It’s imperative for every business, big or small, to design a potent coupon strategy
The internet seems to be flooded with coupon codes these days. Whether it’s those giant pop-ups promising US$15 off on Memorial Day or promotional emails offering special birthday discounts– coupons are hard to escape.
Hell! It’s hard to watch a YouTube video nowadays without being slammed with exclusive discount code at the end.
Coupons have become so ubiquitous to the online shopping experience that consumers now actively search for them before checking out. In many ways, they have open new doors for startups to market their brand to a wide range of audiences.
So if you’re someone who’s starting a business, coupons can be vital to the growth and expansion of your venture.
Here’s what every startup should know about these ultra-effective marketing tools:
All businesses can benefit from coupons
The scale, business model and market branch does not matter. When planned according to budget and marketing goals, coupons can uplift enterprises of all types and sizes. That’s why you see everyone from multinational corporations to small startups use coupons to promote their business.
Also Read: How to prime your new e-commerce platform for success
It all depends on how well your marketing department orchestrates the coupon campaign. When used effectively, coupons have the potential of opening the floodgates of revenue streams.
90 per cent of consumers use coupon in some way
Some of the latest coupon codes insights from ClothingRIC reveal their massive appeal to consumers. According to this report, the number of e-coupons redeemed is expected to touch US$91 billion by 2022.
And here some other interesting stats from the same report:
1. 90 per cent of consumers have used coupons in one way or another
2. 52 million Americans used mobile coupons in 2018
3. 50 per cent of consumers visit a store being offered a promo code
Considering their ginormous popularity, you will have to be extremely short-sighted not to make coupons a part of your marketing strategy.
Coupons inspire unplanned purchases and improve conversions
Promo codes and vouchers allow businesses to go beyond their intended market.
How? Well, –a recent report highlights that two-thirds of consumers make purchases they were not originally planning after finding a discount.
This means a startup can greatly expand its customer base simply by disseminating coupons across its marketing channels. So whether it’s your website or social media, coupons should be featured regularly and prominently.
Companies can build brand loyalty through coupons
82 per cent of US shoppers says they are more loyal to brands that regularly offer discount codes. This stat should not come as a surprise to anyone. Customers want to feel special, and there’s no better way to do that than to offer them a special discount.
Coupons not only serve as an incentive for final purchase, but they also establish goodwill for the brand. In many ways, it’s nothing more than simple science. The oxytocin release that comes with being made to feel deserving goes a long way in establishing brand loyalty.
Also Read: The art of customer loyalty
Brands can also get people to subscribe to their newsletter and like their social media pages by regularly updating them with exclusive coupons. This creates a personalised communication channel between companies and consumers. Of course, this connection results makes way for repeated purchases by the consumers.
Coupons can be used for geo-targeted marketing
Startups can tailor their coupon marketing campaigns to offer deals to different cities and regions. Geo-oriented campaigns through promo codes have proven to garner a high return on investment (ROI) for many startups.
The most effective way to go about this is by targeting people in zip code on their mobile devices. Even if people do not immediately use the coupon, they will become aware of the business – which is a win on its own.
Conclusion
Coupons can help startups in myriads of ways. They can bring in new customers, retain old ones and if nothing else, increase brand awareness.
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