Even though it has progressed a lot from newspaper clippings to QR codes and mobile apps in the 120 years of existence, coupons offering discounts or other benefits remain popular with both customers and businesses. Even though the shopping behavior of customers has changed radically in the digital age, 92% of customers in the United States used coupons, according to Statista. A quick look at some of the main benefits accruing from coupons to customers and businesses:
Why Do Customers Use Coupons?
There are several reasons why customers, regardless of how rich or poor they are, continue to use coupons as much as possible. Some of the main reasons are:
Save money: Most of the coupons offered by businesses, mainly retailers, allow users to redeem them to avail of a discount or get something of value, free of charge. Being available easily and in large numbers, coupons are a simple way for customers to save money on their purchases. The savings can be even more if you can use the coupon when there is a sale. However, you need to know if there are any restrictions on the use of the coupons.
Easy availability: No so long ago, coupons were a regular feature in advertisements appearing in newspapers and magazines, but now the availability is even more with their transition to digital channels like websites, email, direct messaging, social media, etc. There are even websites dedicated to making available coupons. You are also likely to receive dave and buster’s coupons directly from the company if you have already shopped with them.
Permits product experimentation: Many people are hesitant to try new products and services because they don’t want to waste their money on something they might not like. By using coupons, they can get a substantial discount or even a product sample for free. Making use of a discount coupon is especially useful for trying out new restaurants, salons, etc.
Why Businesses Dish Out Coupons?
New customer acquisition: By issuing coupons, it is easier for businesses to attract new customers. It is also a great method for building brand awareness because if the offer in the coupon is lucrative, customers are encouraged to find out more about you.
Building loyalty: One of the best uses of coupons is for building customer loyalty. Since price is a big factor in purchase decisions, a business can offer coupons with a discount that represents good value for a specified number of purchases in a given period. Once the use of the product becomes a habit, customers are less likely to abandon it.
Immediate and measurable results: One of the biggest advantages of couponing is that businesses can immediately figure out how well a particular coupon is working because, typically, all coupons have a validity date. The campaign result is easily measured both by the number of coupons used and the number of people availing of them.
Issuing coupons is a lucrative deal for customers and businesses as both benefits from them in equal measure. Customers get to save money and try out new products, while businesses get the opportunity to raise brand awareness and customer loyalty.