want fries with that?
Posted by Sheila Shayon on February 19, 2010 11:47 AM
H.J. Heinz Co. chief executive William Johnson announced at a food-industry conference this week that consumers are firmly entrenched in a new money-saving mind-set. "This is not a temporary phenomenon, but rather a new behavior," he said. This new behavior includes a dramatic increase in couponing and preparing more meals at home. Johnson further stated that coupons are once again an "indispensable marketing tool."
Americans cashed in 3.3 billion coupons in 2009, a 27 percent jump from 2008 when the financial crisis tipped the US into recession. According to Inmar, a North Carolina-based company that tracks coupons and promotion trends, this marks the first time in 17 years that consumers used more coupons than the year before.
“Brands saw coupons as a key to maintaining brand strength,” said Matthew Tilley, director of marketing for Inmar’s promotion services division. “If they reduced their promotional presence, they stood to lose sales to lower-priced competitors and store brands — so they doubled down, hoping to create brand loyalty once the economic dust settles."Continue reading...