Consumers love to save money. It’s a well-known fact that people will shop based on how much they think they can save with a particular business and will often patronize businesses, regardless of their customer experience, if they feel as though they have saved money on a comparable product or service. According to an analysis of the number of people in the US who redeemed coupons between 2015 and 2021, the number is skyrocketing. In 2016, 126.9 million Americans redeemed digital coupons. This figure is estimated to grow to 142 million in 2020 and 145.3 million in 2021. Within the next three years, coupon redemption statistics for digital coupons are estimated to increase over $91 billion. This increase is the result of consumers opting to purchase items and services via their mobile devices, with most brands offering mobile-optimized browsing of their online stores and websites.
According to a study conduct by Wharton Business School, statistically, they found that companies with referral campaigns saw 86% more revenue growth over two years. Referred customers, on average, were $0.45 more profitable per day than any other customers. That can be a very significant advantage for companies that offer customer referral programs and customer discounts to those who don’t. Before consumers make purchase decisions, especially significantly expensive ones, most of them tend to do their research. Coupon advertising statistics show that retailers can use this to their advantage by offering competitive prices either in-store or online. Consumers also love to be referred to businesses that offer a great customer experience and also the ability to save time & money because they know that the business has been vetted by someone else that they trust such as family or friends compared to relying on stranger or possibly even bot reviews.
Offering discounts and coupons are the number one factor in driving customer loyalty. With so many consumers using discounts each day, it has proven to work in gaining customer loyalty. The more coupons a brand offers, the more likely its customers are to shop there again. Coupons are a great way for retailers to compel customers to buy something. 60% of shoppers love receiving digital coupons, and 50% are more likely to go in-store if they receive a coupon of some sort. Retailers who offer regular discounts and coupons record higher average order volumes from customers who use them than customers who don’t. This is because while consumers think they are saving more with the discount, they also end up buying more items.
86.4% of consumers get frustrated when they miss out on a bargain, and 1 in 3 consumers feel betrayed when retailers do not promote their special offers. Consumers tend to feel regret (FOMO) when they miss a deal or when there are special offers available for certain types of customers (like new customers). Average coupon redemption rates from email coupons via desktop channels are at 2.7%. Coupons received via smartphone applications have higher redemption rates of between 8% to 16%. Retailers who offer both email and SMS coupons see even higher redemption rates of between 15% and 25%. Digital coupons are the result of technological innovation and the increasing importance for retailers to offer discounts to customers. They include promotions, offers, and discounts offered by retailers to customers. Their goal is to entice customers to make a purchase at an online setting.
So why does all of the aforementioned matter? If you are a small business owner, you have to find innovative ways to create a great customer experience while creating brand awareness and brand exposure. This is where customer referrals come in. Also, that is often why many retailers offer discounts to entice their customers to check out their business. As coupon industry statistics show, coupons not only have the power to sway a consumer’s purchase decisions but can also build loyalty towards a certain brand.
So what’s the call to action? Using technology to grow your small business is important because technology is how society has come to communicate, learn and explore what offerings are available to them. Dealium was created to solve a problem for small business owners which is Customer Acquisition. Customers will have a centralized platform to checkout highly referred businesses in different business categories such as Home Specialty Contractors, Realty, Restaurants and Retail Establishments.
Dealium is a new B2B SaaS Referral Marketing Technology Platform for Small Business.
By integrating proprietary algorithm-based referral code sharing technology & communications platforms such as text, email & popular social media channels such as Facebook & Twitter, Dealium will help our small business subscribers generate brand awareness, create higher levels of brand exposure and increase their customer acquisition opportunities. Dealium consumer subscribers will also be able to save money through referral reward discounts. Go to http://www.dealium.io to learn more by downloading our white paper on using technology for customer acquisition and to review our Use Cases. Dealium will be launching in Q1 of 2022.
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