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Valassis and AOL to Deliver More Coupon Offers Through Retail Frequent Shopper Programs

LIVONIA, Mich. Jan. 25, 2011 Valassis the United States

This joint effort between two industry leaders provides advertisers with a vast distribution channel, capable of reaching 127 million frequent shopper cardholders across the country on a weekly basis. The coupons will be delivered via electronic downloads to participating retailer frequent shopper cards and loyalty program IDs. According to research conducted by Valassis and BIGresearch, 80% of shoppers subscribe to grocery/drug frequent shopper programs and two out of three of these consumers have expressed an interest in saving coupons from the Internet directly to their frequent shopper cards/IDs.

Shoppers browse, select and save their preferred coupons in real time with ease and convenience. They download offers to their loyalty card or ID from participating retailer websites, AOL’s, Valassis’ web properties or a mobile device. The coupons are ready for redemption as soon as they are downloaded.  At the checkout, eligible savings are automatically subtracted from the total cost.

Valassis’ DigitalOfferExpert™ is the proprietary engine that manages coupon distribution across the RedPlum Network, pairing deals with today’s tech-savvy and on-the-go shopper.  The Shortcuts Digital Couponing System™ manages content and coupon distribution across the AOL Network.

John Lieblang

Tara Trocki

More and more consumers today are investing time and seeking out money-saving deals from multiple sources including coupon, retailer and brand websites, the mail, the newspaper and in store.  This program offers shoppers a robust selection of coupons they can readily download to their loyalty card or frequent shopper ID. Valassis offers advertisers the ability to deliver a blended solution incorporating print and digital offerings in a campaign to reach shoppers how, when and where they want.  AOL’s Shortcuts provides extensive consumer reach in distribution of digital coupon offers as well proprietary advances in technology which enable CPG partners to gain online and offline consumer behavioral insights and leverage targeting mechanisms not available through other channels.

Proprietary research conducted by Valassis and BIGresearch indicates:  

  • 44.2% of U.S. adults are seeking coupons online at least once a week;

  • 57% of consumers print one to five coupons from the Internet weekly – 26% print more than six weekly; and

  • To date, 20% of consumers have reported downloading coupons to their loyalty cards/IDs; 80% have then used the downloaded coupons to get savings at their local stores.

About Valassis

Livonia, Michigan America’s Looking for Its Missing Children

About AOL & Shortcuts

the United States Campbell

Cautionary Statements Regarding Forward-looking Statements

This document contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks and uncertainties and other factors which may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include, among others, the following: price competition from our existing competitors; new competitors in any of our businesses; a shift in client preference for different promotional materials, strategies or coupon delivery methods, including, without limitation, as a result of declines in newspaper circulation; an unforeseen increase in paper or postal costs; changes which affect the businesses of our clients and lead to reduced sales promotion spending, including, without limitation, a decrease of marketing budgets which are generally discretionary in nature and easier to reduce in the short-term than other expenses; our substantial indebtedness, and ability to refinance such indebtedness, if necessary, and our ability to incur additional indebtedness, may affect our financial health; the financial condition, including bankruptcies, of our clients, suppliers, senior secured credit facility lenders or other counterparties; our ability to comply with or obtain modifications or waivers of the financial covenants contained in our debt documents; certain covenants in our debt documents could adversely restrict our financial and operating flexibility; ongoing disruptions in the credit markets that make it difficult for companies to secure financing; fluctuations in the amount, timing, pages, weight and kinds of advertising pieces from period to period, due to a change in our clients’ promotional needs, inventories and other factors; our failure to attract and retain qualified personnel may affect our business and results of operations; a rise in interest rates could increase our borrowing costs; we may be required to recognize additional impairment charges against goodwill and intangible assets in the future; possible governmental regulation or litigation affecting aspects of our business; the credit and liquidity crisis in the financial markets could continue to affect our results of operations and financial condition; uncertainty in the application and interpretation of applicable state sales tax laws may expose us to additional sales tax liability; and general economic conditions, whether nationally, internationally, or in the market areas in which we conduct our business, including the adverse impact of the ongoing economic downturn on the marketing expenditures and activities of our clients and prospective clients as well as our vendors, with whom we rely on to provide us with quality materials at the right prices and in a timely manner. These and other risks and uncertainties related to our business are described in greater detail in our filings with the United States Securities and Exchange Commission, including our reports on Forms 10-K and 10-Q and the foregoing information should be read in conjunction with these filings.  We disclaim any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.

SOURCE Valassis

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