In 1887 Cola-cola introduced the very first ever coupon, what the company could not have known was that the concept would be the future of e-commerce one century later. A recent study conducted for Vouchercodes.co.uk reveals that voucher codes continue to be at the fore front of growth. Based on available data advertisers know that where appropriate incorporating vouchers into the marketing mix and continues to be an important aspect as one of the key marketing channels that has a quantifiable benefit to businesses.
The study was conducted in the UK and the aim was to analyze the impact and value of online codes to advertisers. In an in-depth interview with e-commerce retailers, the study revealed a similar outcome. The interviewees indicated that online vouchering is on the rise, and online retailers now perceive vouchers sites as the most invaluable marketing tool especially for web-savvy customers. Data from the large scale consumer survey indicated that 66% of the online voucher codes user in the UK claimed that they were likely to use the codes in the next year. 41 % of the users said they are expected to use the codes on 25% of all their online purchase.
Voucher codes influence the Consumer spending positively
The study indicates that online vouchers have a clear and positive influence on the purchasing cycle. Those who redeemed an average of six vouchers codes or more for the past 12 months reported having an online spending of £835-00 (aprox $1047.75) or more which is basically 71% higher than the light users who spent £488-00 (aprox $610) who used less than six codes for the past 12 months. The study also indicates that users who are likely to use more voucher codes were likely to spend 45% more online than those who were not likely to use the codes in the same period.
Voucher codes Improve conversion rates
In essence, advertisers use all the promotional tactics at their disposal to influence deal hungry shoppers. On this point researchers found that online voucher codes are very effective in enticing new shoppers to try new products and less likely to abandon their shopping baskets.
Active voucher users were found to be more likely to try a new brand and those who rarely use a voucher code to convert into customers. The study also revealed that voucher codes are an excellent tool that can be used to help undecided consumers. Two thirds of the respondents strongly agreed that online voucher codes have the ability to influence and finalize a purchasing decision.
Online voucher codes can enhance brand reputation
Significantly gathered data indicated that discount codes reinforce the image of the brand, drive more customer referrals and most importantly engenders full price purchase among the most active voucher code users. In other words, the voucher codes can reinforce brand image as well as bolster the brand loyalty. At least 75 % of voucher codes users who were interviewed agreed that they are more likely to be loyal to the brand offering the codes.
Overall, the finding of this research underlines the value of online voucher codes to advertiser, retailers and anyone operating an online e-commerce business. This shows how it is possible to analyse actions and so maximize their sales and conversion rates. Unfortunately, you cannot take shortcuts when it comes to having an online voucher strategy. You will need to test and measure everything on a regular basis and assess the success of the offer.
One thing is clear voucher codes are here to stay and will continue to increase in popularity. It is important though to decide on the most suitable type of voucher for your online business and whether this will need to be adapted for specific situations.