Today is the day that the Canadian penny begins to disappear from circulation. Big deal right? For most, in recent memory the penny has primarily served the purpose of taking up most of the space in our coin jars. However, there has been another, far more valuable use for the penny, and over the last 16+ years hundreds of Canadian businesses have been benefiting.Direct Response Media Group or DRMG for short, is Canada’s largest shared media products marketing company. How big you ask? Well DRMG recently signed a deal with Canada Post for 150,000,000 (yes, 150 million) pieces. So what does this have to do with a penny? Well, for about a penny per household, Canadian businesses can have an ad designed, printed and delivered directly to a mail box.
This is made possible by what is known as “co-op mail marketing”. DRMG produces and distributes a magazine called “Money Saver” 10 times a year. It’s essentially a magazine full of ads and coupons that help families save money on everything from pizza, to putting a new roof on your house.
Because there are multiple advertisers (but none of which compete with each other), and because of a massive distribution channel, DRMG can get advertisers into Canadian households at around a penny per home.
While the penny goes the way of the Dodo, businesses of all shapes and sizes will still be able to reach consumers directly in their home for about a penny at a time. Canadians are going to have less jingling in their pockets when they walk, but still be able to reach customers 1 penny at a time.