Promotional codes are alphanumeric strings that online stores offer to encourage purchases on their website and are typically associated with an overarching promotional marketing strategy. The discount associated with a promo code can apply to individual products or an entire order.
The discount can either be a percentage or a specific dollar amount. Promo codes also provide customers with free shipping or gift-wrapping. This marketing strategy essentially gives customers yet another reason to buy your products.
According to Microsoft, a promotional code, sometimes known as coupon code or discount code, is made up of a combination of numbers and letters. It's used for specific purposes, such as a holiday marketing campaign.
When a store issues promotional codes, they're providing customers with an incentive to buy, which benefits both the customer and the business. Customers get the products they want for a lower price, and the ecommerce store generates revenue. One of the most useful things about promotional codes is that they work well with both new and returning customers. These incentives even have a direct impact on the overall shopping experience, according to research conducted by the Center for Neuroeconomics Studies at Claremont Graduate University.
"Getting a coupon, as hard as it is to believe, is physically shown to be more enjoyable than getting a gift," said Paul J. Zak, director of the Center for Neuroeconomics Studies at Claremont Graduate University.
The study showed that people who received promotional codes had heightened levels of oxytocin, which is a hormone that creates feelings of happiness. With that very physical reaction in the minds of your prospective customers, it's a smart idea to experiment with incorporating promotional codes into your blog business plan regardless of how you're monetizing your website.
Promotional codes are an effective way to track your marketing efforts to see which platforms are generating the most traffic or leading to conversions, according to Inc. magazine. Store owners can track their efforts by attaching a certain promo code to a specific marketing campaign or advertisement. Different codes can trigger the same discount, so you don't have to create a different discount for every advertisement. You just need a new promo code. For example, you could create slightly different codes (SaleFB, SaleTW, SalePT) so that any ads or marketing efforts on Facebook, Twitter and Pinterest have unique, platform-specific promotional codes, according to Inc.
Assigning specific numbers and letters to a certain ad is particularly helpful if a customer sees the promotion advertised in an email or on social media but doesn't click through immediately to follow through on the promotion. You'll still be able to capture and analyze the ROI of advertising on that platform because by entering the tailored promotion code, the customer is also telling you where he or she saw the sale advertised.
When a customer enters a promotion code during the checkout process, the store confirms that all conditions of the promotion are satisfied before validation. If the promotion code offers 20 percent off shopping carts of $200 or more, for instance, the code will not work if the minimum threshold hasn't been met. You can also tailor the requirements to exclude certain brands or products.
Depending on your site, you may be able to allow customers to enter multiple promotion codes or limit customers to using only one code. While deciding how many codes a customer is allowed to use is up to you, it's important to ensure the transaction is still profitable for you no matter what combination of codes are used.
There are three different types of promotional codes store owners can choose from.
Public codes Anyone can see or use a public promo code. These are useful for enticing new customers and encouraging previous shoppers to come back for more.
Private codes Stores use private codes to target a specific group of people. Commonly provided to loyal customers for special shopping opportunities, such as first-time shoppers, private codes are a good way to bring in new customers.
Restricted codes A code that is restricted is targeted to a single user and can only be used once. For instance, you might send a customer a restricted code as an apology for a delayed shipment or as a thank-you for making their 50th purchase with your site.
In most cases, it's best to utilize all three types of promotional codes on your site. This will ensure that you're connecting and providing a wide variety of customers with a reason to make purchases.
For decades, coupons have helped shoppers save money on groceries and household items. But the number of ways to find them has grown in recent years.
Now, discounts are available almost everywhere, including inboxes, websites and smartphone apps. Here’s how to get coupons, in both paper and digital form.
1. Shop at stores with rewards programs
Enroll in rewards programs or sign up for the mailing list for the retailers you frequent most. Many stores send returning customers exclusive coupons or apply discounts automatically during checkout.
“Those are savings that you’re going to get without doing a thing except for swiping your card,” says Cindy Livesey, frugal-living expert from coupon website Living Rich With Coupons. Livesey says coupons have saved her family about $11,000 a year, on average, on groceries.
Be prepared: Retailers may flood your inbox with messages or use your information, such as demographics and shopping habits, for marketing purposes. Depending on your email service, you may be able to divert messages into a separate inbox to manage the volume. Also, check the retailer website for a “do not sell my information” link, and also customize the internet cookies you accept.
2. Install a browser extension
When shopping online, use a browser extension to track down discounts on your behalf.
These extensions, like Honey typically locate coupons and automatically apply the codes to your cart, so you can save money without putting in extra work.
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3. Ask for manufacturer coupons
If you favor certain brands, contact the companies directly. They’ll often send manufacturer coupons or samples when you provide feedback (or simply request them). As a plus, you can use a manufacturer's coupon at any store that sells the featured product, barring exclusions.
Look for a “contact us” link on the company’s website. This should direct you to an email form, live chat feature, customer service phone number or mailing address. Another option? Leave a comment on the brand’s social media page.
4. Search a coupon database or app
Coupon databases are websites that compile printable and digital coupons, including rebates. You can use them to search deals by brand, product or store and save time. Search “coupon database” on Google to get started. For on-the-go savings, try a free coupon app.
5. Visit retailer websites and apps
If you plan to purchase an item, check retailer websites first. Most major merchants have a weekly ad, coupon or offers section online. Or you might see a limited-time discount code on the homepage or a banner ad.
Livesey recommends downloading apps for the stores you shop at regularly. Some, like TargetCircle, have features that make it easy to find store and manufacturer coupons in one place.
6. Check the Sunday newspaper
While you’re catching up on current events, look for coupon inserts in your local or national newspaper. These often feature coupons for food as well as personal care items. The Sunday edition usually contains $50 to $300 worth of savings, Livesey says. Typically, larger or more expensive publications will have bigger inserts with higher-value coupons, she says.
Before you pay extra for a subscription, make sure it’s worthwhile. You might be able to get access to newspapers through friends, businesses and other sources free of charge. Free papers often have coupons, too.
6. Pick up weekly ads at the store
Watch for weekly circulars on display near the front doors or registers. These might include store-specific offers that you can redeem immediately or during a future shopping trip.
8. Look at the product packaging
Some discounts hide in plain sight at the grocery store. Inspect items, like meat and cereal, for a peel-off coupon attached to the box or packaging. You could get instant savings.
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9. Browse store aisles
Don’t see a voucher on the product itself? Check shelves and other locations in the store.
“Usually when they have a new product coming out, they’ll put a display with a tearpad on there enticing you to get that product,” Livesey says. Don’t let a good deal tempt you to buy something unnecessarily, though.
10. Check your receipts
Take a close look at your receipt after every transaction. Some stores print coupons on the back. The cashier might also hand over a few extra slips of paper printed from a machine next to the register. These offers, known as Catalina coupons, are usually based on shopping habits. For example, if you buy a toothbrush, you may receive a voucher for toothpaste.
11. Use social media
Follow social media accounts for stores, brands and products you like. Many share coupon codes on Twitter, Facebook or Instagram.
No matter where you find coupons, be sure to read the fine print and familiarize yourself with store policies.