Consumers have been changing their shopping behaviors during the coronavirus pandemic, and as more people are shopping online, there is a continued demand for digital savings opportunities, according to new research from Inmar Intelligence.
Digital coupon redemption in March increased 56.5% in the supermarket industry year over year. Also, enrollment in digital coupon programs across the top 30% of national grocery chains has grown 93% year-over-year since March 1.
“The pandemic has driven more consumers online for everyday shopping than ever before; this includes planning their budget and seeking savings,” said David Mounts, chairman and CEO of Inmar Intelligence. “Consumers are extremely concerned with their financial well-being, especially heading into the fall, and are paying close attention to every dollar spent. They are taking every opportunity to save as much as possible, and the digital coupon programs provide an opportunity for those consumers with different price elasticities. At Inmar, we are committed to ensuring that consumers receive the savings they need and that there is a constant flow of consumer-valued offers from retailers and manufacturers.”
Inmar Intelligence looked at coupon redemption rates during the Great Recession and is comparing what we saw during that time with a need for promotions and engagement now. All coupon redemption increased 15.2% from 2008 to 2009 and 6.3% from 2009 to 2010 as consumers used price incentives to stretch their personal budgets.
“Reduced store visits and larger order quantities have led to supply shortages that have increased consumers’ willingness to try new brands and new categories,” said Charlie Gage, director of business intelligence at Inmar Intelligence. “Now is not the time for CPGs and food retailers to back away from promotional activity. In fact, there is an even greater need to provide savings options for consumers to have them keep coming back for their essential items. It is important for retailers and CPGs to engage with shoppers and meet their demands for savings and digital solutions."