When most people shop for products in an online store, they want to see a discount as they don’t think that they will be paying the full price for the product. This is the reason why many retailers offer digital coupons and discounts to their customers. It is now a common practice that retailers use as one of their marketing strategies as it increases customer loyalty and ultimately boosts conversion rates and sales. As many savvy online shoppers learn to capitalize on the use of coupons and discount deals, even more, they get to save more of their money. But for the sellers, they are making less profit from their sales.
However, marketers are still increasing their digital coupons distribution just to meet their customer’s demands. This shows the importance of coupons to eCommerce. Coupons are known to inspire about 48% of customers to buy earlier than they want to, and up to 37% of customers buy more products than they plan to with a coupon. One study also revealed that customers tend to spend up to 25% more money than they intend to with a coupon.
Seeing as coupons and discounts is what the customers want, how are the retailers going to reach their profit goals with a coupon deal? The following ten techniques from professional writer service will help retailers increase the effectiveness of coupons and discounts and allow retailers to make more from it.
1. Include discounts in lead forms
You can make use of lead magnets for attracting new leads. They are flexible and allow you to offer several incentives depending on your customer preferences and the type of business you have. Discount offers are a prevalent type of lead magnets. It’s like a saving solution for your customers and email subscribers, as they get to save some percentage.
Customers will automatically get lead magnets on your website when they:
- Take time to browse through your shop.
- Scroll down on the page
- When they try to close the page (this will ensure that they spend longer on your site).
By revising your coupon offers occasionally, you’ll make your customers come back to your site as they look to benefit from the new deal. Make sure that you make offers relevant by offering deals that relate to things that are important to your customers.
2. Use limited-time offers
When you offer a limited-time offer, this means that your buyers can only benefit from the deal within a period. For example, you can give a 20% discount on a product with a limited time of 5 days. You’ll see your customers try to buy this product within those five days. You’re likely to experience an increase in sales during that those five days.
The goal of a limited time offer is to make the customers act quickly to buy it now rather than later. The fear of missing out (FOMO) also plays a significant role in purchasing the product. According to studies, millennials are more open to limited time offers because they find it more appealing. This method is also useful for attracting customers that aren’t sure yet and are still considering considerations.
3. Choose the right deal to offer
The most popular discount options are some dollar or percentage off discounts. But you don’t have to be limited to these alone. The type of discount that you will offer depends on how much you can manage the financial cost. It’s not wrong to offer $20 off for your first-time buyers. However, you have to know how you’ll handle this. Are you just going to give out your profit on the product or make some profit from it?
Before you start to offer a discount, there are some things that you have to consider. One is, how much you can deal with financially? The other is, what’s important to your customers? Once you’ve decided this, then you can design your discount deal.
Also, you don’t have to be limited to one type of discount if you can’t deal with it. There are many others, including:
- Abandoned cart savings
- Free shipping
- Free gift after purchase
- Referral discounts
- Chance to participate and win a giveaway
From all of these, you can choose the one that suits you best.
4. Customer reward program
By creating reward programs for your customers, you’ll encourage them to be more loyal to your brand. This means that you’ll offer them a reward, such as a discount that allows them to save money, for choosing to shop with you consistently. As customers stay with you for much longer, the higher the reward you offer them, and the more they’re able to save. Make the award attractive for long-term customers as this will make other people loyal to your business as well. By all means, loyal customers should be rewarded kindly. This is effective as 84% of customers tend to loyal to brands for this reason, as shown in a study.
5. Reach out with different channels
You’ll be doing a lot of good for yourself by sending coupons through email. Usually, businesses that do this have a 48% revenue increase. But emails aren’t always opened and this might affect your effectiveness. So, you want to try other channels to increase the efficiency of your coupons. For instance, text messages have a higher open rate than email messages. Social media is another platform that you can explore for this coupon strategy. This is very effective, especially since most customers follow brands on social platforms simply because of coupon deals. Some customers even use social media to make their buying decision as part of their online shopping.
6. Influencer offers
One of the best ways to create exposure for your brand and also increase the effectiveness of your coupon offers is to work with influencers. Social media influencers have a large following on social media, and their followers trust their opinions and recommendations. When you work with these people and send out exclusive offers through their network, you’re likely to make some customers out of their fans and followers.
Influencer offer is only an extension of using social media platforms as a means to get your coupon and discount offers out. You’re likely to reach out to more people this way. So, there’s a higher likelihood of getting more people’s attention and converting them.
7. Customer milestone discounts
The customer milestone discounts is an effective strategy for if you already make use of the customer reward program. You can create milestones that are probably personal to the individual, maybe a personal anniversary or a birthday. You can also use other milestones that celebrate the kind of relationship they have built shopping with your brand over time. An example of a milestone like this is the anniversary of the first purchase that they made customers or the day they became a part of the customer loyalty program. It could also be a milestone in terms of an amount that they’ve spent or a particular number of purchases.
8. Retargeted promos
Retargeted offers are, as the name implies, ‘targeted’ offers. This is because they are targeted at people that have been on your site once. It could be those that were on your site before but didn’t buy anything and haven’t come back. These people know your brand and what you offer but just haven’t patronized. First, these offers are a reminder to them to come back, and secondly, the purpose is to entice and persuade them to come back to your website and buy from you. Providing a 15% discount for a customer who checked up some products on your site but didn't end up buying might persuade them to buy it.
9. Exit-intent offer
If you use the exit-intent offer well enough, you might not need to use retargeted promos (especially if you’re targeting those that haven’t purchased a product). This offer pops up on the screen just as the website visitor decides to leave your site. Imagine closing a site and getting a 20% offer on a product instead. You’re likely to go back and check, right? That’s how it works. It’s a very effective method.
10. Referral promo
Referrals are beneficial for businesses. People tend to buy from a business if a family member or a friend refers them. You can take advantage or leverage on this by setting up a referral promo in place for your customers. Offer them gifts for each person that they refer to your business. This way, you’ll be making your customers more loyal to you, and in the same vein, you’ll be making more customers. You’ll easily make more sale-off on your products with a promo like this.
Conclusion
Every business aims to make a profit on their sale, and except you expect your customers to come to do thrift shopping with your business, you’ll want to make your profits as well. Offering deals and coupons are an effective way to grow your business. You’re more likely to achieve your goal if you’re willing to experiment. One particular thing is that using coupons effectively will boost your revenue.
