essay experts coupon code

essay experts coupon code

The Impact of Coupon Codes on Consumer Behavior: A Comprehensive Analysis

1. Introduction to Coupon Codes

Many retailers use direct-marketing tactics such as coupons to attract new customers and retain loyal ones. Coupon offers are, however, often thought of as giveaways only and rarely have researchers considered their implications on consumer behavior. This empirical study attempts to address this issue by presenting consumer perspectives of receiving coupon offers in terms of their identities and self-images as consumers. The findings suggest that coupon offers have a significant impact on self-imaging associated with a shopping purchase. In particular, people who receive coupon offers may perceive themselves as being rational consumers who enjoy shopping at discount prices.

In the past, it was assumed that discounted prices masked many negative attributes related to low-priced products. Hence, it was recommended that retailers avoid using direct-marketing tactics and build brand loyalty and unfaltering price commitment based on positive product attributes related to price factors such as perceived quality of merchandise, brand equity, store equity, and preconceived value as a result of an offering. Thanks to advances in technology, it is now possible for retailers to use direct-marketing tactics in their communications with target customers. Moreover, due to the increasing sophistication and speed of the internet, retailers can use newer, more convenient, trackable, more personalized, less expensive yet more effective methods.

2. The Psychology Behind Coupon Code Usage

In our current age of consumerism, everyone wants a good deal. Economists have been analyzing price-sensitivity behavior for several decades, yet in practical terms, the entire science of marketing was founded on the premise that price is only one factor, and often not the most important factor, in the purchase decision. Consumers collect and redeem coupons, incentives, discount vouchers, and rebates in moderate and high percentages. However, the influence of these tools on purchasing decisions affects not only economic factors but also emotions and other psychological variables. Vouchers and rebates do influence the consumer’s image of a company, which, for those who take true customer orientation, must lead to the discovery of new methods to apply these tactics. Previous studies inform that sociobehavioral variables, specifically age, gender, income, and family composition, explain variation in three classes of coupon users.

In this context, few studies show the influence of socio-demographic characteristics on the respondent’s participation in a loyalty rewards program. Luk, Yau, and Sin contributed to the knowledge regarding the influence of motivation on interest in program offers by analyzing Hong Kong and Chinese consumers too. Price, quality, and convenience are well-known dimensions of shopping value, which, if present, can assure the physical and mental satisfaction of a product or service. Consumer satisfaction, if at a high level, is known as a key to loyalty. Loyal customers favor certain sellers over others, tend not to shop around, and are willing to pay a higher price. The use of excellent content provides merchants with good list-building opportunities, including solo ads, joint ventures, guest appearances, etc.

3. Case Studies and Examples of Successful Coupon Code Campaigns

It all starts with retail and e-commerce giant Amazon.com. The company’s aggressive price cuts during the 1998 holiday season led to monetary losses. So Amazon and other online firms increasingly issued coupon codes to let products be purchased at a discount, while finesse in the use of coupon codes became a preferred strategy in the evolving new competitive landscape for online retailers.

The importance of finesse in the use of a coupon code is illustrated by the campaign for the Lands’ End.com website, with the U.S.-based landsend.com Women site paying designers to create robes from solid-colored towels at an average cost of $5 to give to media representatives as gifts. A set of insert cards announced “A Free Land’s End Signature Petite Towel Wrap. A $59.50 Value. For you. For REAL friends” and instructed recipients to visit landsend.com/entre. By entering an access code of “FREE,” the robes were discounted to $0. The result was $500 of advertising per influential media executive receiving the unique, personalized product. Most recipients ordered more products at full retail price. Personalized products or services from the Lands’ End mail-order catalogs have been very successful in generating repeat business.

4. Ethical Considerations and Best Practices in Coupon Code Marketing

By using coupon codes, businesses can attract consumers to their sites and generate sales. Given that there is a lack of comprehensive studies on ethical issues in the use of coupon codes for marketing, this paper also provides guidance to both businesses and customers on the taxonomic issues in coupon code marketing development, implementation, and management by discussing the questions of limited time offer strategies, standardization of discounts for specific consumer groups, high demand and low supply of discounts, and mixed price strategies.

Introduction

Due to the rapid advancement of information technology and the simplicity of marketing events, consumers are provided online with the ability to rapidly locate and take advantage of online specials showing discounts on various purchased objects. Amid the main sources of internet buying anxiety and businesses that utilize internet selling resources as a cheap approach to sell, have turned a small number of marketing deals into an inclusion of coupons. Online stores are now targeting customers with this method of online buying, using online coupon sites and online community forums. For this analysis, the key emphasis is on the growing occurrence of advertising messages aimed at attracting possible buyers to buy from the store or to get consumers’ attention. Therefore, the emphasis is solely on the use and effect of coupon codes presently utilized in electronic business and these coupon tags are connected to online shopping.

5. Future Trends and Innovations in Coupon Code Strategies

Usage of coupon codes to drive consumer behavior is increasing, and this research suggests that there will be a greater prevalence in the future. Most of the empirical work focuses on the benefits such as purchase intention, value perception, and other consumer behaviors. Very little is covered about the parameters that help the consumer decide the most effective path to availing an offer and how much it accelerates their purchasing online. Historical data is easily available that details the consumer journey to avail a coupon which can help them make the purchase and personalizes a more favorable deal to nudge them to purchase. This historical data can be effectively utilized to personalize deals and in determining the interests of the consumer. We expect that there will also be significant growth in the collaborative and social nature of consumer deals. The trend of previous research suggests that there will be increased industrial and academic interest and efforts to pursue these future directions.

Research into coupon code strategies is something that has not been extensively researched, and hence it needs to be done. This will be especially important to both the consumer and the organization issuing the coupon code. As technology becomes more advanced, coupon codes may open opportunities to leverage new technologies in order to continue to help shape and evolve behavior and increase the pace and volume of online transactions. The applications and potential uses of coupon codes as a marketing tool may also drive economic growth in the business of retail. These numbers will increase further as the brick and mortar retail stores close down in favor of e-commerce. Both the marketers and consumers will both derive benefits that are definitely accessible via coupon codes. Although online shopping has been the focus of many companies as they attempt to cater to the convenience of the tech-savvy consumer, retail wahms have realized that online shopping can be configured to cater to the convenience of the consumer that is in frequent need for the same products and who may not always make the time-consuming trip to the corner big box store.