6 reasons why you should always use unique coupon codes for your eCommerce business
Everyone loves a good discount. There’s something about getting a great bargain that drives shoppers into a buying frenzy. Especially during the gifting season. And as a smart e-commerce store-owner who certainly knows what they're doing, you’re probably leveraging that by offering a variety of coupons for new and existing customers alike.
However, it’s not just about churning out e-commerce store coupons every day. You should also pay attention to the kinds of coupon codes you’re offering.
Are they general coupon codes or unique coupon codes?
Your choice between the two can determine whether you end your discount coupon campaign in the red... or not.
But first, we’ll explain the difference between the two coupon options.
What's the difference between general and unique coupon codes?
Although they appear in many forms, most coupon codes generally fall into two broad categories:
1. General coupon codes
Here, every customer gets the same code, which usually comprises a generic word and some numbers. For instance, if you’re offering a 20% discount for every new shopper who joins your email list, you could send a generic coupon code like “Newbie20” once someone signs up for your emails.
This means that every new customer on your list gets the “Newbie20” coupon code with no variations.
General coupon codes are also known as master, generic or static codes.
2. Unique coupon codes
Like the name implies, each coupon code is different. Instead of a plain “Newbie20” discount code, you can decide to send a unique code to each customer. For instance, Shopper A gets “Newbie564” while Shopper B gets “Newbie326.”
Which coupon codes should you use for your store?
The two coupon code options both have their various advantages.
A general coupon code is easier to remember, and will save your customer time when they’re buying your product. However, unique coupon codes offer several advantages over general codes.
Some of these advantages are:
1. It’s easier to track
When every Tom, Dick, and Jane’s using your generic coupon codes, it's hard to keep track of all their purchases and activities.
What did they buy with the discount? What products were abandoned? What category did they like best?
These are details that can help you find out how well your campaign has performed, and help you know your customers better. But the sheer amount of often confusing data — relevant and irrelevant — can be frustrating. At best, you might get a general report about your campaign with no specific or helpful insights.
2. Prevents coupon fraud
Although it's commendable to believe that your customers are compassionate and honest, and that people aren't inherently shitty, you can't take such chances with discount codes.
Not everyone follows the sacred honor system, so it's best to be smart when generating coupon codes. Using a general coupon code comes with the risk of your code being shared outside your email list.
One minute you’re celebrating a successful campaign launch, the next you’re being ‘robbed’ of your profits because someone put up your code on their social media.
3. Unique codes = exclusivity
Everyone wants to feel special. Even your discount-loving customers. It’s not enough to just offer a general coupon code. There’s no sign that you recognize your customer’s individuality. There’s no push to use the discount, or to buy other products beside the discounted one.
However, a personalized coupon can turn your online window shopper into your most loyal customer. And it’s not just me saying this. 63% of US marketers believe that personalization can lead to increased conversion rates.
The numbers don’t lie!
4. It’s easier to customize.
This follows the personalization theme. With a unique discount code, you can tailor your email marketing to each customer’s needs and recommend new offers and discounts based on their previous interactions with the brand.
For instance, instead of sending out a generic discount on random goods to every shopper on your email list, you can offer personalized discounts on products that a client has looked over or added to their wishlist.
I know I'd be more interested in a unique discount for a pair of shoes I saved than a general one on, say… toilet paper.
5. You can limit unique coupon codes
With unique codes, you can target one section of shoppers and send discounts to them instead of giving the whole world a freebie. This way, you can win back lost customers and save money too.
To spice things up, you can make your discount a limited-time offer. This creates a sense of urgency and builds FOMO. Who wouldn’t want to be a part of an exclusive, time-sensitive deal?
6. It can help in lead generation
Since anyone can share your general coupon code with their friends and family, you end up losing money and getting no new email subscribers.
However, adding a pop-up prompt to your site urging visitors to sign-up for an exclusive coupon offer — and delivering on it — can provide you with a fresh batch of potential customers.
Note this, I'm not saying general coupon codes don't work. They do. But unique codes work even better! You can double your website traffic while maintaining a generous profit margin when you switch over to unique coupon codes.
And let's not forget about the peace of mind. Oh, the peace. No more constantly fearing that you'd see your general codes on some random Facebook page or Twitter feed or countless couponing sites.
The fun part is that you don't really need to buy any fancy software for your unique code generation, you can easily generate coupon codes on your desired e-commerce platform, be it Shopify or WooCommerce.
It sounds so simple. But there's a catch.
What use are coupon codes, general or unique, when no one knows about them or the wonderful discounts you're offering? How do you nudge your customers into making a purchase with their unique code? Don't let your emails go ignored. Let me help integrate your brilliant coupon strategy into your email marketing automation strategy.
Come on, let's get the word out!