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6.2 COUPONS ARE CHANGING - SUPERMARKET DISCOUNTS

Only 2% of coupons are ever redeemed. Many companies have decided that coupons are a waste of their resources and are looking for new marketing strategies. Procter & Gamble, who has been using coupons for nearly a century, are test marketing a "no coupon" strategy.

Coupons may have been a good deal some years ago; however, now I believe that they are a waste of time for most people. While a dollar is worth less every year due to inflation, the face value of coupons also keeps falling which means you save less each year. Furthermore, the expiration dates on coupons are getting shorter. Only twenty years ago, a coupon might have been good for almost a year. Now, coupons are generally good for just three months.

While I realize that some hard working, organized shoppers can do very well with coupons, coupons are too much trouble for most people. This is why only 2% ever get redeemed. To save a lot you need to spend a minimum of several hours each week cutting coupons out, organizing them, discarding ones that have expired, and taking advantage of ones that are about to expire. Whew!

Coupons are first and last a marketing scheme. They are being used primarily now for new products or improved products. This means you will find fewer coupons for the tried and true products you buy every day.

Why do coupons even exist in the first place? By offering you a coupon for a new product, for example, marketers are training you to look for their product at the store and to recognize their distinctive packaging. In short, they are getting you to do some work.

Why not discount the product instead or have sales? Companies won't offer price cuts across the board because they want to establish a base price which they will then discount. Since most people don't redeem coupons, they can sell their product at the higher base price while still offering a discount.

To save at least as much money as coupons with a lot less work, I recommend that you try out store brand products for everything you buy on a regular basis. Identify the store brands you like, and once you know, you just walk into you favorite store and pick it up off the shelf with no coupons to even think about.

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