Do Coupon Codes Increase Conversion Rates?

Using Coupons Effectively Along the Visitor’s Path on Your Ecommerce Website

Homepage

By using banners or other inline content, you can turn first-time customers into email subscribers or social subscribers by enticing them with a coupon offer or a free shipping offer. You can also display the coupon in a header or footer that remains visible as the visitor scrolls up or down the page.

Product Page

When visitors are interested in an item, it’s a great time to upsell & cross-sell other products that are similar with a lightbox popup. You can encourage your visitor to not only add more items to their cart but also spend more money by displaying a prominent header in the lightbox that offers a big discount if their order exceeds a certain amount.

Cart Page

With the average shopping cart abandonment rate at about 75%, you should assume that your visitors are also potentially reviewing their cart and perhaps considering adding / removing some items or even abandoning altogether. Fortunately, you can increase your conversion rate by:

Post-Purchase

Whether your visitor leaves the site without making a purchase or finishes their purchase and leaves happily, the selling cycle doesn’t stop there. Remarketing and email marketing works the best to entice customers back to your site. Not only does it keep you engaged with your shoppers, it also allows you to continue building a relationship and maintain brand awareness. Your campaigns should consist of offers such as:

How Coupons Impact Conversion Rate and Influence People’s Decisions

According to MarketingProfs, 57% of US online shoppers who used a coupon code said that if they had not received the discount, they would not have bought the item(s).

Customers are actually more than receptive of digital coupons. According to the marketing blog, Amasty:

There are several different types of discounts and offers that you can employ, here are the most common:

Since coupons can provide a trigger for a visitor to make a purchase, they can be utilized to increase conversions; especially if it makes the difference in whether a shopper has the ability to purchase an item or not. To create a coupon that is relevant and compelling, try implementing one or several of the following:

According to Robert Cialdini’s principle of scarcity, it’s normal social behavior for us to like things more when there are less of them to go around or they’re available only for a short time. Online retailers can take advantage of this by sending out messages that set a clear expiration date, create urgency and use compelling calls to action such as “Redeem Now,” and “Shop Today.”

Although a visitor may redeem a coupon, it doesn’t necessarily mean they will end up using it. The good news is that, if you captured their email, you can potentially turn that unused redemption into a lead by sending a reminder or recovery email to those shoppers. To make the most of these remarketing emails, connect the coupons to your email marketing service that that a drip email campaign is triggered to do the following:

Ecommerce Coupon Statistics

According to Access Development, statistics reveal that coupons are still a driving force in commerce that connects people (and their wallets) to brands.

Conclusion

Keeping these tips in mind, you can successfully leverage the power of coupons to increase your conversion rate and turn visitors into customers. Offer the right coupon on the right page and at the right time, make visitors feel special, create a sense of urgency, collect email addresses and don’t forget to follow up. It’s that simple.