Today’s Cashback News takes a look recent research studies of significant value to the cashback industry. We’re setting a knowledge base for cashback research that is relevant and strategic, including loyalty programs, coupons, consumer buying preferences and more. If you need key research, today’s news is essential reading!
IAB reports that UK shoppers spent $25.1 billion through “deal” sites in 2014, up 14% from the previous year. A study by Vista Retail Support finds UK consumers want discount codes and cashback by mobile. Cuponation released a fascinating global research report that shows demographic, product and country differences in coupon use around the world. Global e-commerce generates over $1.2 million every 30 seconds, with most fueled through social media, says a study by Assocham-Deloitte. Fidel reports that nearly half of UK consumers fail to redeem their loyalty points.
According to a white paper from loyalty promotions specialist The Voucher Shop. retailers have a long way to go to maximizing brand loyalty and results from loyalty programs. Google and Inmar research shows consumers consult 12 or more sources before buying. A First Data report shows why mobile matters when it comes to consumers and gift cards. Finally, an Aimia research paper highlights consumer concerns about data security.
British shoppers spent 14% more through deal websites in 2014: IAB
UK shoppers spent £16.5 billion ($25.1 billion) through ‘deal’ websites in 2014, some 14% more than they did the previous year, a new study shows. Sales through price comparison, cashback, voucher and other performance marketing websites drove about 10% of all ecommerce retail sales, according to the Internet Advertising Bureau’s Online Performance Marketing study.
Almost four in five (79%) of 2,090 British consumers questioned by PwC and through YouGov for the study said they had used one of these types of site in the previous six months. Cashback websites were used, by 67% of respondents. 57%used voucher code sites at least once a month, while mobile voucher apps (56%) and loyalty sites (32%) were also utilized. Via internetretailing.net
Shoppers have their Bluetooth on and they wanna use it
39% of shoppers have their smartphones Wi-Fi and Bluetooth capability switched on when they go shopping, giving retailers a huge opportunity to send them personalised offers as they come through the door, a survey by Vista Retail Support has found. The survey, covering attitudes to beacon technology, found that most consumers (83%) said they wanted to receive discount codes, while 61% wanted offers tailored to their personal preferences. A similar proportion (59%) wanted cashback offers on purchases. Read more…
How People Shop and Use Online Coupons Globally
India is a market obsessed with discounts, coupons and any deal that can help them spend less and save more. The e-commerce boom quickly transferred the euphoria of bustling bazaars online and tech-savvy people were more than happy to shop with a click of a button.
With a large number of people from tier 1 and tier 2 cities buying online, it was not long before discounts industry made an online surge. Via techstory.in
E-commerce generates $1.2 million revenue every 30 seconds: Deloitte Study
Social media pages provide information about new products in the market, user reviews and ratings of the product, recommendations and IT products. The global e-commerce industry generates over $1.2 million every 30 seconds, with a major chunk of the sector’s revenue being cornered through social media, says a joint study by Assocham-Deloitte. Facebook, Pinterest and Twitter contribute $5,483, $4,504 and $4,308 respectively every half-a-minute to the figure. via dnaindia.com
Gift cards or Cashback: Where’s the Loyalty?
The appeal of customer rewards schemes is flagging, and consumers are increasingly confused and put off by all the changes going on in major rewards schemes run by card issuers and retailers. Right across the industry, rewards are failing to maximise brand loyalty and personalization is at the heart of the issue, according to a white paper from loyalty promotions specialist The Voucher Shop.
Marketers in many sectors are doing a good job of personalizing communications with existing and potential customers. Yet they are failing to personalise rewards on offer for spending and loyalty. Too often these generic schemes are unappealing and customers are put off by unnecessary complexity or the difficulty of collecting enough points to get a reward of any value. A recent Voucher Shop 1 survey has revealed that most marketers are offering the wrong loyalty rewards. Discounts and gifts are increasingly becoming ineffective retention tools and customer loyalty cannot be bought with product discounts alone. Via thewisemarketer.com
Consumers consult more than 12 sources to make holiday purchase decisions
Most marketers know customers’ purchase decisions are more circuitous than ever, which is why it’s so important to get on their radar early and resurface often with relevant content. According to a study by Google and Inmar, the number of sources people consult before buying is rapidly increasing.
In 2010, the average buyer checked five sources before making a purchase. By 2013, that number had grown to 12. And in 2014, when there are nearly 18 billion desktop searches a month according to comScore, consumers are taking in more information than ever to make smarter buying choices. People used to rely primarily on word-of-mouth recommendations or just buy from the stores they trusted. Now, they’re shopping around for the best prices, waiting for exclusive deals and reading multiple product reviews. Via brafton.com
Almost half of UK consumers fail to redeem loyalty card benefits
UK loyalty card app Fidel recently commissioned a survey to gain insight into consumer shopping habits, conducted by independent survey company Censuswide. The findings were surprising, with one statistic showing that over 43% of UK consumers fail to redeem loyalty card benefits on at least one of their cards.
The survey asked 1,000 people about the different ways they use and manage their loyalty cards and whether they redeem their points regularly or not at all. Over 94% of UK consumers own at least 1 loyalty card, with women on average having 4-5 in their purses and men having an average of 2-3 in their wallets. Interestingly, over 29% of young consumers aged between 16-24 agree with the statement ‘I often forget to use my loyalty cards’, compared to just 16% of over 55’s, when asked the same question. Via bdaily.co.uk
2014 Prepaid Consumer Insights 2014 Study
Over the past year, the widespread adoption of mobile technology has triggered a fundamental shift in how people interact with gift cards. With apps that help people connect with friends, listen to music and find their way home, consumers are relying on their mobile devices in virtually every aspect of their personal and professional lives. And, as this year’s Consumer Insights Study reveals, the same holds true when it comes to purchasing, receiving and managing their gift cards. Via firstdata.com
Customers View Loyalty Programs with Caution
Despite the million-dollar data breaches and the flurries of panic, consumers continue to engage in the information economy, albeit with a mix of commitment and caution. That caution makes a majority of consumers reluctant to join one of marketing’s biggest data-generating mechanisms—the loyalty program—to the detriment of their own customized shopping experiences and, for companies, millions in repeat business opportunities lost.
The risks of modern times are leading buyers to hold back their participation in loyalty programs. Many people are willing to turn over personal information, travel details, demographic data, and more in exchange for perceived value. But according to a recent report by marketing firm Aimia Inc., there is so much more data that could be captured if more buyers could be coaxed into loyalty program participation. Marketing departments must find a way to convince more customers of the security of such programs if they want to gain the full rewards of long-term relationships—rewards that include rich, incisive data on customer habits and preferences. Via data-informed.com
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