Is couponing a strategy that helps build long term loyal customers?

First, think about your marketing strategy for a second and regardless of a coupons ability to bring (lasting) brand value to your consumer, as important, is the need for trade support. The all important need to add value to the trade relationship is a mandatory and couponing is a retail traffic builder.

We helped our clients drop billions (yes, billions) of coupons over the years and we see couponing as a significant tool in the marketing mix. As a matter of fact when used in conjunction with other sales building vehicles/tools, coupons effectively increase the register ring with multiple, cross category purchases if used in tie-in programming and other meaningful sales programs.

• They help build awareness when used in in-home FSI or other direct mail solutions.

• They can be used as defensive strategies to offset a competitors program used as regional overlays or on a national program.

So back to the original question, lasting brand loyalty, maybe, but the fact is they are an important part of a brand marketers necessary toolkit and shouldn't be discounted.

We've been working with the News America team for more than 20 years now. If you are considering a promotional program chances are one of these suppliers will be invaluable as you'll need to leverage their services to activate your marketing materials.

News America provides an entire portfolio of products that are designed to reach consumers at every possible point of decision—at home, in store and online.

SmartSource®
Their product portfolio is designed to provide marketers with the ability to reach consumers at every point of decision at a fraction of the cost of traditional media like television and magazine advertising. Whether it is home-delivered media, in-store advertising or promotion or online marketing, we have a creative solution to your marketing challenges.

What's a Tie-In?
Tie-Ins come in all shapes and sizes. In general you are looking to team up with a partner or partners to increase sales of all partner products. You are usually looking to promote this Tie-In to the trade to increase orders. Tie-Ins are beneficial to the trade for a variety of reasons.
1. Partners share expenses
2. Retailers see cross category lift
3. Consumer benefit from promotional offer

Displays that POP. Bringing awareness to consumers and increasing sales.

One of the most successful and widely used forms of messaging and communication. Increased brand awareness and build brand loyalty by effectively reaching your target audience. Impulse buyers just can't resist.

A few examples of our past POP/POS programs:

GS1, the global not-profit organisation, that designs and implements barcode standards, has announced a global adoption date of 1 January 2010 for a new bar code with Reduced Space Symbology (RSS), which can store more data in half the amount of space and offers a temporary alternative to radiofrequency identification (RFID) technology.

The receipt of permission-based email from a consumer packaged goods company positively influences consumers' offline purchasing decisions, enhances the company's reputation and generates loyalty to its brands, according to the latest research from Dallas-based marketing services firm Epsilon.

"Consumer packaged goods companies face a challenge when incorporating e-mail communications into their multichannel marketing mix," said Kevin Mabley, SVP, Epsilon Strategic Services. "They need to engage consumers and find a way to allow them to interact with brands and products both online and offline. The research shows that the benefits of e-mail marketing campaigns for consumer packaged goods companies extend far beyond the Internet and into stores and homes."

Even though 22% of consumers admit they are self-conscious when it comes to redeeming coupons at the grocery store, many are shrugging off the uncomfortable feeling to save money.

• 57% of those who admitted that clipping coupons was awkward now say they don't care as long as they save money.
• 26% of consumers under age 35 said the economic downturn has reduced their inhibitions about coupon usage.
• Nearly 23% who suffer financially have become less self-conscious about redeeming coupons.
• About 40% of people ages 35 to 54 said they used more coupons in the last six months, compared to 36% of consumers ages 55 to 64, and 25% of those ages 65 and older.

Source: ICOM Information & Communications, March 2009

In Trial at Supermarket, Cellphones Will Be the Medium for Discount Offers

Seeking to marry a ubiquitous device with a time-tested marketing technique in a sour economy, Unilever plans to begin a trial run Sunday of a new technology that lets consumers redeem digital coupons by having a supermarket cashier scan their cellphones.

The test, being conducted at a ShopRite store in Hillsborough, N.J., will include discount offers for some of the Anglo-Dutch packaged-goods company's most popular brands, including Breyers ice cream, Dove soap, Hellmann's mayonnaise and Lipton tea. Samplesaint, a Chicago mobile-technology firm, developed the system.

Source: PMA

On-pack and In-packs - Premiums or coupons inserted in or attached to a product.

Advantages of On-packs and In-packs

• Can differentiate the product at point of sale.
• May serve as a future reminder to buy.
• Can allow costs to be determined in advance.

Disadvantages of On-pack and In-packs

• Can be expensive to manufacture and distribute.
• May be refused by the retailer.
• Can be pilfered.

Source: PMA