis develops profiles for its clients that help pinpoint people based on demographics, geographics, consumer behavior and product usage, segmentation and even brand loyalty. Through media optimization, Valassis helps its clients target the right audience with the right offer.

The company’s creative design services make Valassis a key partner for its clients. The company manages a 30-person design group and a 120-person desktop publishing group that assist clients at the front-end, from concept development and ad design to bringing the final product design to fruition, Hogg says.