Coupons serve a valuable purpose for businesses. They offer a value incentive, and perhaps most important, provide a reason to contact your customers and clients.
Many companies have built their business by flooding the market with coupons during the extended grand opening period in order to get their name into the market area and woo customers from competitors.
Savvy business owners can use coupons as a loss leader to bring customers into their online or physical store, then make their profit on tantalizing upsells. This takes some skill and experience to get it right.
A word of caution is in order:
Coupons should never be your only form of advertising. They may form the basis of your promotional strategy in the beginning, but customers will soon learn to wait for the discount coupons to arrive before shopping.
After your initial grand opening, avoid too many coupon offers or risk losing customers who will pay full price.
Depending on your product mix, there are better ways you can provide value while still charging full price on your main source of revenue.
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