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Coupons Influence Majority of Consumers’ CPG Brand Decisions - Jan 18, 2012
http://articles.jibbio.com/articles/92/1/Coupons-Influence-Majority-of-Consumers-CPG-Brand-Decisions---Jan-18-2012/Page1.html
Mark Listwell

 
By Mark Listwell
Published on 01/18/2012
 
Data from “MarketPulse: Key Trends” indicates that 39% of shoppers reported downloading coupons from manufacturer websites in Q4 2011, up from 37% in Q3 and 35% in Q2. The next-most popular usage of digital media for CPG shopping in Q4 was downloading coupons from retailer websites (37%), followed by downloading coupons from couponing sites (35%). 27% of shoppers reported researching products on websites, up 12.5% from 24% in Q2, while 23% reported visiting online deal sites such as Groupon.
Coupons from home heavily influenced brand choice for 55% of consumers in Q4 2011, unchanged from the previous quarter, but representing a 15% rise from 48% in Q1, according to a survey released in January 2012 by SymphonyIRI. Use of newspaper circulars from home proved influential to almost half of consumers, up 14% from 43% in Q1, while use of in-store circulars also gained steam over the course of the year, cited by 44% of consumers as a brand decision influencer in Q4, compared to 36% in Q1. Shopper loyalty card discounts proved influential to 42% of consumers, ahead of signs or displays in the store (30%).

Store Circulars Popular for List-Making

Half of the shoppers surveyed reported using a store circular to make a list prior to going to the grocery store, while 42% used coupons to make a list. Listing specific brands to buy was much less popular (16%), as were listing specific private label or store brand items to buy, and using the internet to make the list (both at 9%).

Overall, 70% of consumers in Q4 said they make a shopping list prior to going to the grocery store.

Digital Media Usage Up

Data from “MarketPulse: Key Trends” indicates that 39% of shoppers reported downloading coupons from manufacturer websites in Q4 2011, up from 37% in Q3 and 35% in Q2. The next-most popular usage of digital media for CPG shopping in Q4 was downloading coupons from retailer websites (37%), followed by downloading coupons from couponing sites (35%). 27% of shoppers reported researching products on websites, up 12.5% from 24% in Q2, while 23% reported visiting online deal sites such as Groupon.

Deals Prove Influential

26% of consumers in Q4 said that they were buying more of their CPG basket on deal compared to the previous year, while 1 in 3 consumers indicated that they were purchasing 50% or more of their basket on deal. 53% of shoppers said they stock up on items because they are on sale, and 52% said they make additional, unplanned purchases upon seeing in-store deals or specials. One-third of the respondents said they buy brands other than their preferred brands because they are on sale.

According to an October 2011 survey by Accenture, about 2 in 5 US consumers would switch from brand name to generic grocery items as a result of a 10-20% price increase, and roughly 1 in 5 would also make the switch given a price increase of less than 10%.