Google is poised to boost the online coupon market – which has witnessed a 96% growth in the past three years – by acquiring retail coupon firm Incentive Targeting for an undisclosed sum.
Britons used 225 million coupons in the first half of 2012 – equivalent to five per household – according to figures from Valassis.
Google’s Mike Dudas, a member of the team building Google’s mobile commerce business, confirmed the move on Twitter.
“Google acquires Incentive Targeting to power highly targeted manufacturer and private label coupon programmes,” he said.
Massachusetts-based Incentive Targeting was founded in 2007 by Ben Sprecher, now serving as vice president of marketing, and Joshua Herzig-Marx, now vice president of products and services.
On its website the start-up states that it “partners with retail chains to provide a targeted marketing service to manufacturers of grocery and consumer products”.
In July, the firm was granted a US patent for “a computer-implemented method and system for conducting a search of electronically stored information”.
The system allows marketers to view sales information, analyse trends, and use the information for forthcoming coupon campaigns.
Although financial terms were not disclosed, the firm has raised a total of $4.4m (£2.7m) in funding, according to reports.
In a statement on the company’s website, its co-founders said: “When we founded Incentive Targeting in 2007, we set out to do for retail couponing what Google had done for online advertising: make it simple, relevant, measurable and effective. So, it is both humbling and gratifying to be joining the ranks of the company that inspired our initial vision.”
