Digital coupon marketing has many benefits. It’s also cost-effective. Customers today are searching for discounts, especially in the face of inflation. RetailMeNot shows that 78% of Americans believe that coupons add value to their purchases and 59% use coupons regularly.
Discounts are good for consumers, helping them save more money. But they can also be a benefit to your business. According to Valassis 61% of consumers believe that coupons or discounts are a way to encourage them to try new brands, 54% stated it would make them feel more motivated to buy, and 60% said that a coupon or discount makes them more likely to purchase.
What is digital coupon marketing?
One simple difference between traditional coupon marketing and digital coupon marketing is that digital coupon marketing uses online platforms such as email, social media, and your website to share digital coupon codes. Traditional marketing, on the other hand, focuses more on touchpoints such as print, radio, and television ads.
Digital coupon marketing has many benefits. It’s also cost-effective. Traditional marketing campaigns such as direct mailers can be costly, especially if your target market is large. Digital campaigns can be adapted to almost any budget, provided that you are able to identify your ideal customer using demographics.
It can also be difficult to measure your return on investment when traditional marketing is used. If a customer doesn’t mention that they heard your radio advertisement or received your flyer you won’t be able to tell if the campaign generates sales. Analytical tracking makes it easy to track conversions in digital marketing.
Engagement is also possible with digital coupon marketing. Customers can interact with you by commenting on emails or responding to them. Customers can also become brand ambassadors by sharing discounts with friends and forwarding them.
8 Digital coupon marketing strategies
You need to do more than just offer coupons. A digital coupon marketing strategy will help you leverage tools that can encourage purchases. These are eight innovative ideas that work.
1. Customize your coupons.
There is no one size fits in shopping, and there are no discounts. So make sure you design gifts that are unique to each recipient. According to Epsilon, 80% of consumers will make a purchase when a brand personalizes their experience.
You can customize your digital coupon marketing by creating campaigns for specific audiences, events, and promotions. You can offer discounts to customers based on their loyalty program membership or purchase history. You can offer special discounts on your customers’ birthdays or anniversaries if you have their personal information.
A created personal discount is to create campaigns for customers who aren’t making a purchase in a while. You can send disengaged customers who aren’t interested in your store, you can offer them a digital coupon. You can also take advantage of abandoned cart marketing to motivate customers to return and complete their transactions. Personalizing discounts should be a way to show appreciation for your customers and make them feel special.
2. Set a deadline for savings.
Customers are more inclined to take advantage of limited-time deals than discounts that can be redeemed anytime. They create an incentive to act”anticipatory regret” or the fear that one might miss out (FOMO) according to Psychology Today.
You can create urgency by putting a deadline on your offer. This will motivate customers to take action immediately. Campaigns with a very short redemption window such as a short-term pop-up sale or code this expires in one day can be especially effective for encouraging customers to make a purchase. You can send an email reminder about the expiration date if your offer is valid for a few days.
3. Add an element of fun.
People love to play games. By making discounts a challenge you can increase engagement and drive sales. Gamification is a great fit for digital coupons. You can create a mystery reward campaign that requires people to click on a link to reveal its value. Your coupon can be limited to 100 people who click it. This will combine urgency and a challenge.
Loyalty Programs may also include game elements. You can award discounts after a customer earns a certain number of points based on their spending. or you can deliver surprise discounts that feel like a windfall, and keep shoppers coming back for more.
4. Use referral marketing.
According to Nielsen 92% of consumers trust word-of-mouth recommendations. This marketing engine can be tapped by offering digital coupons to your customers that they can share with other people. Offer discounts to family and friends with coupons offering “15% off for yourself and 15% off for your friend.” Include the link to “forward this to someone else” at the bottom of all email marketing campaigns.
Another form of referral is Influencer marketing. You can reach out to YouTubers, bloggers, or people from your local community by offering them discounts that they can share with their followers. Although you may need to pay influencers, the strategy can easily be profitable on its own. HubSpot reports that 58% of marketers consider influencer marketing to be the most effective marketing strategy.
5. Add discounts to lead forms.
You can use digital coupons as incentives to increase your sales. You can offer a discount code for people who sign up for your newsletter or email marketing campaigns, giving a percentage off in exchange for their email address.
This incentive can be advertised on your homepage with words such as “Subscribe to our newsletter to get 15% off” or you can use pop-ups to advertise your discounts while customers shop at your online store. A study done by Google and Boston Consulting Group revealed that 90% of customers would be willing to share their email addresses in return for something.
6. Reward your existing customers by
Reward existing customers by creating deals that are exclusive to them. Determine what incentives resonate with the audience. You can get a percentage off your purchase, or even free shipping
Your loyalty program can also be enhanced by insider-only discounts. You can take, for example: To recognize loyal members for being part of your loyalty program, you can offer them coupons to reward them with incentives and rewards. The Square Future of Retail report showed that Square customers who were enrolled in loyalty programs were twice as likely to be repeat customers and spend 37% more than customers who aren’t.
Also read: Outbound Sales: What It is and Best Tools
7. Mix up distribution channels.
Email is a great way to send coupon codes. But it’s not all that effective. Text discounts are also available. According to Gartner, text messages have a 98% open rate, as opposed to email’s 20%. A survey by SimpleTexting found that 50% of respondents would agree to receive text messages from businesses in return for flash sales or time-sensitive promotions.
Social media is another way to share digital coupons. Brands are often followed by customers Followers-only get exclusive coupons and deals Share discount codes with your followers and encourage them to get involved you can use your social media channels to encourage customers to visit your online store and place an order.
You can also share digital coupons with non-digital vehicles. Create QR code coupons for your checkout counter. Window, or receipts, as also in marketing emails. To give your customers a physical way to access your digital coupons.
8. Track the success of your coupons.
You can distribute digital coupons through different channels. It’s useful to keep track of which coupon codes are most popular so that you can duplicate your most successful coupon strategy. Creating unique, Single-use coupon codes allows you to personalize your coupon marketing and customer engagement that allows you to also determine Track the performance of your coupons over time to determine which ones are most popular.
Create your digital coupon strategy.
Customers will be more inclined to trust businesses that offer good value if they feel valued by you. Start sharing the love by creating digital coupons that offer discounts.
You can either create a complete digital coupon campaign via email or text, or you can generate single-use codes that you can share on social media, websites, and in person. To get a better understanding of how your coupon marketing strategy works for you, you can track individual coupon codes’ performance in Square Dashboard.