What is Voucher?
Vouchers are gift cards or discount coupons that an e-commerce firm gives to its loyal customers. Customers can use these vouchers to earn a discount on their next purchase or to receive free goods or services. Vouchers can be sent as a digital code by SMS or e-mail to be used to make a new transaction.
Significance of Vouchers in E-commerce Logistics
Voucher marketing is a prominent marketing strategy implemented by the majority of e-commerce businesses to acquire new and recurring customers. Here are some more advantages of a voucher to consider:
- Reduced advertising costs: Due to their greater effectiveness in ad cost reduction, vouchers attract more attention than any other sort of advertisement.
- Boost the number of visitors to your online store: The majority of customers try to evaluate the impact of the voucher by going to the e-commerce website, which increases website traffic.
- Increased brand loyalty: Not only can voucher and discount coupons bring in a regular flow of new buyers. They provide a dual purpose by encouraging repeat business from existing customers.
Pre-requisites of Voucher and How It Works
E-commerce offers customers vouchers, which they can use on the product checkout page to get a discounted price. Vouchers also work as a payment method for certain product purchases. The following are some prerequisites for a voucher:
- Existing customers: E-commerce platforms only offer vouchers to existing customers via SMS or e-mail.
- Minimum amount: Most vouchers have a minimum amount purchase requirement to be availed.
- Online payment: Vouchers on the website must be redeemed using an online payment method.
Use Case With Voucher
Most e-commerce companies effortlessly attract their first consumer with a voucher. Let’s think of an e-commerce site that wants to bring in more new customers. The likelihood that a new customer will make a second purchase increases when you offer a discount voucher for their initial transaction. Later, these customers can continue to be loyal to the brand with hassle-free service.