Impact of the Catalina Coupon Program on the Demand for Grapefruit Juice - A Preliminary Analysis

Facing a product penetration rate of below 10% for grapefruit juice (GJ), the Florida Department of Citrus (FDOC) has contracted Catalina Marketing for a GJ coupon program for the time period from mid November 2006 through June 2007. The purpose of this study is to estimate the impact of the Catalina coupon program on the sales of GJ in $2MM+ grocery stores in the U.S. Weekly Nielsen ScanTrack sales data for the $2MM+ grocery stores for the time period from week 12/04/04 through 05/05/07 (124 weeks) were used in the analysis. Results show that coupon redemption increased the gallon sales of All GJ and GJ in large containers; therefore, the coupon program had increased the overall sales of GJ.