Dive Brief:
- Mars and 7-Eleven have teamed up to create an algorithm that measures how "hangry" internet chatter is throughout the day to offer specialized discounts on Snickers bars, according to a company statement. The more irritable people seem online, the more consumers will save buying the candy bar.
- The new tool called “Hungerithm,” can be accessed through Dec. 22 at www.Hungerithm.com. The website launched on Nov. 16 and has offered coupons for as much as $1.08 off a Snickers bar when consumers seem hungriest, and as little as 8 cents when their appetites are sated.
- “Hungerithm” checks social media through the day, looking for 3,000 commonly used words and phrases that help determine how users are feeling.
Dive Insight:
This new collaboration between Mars and 7-Eleven appears to be a win-win for both companies. Mars sells more Snickers bars, and 7-Eleven gets more people in their stores who would likely buy a drink or other snack to go with their cheaper candy bar.
While offering coupons to spur spending is nothing new in the food industry, using a fluctuating algorithm that customers can access is certainly novel. Many food manufacturers and convenience stores offer digital coupons, but this particular idea appears to be a first. Add in Snicker’s marketing tie-in to reinforce its “You’re not you when you’re hungry” ad line, and it seems the “hungerithm” is destined to be a success.
Considering consumers can save more than a dollar on a relatively inexpensive item, this new tool will likely boost engagement for Mars. A study by RetailMeNot found that 96% of all consumers use coupons, and the number of American shoppers who utilize mobile coupons has been increasing every year.
Some shoppers who may not be interested in buying a Snickers bar could also check out the site out of sheer curiosity.
This five-week long promotion will most likely increase sales of the candy bar, but considering the discounts being offered, there may not be a large corresponding profit margin.
A regular 1.86-ounce Snickers bar sells for just 89 cents at Target, and $1.25 at CVS. 7-Eleven doesn’t post its price for the chocolate, peanut and caramel bar online, but if it’s in the same rough range, consumers have the chance to buy the candy at a greatly reduced price. It’s unclear if Mars and 7-Eleven are both absorbing the cost of the discount, or if one entity alone is sponsoring the program.