WASHINGTON -- Retailers are trying to leverage their reputation and brand equity with customers by launching newer forms of electronic marketing, according to a new industry study. Growing areas of electronic marketing, the study revealed, include on-line advertising and coupons.
On-line marketing is gaining attention, with 26% of respondents using some form of on-line marketing, and another 27% planning similar services.
These are among the key findings of the Electronic Marketing Survey of Food Retailers, sponsored by the Food Marketing Institute here. The survey was based on data provided by 149 marketing executives from FMI member companies, and was conducted by Deloitte & Touche Consulting Group, New York.
Currently, 26% of respondents have leaped into the virtual world of on-line marketing, with 27% planning to follow suit. Of the respondents offering on-line marketing programs, 24% have reported an increase in sales through the use of this medium. However, the participants report an average sales increase of only 1%.
As shifts in consumer behavior and customer demand justify costs, however, on-line marketing could become a major medium of interactive communication, according to the study.
The on-line services available to customers through corporate Web sites are becoming more sophisticated. For example, some programs are beginning to facilitate more direct interaction with users.
Of the respondents using on-line marketing, 55% offer on-line advertising through Web sites, and 56% are planning similar promotions. On-line coupons are offered by 21% of respondents, and 38% are planning to offer the clipless coupons.