FSI Coupon Activity Sees Record Growth

By: E&P Staff

Free Standing Insert (FSI) coupon activity rose 10.1% based on Coupons Dropped during the first six months of 2010 versus the same time period a year ago, according to Marx, part of the Kantar Media Group.
 
That increase is the largest seen during the first six months of a calendar year, surpassing the second-highest growth reported in Coupons Dropped — 8.0% in the first half of 2004. 
 
Marx reported that the number of manufacturers participating in retailer promotion events increased from 135 during the first half of 2009 to 213 during the first half of 2010.

Retailer promotion activity continued to grow, Marx stated, with a 56.2% increase to 6.7 billion pages in the first half of 2010. Target led retailer promotion activity based on Pages Circulated, with nine of the top 10 retailers increasing Pages Circulated during the first half of 2010 versus a year prior.
 
“CPG manufacturers are continuing to use FSI coupons to reach consumers in the home to deliver advertising impact, influence consumer purchase decisions, and secure retail merchandising support,” Mark Nesbitt, president of Kantar Media Intelligence, said in a statement.
 
More than $234 billion in consumer incentives were delivered via FSI coupons in Sunday newspapers during the first half of 2010, up 17.8% from the same period in 2009. During the same six-month period, more than 155 billion coupons were distributed within more than 113 billion FSI pages. FSI coupon average Face Value hit a new record level in the first half of 2010 at $1.51, up 7.1% versus the first half of 2009. 
 
However, Average Expiration (Fuse) dropped to 8.8 weeks, down 9.0 percent versus a year prior — representing the largest percent decline in Fuse for the first half of the year reported in the last five years.

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