Are there any aeropostale coupon codes?

Do retailers lose money on in store coupon and coupon codes?

  • I'm trying to figure out if retailers have any benefit in offering in store coupons and coupon codes? Promo Codes: When purchasing something online; majority of people see the promo code box and immediately run to a search engine and look for a code. They(customers) will usually end up on FatWallet, RetailMeNot or some other similar website. They enter the coupon, receive the discount and checkout.  The coupon website benefits from the commission and the customer benefits from the discount. The store have to pay for the discount and pay commission to the coupon site, how does this benefit the retailers? In-Store Coupons: Manufacturer coupons I can understand because they receive the face value of the coupon plus an additional 4 to 8 cents for each coupon. But the in-store coupons is another story.They offer in-store coupon either in a $ amount or % amount off an item or purchase.

  • Answer:

    The knee jerk, intuitive, immediate answer to this is no they don't lose money. They got you to come in and buy stuff from them which presumably they made a profit on. Plus, by giving you a perhaps unexpected discount, they also gave you good feelings that you associate with the store. Pleasant feelings and memories about the place are an encouragement to revisit and spend even more money while you are there. With promo codes, you still buy the item from the retailer so while they may not make the full margin on the product they do still make some profit from your purchase. The really sharp ones will capture your purchase data linked to a loyalty program. They can then aggregate, slice, dice, repackage, repurpose, and profit from that data in a number of different ways that the consumer never sees. So again they win. For additional ways that the store could be making money behind the scenes, just ask and/or check out my book "Profit the ExpandoVision Way" which you can download for free at http://ExpandoVision.com. The same goes for in-store coupons. All the stuff mentioned above applies, plus if you know ahead of check out that you will be getting a discount you may decide to grab some other impulse purchases that you wouldn't have made without them. If you do, the store makes additional profits on those purchases, sometimes more than enough to offset the discount they gave you. The longer term answer is that it depends, and each store should test each promotion to see how profitable they are and what to tweak to make them even more profitable. The store may lose money on an individual item or transaction, but make money on all the extras. Again they'll find out how effective this is by analyzing their test results. Also, whether customers use the in-store coupon or not, they usually will still feel better about a company that offers them, and that good feeling may result in more purchases of things that aren't covered by the coupon.

Donald Kubelka at Quora Visit the source

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