What’s Behind the Amazing Resurgence of Coupons? – and What’s In It For You?
Coupons – a venerable marketing tool with more than a century of service in the marketplace was losing its position as an effective marketing channel less than a decade ago. Unexpectedly, dramatic changes in the realm of information providers, which looked to have nothing to do with coupons, suddenly drove 2 major players in the information business to near-extinction which pressed the somewhat-dated coupons into a fresh and vital role in the world of marketing.
This somewhat surprising rebirth came at the same time as the recent financial meltdown which effectively forced a great number of people to start seriously looking for ways to trim down their household expenses. While coupons were an easy and familiar strategy for families to use to save their hard-earned cash during the recession, the key agent that drove coupons usage to expand by nearly 30% in the last few years was actually not related to the recession.
Surprising as this may be to some, the internet is actually the real reason for the resurgence of coupons. That’s because the “information highway” did not develop in a vacuum and, as in any equilibrium, its acceptance and astronomical growth resulted in the total loss of marketshare for two former leaders in the information niche, the newspaper and the phone book’s yellow pages. Suddenly, the options for marketing goods and services were irrevocably changed.
As sellers realized that consumers were no longer reading the daily paper or using the yellow pages; they made what was essentially a survival decision to search out and utilize other marketing channels rather than simply slide into their own quiet extinction.
The key solution that most retailers have adopted, so as to continue connecting with buyers, is a proven, but lately faltering medium, the rather ordinary coupon. In these days of urgency, of virtually instant everything, when nearly all things are changing at a dizzying pace, it’s amusing to see a hundred-year old promotional channel unexpectedly become the chief remedy for so many vendors’ marketing requirements. Who would have thought, that the somewhat minimized coupon would end up being an exciting marketing channel again for hometown, regional, national and even international companies?
But coupons, no matter their long history, are the most appropriate choice:
* Coupons are a vey simple and straightforward tool with a long and admirable history of serving both retailers and consumers.
* They are familiar to virtually every shopping demographic, so there was no delay in consumers’ using them as often happens with new high-tech solutions.
* And finally, since coupons are much cheaper than newspaper or yellow page ads, consumers can receive great discounts and the sellers can still make money!
While things are always in flux in a dynamic situation like the marketplace, and especially now as so many businesses are struggling to survive; it’s remarkable to see the coupons niche growing at a good pace again in the last few years. While an 11% growth from 2010 to 2011 is certainly not meteoric, it’s none-the-less quite healthy for an industry that had been losing ground in the last decade.
As great as it is to see this sector growing, especially when so many industries are in decline, the outlook for coupons is even more inspiring. A number of new services as well as technological advances promise to make the future of the coupons industry truly amazing. Check out our follow-up article: “The Bright Future of Coupons! – Smart Shopping is Smart Investing!”