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Customer Preferences on Coupon Code-Based Promotional Activities

A sophisticated digital marketing tool called a coupon code can boost sales, increase client loyalty, and strengthen brand recognition. Data on how coupons are used has become crucial data for a variety of AI-based e-commerce techniques to forecast buyer behavior.

Online shopping

Coupons provide a 360-degree marketing approach as a result. You can gather information from various businesses as part of the project about how and when they offer coupons, their return on investment when offering discounted rates, the way they utilize the coupon data, etc. Few consumers make online purchases of goods and services with the expectation that they would pay full price. With how many merchants now provide new customer reductions and digital coupons, there is probably a coupon code available to use on your upcoming online purchase.

Coupons and discounts are frequently incorporated by retailers into their marketing plans to promote client loyalty and sales conversion rates. Discounts are undoubtedly appealing to consumers, but digital coupons may also be an effective way to expand a brand’s social media presence, email marketing database, or mobile website traffic.

Yet in order to meet the need of customers who shop online and via their mobile devices, marketers are continuously expanding their distribution of digital coupons. Let’s discuss how can shops use digital coupons while still achieving their revenue and profit targets.

How Do Digital Coupons Work?

Retailers may offer present and potential consumers digital coupons for discounts and promotions. The primary goal of digital coupons is to persuade customers to make purchases through a retailer’s website by providing a particular percentage off, free delivery, or another discount.

Digital Discounts Won't Disappear

The incorporation of digital incentives from merchants doesn’t appear to be slowing down at all. It will likely peak around the holiday shopping season, with additional incentives being offered irregularly long into the new year. Consumers increasingly anticipate receiving coupons together with product and marketing messaging. Stores that don’t carry them run the danger of being passed over or losing business to a rival.


1. 90 percent of shoppers use coupons


Customers adore feeling like they got a “bargain.” Even if it’s not quite as profitable for such consumers, finishing a purchase with a discount or promotion applied is a satisfying and comfortable sensation.

2. By 2023, digital coupon redemptions will reach $90 billion.


Today, a lot of work is invested in improving the speed and simplicity of coupon redemption. Providing consumers with an outstanding user experience is crucial for shops. It is necessary for building and maintaining a reliable retailer’s reputation.

This figure should only increase in the future as more and more people become exposed to using their smartphones for mobile shopping transactions thanks to improvements in the design of user interfaces for mobile devices.

3. Sixty-two percent of consumers say they want more coupons accessible.


Who doesn’t, too? Also, businesses that frequently issue coupons benefit from repeat business from clients who may have been expensive to recruit but have grown accustomed to preferential treatment in the manner of discounts and incentives.

4. The revenue per email increased by 48% when emails included coupons.

coupons through email.

This comes as no surprise because email has developed into a very efficient method of quickly distributing tailored content. Marketing tactics that include even a minimal amount of personalization, such as content or product recommendations based on prior browsing or purchasing behavior, frequently outperform more generic communications. The effectiveness of this type of offer could be considerably increased by attaching a discount. This comes as no surprise because email has developed into a very efficient method of quickly distributing tailored content. Marketing tactics that include even a minimal amount of personalization, such as content or product recommendations based on prior browsing or purchasing behavior, frequently outperform more generic communications. The effectiveness of this type of offer could be considerably increased by attaching a discount.

Promoting coupons among consumers

A company’s online promotion through coupon marketing is typically carried out by delivering emails to customers who subscribed to its newsletter, as well as through social media, SMS, pay-per-click, influential coupon codes, physical events, and other channels.

Benefits of Coupons for E-commerce Companies

1) Attract new clients

Attract new clients

Maintaining an existing client is usually less expensive than acquiring a new one. But, using coupons to attract new customers to your store or online is a cost-effective and effective strategy. Even if you only get a small number of new regular customers, your business will benefit. Promoting a few of your innovative products is a terrific approach to drawing new customers in particular.

2) Increase Brand Recognition

brand awareness

Increased brand awareness comes along with new clients. Also, many more individuals who might visit your store the next day but didn’t during this campaign will see your coupons. You’re extremely likely to be least in their sights. Such identification is crucial for startups or companies with a weak online presence.

3) The Power of Word of Mouth


Nothing attracts attention faster than a great price when it concerns to retail. Certain transactions now have the potential to go viral thanks to social media. There are other websites that are solely focused on consumers sharing different coupons they’ve discovered.

4) Widespread Exposure


Although word-of-mouth marketing is excellent, you could still quickly achieve millions of viewers and listeners even if it doesn’t go viral. A single click can email many people with digital coupons. This will be even simpler if you’ve managed to keep up with your client list.

5) Aim for a Certain Audience


The right buyer can be easily targeted with coupons, particularly when you utilize a third-party website. Most provide capabilities for recipients to be filtered by geography and interest. Your time and money will be wasted less as a result. Determine various tactics for luring new clients as opposed to rewarding your most devoted ones. These audiences must be reached, yet in extremely various ways and with very distinct incentives.

6) There Are Not Many Up Front Costs

PandaRushPromo6 revenue per email

Using coupons is another way to advertise. So the expense of coupons derives from a smaller profit at the end of the sale rather than paying a lot slightly higher compared front for a campaign you’re not sure about. Simply take great care to reduce losses by limiting the number of redeemable coupons, tying the offer to minimum purchases, allowing only one coupon per consumer, etc

7) Its Efficacy Can Be Measured Easily


While a reduction in profits is undoubtedly a cost, it is simple to calculate and compare to the effectiveness of the promotion. To maintain a precise count, you can utilize a counting system, online tracking, or scanning tools. All of this is immediately tracked by your POS system, giving you access to thorough sales reports. You can see how many customers you engaged, how many items were bought, and the amount of extra expenditure that occurred during each customer’s time in the business by running coupons across your point of sale.

8) You Can Choose the Product Wisely


Like any campaign, it offers a chance to persuade buyers to buy goods they otherwise wouldn’t. To reduce your expenses during the promotion, you might also choose goods with a bigger profit margin. Slow-moving commodities that are overstocked can function nicely. Promos will help you move these off the shelves and manage your inventory more effectively.

9) You Have Time Control


You can also decide how long a promotion lasts by using coupons. Depending on the sector and products, certain bargains are preferable as rapid, short-term offers whereas other ones are better left open for a longer length of time. Make it concise and somewhat urgent; lengthy, general pitches discourage recurring business.


Coupons are undoubtedly a tempting strategy to increase volume and sales. They can help you fast expand your consumer base and momentarily boost conversion rates if you use them in your marketing strategy. While offering high-quality goods at reasonable prices is impossible to truly replace, coupons are a terrific way to bolster such efforts when consumer demand or increased competition call for it.