Why Coupons Are Interesting to Mobile and Social Advertisers

Consumer product goods marketers allocated the largest share of their coupon distribution to free standing inserts during 2010, according to a new study from NCH Marketing. FSIs accounted for roughly 88 percent of CPG coupons in 2010, with all other forms of media comprising the remaining 12 percent.

The amount of that activity probably explains the new interest in distributing some coupons by mobile devices, where the shopper's context and preferences can, in principle, be used to target the messages. 

In-store handouts represented five percent of coupons, followed by direct mail (2.4 percent), magazine (2.2 percent), other (including all digital formats – two percent), and in/on-pack and cross-ruff (one percent).

While distribution demographics for grocery CPG coupons were similar to overall results, a slightly higher percentage (13.2%, or 7% more) were distributed by non-FSI means. The largest difference in the breakdown of non-FSI coupon media was an 11.5% higher percentage distributed via in-store handouts (5.8%).

The average face value of a CPG coupon in 2010 was $1.46, up 6.6% from $1.37 in 2009. Average CPG coupon face value has risen year-over-year each year since 2006, when it stood at $1.18. Between 2006 and 2010, average value rose almost 24%.

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