1. How to get started in Couponing Webinar January 26, 2016
Presented by
Val Stark.
SMS Promotional

2. Agenda Save! ¢ Should my Brand Coupon? Getting Started
Choosing a Clearinghouse
Reporting Effectiveness
Developing a Coupon Policy
Creating Family Codes
Choosing the Distribution Method that best fits the Marketing Objective
Coupon Creation
Digital Couponing options & issues
Fraud, Misredemption
Ongoing Education
Save!
11/19/2018

3. Why Should My Brands Coupon
Save!

4. So why use Coupons?
A coupon is a valuable promotional tool that can support your marketing objectives.
Coupons benefit:
Manufacturers – increases sales lift and reaches consumers and as an Advertising piece
Consumers – get product at a discount. May try a new product. Promote Loyalty
Retailers – coupons increase sales in stores. 4

5. Should My Brands Coupon
1.- Do You want to make a splash in a New Market?
2.- Do you want to give away a coupon as a purchase incentive at a sampling or event with sample product?
3.- Do you want to combat / neutralize a competitor in a Market?
4.- Do you want to increase your Market Share in a region / retailer?

6. Should My Brands Coupon
5.-Do you want to soften a price increase on your product to the Consumer with a Coupon?
6.-Do you need to get rid of old product or old packaging at the shelves?
7.-Do you need to introduce new Flavors/ Brands / Improve or Change Products?

7. Coupon Vehicle Considerations - R . O . I.
Coupons are reviewed to determine payback.
Different scenarios can / should be compared.
Total Cost / Units Moved = Cost per Unit Moved
Example:
$1.00 Off Coupon, 40mm FSI Circulation,1% Redemption, $0.08 Handling, $6.00 Cost Per M, $5,000 Creative.
Total Cost = + $400,000 Redemption + $20,000 Handling + $240,000 Placement + $5,000 Creative
Units Moved = 400,000
Cost per Unit Moved = $1.6675
= $ 667,000.00

8. GETTING STARTED

9. Register with GS-1 US
They will issue a Company Prefix for your Brand / Company
*GS1 US Reference Library at
This is to be used by your Company on all coupons used in the future

10. CHOOSING A CLEARINGHOUSE

11. How does a Coupon get processed?

12. What needs to be processed and what does a Clearinghouse do?
Process the Coupon
Monitor Fraud
Process the Invoice from Retailers
Reporting
Information Support
Retailer Relationship
Better software for the information
Visability
Analysis Tools

13. Coupon Industry is Full of Data

14. Decide on a Clearinghouse
RPR Coupon Services
Atlantic Redemption

15. REPORTING EFFECTIVENESS

16. Reporting Effectiveness
Decide with your Clearinghouse what is Important for you in Analyzing for Results.
By Package Size
By Package Flavor
By Sales Region
By Retailer

17. DEVELOPING A COUPON POLICY

18. Your Company should have a Coupon Policy
The Retailer will know what your Company will accept or not Your Company Guidelines
Acceptable Coupons Definition
Required information from the Retailers
Ship to Addresses
Payment Policy-Acceptable Reimbursements
Denial policy
Request for Proof
Legal Terms
Your Company Coupon Contact for Questions

19. Develop A Company Coupon Policy
It should be a Company wide Policy which will be used on all coupons and shared with all Retailers.
It will tell Retailers what you will accept as a Company on the following:
Late Coupons Submission
What fees you will pay
Your Company policy on Doubling Offers
Your Company limits on “Extreme Couponing”
Where the coupons will be submitted [Clearinghouse]

20. Coupon Copy
You should also have a fairly generic copy on all your coupons for Consumers and Retailers
SAMPLE

21. CREATING FAMILY CODES

22. FAMILY CODES
What is a Family Code?
A three-digit number used to validate a coupon automatically against a specific product or group of products at the point of sale. A family code is linked to manufacturers’ product codes
Purpose?
It aids the clearinghouse to pinpoint offers and give consise redemption results
Process?
There is a fast moving request by CPG’s to have Retailers to read more information on the Databar

23. Sample Family Code Hierarchy
Universal
Super Summary
Summary
Family
000
ALL PRODUCTS for CP
100 Hair Care
200 Lotion & Body Wash
210 Lotion
120 SpaCare Brand
220 Body Wash
110 ProCare Brand
oz Lotion
oz Lotion
oz BdyWsh
oz BdyWsh
111 ProCare Shampoo
112 ProCare Conditioner
121 SpaCare Shampoo
122 SpaCare Conditioner

