Rising prices have transformed an overwhelming 89% of consumers into value shoppers. As consumer interest in promotions grows, it’s critical for brands and advertisers to invest in this channel to maintain price leadership and continue to grow.
Quotient’s recent webinar featured a discussion about the role of digital promotions in today’s economic environment. Quotient’s Vice President of Promotions Matt Antal spoke with Ben Fishman, Director of Brand Marketing at The Emerson Group, and Michael Scalera, Marketing Director at Welch’s Fruit Snacks, to understand how they use digital promotions to drive results for their brands.
Click the button below to watch the webinar, or keep reading for the top takeaways.
Reaching Value Shoppers Through Digital Promotions
Even as the rate of inflation cools from its recent peak, the lingering effects on consumer behavior persist. Switching to different retailers or private label is now part of the shopping journey as consumers spend more time and effort searching for the best price and value.
“As grocery shoppers and individual shoppers are scrambling for ways to save money, it’s going to bring in this era of the value shopper. 89% of shoppers today say they fall into this category of value shopper. That means they’re willing to research prices and plan ahead before they shop… They’re looking for discounts and promotions as part of their routine.”
MATT ANTAL, VICE PRESIDENT OF PROMOTIONS AT QUOTIENT
This has created an enormous opportunity for brands to leverage the digital promotions channel. This shopper-centric approach is more targeted and measurable than traditional temporary price reductions (TPRs) and free-standing inserts (FSIs).
For The Emerson Group, a huge advantage of the digital promotions channel is its precision. Digital promotions can reach hyper-targeted audiences, and they can also be activated during specific windows of time.
“Digital promotions can be very precise, and more than just precise around what consumer you’re talking to or what part of your portfolio you’re focused on, but also precise around timing… You can activate them very quickly. You can turn them on and off in very short periods of time to fit within your trade calendar or your media calendar.”
BEN FISHMAN, DIRECTOR OF BRAND MARKETING AT THE EMERSON GROUP
An example of this is Quotient’s duration-based approach to promotions, where offers are planned in terms of how long they will stay live on the network with specific start and end dates. This strategy enables brands to align their campaigns with retailer merchandising and other marketing efforts.
Brands can integrate digital promotions into their omnichannel strategies and even combine the channel with traditional promotion tactics. For instance, Welch’s Fruit Snacks often combines digital promotions with TPRs.
“We can use a digital coupon to get into the mindset of the consumer who may not be aware of the product. Then, when they get to the store, we may want to stack and use a digital coupon plus a TPR to ensure that once they get to the shelf they’re not swayed by a TPR on a competitive item.”
MICHAEL SCALERA, MARKETING DIRECTOR AT WELCH’S FRUIT SNACKS
For many brands, offering TPRs is essential to maintaining retailer relationships. The ability to continue offering TPRs while layering on digital promotions is a game changer that enables consumers to save money and both brands and retailers to drive results.