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Home / Business

Postcards from the edge ...

30 Jun, 2000 03:24 AM6 mins to read

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Free cards come into their own as an advertising medium and take an ever-growing slice of the cake.

By Karyn Scherer

Marketing mavens like to refer to it as "brand fondling". And it has to be said, the most successful examples are often the rudest and most erotic.

At its best, it is
advertising masquerading as art. At its worst, it is just plain boring. Either way, cafe-goers seem to be its main target, proving, it seems, that there is no such thing as a free lunch, but there is such a thing as a free postcard.

Over the past 10 years, the trend of using postcards as an advertising medium has taken off around the world, and New Zealand is no exception.

As a means of communication, postcards date back to the 1860s. The first regularly printed card was associated with the Franco-German war and appeared in 1870.
Advertisers did not take long to catch on to the possibilities it offered, and the first advertising card appeared in Britain two years later.

However, it is the Spanish who take the credit for popularising the idea of distributing free postcards as an advertising tool. It was 14 years ago that the concept took off in Barcelona. There are now more than 40 countries with "freecard" publishers and, in Germany alone, there are now dozens of companies trying to cash in on the trend.

Because of the small size of the industry here, no one is willing to say how much revenue freecards generate.
Across the Tasman, where there are eight freecard publishers, estimates range from $A5 million to $A10 million.

It is a tiny slice of the advertising market, but according to the main players, it is getting bigger all the time.

The first freecard company to make its mark in this country was Little Billboards, based in Auckland. The business, now five years old, was recently renamed Little Posters, after being taken over by street poster company Profile Plus.

According to spokesman Dion Palmer, the company is happy to focus on the niche market of 15 to 40-year-olds, preferring to target "cool, hip, trendy places".

It currently supplies 180 cafes, restaurants, cinemas and clothing stores in Auckland, Wellington and Christchurch. It is keen to expand into other outlets, such as museums and convention centres, and is also considering the possibility of moving into Dunedin.

Some of its most successful cards so far, says Palmer, have been an offer of free tickets to an Ottmar Liebert concert, and promotion of the tour this month by American bluesman Keb `Mo'. Cards promoting dance parties and comedy acts always go quickly, he says, although he also cites an ad for a bra that was also a jigsaw, and an ad for a fashion magazine that folded into a small handbag, as particularly popular cards.

"It's definitely growing," he enthuses.

The company's main opposition is another Auckland-based business, Creative Profile. Managing director Rene Becherer says he got the idea from his brother in Germany.

The company's black perspex racks used to be a common sight in many cafes around the country. They have since been replaced by a more stylish, wooden version.

"That opened the doors to the really trendy cafes," says Becherer.

He agrees that the most effective cards are the ones that make imaginative use of the medium. The most memorable ones so far have been funny, clever, naughty, "or even shocking", says general manager Gordon Milina.

Not surprisingly perhaps, Milina rejects the suggestion that many of those who pick up the cards don't pay any attention to the brands or products they are advertising. He cites many happy customers as evidence of their effectiveness. He also denies that the cards are a fad.

"It's just the reverse. The international trends show this is going from strength to strength. It is being used by larger and larger corporates."

However, he does admit to some frustration with advertising agencies and clients who remain wary of the medium.

"The medium itself will work and has worked since Adam was a cowboy. It will continue to do so, but it's the agencies and marketers who need to get their head around it," he says.

Creative Profile distributes around 350,000 cards each month to more than 600 outlets, from the Bay of Islands to Stewart Island. All cards are kept on the racks until they disappear -- which they all, apparently, do in the end.

Research carried out by ACNielsen in 1997 showed 80 per cent of those who picked up the cards were aged between 15 and 34. But unlike its main competitor, the company prefers to play down the niche possibilities.

Too many Auckland and Wellington-based advertising agencies tend to underestimate the tastes and purchasing power of people who live outside the main cities, says Becherer.

"Eight or 10 years ago [in provincial New Zealand] it was dead at seven o'clock. Now you find thriving cafes in every town. Timaru and Invercargill have got really excellent, neat places ... That's an exceptionally difficult message to get across to agencies: that the market includes the young, trendy 18-year-old with a stud in every portion of her body, to Joe Blow farmer who's gone into town to buy his fence wire."

According to Hamilton restaurant manager Jacqui Edwards, Becherer is quite right. She works in two Hamilton bar/restaurants, Iguana and The Bank., and says customers love the cards, snaffling around 1000 every six weeks. She has noticed they appeal to all sorts of people, although they are most popular with students.

"People who are going to be writing off to somebody know that we've got them here, so they actually come in to grab one and have a coffee while they write. It's seen as added value from our customers' point of view."

She admits she was initially concerned customers might scribble on the cards and then leave them on the tables for staff to throw away, but it rarely happens.

"To be honest, when they first came out, I kept thinking, how come we don't have to pay for this? It's so unusual for something to come free of charge, and to be so efficient and so professional-looking."

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