Experts Predict Strong Year for Digital Offers
COUPON OFFICIALS expect continued growth in shopper use of digital offers in 2025 at the expense of paper coupons, which will decline due to decreased newspaper readership. Meanwhile, coupon fraud will continue to roil the industry, calling for new technologies and increased vigilance to reduce this illegal activity.
CPGMatters asked the leaders of the coupon industry for their predictions for 2025. Here is what they said:
As the New Year begins, one of the questions being discussed in the CPG industry is what changes will be seen in the area of coupons. For example: Will the economy have an impact on the usage by consumers? Will the recently introduced legislative bills regarding digital discrimination affect the number of digital programs being offered? And there are many more.
Regarding the economy, the majority of people today are cost-conscious regardless of their income level. For that reason, coupons will remain an important part of the grocery shopping strategy in most homes. Traditional newspaper coupons will not return to the distribution/redemption volumes experienced in years past largely in part to the decline in newspaper readership. Consumers, however, will use digital coupons, click-to-card, and other “yet-to-be-introduced” distribution methods as a cost-savings method.
The coupon industry has always been open to new technologies and concepts and that will continue in the foreseeable future.
Sandi Kleemann. President/CEO, Redemption Processing Representatives www.rpr-coupons.com
As we move into 2025, incentives will continue evolving alongside advancements in technology and rising shopper demand for value. Coupons are expected to remain a critical engagement tool, particularly as food costs challenge household budgets.
With 77% of shoppers actively seeking savings, digital coupons are poised to dominate, growing beyond their current share of 54% of total redemptions. This growth will be fueled by innovations linking shoppers to seamless omnichannel experiences and personalized offers. As adoption increases, digital coupons will play a pivotal role in driving both brand loyalty and purchase decisions.
Fraud prevention is expected to improve further in 2025, with cloud-based systems validating coupons in milliseconds and AI-driven tools analyzing data to detect anomalies. These advancements will significantly reduce misredemptions, creating a more secure and trustworthy environment for consumers, brands and retailers.
In-store marketing will remain a critical channel, with digital activations enhancing shopper engagement and delivering instant savings. More than 75% of shoppers are willing to take actions to access grocery coupons, like completing surveys or downloading apps, signaling strong demand for accessible, in-the-moment discounts.
With 42% of consumers expecting retailers to increase discounts, innovations like digital shelf tags with QR codes will improve ease and access to savings, reducing friction at the shelf. By integrating technology into physical spaces, retailers can bridge the gap between online and offline experiences, deliver instant savings, foster deeper connections with shoppers, and drive measurable ROI.
Bill Beyea, Sr. Manager, Incentives and Loyalty Insights at Inmar Intelligence www.inmar.com
2025 will be an exciting and innovative year for the Coupon Information Corporation (CIC), its members and industry supporters. In addition to the significant law enforcement developments that are anticipated, CIC will:
- Complete the groundwork necessary to support Digital Promotion Fraud Cases
- Enhance Digital Fraud loss prevention opportunities
- Create eSettlement Voluntary Best Practices focused on transparency, accountability and mutual trust and verification
- Continue support for retailers affected by counterfeit coupons
Bud Miller, CPP. Executive Director, Coupon Information Center www.couponinformationcenter.com
Flyers of ads and coupons are cost factors that increasingly are not being offset by manufacturers and retailers investing into retail media, which is driver by digital variables. Ahold Delhaize and banners in Albertson's have done so, but as in the past my react to weekly "list" shopper complaints and reinstate.
Even then "paper coupons" are printed but not redeemed at POS, but scanned in via loyalty card programs. There are some exceptions for independents at the holidays.
Digital coupons are being layered over regular promotions in FDM, however shoppers seem to be having more issues with "what is the final price?" along pushback on smartphone requirements for those in lower income brackets
"Reward coupons" have been gaining more traction in home and DIY with Ace being a good example of tiered rewards and associated spend resulting $ or % off coupon rewards being mailed.
