Bed Bath & Beyond to scale back on coupons. Here’s what shoppers need to know

Dawson White
·2 min read

Don’t expect to receive many Bed Bath & Beyond coupons in the future — the company said it plans to scale back its promotional offerings.

For many, the retailer has become synonymous with “coupon.” Bed Bath & Beyond frequently offers hefty discounts to shoppers vie promotional coupons sent through the mail and email.

But that’s about to change.

“Today, we have an over-reliance on the coupon,” Chief Merchandising Officer Joe Hartsig said during a Wednesday investor meeting, CNBC reported.

The store said it plans to offer fewer coupons in favor of lower in-store prices and services such as curbside pickup, Modern Retail reported. Bed Bath & Beyond hopes the change will boost sales.

The retailer found that 40% of its promotional offers were “ineffective and unnecessary” following an internal study of 405 million shoppers’ baskets and 208,000 items, CNBC reported.

Business publication Total Retail said the move could frustrate loyal shoppers in the short term who’ve come to expect coupons. However, it could bring in newer customers who are less reliant on coupons in the long term.

But coupons aren’t going away completely. Bed Bath & Beyond Chief Executive Officer Mark Tritton said they’re still “a strategic advantage,” according to CNBC.

Looking forward, Bed Bath & Beyond said it plans to renovate 60% of its stores and invest up to $1.5 billion in the retailer over the next three years, Yahoo reported.

Bed Bath and Beyond has more than 1,000 stores in North America.

The retailer also plans to launch 10 new private-label brands, according to Yahoo.

Executives said 35% of shoppers only buy one item or from one category at the retailer, Modern Retail reported. They hope overhauling their product offering — as well as merchandise displays — will prompt shoppers to expand their spending.

“The company has a very good traffic level of 37 million customers, so it is a matter of getting those customers to shop more frequently and buy more frequently,” Seth Basham, managing director of equity research with Wedbush Securities, told the outlet.