All the online shoppers are familiar with a small window called coupon code box that appears during checkout. Retailers label it differently like a promo code, discount code, gift code, and other such variations, but they all serve the same purpose. Coupon code box serves as a small window of opportunity for some extra saving on an order. Consumers love the feeling of bagging their purchase at a lower price. Promo codes have become an integral marketing strategy for e-commerce companies.
There are three participants who have contributed to the promo code phenomena. They are as follows:
Advertisers: advertisers are keeping a keen eye on a consumer’s browsing behavior. Advertisers make sure that whatever marketing route a consumer takes they see the promo code box during checkout. Codes are a mechanism to change the way an advertiser market and interacts with their customer.
Consumers: while going for online retail shopping, consumers tend to look for an extra discount whether the brand provides it or not. Some companies don’t distribute codes; however, the search volume for their discount coupon is still very high.
User engagement codes can be used to promote a new product or keep the customers engaged with the old products. It provides a better brand experience for customers also. Coupon codes offer options for marketers when they are planning a campaign. Coupon codes can also work as an attribute to measure the interest of a consumer towards a particular product. Companies are now planning to launch customized coupon codes which can help them to manage their current customer base and also enhance the future customer.