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New findings point to continued rise in coupon distribution and usage

Press release from the issuing company

LIVONIA, Mich. -- Valassis, one of the nation's leading media and marketing services companies, announced today that shoppers saved $600 million more in the first nine months of 2009 compared to a year ago, according to the Third Quarter 2009 Consumer Packaged Goods (CPG) Coupon Industry Facts Report recently released by NCH Marketing Services, Inc., a Valassis company. This upward trend - a 30% greater savings - points to a permanent change in the mindset of today's value-seeking shopper.

"The year-to-date results are most remarkable when compared to the first three quarters of 2008," said Charlie Brown, NCH Vice President of Marketing. "Redemption did not start to increase until the fourth quarter of 2008, following the financial crisis that began in September 2008. Since then, redemption volumes have consistently been up throughout 2009 due to dramatically changed consumer shopping behavior with coupons."

Coupon distribution among CPG manufacturers is up 11% year-to-date through the third quarter of 2009 compared to the same period last year, resulting in the distribution of 231 billion coupons in the marketplace to date in 2009. Shoppers are responding favorably leading to a 23% increase in year-to-date coupon redemption volume during this same time period.

Additionally, marketers are increasing the face value of coupons - up to $1.43 from $1.31 in the third quarter compared to a year ago. Offer durations average 10.8 weeks.

While online coupons have historically represented a small percentage of coupons in the marketplace, their distribution continues to grow at a fast pace as well. NCH reports online coupon distribution is up 41% in this same period. With more coupons available online, consumer usage continues to rise as evidenced by a 51% increase in coupon prints on redplum.com and its affiliate sites in September 2009. Likewise, at year-end 2008, online coupons represented 4.8% of all coupons redeemed in the United States compared to 6.3% at mid-year 2009.

In response to the increased demand for value, the Nov. 15 RedPlum free-standing insert coupon book will include an estimated savings of up to $70. At an average size of 49 pages, RedPlum's Nov. 15 coupon book will be 81% larger than cooperative coupon booklets delivered in 2009. Rich in CPG and traditional grocery coupons, the book will deliver value during the heavy holiday spending time.

"The significantly larger coupon booklet translates into a great savings for shoppers who have let marketers know loud and clear that they are seeking value and will spend money when given the opportunity to also save money," said Suzie Brown, Valassis Chief Marketing Officer. "Savings of approximately $70 from coupons delivered in just one week couldn't come at a better time as families are planning their holiday meals and gatherings. Our RedPlum portfolio delivers the value that is crucial to today's shopper."

The RedPlum FSI is distributed to nearly 60 million homes in markets across the country 42 times a year. Consumers can visit www.redplum.com/gooddeal, click on the coupon finder, enter their full address, and the finder will let them know where to find their RedPlum coupon book.