Promo - July 2008 - (Page 6)

www.promomagazine.com A Penton Media publication EDITORIAL PROMO Executive Editor Patricia Odell Senior Editor Amy Johannes Reporter Richard Tedesco Patricia Odell / E xe cutive Editor Editor’s note Editor-at-Large, Promo and Direct Brian Quinton DESIGN/PRODUCTION Art Director Jed Davis ADVERTISING Associate Publisher Bryan Benjamin bryan.benjamin@penton.com Dir. of Mktg. Services/Classiﬁed Alan Steen The Comeback Kid alan.steen@penton.com Resource Sales Associate Cynthia Foristel cynthia.foristel@penton.com Resource Sales Associate Karen Putrimas karen.putrimas@penton.com Consumers turn to coupons during economic slumps Online Sales Development Director Rob Shore rob.shore@penton.com Production Manager Brenda Wiley brenda.wiley@penton.com Classiﬁed Production Coordinator Lindsey Sutton lindsey.sutton@penton.com Grocery shoppers have a new mindset: They’re siphoning money away from milk and eggs and putting it in the gas tank. Some are listening to consumerists and staying out of traditional supermarkets. Where are they shopping? In club stores (where they can buy in bulk), drugstores (where milk is less expensive), and even on Amazon.com. At that site a search on the word “grocery” turned up 85,744 results, with many of the items discounted and shipped free. Even when people do make it to the grocery store, they want one thing: To save money. And that means they want coupons. Shoppers can be grouped into two basic categories in times like these. Some will switch brands in a second if a competitor’s price is lower, or if a promotion steers them in that direction. Others will stand by trusted, well-known brands no matter what. It’s possible for coupon issuers to satisfy both groups. Take bargain hunters. As Amy Johannes reports (see page 28), 63% of coupon users say that discounted offers give them an incentive to try new products. At the same time, 67% indicate they’re more likely to use coupons during a recession. What’s more, research from CMS suggests that coupon use has stabilized. Redemption was flat last year compared with 2006, the first time since 1992 that there hasn’t been a decline. This is great news for companies seeking new customers. But there’s a danger that loyalists will become disloyal. Want to retain customers? Loyalty clubs, the kind that reward consumers with coupons and other discounts, work well in a downturn. But you also have to pay attention to distribution. There are plenty of ways to get coupons into peoples’ hands. For one, research shows that consumers are going online in ever-increasing numbers to find and download offers. You also can include coupons with cash-register receipts. It’s an ideal way to instantly reward loyal customers. But first tune up your data-mining and marketing machines. Many stores are basing coupon distribution on transaction data, but only up to a point. And they may be missing an opportunity. In my experience, the coupons I get are only somewhat related to the products I’ve purchased. But they rarely reflect the exact items (even when I’ve bought them numerous times). It’s time to include tailored coupons with those receipts. Rest assured they’ll be P appreciated—and redeemed. l 6 july 2008 / WWW.PROMOMAGAZINE.COM / Promo P E N TO N M A R K E T I N G M E D I A S T R AT E G I E S Senior Vice President, Penton Media Financial Services and Marketing Group Warren N. Bimblick Publisher Leslie Bacon Group Editorial Director Ray Schultz Group Copy Chief Charles Vietri Group Research Editor Richard H. Levey Audience Marketing Manager Seth Olson Show Director Angela Eastin READER INFO Editorial e-mailbox: promo.mag@penton.com Subscriber Service: (866)505-7173 (toll-free in the U.S.); (847)763-9504 (for calls originating outside the U.S.) Reprints: reprints@pentonreprints.com or (888)858-8851 List Rental: Marie.Briganti@walterkarl.infousa.com or (845)732-7054 EDITORIAL OFFICES 11 Riverbend Drive South Stamford, CT 06907-0225 Phone (203) 358-9900 Fax (203) 358-5834 ADVERTISING 249 West 17th Street New York, NY 10011-5300 Phone (212) 462-3580 Fax: (212) 683-4572 Chief Executive Oﬃcer John French john.french@penton.com Chief Revenue Oﬃcer Darrell Denny darrell.denny@penton.com Vice President, General Councel Elise Zealand elise.zealand@penton.com Reprints: Contact Penton Reprints (www.pentonreprints .com) to purchase quality custom reprints or e-prints of articles appearing in PROMO at (888) 858-8851 or reprints@pentonreprints.com. Instant reprints and permissions may be purchased directly from our Web site; look for the iCopyright tag appended to the end of each online article. Portions of our magazine subscriber lists are available to carefully screened companies that oﬀer products and services directly related to the industries we cover. Any subscriber who does not want to receive mailings from third-party companies should contact the subscriber service department at (800) 441-0294 (USA), or (913) 967-1707 (outside USA). ©2008 Penton Media. All Rights Reserved http://www.promomagazine.com http://Amazon.com http://www.pentonreprints.COM http://www.pentonreprints.COM http://www.promomagazine.com

Table of Contents Feed for the Digital Edition of Promo - July 2008

Promo - July 2008 Contents Editor's Note Shelf Help Beautiful Bovines Rest Stop Who Let the Dogs Blog? A Helping Hand Commentary Solid Gold Q and A: Mighty Mattel Flying the Coup Putting E-mail in Motion Resource Center The Agency Center The Young Prefer Mail Index of Advertisers

Promo - July 2008

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