Entrepreneur Aims Computerized Coupons at High-End
Market
By Leo Smith
Jeffrey Weinberg of Camarillo is a longtime coupon collector. So
he knows how coupons can accumulate, get misplaced or cause a clutter.
Looking to alleviate such potential problems, last
year Weinberg entered the coupon business himself. He solicited coupons/ads
from Ventura County businesses but, instead of printing them on paper,
put them on computer disks to be installed in IBM-compatible personal computers.
In July, Weinberg introduced a three-disk set of his
Finger Tips digital coupons, promoting businesses in the Conejo Valley.
He recently compiled a similar set for the Ventura, Oxnard and Camarillo
area. Finger Tips sets are available free at the advertising businesses.
"The best thing about Finger Tips is the coupons don't
go away," Weinberg said. "You no longer have to use them right now. You
can use them six months from now and you can use them as often as you want."
Instead of clipping them, consumers print out the full-screen
coupons when needed. Businesses pay $400 to have their ads on 2000 sets
of disks for six months. For no additional cost, the coupons also show
up on Weinberg's Internet site.
Weinberg's first Finger Tips consists of 38 Conejo
Valley businesses, including Westlake Independent Honda and Acura Repair,
Brett's Tropical Fish in Thousand Oaks and Action Screenprinting in Thousand
Oaks. His 30-business west county edition features Steve Thomas BMW in
Camarillo, Spinnaker Seafood Broiler in Ventura and Eva's Limousine Service
in Ventura.
"For the most part, I try to sell to very high-end
businesses," Weinberg said. "I try to sell to businesses like travel agents,
computer stores, Internet providers, things that upper-middle-class people
go for, because that's who has the computers and that's who has the money
to buy things. Not all of the ads are focused in that direction, but that
is the goal."
The idea was enough to lure Bill Riggs, owner of Carmen
Plaza Travel in Camarillo. He's using the FingerTips coupons to test the
waters of high-tech advertising.
"It's getting to the point where everything is going
on the Internet. I though this was a good way to start," Riggs said. "Over
the years, people have liked to use coupons, whether it's for10 cents off
at the drugstore or $50 off on a cruise. I've always had a pretty good
response from them, so I thought I'd see how this would work."
Riggs hopes computer users scrolling through other
coupons will stumble across his. In the first two months of advertising,
he said, a couple of responses. He said he'd ultimately like to get the
same response from computer advertising as he gets from his direct mail
approach.
"We get back about 10 percent response from our mailing.
Many of them are already clients, but we get a lot of new people too,"
Riggs said. "I hope to get three, four or five calls a week (through Finger
Tips). If I saw that, I would jump into a more sophisticated and widespread
type of thing."
"Although the coupon world may be turning more and
more high-tech, there's still plenty of demand for paper coupons, say those
who produce them.
"I think it's going to be a long time before we are
in a paperless society and every single person is on the Internet," said
Stephanie Avalon, owner of the publication Coupons & More of Ventura.
"At least until the near future, there is going to be a place for paper
coupons".
"I think that the average consumer is still looking
in newspapers and direct mail for offers, though I do think that will change
as more and more people have personal computers in their home," Avalon
said.
Avalon distributes 30,000 copies of her tabloid in
Ventura. Separately owned Coupons & More publications in Oxnard, Camarillo
and Simi Valley have circulations of 24,000 to 30,000 in their region.
Ventura County, Avalon said, can support such wide
circulation. "Coupons have gotten big around here as the economy has declined.
Ventura County has become a big coupon-clipping community."
"As the economy has slumped, local businesses also
have come to rely more on coupons, Avalon said.
"There was a time when a merchant could put out a pretty
as that said, ' Here we are,' Avalon said. "That doesn't work anymore.
A merchant has to give an incentive, an offer."
Whether that offer is best presented on paper or computer
remains to be seen.
"With new technologies coming out, I think that couponing
will always be a viable way for businesses to get to their local clientele,
said Michael Levine, who distributes 33,000 copies of his Ventura Community
Values coupon magazine, with separate versions for east and west Ventura.
"It's hard to say 20 years from now what is going to
be happening," he said. "Maybe I'll be doing the same thing, only through
some other medium."