The words â€śdiscountâ€ť, â€ścouponsâ€ť andÂ â€śundersellingâ€ť are perhaps the top-three most hated vocabulary in any marketerâ€™s dictionary. But unfortunately, these tactics are what still keeps fans with brands, according to the latest Ipsos study released last week.
Of a surveyed 300-odd people who follow brands, more than half of them admit they stay connected because they receive coupons for product discounts or free samples.
Though the gap between male and femaleâ€™s preference for discountsÂ does notÂ vary too much in the study, 60% people agedÂ 35Â to 49 said they prefer coupons and discounts compared to a mere 45% and 55% for people under 35 and people aged 50 to 64, respectively.
More interestingly, participants with the highest household income also exhibited the biggest connection for brands because of discounts and free samples.
Janakan Ramalingam (pictured), director for Ipsos Marketing in Hong Kong, explains that no matter for what class or age, â€śgetting a deal is the new blackâ€ť.
â€śParticularly for consumers who don’t need to budget, it can be a new badge of pride, which is a completely different driver than lower income groups who must budget.â€ť
The difference in income levels and interest in coupons, however, could be linked to the gap in retail channels they use. Lower income earners, for example, is more inclined to visit discounters and wet markets, where coupons are irrelevant.
As for the age difference, Ramalingam said that â€śolder people need specific purchasing and have limited mobility, which could mean they are not actively engaged in seeking discounts and stores generally.â€ť
â€śYounger people will have larger families hence larger purchases and actively seeking discounts,â€ť he said.