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At some point or the other, an online merchant is faced with the dilemma of whether voucher codes are worth the offer or not. If you are an advertiser for your own online business, you are bound to question yourself once or more about the feasibility of the offer. You might also wonder how much should you offer as discounts to your customers. In the midst of this dilemma, there is just one thing to remember and that is how powerful a weapon voucher codes could be for your online store. However, if not done right, voucher codes could do more damage than earn profits.
Pros and Cons of using Voucher Codes
Are voucher codes right for you?
How would you know if voucher codes are right for you or not? To be honest, voucher codes or any online store offer for that matter are effective tools for customer acquisition. They are also great ways of increasing your customer loyalty. What you need to do is consider your overall brand strategy before you begin to offer discounts.
If you are an online merchant with slimmer margins, you could consider customer loyalty type voucher codes. On the contrary, if you have healthier margins, you could definitely consider giving away weekly voucher codes that could prove to be huge for your weekly goals.
Finally, you will need to consider if voucher codes are the right strategy for your brand. Setting up an online business is all about experimentation. You need to find out whether these voucher codes are working in your favor or not.
Types of Voucher Codes That You Could Offer
You can choose to lay down an offer in which a purchaser gets $10 off on a purchase of $50 or a $25 off on a purchase of $100 with the help of a voucher code. While this is not as common as other forms of voucher codes, there are quite a few stores that use this method.
This is the most well-known of all voucher code types. In this method there is a slated percent off with a voucher code and this code is applicable to the entire inventory of the store. These voucher codes also contain a few exclusions that are printed on the voucher.
Most of the time, a cart full of products is abandoned because of shipping costs. You can give away weekly or monthly voucher codes to ensure that your customers do not abandon products in their cart by offering them free shipping voucher codes. This will not only add to your brand reputation but also increase customer acquisition.
This is a relatively common method of offering voucher codes. BOGO stands for Buy One Get One and can provide solid savings to your customers. This offer sounds great when applied to sporting goods because they tend to be quite expensive. A good example would be something like this, https://www.vouchercodespro.co.uk/sportsdirect.
Who does not love free stuff? The allure of freebie voucher codes is too irresistible to say no to. These voucher codes will get your customers free gifts along with their purchases. You can also choose to give away new products to be tried and tested for popularity.
Instead of offering direct discounts you can choose to offer voucher codes that add credit to your account for future purchases. This credit will save you money in your next purchase with the same account.
Whichever form of voucher code you choose to opt for, you must remember to calculate your margin of profit beforehand. Once you have a fair idea of how much you could afford to invest in these voucher codes, you can choose to experiment with the different forms of discounts or loyalties that you choose to offer with these codes. It always helps to be calculative while being an online merchant giving away free voucher codes.