Hallmark Launches its Own Media Channel

In the MULO (multi-location) retail world, Hallmark is one brand that has consistently been able to flex and scale — beyond the brick-and-mortar card store. Now, Hallmark is “joining the streaming fray.” The new media channel will (of course) be called Hallmark+, and it will make its debut in September.

Hallmark has been way ahead of the MULO game for a while, adding non-product and non-retail ventures to its concept but consistently staying on brand.

The Hallmark+ media channel subscriptions will start at $7.99 a month or $79.99 a year. Tying viewing into shopping, Hallmark will also offer Gold Crown Store coupons to subscribers, along with unlimited e-cards and other premium rewards.

Although Hallmark’s movies (including its vast selection of holiday entertainment) are somewhat formulaic, they have amassed a huge fan base. According to Nielsen, Hallmark was the top network for total viewers, women 25-54, women and people 18+ and 55+.

The company is more than 100 years old, and its evolution is broken down on its website into these main eras:

• The early 1900s marked the birth of the company, focusing on postcards and simple Hallmark “private label” cards.
• The company tiptoed into the entertainment business in the 1950s, sponsoring television’s Hallmark Hall of Fame productions, which has won 81 Emmy Awards to date.
• Ornaments became the rage in the 1970s, giving Hallmark a new revenue stream. The company also introduced its Gold Crown loyalty program and a whole new range of greeting cards to target diverse consumer bases.
• Acquisitions marked the 1980s, as Hallmark bought Crayola and Dayspring, a line of Christian cards. Rather than resisting the e-card movement, Hallmark simply got into the act. They also launched a line of lower-priced (99 cents) cards, removing an obstacle for people who still like paper cards.
• The global company has consistently innovated. In addition to expanding its product line to include toys and books, Hallmark has experimented with live immersive experiences, including a cruise. Hallmark’s three cable channels are the Hallmark Channel, Hallmark Mystery and Hallmark Family. Viewers are true fans and even have their own massive social media groups.

But paper greeting cards are also alive and well. Americans bought 6.5 billion cards last year. The industry is estimated to be between $7 and 8B, and people of all generations are buying cards, according to a study from the Greeting Card Association.

What can other MULO brands learn from Hallmark?

1. Pick a customer-focused brand “lane” in which you want to operate. In Hallmark’s case, it revolves around celebrations and human connections. Brands that survive and thrive own a special place in consumers’ hearts as well as in their heads.
2. Build loyalty among that base. The Gold Crown venture and the special benefits of the new Hallmark+ streaming media channel are prime examples.
3. Diversify your product offerings around your brand (see #3). Walk into a Hallmark store, and you see ornaments, toys, books, and gifts. This writer’s local Hallmark even has a small post office in the back. Limit your physical stores to those that perform well.
4. Experiences are as important as products. Hallmark has been clever in making its brand come alive through immersive moments.
5. Businesses that own their media channels will benefit from richer proprietary data. Plus, if executed well, an additional revenue stream.

Will Hallmark continue to innovate throughout the next 100 years? We’ll have to watch (along with viewing those iconic family flicks!)

Speaking of immersive and memorable experiences, be sure to join us at Street Fight Live in November.