Study Shows Brand Loyalty Can’t Compete with Mobile Coupons

On Monday, the second of three parts of the “Mobile Shopping Survey Series: CPG Shopping Behavior” was published. The series concentrates on smartphone owners’ in-store experiences. Sponsored by …

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On Monday, the second of three parts of the “Mobile Shopping Survey Series: CPG Shopping Behavior” was published. The series concentrates on smartphone owners’ in-store experiences.

Sponsored by AisleBuyer, the new study highlights some surprising facts about the shopping behavior of smartphone owners in grocery and drug stores.

Incredibly, almost 75 percent of consumers would switch brands if offered real-time mobile promotions delivered to their smartphones while shopping in a store aisle.

“The least brand conscious group consists of 25-34 year-old shoppers, with 82 percent willing to switch brands if they received a mobile offer for a competing product while in the store,” the report reads.

“For years,” says Andrew Paradise, AisleBuyer’s CEO, “brands have relied on traditional in-store shopper marketing tactics such as endcap displays, dump bins and sampling programs to influence the purchase decisions that are being made in the store aisle. But today’s shopper has become increasingly tech savvy, and brands need to adapt their age-old strategies to remain competitive in our new online world. Given that a majority of shoppers enter stores with only rough shopping lists, they are incredibly impressionable when they are in the aisle. As brand marketers look for new ways to feature their products when shoppers are considering the competition, they should look no further than something consumers already have in hand – their smartphones.”

Do mobile coupons ever deter your brand loyalty?

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3 comments

  1.    Reply

    Couldn't agree more. Brand loyalty is a thing of the past. Today, when you can get anything anywhere, shoppers are increasingly price-savvy. But things like buy x get one free loyalty promotions are still king, down here in Australia as much as in the US. We've got a QR code basedloyalty app called Maze here in OZ which has taken off, and yeah, people will stick with a brand if they're offering a freebie.

  2.    Reply

    Shoppers already are presented with coupons "while shopping in a store aisle". Did the study compare the REAL WORLD behavior of these consumers to the hypothetical? If so, how does it compare? If not, why not?

    You don't need a smartphone to present a coupon, they already are in the aisle via neckers, tearpads, on-pack, "blinkies" and so on.

    Does AisleBuyer believe that a digital medium somehow is different than these existing methods – that somehow it will create a new behavior? If not, if there is no behavioral difference from current couponing techniques, then what is the grand revelation here? If there IS a difference then why – what makes mobile different?

    1.    Reply

      I'll tell you why…because most people don't even see those coupons you're talking about. We have learned to block them out now, just the same with commercials, banner ads, etc. If someone gets a Text on their phone, which is an inherently more intimate medium, that product A is $4.99 til 5pm today, & they currently are holding product B in their hands which is $8.99, which one do you think they'll choose? Considering the data that 75% of consumers would switch brands in a heartbeat, I'm willing to bet the SMS trumps. Plus+, who likes to hold, & clip coupons? My mother is even completely sick of it now! She used to be coupon queen.