Discount codes seem to be more prevalent than ever before. This is usually a sign that they are working. Discount codes are the offers you see on websites, on T.V., hear on the radio, in a magazine, or find just about anywhere something is sold. The codes are often something like, NOW15 representing 15% off if used very soon, SUMMER10 to represent 10% off during a summer sale, or any variation or combination that can be tracked by the issuer.
Although they will work anywhere, digital marketing seems to be the perfect place to implement these ubiquitous discount vouchers. The coupon codes are ideal for text or email campaigns. They can be used on social media or your website along with a call to action. Discount codes allow the issuer to track not only the code that generates the purchase but by using varying codes a business can track the media or ad copy that generated the purchase.
Consumers say that discount codes help finalize over 65% of their purchase decisions if they are undecided. Consumers also state that they will reconsider an abandoned cart/purchase if a discount code is offered. Ninety-one percent of shoppers claim they would purchase from a retailer again after using a coupon or discount code. Surprisingly, more than half of consumers shared that they probably would not have made the purchase without the discount code.
Discount codes are a common and effective tool but beware of offering discounts that may be prohibitive if too many consumers take advantage of the offer. Be certain that the offer leaves you with a margin of profit you can work with. Offer codes that are easy to remember and have a system in place to manage and track when a code is redeemed. Test the redemption process online or in your store. Be sure to train staff to handle the codes or you can set yourself up for an embarrassing moment with a customer.
You may offer both public and private discount codes. Private codes are often used to reward a customer for their loyalty or as an apology for a delayed order or a lapse in customer service. Public codes can be used as a way to attract new customers or delivered to an email or a text list of existing customers to generate new sales. A discount may be offered for a specific item or an entire purchase. Remember, any discount code offer should be used with a strong call to action.
Tracking discount codes is an efficient way of determining the effectiveness of individual campaigns. Something as simple as FB10 for codes offered on Facebook, GP10 for Google Plus, or LNP10 (for the local newspaper) can help you determine the best place(s) to promote your discount codes. Managing and tracking the codes is straightforward and typically does not require any special software.
Millions of discount codes are redeemed each year. You can take advantage of the simplicity and effectiveness of discount codes with a little planning and a tracking strategy.