This increase is the greatest observed by Kantar during the first six months of a calendar year, surpassing the second-highest growth reported in coupons dropped of 8% realized in the first half of 2004.
$234B in Coupons Circulates
During the first half of 2010, more than $234 billion in consumer incentives were delivered via FSI coupons in Sunday newspapers, up 17.8% from the same period in 2009. During the same six-month period, more than 155 billion coupons were distributed within more than 113 billion FSI pages.
FSI coupon average Face Value achieved a new record level in the first half of 2010 at $1.51, up 7.1% compared to the first half of 2009. However, Average Expiration (Fuse) dropped to 8.8 weeks, down 9% compared to a year ago, which is the largest percent decline in Fuse for the first half of the year reported by Kantar in the last five years.
CPG Leading Category
The CPG sector remains the largest user of FSI pages with a 74.4% share, followed by Direct Response, which includes general advertising activity, and Franchise, comprised of restaurants, portrait studios, and other businesses.
CPG had the largest percent increase; up 11.4% to more than 84.6 billion pages, while Franchise increased 2.1% to more than 10.0 billion pages. Direct Response decreased number of pages 9% to 19 billion.
Snacks Have Most New Product Activity
During the first half of 2010, there were 196 new products that delivered FSI coupons, compared to 199 new products during the same period in 2009. However, event dates increased from 301 during the first half to 2009 to 308 during the first half of 2010, translating into an increase in event dates per new product from 1.5 to 1.6 during the same periods. The Snacks category led with 16 new products, followed by Alcoholic Beverages with 15 new products and Cereals with nine new products.
CPG Non-food Grows More than Food
In the first half of 2010, non-food categories distributed more than 92 billion coupons, up 10.2% compared to the same time period in 2009, while food categories distributed 64 billion coupons, representing an increase of 9.8%. All areas reported increases in Coupons Dropped during this period.
In addition, manufacturers are increasing the value of the offers that are being delivered to consumers in both the non-food and food segments. Weighted Average Face Value (WAFV) for non-food increased 9.1% to $1.87, and was combined with a 0.4-point increase in Multiple Purchase Requirements (MPR) resulting in Weighted Average Face Value Per Unit (WAFVPU) increasing 6.2% to $1.65.
Meanwhile, WAFV for food increased 1.7% to $0.99 and was combined with a 2.7-point increase in MPR, resulting in WAFVPU remaining flat at $0.74.
Combination/Personal Leading Product Type
The top 10 product types based on Coupons Dropped accounted for 39.6% of all FSI coupon activity during the first half of 2010. Combination/Personal products ranked first and increased 20.8% to distribute more than 8.3 billion coupons. Pet Food & Treats moved to second place with a 19.6% increase to 7.7 billion coupons. Bar/Liquid Soap moved up into the top 10 with an increase of 48.9% to 4 billion coupons.
Digital Coupon Savings Double
Savings generated from digital coupons doubled between June 30, 2009 and June 30, 2010, according to Coupons.com. More than $1 billion in digital coupon savings was printed or loaded to a store loyalty card via Coupons.com and the Coupons.com network in the last 12 months. This represents about 100% growth from $529 million in savings generated between June 30, 2008 and June 30, 2009.