24. DISTRIBUTION THAT BEST
CHOOSING THE
DISTRIBUTION THAT BEST
FITS THE MARKETING
OBJECTIVE

25. MARKETING STRATEGY Which Coupon Vehicle to use? FSI Magazine In-Pack
On-Pack
Cross Ruff
Direct Mail
ROP
In-Ads
At Shelf
Handout
IRC
At Checkout
Kiosks
Sample Packs
Digital
Internet [Print at Home]

26. Recognize the Influential Variables that can be Controlled
The “Decisons to be Made”
Recognize the Influential Variables that can be Controlled
*Vehicles
*Face Value
*Trade Incentives
*Purchase Requirements
*Expiration Date
*Ad Copy & Design

27. Expiration Dates
Why Shorter Expiration Dates? *Boost Promotion Impact *Compress Redemption and Liability Control *Improve Planning *Enhance Sales and Trade Effects
Your Marketing Strategy Will Help Determine Your Expiration Date

28. Expiration Dates
Remember Though………….. Shorter Expiration = Lower Redemption Rates Things to Consider For in-pack or I.R.C.’s---How long does it take to get your product to Market?

29. COUPON CREATION

30. What Makes Up a Good Coupon?
Artwork – Size - Elements

31. Coupon Design The “Nuts & Bolts” ---Ad Copy & Design *Clarity of Offer
*Impact to the retailer
*Impact to the Clearinghouse
*Databar / Family Codes
*Advertising Impressions-Same slogan / same look as in Advertising

32. Effective Design Checklist
The “Nuts & Bolts”
---Ad Copy & Design
Effective Design Checklist
*Avoid Clutter
*Large, clean headline
*Large product Picture
*Minimum body copy
*Use Bullet points
*Use a “workable” size

33. Barcode Creation
Application Identifier: Distinguishes between coupon and product barcode
Primary Company Prefix (CP): Identifies Manufacturer/Funder
Family Code: Combined w/ Company Prefix, identifies valid product(s)
Value
Purchase Requirement
Offer Code: Specific to each Manufacturer promotion for redemption tracking

34. Coupon Creation Make sure you receive a Coupon Proof
Be sure either you and / or your printer has scanned the barcode to verify its scanability and it is for the appropriate offer
Artwork approval
Setup offer with Clearinghouse
Notify Retailers of Offer

36. DIGITAL COUPONING OPTIONS & ISSUES

37. Digital Coupons
PDA
DEVICES

38. Digital Coupon Discussion
How Promotions work now?
How will Promotions work in the future?
What is the future of Digital Promotions?

39. The Digital Coupon Phenomenon
The ACP’s “Digital Coupon Introduction” and “JICC Digital Guidelines” are must reads.
-Participants in the process are defined, technology is discussed, roles are suggested, and the campaign process itself is outlined.
- Marketing is ongoing for many digital coupon options, with some loyalty card tie-ins in the mainstream
- New technologies continue to launch that will impact promotions—of utmost importance is the maintenance of standards and setting proper expectations

40. Digital Coupon Guidelines

41. FRAUD & MISREDEMPTION

42. Fraud and Misredemption
The part of the Industry which has been almost a given since it has started. We produce “Money” and there will always be someone trying to “beat” the system.
Bank robberies are still happening and people are always going to be trying to do things the “easy” way.
What can your Company do to reduce the opportunities thieves have?

43. FRAUD AND MISREDEMPTION
What can your Company do to reduce the opportunities thieves have?
Be diligent on protecting your Databars and your pdf’s pictures of your products. Embed them in your web pages-do not make it easy to “lift off your pages” and make their own coupons.
Put protection on your High Value/Free Coupons. Use the CIC Hologram and /or other protection available in the Industry.

44. FRAUD AND MISREDEMPTION
Sometime you just have to remember one major thing…………….
You are printing “MONEY”.
Treat it as such!!!!!!
Example: When shipping never place a sample of the Coupon/ IRC / Tear Pad on the outside of the carton.
Also, be careful what you designate the carton contents on the labels. Never use the terms Coupon / IRC / Redemption on the label.

45. ONGOING EDUCATION
ACP offers a full day Couponing 101/102 a few times a year. Watch out for Future Webinars brought to you by

46. Thanks to our Sponsors !

47. Questions ?