Sainsbury’s Invests in Couponing Scheme
Sainsbury’s has announced a major financial investment in a coupon scheme designed to benefit the 18.5 million customers the retailer serves every week. Customers will be rewarded at the till with money-off coupons for hundreds of branded and Sainsbury's own-brand products.
Sainsbury's is the first retailer in the UK to roll out the ‘coupons at till' scheme, and it heralds Sainsbury's biggest investment in customer loyalty since the Nectar card launched in stores in 2002. The Nectar card database will be used extensively as part of the scheme; the historical data on customers' shopping choices will ensure that coupons are specifically targeted at what Sainsbury's Nectar card holders actually buy.
The initiative has been trialled successfully in a number of stores over the past 12 months, but the first major push will coincide with Sainsbury's latest Switch and Save campaign, which launched on 23 September. Customers will benefit from discounts on a wide range of branded and Sainsbury's own-brand products, with savings of up to 20% on some of the retailer's most popular items.
One advantage is that shoppers who don't have a Nectar card won't miss out - they could receive money-off coupons based on what they have purchased that day. In this way all Sainsbury's customers can be rewarded at point of sale with targeted, money-off coupons based on their usual shopping basket. Research shows that shoppers appreciate money saving coupons whether they are delivered at point of sale or at home.
The full-colour coupons will be generated on-the-spot through stand alone printers that are currently being rolled out to 13,000 checkouts across 535 Sainsbury's supermarkets. This targeted marketing capability, developed by American company Catalina Marketing, combined with Nectar data and Sainsbury's retail experience, will give customers a welcome, money-saving boost at a time when budgets are tight.
Gwyn Burr, Customer Director, comments, "We know that 50% of shoppers take coupons and vouchers with them when they shop, and it's a really practical way for people to stretch their budgets, especially in the current economic climate. The new coupon scheme, together with the low prices and promotions we already have, means customers will get unbeatable value on the products that are most useful to them. And the system can tailor offers using both Nectar and transaction data, so we can reach many more customers with offers that are targeted to what they actually buy."
Over 60 leading brands including Unilever, Proctor & Gamble and Heinz have been signed up to the scheme by LMG Insight and Communiation, and will offer a wide range of money saving opportunities to Sainsbury's customers.
Friday, October 9, 2009
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