Consumers have traditionally turned to FSIs in local newspapers to get coupon savings from packaged goods brands and retailers. A growing number today, however, are looking for their savings online in the form of electronic coupons that can be used in stores or on e-tail sites.
Simmons Market Research Bureau reports that the number of consumers using online coupons has jumped 22 percent in the past year. Today, 38.6 million Americans are getting coupons from a variety of websites including Coupons.com, RedPlum.com, RetailMeNot.com, CoolSavings.com, and others.
"With the holidays here, the economy slumping, consumer confidence down and headlines screaming layoffs, we're seeing coupon clicks soar," Steven Boal, CEO of Coupons Inc., told USA Today.
National brands such as General Mills are shifting dollars to online coupons as more consumers look for savings online. Karl Schmidt, director of promotion marketing for General Mills, told USA Today that online helps the company reach younger, incremental consumers in a quicker and more cost-efficient way."
While the growth numbers for online are impressive, only 11 percent of households get their coupons from websites, according to a study published earlier this year by Scarborough Research. That puts online coupons last on the list of places American households go clipping for savings. The Sunday newspaper still ranks number one as a source for coupons (53 percent), followed by direct mail (35 percent), in-store (33 percent), loyalty cards (22 percent), in-store circulars (22 percent), weekday newspaper (17 percent), product packaging (17 percent), magazines (15 percent) and online.
Discussion Questions: Where is the future of coupons headed? How long will it take to get there?