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BizReport : Ecommerce : August 30, 2021

Report: Discounts boosting loyalty for some brands

The steady increase in online shopping has been a boon for many merchants and brands who otherwise have struggled with shuttered stores and limited hours of operation. One of the more positive changes? According to one new report, the rise of online shopping has also pushed the rise of digital couponing and discount hunting which is in turn boosting customer loyalty.

by Kristina Knight

Building customer loyalty has been a struggle for merchants and retailers for decades, and while offering constant discounts and sales is not a long-term growth strategy, there may be something to stay about the power of discounts to today's savvy consumer. According to new data out from CouponFollow about 73% of shoppers say receiving discounts from merchants boosts their loyalty to that brand. Whats more, about two-thirds (66%) say the use of promo codes is how they find new brands and they're more likely to visit a physical store if they have a coupon to use.

Of biggest interest to discount-minded shoppers are dollars or percentage off (44%) offers, but also important to shoppers' buying habits are free shipping (30%).

This renewed interest in coupons and discounts is likely linked to the pandemic, which many consumers wanting their dollars to stretch further because of economic stressors. Most (66%) of those surveyed said they are more price-conscious now that before the pandemic began, and that over the past 12 months their price-sensitivity has increased.

Other interesting findings from the report include:

• Clothing (59%), Takeout Food (42%), and Beauty/Self-Care (37%) items top Americans' discounts-wanted list
• 96% say they search for promo/discount codes prior to shopping and most spend at least 5 minutes looking for the code before going further
• 73% say receiving coupons from a brand makes them more loyal to that brand

More data from CouponFollow's survey can be accessed here.

Tags: coupon trends, CouponFollow, ecommerce, ecommerce coupon trends, ecommerce promo codes, ecommerce trends, M:Commerce, mobile commerce

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