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RedPlum Expands its Reach Through Shared Mail Delivery

Monday, March 09, 2009

Press release from the issuing company

LIVONIA, Mich. -- Valassis, one of the nation's leading media and marketing services companies, announced today that more consumers now have access to its RedPlum free-standing insert (FSI) through a distribution shift in select markets via consumers' mailboxes for free in the RedPlum Shared Mail Package along with their grocery and retail circulars. Consumers in a number of markets who already receive the RedPlum mail package in these areas will now find the coupon booklet inside.

With the increased interest in coupons, deals and savings, consumers are changing their spending habits - in some cases, permanently. In part, they are using more coupons, using retail fliers to make shopping lists, and comparison shopping online. By delivering the RedPlum FSI through the mailbox, Valassis is aligning the value of its consumer packaged goods manufacturer coupons with retail circulars, optimizing coverage of a market, and overall, delivering more coupons for free in a market than was previously delivered with newspaper alone. Consumers also have access to free coupons through the company's savings and lifestyle site, http://www.redplum.com.

"We are laying the foundation for what we believe will be a new business model in the FSI industry," said Alan F. Schultz, Valassis Chairman, President and Chief Executive Officer (CEO). "We are working toward differentiating our FSI with Shared Mail distribution as we believe it offers a viable alternative to declining newspaper circulations. Through the mail, the RedPlum insert will now be able to reach significantly more households in each of the markets where the shift has occurred. In these challenging economic times, it has never been more important to make these essential savings available to as many people as possible so they can stretch the dollars in their wallets."

The determination of how and where to distribute promotional items such as coupons is made on a market-by-market basis, based largely on the objectives of Valassis' clients. They desire the ability to reach as many consumers as possible with their offers, and want to avoid duplication.

"Fueled by the downturn in the economy, there is a heightened consumer interest in saving money with coupons," said Bonnie Carlson, President of the Promotion Marketing Association. "Increased coupon usage leading to higher redemption rates is a win for both shoppers and advertisers. We are supportive of getting more coupons in the marketplace whether it be in the newspaper, the mail, in-store or online. It's all about reaching more people and delivering greater savings."

Valassis evaluates the distribution of its coupon booklet two times per year to ensure the optimization of market coverage for its clients and to reach more consumers. Recent media reports and coupon enthusiast Web sites have erroneously reported that Valassis is pulling its RedPlum coupon booklet from all newspapers across the United States, when in fact newspapers still represent 90% of its FSI distribution.

Supermarket Guru Phil Lempert urges consumers to never pay for coupons or a membership. "The leading brands use Valassis' RedPlum to distribute their coupons in a targeted and safe way to shoppers, and I use RedPlum to save money every time I shop - and so should every shopper," Lempert said.

RedPlum helps consumers score more deals than ever. It provides an opportunity for consumers to save up to $1,000 a year or more by spending just 20 minutes a week taking advantage of coupons and special offers. On redplum.com, consumers can quickly find free coupons, offers and tips - ranging from grocery to kids, home to healthy living, and dining to entertainment - in their local area.




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