Do You Suffer from Deal Fatigue?Heather Sokol
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I love a good deal as much (if not more than) anyone, but sometimes it’s just so exhausting.
The daily deals, weekly ads, coupons & codes — my eyes are tired from sorting it all out, and sometimes I just need a break. I haven’t even carried my coupon binder for weeks.
I’m currently suffering from deal fatigue.
No, really. It’s a real thing.
“Deals fatigue is real and happening like crazy. Numbers for Groupon, Living Social, and all similar half price deal sites have plunged since last August,” says Heather Tenney, Cincinnati’s savings expert. And, it’s not just affecting shoppers.
Stores are changing their marketing practices, in attempt to increase profits as shoppers’ interest in deals and coupons wanes. Earlier this year, CVS ran a single page ad where Denise Hoyle lives, while the rest of the country had a 16-page ad filled with the typical deals and coupons.
Denise believes it was a test, to see if shoppers really notice the difference. If the store doesn’t experience a decline in sales, it’s a sure sign that consumers are, in fact, suffering from deal fatigue and are no longer focused on the one time discounts. That’s what JCPenney is counting on, with their new Fair and Square pricing strategy.
Rather than several sales each month with discounts ranging from 30-60% off regular prices, JCPenney has lowered prices throughout the store. But, is it working? While consumers may be getting a little fatigued, they still like the game of scoring a deal.
It will be interesting to see how this all plays out. I think this year will see some changes in store policy, as both consumers and retailers cut back on coupons. I also believe we will see some of the daily deal sites folding — the market won’t be able to handle quite so many as consumer needs change.
What do you think?
Photo Credit: Flickr user