NEW YORK, April 19, 2016 /PRNewswire/ -- On average,
seventy-five percent of consumer packaged goods coupon redemptions,
across all types, result in incremental sales according to a study
that will be presented at the Association of Coupon Professionals'
10th annual Industry Coupon Conference on Wednesday, April 20 in Charlotte, NC by GfK and News America
Marketing. This is a 9% increase since 2010 when the number
was a still-impressive 69%. Industry experts at GfK theorize that
the increase in incremental sales may be an indication that the
purchase decisions of American shoppers are more easily swayed by
coupons today than ever before.
The study returned additional findings that may be surprising to
the marketers who have begun turning away from the Free Standing
Insert (FSI) in favor of other coupon alternatives.
"The FSI continues to be the coupon vehicle with the highest
return on investment, as measured by incremental sales," said
Neal Heffernan, SVP, Shopper &
Retail Strategy, GfK. "Even with the emergence and proliferation of
other coupon program options, the FSI's rich and varied
content offering and unmatched scale keep this product incredibly
relevant."
In addition to showing how coupons, and the FSI in particular,
can help Consumer Packaged Goods (CPG) brands generally, the new
study reveals deeper insights into how coupons can be implemented
to meet specific CPG marketer goals. For example, for
programs designed to maximize return on investment, it was found
that coupons that require multiple purchases and can be used on
large, well-established businesses will be more likely to achieve a
higher ROI. For programs designed to drive trial, a high-value
offer combined with low purchase requirements have the best chance
of achieving their goal.
"The data we collected delivers some exciting new insights into
coupon best practices," said Mark
Peiser, VP, Consumer & Market Insights, News America
Marketing. "We're looking forward to sharing these specifics with
marketers at the ACP conference on April
20th so that they can use this information to
more successfully guide their coupon executions in the future."
The study leverages loyalty card data from tens of millions of
shoppers who are included in GfK's National Shopper Lab. The
findings were based on thousands of coupon evaluations conducted by
GfK on CPG brands and an analysis conducted in conjunction with
several large CPG marketers on FSI coupons where program objectives
and coupon execution were profiled.
About News America Marketing®
News America Marketing, a subsidiary of News Corp (NASDAQ: NWS,
NWSA; ASX: NWS, NWSLV) is the premier marketing partner of some of
the world's most well-known brands. From our iconic Sunday coupon
insert, SmartSource Magazine®, to our innovative digital
savings platforms, News America Marketing's
SmartSource®-branded advertising and promotion programs
are an integral part of America's shopping routine. We reach
millions of consumers each day through our network of 1,900+
publications1, 61,100+ retail
stores2, and 500 online partner sites including our own
SmartSource.com3. Since 1988, we have delivered
advertising and promotions that are proven to help brands
succeed.
For more information, please visit newsamerica.com or
smartsource.com.
1NAM market list effective August, 2015
2Based on an aggregate of NAM cycle 1, 2016 Coupon
Machine for all classes of trade with the exception of specialty
stores that accept only Carts or Shelftalk
3As of September, 2015
About GfK
GfK is the trusted source of relevant market and consumer
information that enables its clients to make smarter decisions.
More than 13,000 market research experts combine their passion with
GfK's long-standing data science experience. This allows GfK to
deliver vital global insights matched with local market
intelligence from more than 100 countries. By using innovative
technologies and data sciences, GfK turns big data into smart data,
enabling its clients to improve their competitive edge and enrich
consumers' experiences and choices.
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SOURCE News America Marketing