What Exactly Are Coupons?
Coupons are promotional tools that work by awarding a monetary reduction or rebate. Say, for instance, you are buying an item online and you will see a promotion that if you spend a certain amount, you will receive a certain reduction on your total bill. Now if you are close to the total amount, you might consider spending a little more to receive a form of a financial rebate. Or perhaps you have already exceeded the minimum spend, then you will likely feel very satisfied with your online purchasing experience. This will likely result in you opting to repeat the online purchasing cycle. Consumers’ loyalty also increases when a site or retailer offers a coupon redemption option so this is another important factor to bear in mind.
The history of coupons
It is said that coupons have been around since 1887. That’s quite a long time! The Atlanta-founded (now very famous) beverage company Coca-cola originally used this strategy as a marketing ploy to attract customers to the business, by offering pharmacists 2 free liters of Coca-cola syrup in exchange for their customer databases, such as names and addresses. Customers would receive a coupon in the mail for a free glass of the drink from the pharmacy, and in turn, pharmacists would continue buying it to bring in more customers. In modern day-USA, 96% of Americans use coupons in their purchasing. This is just to give you an idea of how popular and commonly used these purchasing tools have become since the 1800s. You must agree that they are kind of genius, aren’t they?
Is There A Catch?
If you are wondering about the efficacy and use of coupons for your online retail business, or as a consumer of online retail goods, this is for you. Coupons create an attractive appeal for buyers and thus increase the amount they choose to spend. The great thing about coupons is that they provide a win-win strategy for all. Hopefully, this discussion has shed some light on the ways that coupons can help you, either with your sales or with purchasing goods.
