Coupons and discounts have always been a great way to drive sales. Whether your shop is online or in a shopping mall, placing a discount on some items will make more people likely to buy. It’s that simple.
But there is one drawback to discounts.
Using Coupons & Discounts For Sales
The danger of discounts
The problem with discounts is they’re unsustainable. No ecommerce website wants to make discounts their only edge against the competition. If they did, they could just cut prices altogether.
However, many resorts to discounts as a way to increase sales in the short-term. If you do this long enough, you will attract frugal living aficionados who will only buy when there’s a discount. Having a lot of discounts on your website signals the users they don’t have to buy now since the item they want will be on sale soon.
You have to use discounts strategically to boost your long-term success. Here’s how you do it.
Getting new customers
This is what discounts have always worked for well. Some people who know nothing of your product will only make the first contact if you offer a discount. You can use coupon aggregators like Couponbuffer to reach new audiences or run an ad campaign that would show items that are on sale.
There’s one problem with this strategy. You’re going to invite a lot of freeloaders to the game. Some customers will only buy from you because of a discount and never turn back.
Here’s what you have to do to make sure you’re making the most out of a coupon campaign.
- The offer is limited in time
- You take users’ contact information
- You restrict the number of products available
The main appeal of a discount is being unique. When you slap sales on every product, you devalue that feeling of uniqueness. Take it back by making your offers truly unique.
Use your subscriber list to offer your loyal customers discounts and coupons. If your customers give you their birthdate, make sure to offer a small discount on their birthday. Another offer you can make to your customers is a discount to get them back to your website. If a customer hasn’t made a purchase for a long period of time, send an email with a personalized discount for them.
Abandoned card discount
Businesses lose trillions of dollars on abandoned carts. If you don’t want to share this problem, you have to come up with a solution that would save at least a part of carts.
There are three tiers of preventing cart abandonment. The first one is having a pop-up that shows up once a user wants to leave the checkout page. Include information about how easy it is to complete the purchase. This alone can make many people come back.
If this didn’t work, you can choose two variants. If you have the user’s email, you can send them a message offering to proceed with payment. Include a small discount just for them. This may be enough to convince them to buy.
The other way to solve this problem is by using retargeting campaigns. Show people ads about products they were recently viewing to convince them to go through with their abandoned cart.
People tend to trust other people over brands. While most people will ask their close friends for advice, you can sway some customers to your side by collaborating with influencers.
Find the people who have a large following on social media in your niche. You may have to look at Instagram, Facebook, and YouTube. The choice of the platform depends on your niche.
Contact them and negotiate the terms of promotion. Make sure their posts are reviews, not aggressive sales. Include a discount for those who use each influencer’s discount code. This allows you to increase the number of people who go to your website and track each influencer’s performance.
Social media campaign
The beauty of social media is that you can get into people’s feeds in the most surprising ways. One of them is asking your customers to post a photo with a product on their personal account. Offer a discount on the next purchase, but only if they show the post.
This allows you to spread awareness about your product and get more people to make a purchase. If people see their friends’ post with your product, they may become interested and come over. Once they are making a purchase, they can become a part of the social media campaign by posting a photo of their own.
Do not overuse discounts
Discounts and coupons can help you grow the number of active followers, or make your bottom line sink. Use these strategies to make your discounts unique and appealing to customers. But do not forget that your goal is selling the products at full price.