GS1 Digital Coupons. 13 February 2012 Jean-Luc Champion GSMP ecom Process Manager GS1 Global Office
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1 GS1 Digital Coupons 13 February 2012 Jean-Luc Champion GSMP ecom Process Manager GS1 Global Office
2 Agenda Potential of Digital Coupons GS1 Digital Coupons Standard 2
3 Usage and Potential of Mobile Couponing in Germany
4 Two Research Studies by GS1 Germany in 2011 in order to find out the usage and potential of Mobile Couponing in Germany and to evaluate the benefit for GS1 member companies Research Study 1: Mobile in Retail Research about the Usage and Potential of Mobile Commerce in the Retail Sector Conducted by EHI (European Retail Institute) Online Survey with 148 retailers in Germany and 10 additional interviews (B2C and B2B retailers selling physical and digital goods) Research Study 2: Mobile Couponing Research about Usage and Potential of Mobile Coupons and Coupon Apps Conducted by ECC (E-Commerce Center) Online Survey with consumers in Germany (internet representative population structure) Survey is clustered in users, potential users and not-interested persons
5 Highlights Mobile in Retail Research 63% of German retailers consider Mobile Couponing as important or very important. For 78% Mobile Couponing can increase the sale of specific products. Despite the importance only 8% have already conducted and only 22% are planning Mobile Couponing promotions. 65% consider missing technologies and 54% missing standards as main obstacles for the usage of Mobile Couponing. 78% prefer the scanning of a barcode from the mobile phone display as POS redemption method, only 35% prefer NFC * and 35% a loyalty card. 57% consider an own Mobile App, 51% an own Mobile Website and 54% Social Media as most successful distribution method for mobile coupons. * NFC: Near Field Communication
6 Highlights Mobile Couponing Consumer Research 9,5% of the respondents have already used a Mobile Coupon. 27% of non-users are interested in a usage in future. 46% of the Mobile Coupon users have used Coupon Apps, 41% QR * Codes to obtain a Mobile Coupon. 66,5% of the respondents prefer Coupon Apps that combine manufacturer and retailer coupons. 61,8% of the respondents prefer the scanning of a barcode from the mobile phone display as POS redemption method, 13% NFC. 65,5% of the Mobile Coupon users have been pointed to a new product/store/service or restaurant by a Mobile Coupon. 75% bought repeatedly at the redemption location. The monetary saving is considered the most important advantage of a mobile coupon, data security as the most important risk. 68,5% of the respondents are interested in restaurant coupons, 65,1% in food and beverage coupons. * QR: Quick Response
7 Summary and Deductions for GS1 Member Companies The actual usage of Mobile Coupons is low corresponding with the implementation of Mobile Couponing in retail. There is a high potential for Mobile Coupon usage in future. Mobile Coupons offer a high value for companies with regard to the acquisition of new customers. The usage of Coupon Apps seems to be successful. QR Code should be analyzed as another option. Consumers and retailers would prefer scanning as redemption method. More research about the reasons, technology and retailer willingness for investment would be interesting. Data security is a risk and should be an important part of mobile strategies. GS1 can help to reduce the obstacle of missing standards.
