coupon strategy

 

Offering discount coupons on purchases can draw people to your store. Statistics show that 37% of customers purchase more items than usual when coupons are involved. 25% of buyers admit to spending more overall due to the same. 

 

When done right, both parties involved will feel the positive impact that comes with it. As customers enjoy discounted prices, businesses are also likely to generate more sales. Brand awareness, brand reputation, and customer loyalty are other advantages of employing discounts as a company.

 

Given the benefits mentioned, coupons can offer a great marketing strategy. At the end of the day, your enhanced brand awareness and reputation may attract more customers. It can also increase the number of returning customers. But how do you create a working coupon marketing strategy? This article will discuss some of the most important tips to keep in mind.

 

Set your goals


The first thing you should do before launching your coupon campaign is to set goals. What do you want to achieve at the end of the campaign? These objectives will determine how you’re going to plan your campaign and the resources you’ll need. 

 

Here are some of the most common coupon marketing goals you might want to consider:

 

  • Boosting your product sales
  • New customer acquisition
  • Acquiring customer data such as contact information
  • Engaging your existing customers, especially those who are inactive

 

Of course, you can focus on more than one of these goals in your campaign. Provided you have the necessary resources to run the program and monitor its performance. 

 

Coupon distribution strategy


How will the news reach your potential customers? Whichever option you choose here will have a huge impact on the success of your marketing project. There are many channels you can use but not all of them are ideal for your campaign. It all depends on your audience and where they’re likely to spend most of their time. 

 

For instance, if you’re targeting the younger generation, you might want to leverage the power of social media rather than emails. You may also want to partner with micro-influencers or various coupon sites for better results. The main benefit of such partnerships is that you get instant exposure since these websites and influencers already have a huge following. For instance, you have a high chance of attracting potential customers when your coupon code is posted on DontPayFull.com or any other similar platform.  

 

Research the market for the best incentives


Once you’ve decided on your main objective(s) and distribution strategy, the next step is to choose the best discounts for your campaign. Remember, your competitors are also looking for the most effective ways of winning the market. Therefore, it’d be prudent to analyze what they’re offering and see if it works for your business. Strive to give your customers better offers, especially if your main aim is to attract new customers. 

 

Another option would be to ask the customers what they’d appreciate the most. You can do this by sending questionnaires to your prospects and existing clients. This task is even a lot easier today given the growth of social media and other digital communication platforms. 

 

Still not sure what to offer? Consider the following incentives:

 

  • Free shipping: ideal for e-commerce businesses
  • Percentage discount: for instance, a 10% off on specific items
  • Free item: for instance, a free dessert for every dinner on Wednesday
  • Buy one get one free: quite common in both e-commerce and traditional shops
  • Amount discount: special discount is given for orders exceeding a given amount

Decide on the ideal discount amount


How much should you discount in your coupon campaign? Choosing the best incentive is one thing but deciding on how much to cut from your original prices is a crucial part of this project. Customers may not be attracted if the discounted amount isn’t appealing enough. As such, you may not get the desired results even if the incentive class you’re offering is ideal for your customers.

 

But then again, giving out too any discounts can mess up your cash flow. So, which is the best amount? Well, there is no right or wrong answer here since it depends on many factors, one of them being customer needs. 

 

Perhaps the best way to go about it is trial and error. Start with the least possible coupons and monitor the results. Keep increasing until you find the sweet spot that works for your business and your customers. But never go beyond your margins unless you want to clear expiring, slow-moving, or discontinued products. After all, the business will still need to generate revenue to cover production expenses.

 

Segment your customers


Every business has different types of customers, and yours is no exception. As such, it’d be prudent to segment your customer base and send a different coupon to each group. Of course, you’ll need to consider consumer needs and behavior while creating these target groups. Other data that might be useful include age, occupation, and location.

 

Keep in mind, though, that your business is different from your rival enterprise. A customer segmentation strategy that works for your competitors may not work for you. That said, you must analyze your sales data to come up with the best customer segment criteria. 

 

Conclusion


Coupon marketing can be a very effective way of attracting customers and building your brand. To make this marketing strategy a success, you’ll first need to come up with your main goals. Whatever you list here will guide how you decide on the rest of the factors. These factors include coupon distribution strategy, the type of incentive, and the applicable discount amount. Make sure you analyze your sales data as well as your competitors’ statistics before launching your coupon program.

Recession Proof Website

Website are like road maps to achieving your business goals and if they are not set up properly your web traffic will be confused on either what they need to do when they get there or you simply won’t maximize your efficiency as a website. If you have an ecommerce website that takes sales and updates products regularly you will need to have these items in place if you want to see your sales grow.

Here are some must have website features for all website selling products:

Shop Location

I know this sounds crazy but some shopping sites I have seen in the past actually make a website user search for the shop, that’s just crazy. Your shop should scream “I am an online store” as soon as a person arrives at your website.

Newsletter Sign Up

You want to have a newsletter sign up form on every page of your website. Positioning it is an area where people can leave their email address to receive coupon codes and discounts will get many more sign ups than just putting “Newsletter Sign Up”. That doesn’t scream anything but boring. Give people a reason to sign up for your newsletter. Let them know why they are submitting their information.

Good Images

Don’t skimp on the quality of your photos. These have to be top notch quality product images and you will want more than one image to showcase your product on each product page. Purchase a slightly better than average camera, buy a light tent if your products are smaller and get a mediocre lighting kit and your images will come out fantastic.

Lots of Sales

Right now people have clammed up on their wallets and they only buy if there is a good deal. Announce sales throughout the website and point people to your clearance page if you have one. People are looking for bargains not full price boutique items.

Put out Coupons

Make lots of coupons and get them into all the coupon websites. This will get them bouncing around in the search engines. Many times a person will search for a coupon before they purchase and if they can’t find one they will just move on to a website that does have one.

Related Products

You want to have a feature on your site where when people are on a product page they can view other similar related products right from that page. It will keep your users moving and navigating throughout your site viewing other related products that have an interest for.

A Blog

A blog is a must for any business but for a website that is selling a product it is very important. It gives a business an area to write product reviews and company related announcements and be a voice for the business. It has been proven that websites with a blog receive over 30% more traffic than a website which don’t.

Customer Service

Having a page dedicated towards, a privacy policy, terms of use and returns will give them confidence in purchasing from your website. Leave an area on each product page that shows them how they can return a product if they need to. This lets your audience know that you are not scared to send them to this page and you have nothing hide.

Contact

Make it is easy for your website traffic to contact you. Leave your phone number and an email visible for them to reach out to you. Some websites even have a chat feature where your audience can reach out to you right there and then on your website with any product related questions.

Brand

Brand your business as much as possible. An ecommerce website creates a community so have a Facebook and Twitter page where your loyal hardcore fans can be part of your community. If your website has not been updated in a while maybe it might be time for a web designer to run through it and tighten things up a bit.

It will take time for you to test these things out but over all every website should have these features regardless of what is occurring in the economy.

 

 

 

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