Online Coupon Clipping Gains Steam with Younger Shoppers

April 1, 2009

This article is included in these additional categories:

Analytics, Automated & MarTech | Boomers & Older | CPG & FMCG | Newspapers | Retail & E-Commerce | Youth & Gen X

More than 90 million US consumers (78% of retail shoppers) currently use newspaper coupons, and 40 million (40% of shoppers) say they are likely to use coupons accessed online, according to a new coupon use and interest survey from Platform-A and Information Resources, Inc. (IRI).

The study, which polled adult shoppers about their current usage of newspaper coupons and their potential interest in digital ones, also found – perhaps not surprisingly – that regardless of whether the shopping is being done online or in brick-and-mortar stores, the type of coupon a consumer favors varies by age. The younger the consumer, the more comfortable they are with the idea of accessing coupons online.

iri-platforma-newspaper-digital-coupon-use-intent-september-2008.jpg

According to Platform-A and IRI, this research comes at a critical juncture, when American families are extremely value-focused and eager to stretch their buying power, yet newspaper circulation (and thus the traditional vehicle for coupons) is in steep decline, especially among younger age groups (ages 18-44). This provides a large growth opportunity for online coupons.

Additional study findings:

  • Nearly one out of every four newspaper-coupon clippers are likely to be age 65+.
  • The youngest market segments are the most receptive to online coupon offers, with 51% of 18-24-year-old shoppers indicating they would be very likely to use coupons presented to them online.
  • While historically ambivalent to traditional coupons, younger couples are the most likely life-stage group to use online coupons, indicating an opportunity to influence product choices within this segment.
  • Young couples without children are most likely to use a coupon they found online, followed by shoppers with younger children.

“We have an economy that makes coupons much more relevant to the average consumer, a rising generation of families totally at home with the Internet, and an overall decline of the newspaper and its Sunday circular distribution,” said Mark Ellis, SVP, AOL / Platform-A. This, Ellis added, points to a large window of opportunity for online coupons.

“What’s particularly remarkable about the study results is how open young people are to the idea of using coupons online – even though clipping coupons from the newspaper really hasn’t been their thing,” said J. P. Beauchamp, SVP, IRI Consumer & Shopper Insights. “I think we’ll be seeing CPG manufacturers jumping on this trend – using online coupons to court a new generation of consumers and build loyalty during these cost-conscious times.”

About the study: The research is based on input from more than 36,000 IRI panelists. Data was gathered in September, 2008.

45th Parallel Design Ad

Explore More Charts.

Pin It on Pinterest

Share This