At RevTrax, the PromoTech platform has been used by brands across many industries to serve almost a billion offers over the last decade. The data gathered from these promotions has provided a wealth of insight into marketing trends in 2018 for RevTrax and their customers including retailers, CPG companies, and more.
The RevTrax 2018 Promotions Benchmarking Report examines and analyzes promotional purchase patterns and trends across the brand landscape, gaining actionable insights that can be used to optimize marketing campaigns by industry, channel, or category.
For the 12-month period ending March 2018, RevTrax gathered, measured and analyzed the data from 4,223 separate campaigns covering 350+ brands. These campaigns resulted in hundreds of millions of views, tens of millions of activations and millions of redemptions, all of which were analyzed to provide key insights that we have compiled into the 2018 RevTrax Promotions Benchmarking Report. Download the full report here or find key insights below:
Health brand promotions perform the best.
The leader in promotional performance is Health, with a 27% overall result, followed closely by Pet (25%), Baby & Kids (24%) and House & Home (24%). Health products and services are often higher-priced, so the customer incentive for promotions is stronger. When you look more closely, health brands leveraged the most diverse set of promotional channels while also surpassing the overall benchmark in each channel.
Channel preferences vary widely by industry.
The types of promotions that were most successful differ significantly by channel. In health, the most successful promotions are activated through a search engine, while marketers for baby & kids, or food & beverage products find the best returns on email offers.
House & home shoppers are most likely to redeem an offer found on the brand website, while pet owners respond best to offers delivered through social media.
Overall, channel trends support the power of the search engine, which leads redemption with slightly higher returns than offers served through a brand website. Affiliate marketing, social media, and email follow, with display advertisements on the bottom with only a 9% redemption.
Many opportunities exist for savvy marketers to utilize:
Brand websites - Brand websites are consistently strong performers across all categories, reinforcing the need for marketers to integrate promotions in owned media channels. Promotions served on brand websites for food & beverage outperform category benchmarks by 6 points, and personal care by 5.
Personalized email - Shoppers respond to email offers, particularly those that are personalized to reflect a customer’s interests, shopping history, or demographics. Personalized emails are attuned to a shopper’s needs, and a targeted offer served by email can deliver the best returns especially as the technology behind the emails becomes more sophisticated and easier to use.
Social Media - While social media is only the top performer in a single category, pets, there are indications that marketers can use it more effectively. A social media buzz can be created with a flash sale or limited-time discount; and while a notification of available promotions can be shared, marketers need to ensure that smart offers are digitally coded for single use to prevent offers from going viral.
For additional actionable insights, download the complete 2018 RevTrax Promotions Benchmarking Report.
Jonathan Treiber is the CEO & Co-founder of RevTrax