Websites offering digital coupons report 17 % growth

The number of digital coupons distributed on key websites monitored by Kantar Media’s Marx grew at a rate of 17.7 percent in 2014, according to data released by Kantar Media on March 25.

Analysis of the websites, which included Load to Card and Print at Home coupon types, also found that the Share of
Activity in Food Areas for digitally distributed coupons over-indexed when compared to Print FSI Food Area Share of Activity in 2014, meaning Food Areas are growing in digitally distributed coupon Events.

“2014 saw a significant expansion of digitally distributed coupons, but that growth did not translate into all Areas – with Cereal category facing the strongest decline of 20.5% in digitally distributed coupons in 2014,” stated David Hamric, General Manager at Kantar Media’s Marx. “Manufacturers will continue to develop new digital programs and evolve their digital strategies as they work to get ahead of their competition and align with key retailers. Identifying which competitors and which retailers are key to each manufacturer’s categories and brands is a work in progress, and will continue to evolve.”

Average Cost Per Estimated Digital Coupon Print/Clip is highest in Non Food Areas

Kantar Media also reported that the average Cost Per Estimated Digital Coupon Print / Clip across all Areas and key websites in 2014 was $0.30 .

The Average Cost Per Estimated Digital Coupon Print/Clip (ACPEDCPC) is determined by the overall Estimated
Expenditure divided by the number of Digitally Distributed Coupon Prints or Clips it takes a brand or segment to reach that total cost for the digital program.

Three of nine Areas analyzed by Kantar Media showed to be higher than the industry average cost. Three of four NonFood Areas led with the highest ACPEDCPC, with Other Packaged Goods ACPEDCPC being 66% higher than the overall Industry Average of $0.30. Shelf Stable Beverages, a Food Area, trailed the industry average with ACPEDCPC at $0.27,which was comprised of 73%, of Load to Card/Load to Wallet Events compared to Print at Home Events.

“Understanding how much it costs to run a digitally distributed coupon event is critical to planning digital brand campaigns on key websites,” says Darcy Douglas, Director of Account Solutions at Kantar Media’s Marx. “This calculation starts with taking the amount spent by brand, category or Area, then dividing by the number of prints or clips during that same time period. Determining how much your competitors are spending in your categories and with your retailers on their websites is indispensable during the brand planning process. Optimizing digital investments by choosing key websites helps brands extend their budgets and potentially get more bang for the digital buck.”


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