Saving money will never go out of style. And these days, shoppers everywhere are trying to do more and buy more, with less money. For this reason, coupons are a valuable tool that can offer your business a winning marketing strategy by increasing retention, driving loyalty and reinforcing your brand. The best part of all? Using coupons in your direct mail marketing campaign is known to increase your ROI substantially. Whether you’re looking to motivate a consumer to purchase your product or to simply have them take notice of your brand, this option is extremely affordable.
Here’s how you can tailor your coupon efforts and ensure your offer has the biggest impact and the highest possible return:
Hit a sweet spot
Everyone loves a good deal – and with coupons, you want to make sure you create that ‘thrill-of-the-hunt’ urge. In saying this, make sure you pay special attention to your messaging. Does your offer sound irresistible? Be sure to include a clear call to action when designing your coupon and make sure the offer is clearly stated, without room for error or misconception.
Before you launch a coupon strategy, you need to ensure that you understand your market and the opportunities that exist for profitability.
Seeing what type of coupons your competitors are offering and diving into your CRM and sales data are great places to start. All of this information can also help you determine if a dollar-amount or a percentage off the usual price will get you a better response. Many business owners believe they will lose money by mailing coupons, but there are actually many good reasons to incorporate coupons into your direct marketing strategy – and making a profit is one of them. For a positive return on investment, you’ll also want to make sure that your discount isn’t too steep, and that it won’t negatively impact your sales revenue and profits.
Attract different customer segments
Your coupon marketing strategy shouldn’t be a cookie-cutter approach. Instead, you need to ensure that you divide your audience into separate segments and create a variety of campaigns accordingly. Here are some examples of different categories and types of criteria that you can focus on: the age of your customers, geographical and location-based sectors, revenue, and favourite products/services. Don’t forget that different versions of your coupons can help personalize your offer. It also enhances the experience and strengthens the power of your incentive. By putting in a bit of extra effort into your coupon marketing strategy, you’ll be able to obtain the results that you’ve been looking for in the long run.