RetailMeNot, the coupon-code discount site, has developed a real-time, aggregated database of retail promotions spanning the top 500 U.S. retailers across 19 product categories over the trailing five years.
Its new Promotions Index also tracks consumers’ level of engagement with the discount offers, and is accessible at no charge.
>>Access the RetailMeNot Promotions Indexhere.
RetailMeNot said it is offering up its expansive database so merchants can better optimize their own promotional strategies.
“Many retailers’ promotional plans are based on a variety of factors unrelated to market indicators or competitive data,” noted chief marketing officer Marissa Tarleton. “As a strategic partner to retailers, RetailMeNot created the index to provide insights into the promotions landscape that will help retailers become more successful with their investments.”
A check on the trailing 30 days of promotional activity within the Computers & Electronics category, for example, shows that promotions averaged around 33 percent and consumer response averaged around 57 percent — which RetailMeNot considers “normal levels” for the category and reflective of a relatively stable market.
Interestingly, the accompanying chart (below) suggests that shoppers didn’t always respond to sales, with consumer engagement falling to a 30-day low on July 24 in lockstep with a sales promotion high.
Tarleton said the Promotions Index was shaped by a retailer survey showing that only 16 percent of marketers described their promotional plans as “highly strategic”; 74 percent admitted to essentially repeating the same promotions each year; and 98 percent believed having deeper insights and data would improve the effectiveness of their promotional strategy.
Added Tarleton, “When retailers achieve an optimal promotional strategy versus customer demand, they can more effectively balance margin and growth.”
RetailMeNot also provides for-fee services ranging from deeper dives into the market data and best-in-class practices to customized strategic promotional programs.