Coupon Usage in America

It has been estimated that every year Americans throw away around $57 billion worth of coupons.

Increase in coupon usages are highly correlated and influenced with consumer purchasing behaviors, mergers/consolidations of both manufacturers and retail grocery chains, and economic conditions.

However, the actual usage of coupons are not determined by the availability of coupons by manufacturers (values might change but usage will be determine by shoppers), but rather economic conditions.

For instance, in 2001, manufacturers reduced their advertising costs, promotional spending, and etc to improve their short-term bottom line; however, consumers still saved over $3 billions with coupons in that same year.

It’s a given fact that in sluggish economic conditions people are forced to modify their lifestyles to survive: i.e cutting cable bills, decreasing entertainments, modifying electricity and gas bills, and etc.
Unfortunately, you can only cut so much of your living costs, especially on things that are out of your control, thus the only plausible way to decrease your spending is through your grocery budget.

Things haven’t changed … this isn’t anything new.

Let me give you an example.  When my parents were buying their first house, 40 some odd years ago, they mainly ate homemade french onion soup with some ground beef in it.

They laugh about it today, but they managed to save up enough money in ONE year to make a sufficient down-payment on their first house as a husband and a wife.

This story will live through us, the kids, but I don’t think I can make that kind of sacrifice … I guess it’s a different generation mentality!  I guess I will stick with coupons, and still save some money!

Back to my point … according to Valassie, in 2010, shoppers saved $3.7 billion by using coupons, which is a 5.7% increase from 2009 (JPS).

According to JPS Press Release … “Overall, 87.7% of all coupons were distributed in 2010 in the free-standing insert … a 37% increase in the number of digital coupon offers.”

Moreover, NCH’s Consumer Survey further discovered ” … that frugal consumer shopping habits as a result of the recession continued in 2010, maintaining overall high consumer coupon use and an increasing regularity of coupon use.”

Here is the percentage breakdown of coupon usage fluctuations in a graph …

Thus, shows like Extreme Couponing on TLC became so popular TV show in an American household because it shows viewers how little people can spend on their grocery bills.

According to TV by the Numbers, EC show delivered “1.7 M P2+ viewers, ranking the network #1 in Prime for all ad-supported cable among W25-54 and #2 among W18-49, W18-34, excluding NBA playoffs.”  In another words, women between ages 25-54 and #2 among women 18-49 in age, and women 18-34 in age diversification.

On average 2.0 million people are watching this show to date, and “posted double-to-triple digit gains in ratings and delivery us TLC’s 2011 to date Prime average among all key demons …”

I personally have to say that this show is quite addictive because I just can’t wait to see how much these shoppers are saving; however, many shoppers on this show have faced numerous criticisms due to their questioning couponing methods and tactics.

I do not endorse nor criticize people who shops in massive quantities … it is all up to the shopper themselves.  However, I do criticize couponers abusing coupons fraudulently because it trickles down to rest of us who follow rules, policies, and enforce good couponing etiquette.

Couponers who abuse coupons do NOT understand that their short-term gain will have a long-term negative backlash to all couponers by manufacturers, retailers, and fellow shoppers.

With that said … don’t abuse coupons because many law-abiding couponers depend on coupons to save money and put meals on their dinner table.  It’s really unfortunately, but times are still tough for many families.