Thanks to coupon codes, saving money in the world of online shopping has never been simpler. These tiny coupons are a vital tool for witty shoppers because they allow you to access exclusive discounts on your purchases.

Regardless of the term used to describe it—promotion, discount, or offer—this little box offers a fantastic chance to save even more money. According to a survey, 97% of the respondents agree they seek coupons while shopping and 92% confirm they are looking for coupons regularly.

However, it can be intimidating to navigate the vast ocean of coupon information. Worry not! With the help of this article, you will go from being a novice to an expert and maximize all of your coupon opportunities.

What are Coupon Codes?

A coupon code is a special combination of letters and numbers that customers enter during the checkout process on an online store to receive a discount on a specific product the coupon is valid for, or other benefits, like free shipping or bonus items.

Though coupon is often used interchangeably with terms like promo code or voucher, each has different meanings, as explained in our previous article.

The coupon code gives brands/companies a way to draw in clients and encourage purchases as it is available in a variety of formats, including paper, digital, or both. In 2023, 92% of shoppers in the United States were using coupons. Additionally, 82 percent of shoppers reported using physical coupons occasionally, while 79 percent were using online coupons that year.

Retailers who don't offer digital coupons run a higher risk of losing customers as most of the shoppers prefer to choose digital options.

In general, coupons are a versatile marketing tool that is used to promote purchases and foster customer loyalty at different points in the brand-customer journey.

Different Types of Coupon Codes & their Benefits

Do you know that a quarter of millennials spend more than 4 hours a week looking for deals and different types of coupons? If you are also one of those, then here is the list of several kinds of coupon codes that you must be aware of! Have a look;

1. Percentage-based discounts: Give clients a set percentage off the entire purchase price, enabling them to make substantial savings.
2. Free shipping: Reduce a common barrier to purchase by providing customers with free shipping on their orders.
3. Buy one, get one free (BOGO): Give customers a bonus product when they buy a particular item, adding value.
4. Clearance Discounts: Offer discounts on clearance items to help businesses get rid of extra inventory while giving customers a better deal.
5. Loyalty Discounts: Give clients discounts or exclusive offers in exchange for their business, which will motivate them to make more purchases.
6. Referral discounts: Provide discounts to clients who successfully recommend new clients to encourage customer referrals.
7. Abandoned Cart Coupons: Provide discounts on products that customers have left in their online shopping cart to entice them to finish their purchases.
8. First-time customer discount: To draw in new clients, give them a discount on their initial purchase to encourage them to give the company a try.
9. Exit-intent Discounts: Discounts for customers who are about to leave a website without making a purchase: Draw in customers with discounts or exclusive offers.
10. Holiday and seasonal discounts: To increase sales and engage customers during festive periods, present exclusive offers during holidays and seasons, such as Christmas or Halloween.

Where Can You Find Coupon Codes?

There are several options to consider when looking for savings while making purchases online. In addition to obtaining coupon codes directly from retailers via emails, messages, or their websites, you can take advantage of coupon websites such as RetailMeNot, Coupons.com, and Coupon Cabin.

During the August 2016 survey, 75 percent of respondents stated that they were aware of groupon.com. Coupons.com was ranked second with a 64 percent awareness rate and retailmenot.com was in third place with 62 percent of respondents stating that they knew the platform.

These websites compile thousands of active discount codes from retailers all over the world, providing a handy one-stop shop for financial savings.

How Coupon Code Works?

Now, the question is; how coupon code works? Well, here is the scoop: Websites create unique codes that offer discounts or free shipping when you shop online. It is comparable to obtaining a hidden pass to access savings!

The magic happens when you use one of these codes at checkout; the price drops in front of your eyes. It helps you save a little money on your purchases, almost like a little gift from the shop you are buying from.

To help you understand more, a coupon code can be super random at times like “FT50VTU” while "SAVE80" is an example of a code that probably indicates saving $80 on a purchase.

Though, “BEST” or “SAVE” are the most popular codes to attract new customers, “WELCOME” makes up 54.6% of the codes volume among the top 10 codes.

How to Apply Coupon Code?

Applying a code is fairly simple once you have obtained it from a reliable source!

Typically, all you have to do is enter it manually or copy it and paste it into a designated "coupon code" box when checking out. Then, click the button to apply it.

This box can occasionally be found directly in your shopping cart, but other times you might have to wait until later in the checkout process. Please make sure the code is entered before clicking the "place order" button to avoid losing your savings!

