• Jenn Reichenbacher, VP, Marketing and Product Delivery at iPayment, Inc.


• 04.06.2015 01:00 am
mobile coupons , payments

If you think mobile coupons and offers are just a fad, it’s time to think again. In fact, they’re growing more popular by the year. What’s more is that they’re just as popular in brick-and-mortar stores as they are on e-commerce sites, so they’re a powerful addition to any SMB marketing strategy. Doubts? A recent study confirms that mobile coupons are here to stay.

About the Study: Forrester Consulting, on behalf of RetailMeNot.com, conducted the study in question. The company surveyed more than 500 consumers who’d used digital coupons in the preceding three months, and what they found is eye-opening to say the least. The information in the report isn’t just interesting; it reinforces the importance of having a solid digital marketing and digital coupon strategy in place, whether you operate a brick-and-mortar store, an e-commerce site or both.

Key Findings: It’s no secret that mobile has become a powerful force in the world of retail. The skyrocketing popularity of digital coupons is proof positive of that. According to eMarketer.com, approximately 102.5 million adult Internet users redeemed digital coupons in 2013. Coupons were redeemed online and offline.

The findings of the Forrester/RetailMeNot study certainly drive home this compelling statistic. The study includes a lot of informative data, but a definite standout is that 59 percent of those surveyed stated that digital coupons and coupon codes influence their purchase decisions more than any other digital promotions. Furthermore, the vast majority redeemed their digital coupons within three days, and one-third redeemed them immediately.

 Additional findings of note include:

• 68 percent stated that digital coupons increase brand loyalty
• 68 percent reported that digital coupons gave them a positive impression of a brand
• 47 percent stated that they were open to trying a new brand when receiving digital coupons on their smartphones
• 36 percent stated that they were likely to switch brands when presented with digital coupons
• 31 percent reported using coupon apps to look for deals
• More than half of those surveyed are opposed to receiving digital offers via text message

Opportunities Presented by Mobile Coupons: As evidenced by the Forrester study, mobile coupons bring many exciting opportunities to the table for retailers. They increase brand loyalty and dramatically influence purchase decisions. They also present prime opportunities for upselling and cross-selling, with 55 percent of people redeeming digital coupons spending more than they’d anticipated. Seventeen percent spend $50 or more than they’d intended when using digital coupons in stores. What retailer would not love to have those incremental sales?

Pain Points: While consumers have embraced digital coupons, retailers continue to scramble to catch up. As noted by MediaPost.com, digital coupons are often poorly formatted, which causes a lot of awkward pinching and zooming on smartphone screens at checkout. Consumers report having to send digital offers from one device to another in order to use them. In short, the redemption process continues to be a major sticking point for retailers. If it’s not easy and seamless, it will backfire.

Tips for Leveraging Digital Coupons: So, how can you make the most of digital coupons and offers? We can look to the Forrester study for clues. A few top tips include:

• Streamlined Redemption – Don’t stop with creating digital coupons; make sure they can be redeemed effortlessly online and in store. Train employees to ensure they know how to apply the relevant discounts at checkout. Try to avoid requiring customers to hand over their devices to redeem their coupons.
• In-Store Pickup – Offering in-store pickup is a crucial part of a successful omni-channel marketing strategy, and mobile coupons should be effortlessly folded into the process as well. Allow customers to redeem their digital offers online or when picking up their items for best results.
• Inventory Availability – Your digital coupons won’t go the distance for you if people find what they need online, are told it’s available locally and are then unable to pick them up. Make your inventory accurate and transparent. In the store, allow customers to use their mobile devices to find out-of-stock items online through your e-commerce site.
• Location-Aware Technologies – Get on board with beacon technology to have digital offers pop up on customers’ smartphone screens upon entering your store.
• Coupon Apps and Sites – In addition to your own mobile coupon marketing efforts, sign up with popular coupon apps and websites to further market your digital offers.

Conclusion: If digital coupons and offers are just an afterthought for you, you’re missing out on many exciting opportunities. There’s no doubt about it: Digital offers are here to stay, and they’re a powerful addition to any successful retail marketing strategy.

Originally posted on Business2Community.com.