Executive Summary
Paid obituary placements represent a significant revenue stream and strategic marketing opportunity for funeral homes. However, pricing varies dramatically across platforms, and families often lack information to make informed decisions. This guide provides frameworks for managing paid placement costs, presenting options strategically to families, and measuring ROI to ensure profitable obituary pricing.
Revenue Opportunity: Funeral homes that proactively present paid placement options see 31% of families choose premium placements, averaging $680 per selection. For a home with 200 cases annually, this represents approximately $42,000 in additional annual revenue.
Understanding Paid Placement Pricing
Major Platforms & Typical Costs
| Platform | Typical Cost | Value Proposition |
|---|---|---|
| New York Times | $500-2,500 | Prestige, national reach, archival value |
| Major Regional Papers | $300-800 | Regional prestige, local community visibility |
| Local Newspapers | $200-500 | Community presence, local search |
| Legacy.com Premium | $150-300 | High-traffic platform, extensive features |
Strategic Decision Framework
Factors That Support Premium Placement Investment
- Age: Older deceased (70+) with longer career history
- Prominence: Business owner, professional, community leader, military
- Family Capacity: Multi-generational family likely to celebrate legacy
- Service Level: Families selecting premium service packages
- Obituary Quality: Lengthy, detailed, compelling life story
Cost-Containment Scenarios
- Young Deceased: Focus on social media and free platforms
- Limited Information: Website and Legacy.com sufficient
- Estate Constraints: Free and low-cost options
- Routine Cases: Standard digital distribution
Presenting Paid Options to Families
Positioning Strategy
Present paid placements not as upsells but as opportunities to honor the deceased:
- "We can ensure your loved one's obituary reaches the broadest possible audience..."
- "Many families choose to place obituaries in regional or national publications..."
- "This publication is particularly fitting given your father's professional achievements..."
Three-Tier Presentation Model
- Essential: "We include publication on our website and Legacy.com at no charge"
- Enhanced: "Our most popular option adds local newspaper placement for $425"
- Premium: "Some families choose regional or national publication for $800-1,500"
ROI Measurement
Direct ROI Calculation
- Paid placement cost: $500
- Additional website traffic generated: 150 visits
- Average funeral home service value: $3,500
- Conversion rate from visibility: 2%
- Expected additional revenue: $105 (conservative)
- Net ROI: -$395 (direct)
Note: Direct ROI often negative, but secondary benefits include reputation, family satisfaction, and brand positioning.
Indirect Value Metrics
- Family satisfaction improvement (tracked in surveys)
- Staff morale and pride in comprehensive service
- Community perception and reputation building
- Long-term referral generation from visibility
Managing Costs & Profitability
Bundling Strategy
Bundle obituary placements with service packages to improve margins:
- "Deluxe Service: Professional obituary + regional newspaper placement included"
- Package premium at $1,200 (vs $500 placement cost) = $700 margin
Negotiation With Publishers
- Volume discounts from regular relationships
- Funeral home featured as partner/provider
- Seasonal promotional rates
- Cooperative advertising opportunities
Pricing Tip: Develop a tiered pricing menu that clearly shows value. Families are more likely to choose mid-tier options when presented with three choices versus just premium options.
Managing Family Expectations
- Clarify publication timelines and dates
- Provide proof of publication after placement
- Explain any formatting limitations from publications
- Manage expectations around guaranteed readership
Sacred Grounds includes paid placement management tools that track costs, manage family options, and provide clear pricing presentation. Maximize your obituary revenue while serving families' needs.
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