8 GS1 Digital Coupons Standard
9 Today s Coupon Landscape Retailers Brands Consumers 9
10 GS1 Enabled Coupons Benefits Multinational Brands can execute offers in the same way in multiple countries and with multiple retailers Mobile Industry and Solution Providers need a baseline and one standard to implement rather than multiple Multinational Retailers can accept offers in the same way in multiple countries Consumers will have more commonality and better experience at POS Takes costs out of the coupon supply chain at all levels Digital Coupons can be better integrated with other digital applications/solutions (Extended Packaging, Self Scanning, Shopping lists, mobile payment) 10
11 Digital Coupons Mission Specific Working Group Executive Description This group was formed to develop a standard identification and attributes for digital coupons. It was a requirement that digital and traditional coupon offerings be aligned at an architectural level. 11
12 Digital Coupons MSWG Scope The focus of the project was on digital coupons. Aim was to develop the following standards: A process standard for digital coupon management, An identification standard for digital coupons, A standard data model to support the B2B and B2C communication in the digital coupon management process. 12
13 Digital Coupons MSWG Deliverables GS1 B2C Digital Coupons Management Standard ent_i1.pdf Digital Coupons Identification key 13
14 Digital Coupon Management Framework Process actors process steps business rules Identification keys objects GS1 keys Data capturing & sharing automatic data capture electronic messaging data elements
15 Digital Coupon Management Business Process Roles
16 Digital Coupon Management Business Process Roles Primary Roles Offer Issuer Party issuing the coupons, bearing the commercial and financial responsibility for the coupons. Offer Awarder Party responsible for the redemption of the coupon. Offer User Customer using the coupon when making a purchase, and ultimately receiving the reward.
17 Digital Coupon Management Business Process Roles Supporting Roles Offer Distributor Party responsible for the distribution of the coupons to the consumers on behalf of the Offer Issuer. Offer Validator Party assisting the Offer Awarder in the validation of the coupons by offering a centralized service. Offer Awarder Clearing Agent Party responsible for the financial clearance of redeemed coupons on behalf of the Offer Awarder. Offer Issuer Clearing Agent Party responsible for the financial clearance of redeemed coupons on behalf of the Offer Issuer.
18 Digital Coupon Management Process Set-Up And Communication (1) Create Offer (2) Notify of Offer (3) Accept Offer Discovery and Acquisition (4) Publish Offer (5) Acquire Coupon Presentment (6) Present and Read Coupon Validation and Redemption (7) Validate Coupon (8) Redeem Coupon Reporting and Financial Settlement (9) Report on Coupon Redemption (10) Update Coupon Status (11) Clearing of Redeemed Coupons
19 Digital Coupon Management Process 1. Create offer 7. Validate coupon Offer Issuer 2.1 Notify of offer 3.2 Accept offer Digital Coupon Enabler(s) 2.2 Notify of offer 3.1 Accept offer 9.2 Reporting 9.1 Reporting Offer Awarder 11.1 Settlement 11.2 Settlement Process Steps: 1-3 Setup and Communication 4-5 Discovery and Acquisition 6 Presentment 7 8 Validation and Redemption 9-11 Reporting and Financial Settlement Offer User
20 Digital Coupon Management Identification Keys Party Identification GLN Trade Item Identification GTIN Digital Coupon Identification Customer Account Identification Point-of-sale Identification GCN (serialized or non-serialized) GSRN Non GS1 key GLN Internal ID
21 Digital Coupon Management Identification Keys Automatic Data Capture Capture methods Required elements Electronic Messaging Message choreography Message specifications Examples Data Elements Definitions Data Types
22 Digital Coupons MSWG Deliverables (1 of 2) A definition of the coupon process as it applies to digital information (data) transfer How to identify a digital offer throughout the coupon lifecycle (Setup and Communication, Discovery and Acquisition, Presentment, Validation and Redemption, and Reconciliation) How to communicate (attributes for) additional information about the offer such as: Coupon Campaign, valid products, valid locations, expiration date, number of uses, face value, additional terms & conditions, etc. How to define the data and data structure of any offer definitions that will be used through the digital coupon redemption process to establish the validity and business rules for validation 22
23 Digital Coupons MSWG Deliverables (2 of 2) How to define the data and data structure (independent of data carrier barcodes, NFC, etc) of any presentment means between consumer and POS that will be used through the digital coupon redemption process. How to define the data and data structure of redemption definitions that will be used through the digital coupon redemption process to establish that a redemption has occurred. What is the minimum data that must be communicated at each step of the coupon process 23
24 Contact Details GS1 Global Office Avenue Louise 326, bte 10 B-1050 Brussels, Belgium T W
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