Using Segmentation to Drive Coupon Usage

Toronto, Canada (December, 2009) - As we all face the realities of a difficult economy, more and more attention is being paid to the lowly coupon. While couponing is sometimes disparaged as tactical and destructive to brand equity, there is no denying the reality that when a market becomes cost-sensitive, coupons can be very helpful in solving short-term business issues by generating incremental volume quickly. And in the current economy, coupons are looking like our friends.

So the challenge is to implement tactical coupon programs in a strategically sound way. And the best way to do that is to send the right coupons to the right people. In other words, marketers must use segmentation to provide consumers with just enough incentive to act now. And we must reach these consumers with the right messages through the right media. All in all, it is a real challenge.

But Twenty-Ten has harnessed the power of its patented attitudinal segmentation approach (known as TOPS^®) to the challenge of executing strategically sound couponing programs. Twenty Ten can analyze your existing segmentation study, or field a new study for you, and gear that analysis toward generating a segmentation scheme built on interest in and use of coupons. We can find people who love coupons, and will become your customer at a low cost. We can find people who can be won over, but will require a significant investment, and we can find people who will not redeem, no matter how high the value.

All of this allows you to take an effective but blunt and tactical program, couponing, and redeploy it in a truly strategic way. If you are wrestling with couponing programs but are worried about the total cost, worried about eroding brand equity or worried about wasting a lot of your marketing budget, give us a call or send us an email - we can help you address your program and turn your couponing efforts from last-minute tactical stop-gaps into elegant, strategic, equity-building programs.