Pros and Cons of Using Coupons

Pros

• Cost savings on Purchases: The primary benefit of couponing is the chance to reduce the cost of your purchases. One-in-four (28 percent) of affluent coupon users have increased their use of coupons and their resulting savings in the past year.
• Options for Bulk Purchasing: With coupons, you can purchase goods in large quantities at a reduced cost, making it possible to stock up on necessities that will last.
• Intentional Shopping: By forcing you to arrange your purchases to optimize savings, coupons promote intentional shopping. This makes it easier to stick to a budget and avoid impulsive purchases.
• Discounts on new products: Access to new items and that too with reduced prices is frequently available through coupon sources. 4 in 5 consumers feel encouraged to make a first-time purchase with a brand that is new to them if they find an offer. Thus, coupons provide you early access at reduced costs and the chance to try out new things without going over budget.
• Possibility of Donation: Some couponers donate extra goods they've saved by using their coupons to charitable organizations like food banks or shelters.

Cons

• Not Always the Ideal Deal: As much as 80% of shoppers are willing to “go out of their way” to find the best deal, 40% of them feel “smart” when they find the best offers, but it’s not always the case every time! Even with the savings, using coupons doesn't ensure you're getting the best deal. When using coupons for name-brand products, the price tag may still be higher than when buying store brands, which could result in lost savings opportunities.
• Storage Issues: Using coupons frequently results in gathering a lot of deeply discounted offers, which can cause storage issues. If goods expire before being used, stockpiling could result in waste as storage space is needed.
• Difficulties in Reselling: Trying to resell extra goods that you've saved by using coupons comes with a unique set of difficulties. Certain coupons forbid resale, and handling the tax and legal ramifications can be difficult.

5 Common Mistakes to Avoid While Using Coupon Codes

If you want to purchase online while staying within your budget, coupons are the best! But there are some common pitfalls to watch out for. Making the most of your discounts can be ensured by following a few easy steps, like reading the fine print and verifying expiration dates.

Now let's explore some most common mistakes to maximize your savings while avoiding coupon blunders.

1. Examine the Expiration Date:

Before using a coupon, make sure to always check the date of expiration. It's like attempting to use yesterday's milk with an expired coupon; it won't work and you won't receive the savings.

2. Check the fine print:

Examine the terms and conditions for a moment. 29% of users have bought something non-refundable due to needing to read coupon details. And, this is why you must know exactly what you're getting into! Certain coupons may have unnoticed conditions or restrictions that might catch you off guard.

3. Don’t Stick to Single Coupon:

Use more than one coupon at a time. To increase your potential savings, keep an eye out for additional coupons.

4. Stick to Reputable Sources:

When looking for coupons, stay with reputable and well-known websites like groupcon.com. Steer clear of dubious websites that may offer counterfeit or expired coupons.

5. Monitor Your Savings:

Online coupon users spend 24% more than regular shoppers and for this reason, you need to keep track of your savings. Finding out how much you save and where you save the most is crucial. In this manner, you can modify your couponing approach by utilizing them in the best possible way.

Understanding Coupon Code Disclaimers

Coupon disclaimers are similar to the fine print that provides instructions on how to utilize a coupon. They provide crucial information so you are aware of what to anticipate when using a coupon.

For Example:

If you have a coupon for coffee and doughnuts, the disclaimer may specify the number of uses permitted, whether the coupon can be combined with other offers, the location of use, the expiration date, and the requirement that you present the coupon at the time of use.

Another illustration would be a pizza coupon that states it can only be used for takeaway or dining in and that it must be presented at the time of payment. You won't be caught off guard when using the coupon thanks to these disclaimers.

How to stack coupon codes for maximum savings?

Believe us, the best way to save big on your next online shopping is to stack coupon codes to maximize savings. 82% of shoppers surveyed said they redeem a digital coupon within a week or less of being clipped and 30 percent say they redeem the coupon in less than 24 hours.

Here are some tips and tricks to help you do that:

• Recognize Store Policies: Before trying to combine coupon codes, make sure stacking is allowed by checking the store's coupon policy.
• Locate Complementary Codes: Search for promo codes that work well together, such as store-wide sales combined with discounts on particular products.
• Apply in the Correct Order: If stacking is permitted, apply the codes in the appropriate order. Generally, store-wide discounts are applied first, then product-specific ones.
• Boost Savings with Cashback Offers: To increase your savings, combine cashback offers and coupon codes. Examine cashback offers from reliable websites to get the most savings.
• Keep an Eye Out for Exclusions: Coupon codes may have restrictions on particular brands or products. Be mindful of these exclusions. To prevent surprises, go over the terms and conditions in advance.
• Compare Prices: Make sure you're getting the best deal by comparing prices from several retailers before completing your purchase. Don't forget to account for any available coupons or other discounts.

Conclusion

Considering the current online shopping advancement, coupons are a priceless tool for consumers on a tight budget. They maximize savings and purchasing power by gaining access to special offers.