Ecommerce Coupon Marketing Strategies: Give Discounts, Get a Lot More

People always find a way to get a discount on products. There are a lot of websites that offer digital coupons. These coupons are very convenient for people who shop online. If you see coupons marketing strategy according to the retailer’s point of view, you will know that this strategy is very helpful for them.

Coupon marketing strategy increases the sales of these retailers and helps them to enrich the customer value by offering coupons to the customers. The operations of this marketing strategy apply on a regular basis. Retailers like Wadav add and update coupons and discounts, regularly which boost their sales conversion rate.

Online shopping lovers know how to leverage deals, other offers, and discounts on cashback to maximize savings and use coupons. For retailers, this may mean less profitable sales.

But marketers are increasing the distribution of digital coupons through their mobile devices due to an increase in the demand of online shoppers.

What Are Digital Coupons?

Basically, digital coupons are the discounts and promotions that retailers or those who are in the business of affiliate marketing offer to the customers to boost their sales and to provide a good customer value. With these coupons, customers get satisfaction after shopping for something.

The purpose of digital coupons is often to attract consumers to make purchases on the retailer’s website by giving a special discount. Also, the purpose of digital coupons is to provide free shipping.

Physical VS Digital Coupons

Although the goal of both physical and digital coupons is basically the same. In between the physical coupon and the digital version, both have just a few differences.

Physical coupons are extra costly to include in the marketing strategy. Physical coupons have printing, registration, and distribution costs. Whereas if we see digital coupons, they can be sent via text, email, and auto-generated communications.

Sending digital coupons is very easy. But, the drawback is that it could get lost in the bulk of emails.

Digital Coupons Aren’t Going Anywhere

Digital coupons are a growing trend and do not seems to face any slow down in the future. In fact, in the pandemic, people are utilizing more coupons deal because of their purchasing habits that are shifted to online from physical.  According to a report, 90% of consumers use coupons both physically and by visiting on a digital platform.

Digital coupon redemptions to surpass $90 billion by 2022

According to a report, digital coupon redemption will surge to $91 billion by 2022. The same research shows the data that in 2017 the redemption was up to $47 billion. There is a big change observed comparing to the past.

Coupons are the drivers for changes in purchasing behavior

According to research conducted to study consumer purchasing behavior, up to 83% of the buyers labeled coupons as the driver for changes in pur chasing behavior. Actually, it is obvious if you see a discount deal you will definitely grab it. You will not be paying the full amount on a product by leaving coupons.

Impact of emails in coupon marketing

Not surprisingly, email has become a very effective means of delivering specific content in a timely manner. Marketing plans that include a basic level of personalization, such as content or product recommendations based on prior browsing or buying history, usually perform much better than more common messaging.

Binding a coupon to such an offer can significantly increase its effectiveness if the combination of the recipient, offer, time and product are correct.

Drawbacks of Coupons

Lower Perceived Value

Coupons, particularly when misused by retailers to drive volume permanently, will reduce the price of a brand and product. Coupons are often associated with nearby items, discount retailers, life-ending products, and a tactic that easily promotes a failed product.

Although there is no intention to reduce the price proposal by the merchant, the somewhat negative connotation associated with discounting a product or service with which the price should be initiated will reduce the value, and the consumer, expect lower prices.

Less Profitable Sales

When coupons are used in regular marketing, there is definitely a risk of delay in sales. This is especially true for repeat users. Be assured to add coupons and discounts on special items that require extra promotion, not those that are already selling at acceptable market value.

The risk here is in your lower region. Coupons are a marketing cost whether to get new customers or maintain existing ones with extra costs. This is not a better and stable strategy. Moreover, due to this, customers will be getting your products at high rates as compared to the competitive pricing and providing an excellent overall product and shopping experience.

Higher shopping cart abandonment

Are you habitual to select an item in your cart at an online store just to get distracted and abandon your purchase? There are many retailers who cause customers to this on a regular basis without knowing it. They do it by only including prominent coupons or discount code areas in the checkout experience.

Those buyers who had each reason to buy without an additional impetus have now found the motivation to look for a coupon on the web, since expanding truck surrender in the event that they don’t discover one.

Strategize Coupon And Increase E-Commerce Sales

Used wisely, coupon marketing can significantly increase topline revenue by allocating just a small amount of dollars. A cost, but with a big return. Here are some of the biggest advantages of including coupon campaigns in your marketing efforts.

Get rid of poor selling

Some items do not sell side by side. The best way to get rid of these items? Offer a quick discount so you can at least break. Sometimes a discount of less than 10% helps to fly items off the digital plane.

However, keep in mind your gross profit. Couponing is not just about cash possession. This is also an opportunity to increase the number of coupons over time. You can get a 15% discount on work as well as a 25% discount that you wanted to offer earlier.

Build your email list

Data is very valuable, especially if it is data from potential users. Many eCommerce stores offer small discounts if you sign up for their email list. You can too, and instantly create a 1000+ person email list with just a 10% discount! Despite the many discounts offered online, 10% is a valuable incentive.

Incentivize customers to spend more

Adding a spending limit is a great way to promote average order values ​​and use automated coupons during promotional periods. For example, it’s not hard to include messaging like, “You’re only 20% off a 20% discount on your entire order!”

This gives users a reason to make more purchases on your site and increases their chances of further ordering. The use of automatically applied coupons or discounts is a great reward for your buyers.

Measure channel effectiveness

Coupons can also be utilized as a channel tester. If you place a 10% code on social media on an email campaign, you can observe which way performs best. While it is anything but a logical test, it will give you directly over the long run regarding which channel your clients respond to such offers best in.


Coupons are definitely an attractive way to increase volume and sales. Adding them to your marketing mix can make your customer’s file faster and temporarily increase your conversion rate. While there is no real alternative to providing quality products and reasonable prices, coupons support these efforts when competition intensifies or meets consumer expectations.

Plan well and budget accordingly, as overcoming couponing can be a very costly, volatile strategy that many businesses cannot afford. Not only will coupons build your brand equity, but smart coupon strategies and quality products will provide a much better experience.

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About the Author

Nicole King

Nicole is a shopaholic with decades of experience. With a passion for writing and an undeniable ability to grab the best deals, Nicole enjoys helping others feed their inner-shopaholic too. Her work has been featured on Business Insider, Lifehacker, The Motley Fool, USA Today, and Moneyish.