So they started with a print piece offering a free video. Giving a premium as a purchase incentive is a time-honored promotional tool that needs little explanation. Time-Life and Sports Illustrated are noteworthy examples of businesses that have exploited the potential of video premiums to the fullest. Many people dismiss video due to the misperception that it will be too costly, but it doesn't have to be. In fact, in terms of cost per conversion, with today's new lower cost technologies video may be cheaper than print.
Production costs vary greatly, depending on quality, length, locations, special effects, etc.
New shooting and editing technologies are also making video production more affordable than ever. Mailing lists costs vary greatly. Packaging costs are another variable with a huge range, from simple to extravagant and everything in between. Distribution costs include mail handling and sorting, plus postage. Again, costs vary greatly depending on what you do.