Using coupon in marketing strategy of businesses is very popular in the world today. In the era of international economic integration, making use of the internet for studying, entertainment and even shopping has been promoted. Accordingly, coupon will be used more and more popularly. So what is a coupon? Let’s learn about coupon and how to use it effectively to increase the conversion rate through the following article.
What is a coupon?
Coupon is simply a ticket or document containing discounts information that manufacturers launch in promotions. Accordingly, when shoppers use coupons, the prices for their items will be cheaper than normal. There are two commonly used coupons:
- Paper coupon - Coupon offline:. When making a purchase, customers directly get this coupon and then receive a direct discount on their purchase.
- Coupon code - Coupon online: A piece of code, when customers buy online, they use this code to receive a direct discount
When customers use the coupon, they will receive a discount on a certain price compared to the regular bill. Depending on the program and policy of each store, the coupon may be time-limited or not and be applied under certain conditions. There are many common words and applied the same function with the coupon such as Coupon Code, Gift Code, Discount Code, Voucher, e-Voucher, etc.
Advantages of coupon:
- Coupon can promote business development for both new and old products and stimulate commercial demand because it can make shoppers buy their favorite items at the cheaper prices compared to regular selling prices. Since then, customers intend to do more shopping than usual.
- Coupon also helps to reduce retail prices at grocery stores without affecting the cooperation or approval of the retailer.
- Coupon makes customers assured to minimize risks when buying goods or change usage habits with new products and impact customers positively to buy more after they have tried the product.
- In addition to helping customers be able to try new products at discounted prices, coupon will help customers buy old products followed their habits and those who have not tried will buy the trial versions for the new habits.
Why businesses often issue coupon?
Coupon codes are issued by businesses and provided to customers as a policy to encourage customers to order and purchase. Coupon also helps businesses to encourage new customers to use and try their services. Even Amazon offers customers a lot of Amazon Coupons for saving when they buy products online.
In addition, coupon helps marketers grow market share, increase sales volume, sell faster, cultivate loyal customers, and drown out competitor advertising.
So, the question arises are: How to use coupon to attract customers effectively and increase the conversion rate?
Here are some advices to make use of coupon to increase the conversion rate:
1. Identify target customers
The success or failure of a Coupon Marketing strategy depends on the level of relevance to the target customers. This means at the beginning, you will need to find the customers who are fit for your coupon campaign. You want to attract existing customers to stay with their loyalty or to target new customers.
If you would like to target your existing customers, you need to carefully analyze their products they bought and browsing behavior and then carefully find out the types of coupons that match their buying habits.
On the other hand, if you are trying to target new customers, you will need to surpass what your competitors are offering. A study shows that 80% of buyers feel encouraged to make a purchase at the first time with a brand that is new to them if they find an offer or discounts. This means that all of them will witch the new brands if they have better discounts and promotions.
2. Decide which coupon to use
Different customers have different buying habits, which means that coupons based on their preferences and needs should also be diverse and different. However, the variety of coupon marketing can easily lead to an overall confusion affecting your campaign. This means you will need to be very careful when choosing the best coupon type to target your target customers.
Choose instant coupons if buyers love instant savings on purchases. Or send a digital coupon with "Email notification" to encourage buyers to complete their purchase. Carefully choosing coupons for your buyers can make it easy to see the difference between the good and bad conversion rate. New York-based company, Birchbox, sends a 20% off coupon with "Abandoned Cart Email". As a result, this company can reduce shopping cart abandonment rates, thereby increasing conversion rate.
3. Choose the destination for your event
How to maximum the area of your coupon campaign in an effort to drive traffic and number of potential customers?
Many marketers are always proud that their coupon campaign promote creativity and impress the customers. However, they have not succeeded in boosting sales for businesses. For example, they choose to market coupons in the wrong place, which does not impress the consumers. The advice here is to be cautious in choosing marketing locations. For example, they choose to market coupons in the wrong place, which is not exciting for consumers. The advice here is to be cautious in choosing marketing locations. I strongly believe you do not want a marketing campaign without any people.
4. Find an affiliate partner
With the development of marketing review, there are many companies established based on the mission of offering the coupon codes of many stores worldwide to the shoppers. One of the most reputable places is Couponupto which is set up like a referral website, product reviewer and considered as an expert who specializes in providing buyers with economical shopping solutions. Couponupto regularly update the latest coupon codes from a numbers of stores all over the world including the giant brands such as Amazon, eBay, Kohls, Walmart, Beddinginn, etc. Almost the partners love to work with Couponupto because it is clear and fair in collaborating and helping each other. It has a large number of traffics every month and transaction is at a high ratio. Therefore, if you are looking for an affiliate partner to widen your store scale through online business and provide as many coupon codes for your products as possible to your customers, Couponupto is an ideal place you should never miss.
In summary, coupon marketing campaign is a popular marketing method used by many businesses. However, marketers need a certain knowledge of this marketing method to devise sound strategies. Hopefully the blog above will give you an overview of Coupon marketing and help you apply to your campaign effectively to maximize profits.