Magazine article Editor & Publisher

Manufacturers Still Believe in Coupons

Magazine article Editor & Publisher

Manufacturers Still Believe in Coupons

Article excerpt

Survey shows that more coupons are being distributed than ever before; usage decline is tied to shorter redemption periods

CONTRARY TO REPORTS about the decline of the coupon industry, coupon distribution is at its highest level ever, according to Joan Johnson, marketing manager at CMS, Inc.

A consumer study CMS conducted with the Roper Organization showed manufacturers still rely strongly on coupons, and distribution methods have increased 51% since 1989. By mid-year 1994, 164 billion coupons were distributed; by midyear 1995, 167 billion were distributed, and it looks like that number is going even higher, said Johnson.

Also, coupons saved consumers $4.2 billion in 1994, and by mid-year 1995, consumers already saved $2 billion, the survey showed.

Other numbers from the survey: 79% of all shoppers use coupons; regionally, the New England states use the most (90%) and the Pacific states use the least 75%); females re, deem the most 83%), compared to males (71%). So why have redemption rates decreased?

"Because expiration dates are half of what they were in 1989," explained Johnson.

For example, in 1989, the average coupon expired in 7.6 months. By 1994, consumers had 3.7 months to redeem coupons, and this year it's dropped to 3. …

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