• by Jack Loechner , Staff Writer @mp_research, November 14, 2014

According to a commissioned study conducted by Forrester Consulting on behalf of RetailMeNot, the shift to buying online continues at a rapid pace, and mobile coupon redemption through a variety a devices is influencing this trend. Over a three-month period, 68% of consumers today have made between one and 10 purchases online. Of those, 86% have used a digital coupon.

Consumers continue to make purchases in the typical areas that one would expect. Restaurants, bath and beauty, and home and garden tend to be the most top-tier categories where consumers have made their purchases online or in-store. Interestingly but not surprisingly, the next group of retailers includes consumer electronics, books, movies, and music, as well as gifts and flowers. These purchases tend to be made more online than in-store.

An overwhelming 59% of consumers stated that of the different types of promotions a retailer can employ, digital coupons still hold the most sway when it comes to influencing a consumer’s purchasing decision, says the report. This continues to reinforce a key finding from Forrester’s 2011 Thought Leadership Paper: online coupons and promotion codes positively influence the purchase cycle.

“… coupons continue to be vitally important… the primary means for how we advertise digitally…” says a Marketing director at a major US restaurant chain. Coupons continue to positively affect brand and loyalty, notes the report. What also continues to be true is that 68% of customers strongly believe that digital coupons have a positive impact on a retailer’s brand, and 68% of consumers also stated that coupons generate loyalty.

Similarly, a digital coupon increases the potential for conversion when consumers are in the cart and checkout phase of a purchase and plays a key role in combating shopping cart abandonment, says the report. 63% of consumers surveyed said a promotion or a coupon often closes the deal if they are wavering or undecided on making a purchase.

Mobile coupons can broaden consumers’ horizons, says the report. In addition to being loyal, customers are also very open to trying a new brand when receiving a coupon on a smartphone. 47% of consumers are likely to try a new brand when receiving a coupon on their smartphone while shopping in-store, and 36% are likely to switch brands.

A loyalty director at a US department store retailer says “In tracking coupon use, we see that customers that were making 3-4 purchases per year are now making 6-7.” 

These points add up to good news for retailers, concludes the report, and continue to reinforce that this marketing tactic can make all the difference when it comes to generating new customers, encouraging existing customers to spend more, and driving customers to a retailer’s brick-and-mortar locations.

For additional information please visit Forrester Consulting of RetailMeNot.