Coupons key driver for brand introduction


Coupons key driver for brand introduction

As consumers face continued cost of living challenges, coupons are a key driver for introducing a new brand to shoppers. This is according to research from digital rewards and loyalty platform savi UK, which surveyed hundreds of consumers about their shopping loyalty behaviours and spending habits.

In conjunction with OnePoll, savi looked in-depth at overall spending, how shoppers were managing their household budgets and what was impacting their purchasing decisions, including where to shop and which brands to buy. The research revealed that UK shoppers were happy to switch previously held loyalties in exchange for a discount coupon, as well as share their personal data and insight for a deal.

  • The number of consumers actively seeking out coupons had risen by half, from 43 per cent three years ago, to 69 per cent
  • Two-thirds of consumers (64 per cent) would share their email address in return for a coupon
  • Amount matters; 54 per cent of consumers fail to use coupons of minimal value

Mark Fenton, Head of FMCG at savi, commented: “Our study showed that 64 per cent of shoppers are spending more on their groceries but only 9 per cent believe they are actually buying more. Clearly, consumers are feeling the squeeze.

“It may come as no surprise then, that they are supplementing their budgets by seeking out deals and are open to trying new products and even switching supermarkets, for the best money-off support.

“For brand marketers the message is clear; if you want to capture new consumers you need to hit them in the wallet and offer them a monetary incentive to try new brands.”

The latest stats from the Office of National Statistics (ONS) show that consumer spending has started to rise in Q1 of 2024, after a difficult retail year in 2023. However, unseasonable wet weather has been highlighted in industry reports as a factor in a lower-than-usual rise into the summer months.

“Brands have had it hard recently, and we’re in a bit of uncharted territory,” added Mark, “The usual consumer spending cycle is all out of whack, making the tough job of B2C marketing even tougher. But, we all know that loyalty is the end-game; our advice to marketers is to get your products in front of shoppers and let them speak for themselves. And, the evidence is pointing to coupons being the top way to do that.”

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