Priceline.com's WebHouse Club Allies with ADVO

In a deal that would pair Priceline.com‘s “name-your price” service with ADVO Inc.‘s vast client list, the online firm’s retail arm, WebHouse Club, has formed an alliance with the direct marketing giant.

Although ADVO recently formed an Internet division, ShopWise.com, this deal shows that the company recognizes that others, like Priceline.com , have a substantial lead when it comes to online marketing. Rather than trying to do online marketing by itself, the company is teaming with more established online players.

The two companies have agreed to develop Internet-based marketing programs for ADVO’s 24,000 clients and 600 sales associates. These programs will operate in conjunction with the WebHouse Club’s Half-Price token loyalty program. That program lets members collect tokens, which they can use to reduce prices on goods, when they participate in marketing partner programs.

The consumers get these discounts, as well as offers for trials, samples or discounts from the partner, in exchange for doing any of several things: filling out an online survey, visiting the partner’s Web site, applying to receive a partner’s service, or purchasing a partner’s product.

The ADVO partnership will also involve Priceline’s gasoline service, which is set to launch this summer.

“This alliance will help to bring additional value-added products and services to our traditional client base, which includes leading retailers and service providers on the national, regional and local levels,” said Gary Mulloy, chairman and chief executive officer of ADVO.