Coupon Platform Software that Delivers Single-Use Coupons Significantly Reduces Fraud
Written by: Dan Slavin
Consumers have shown that they respond to mobile coupon marketing programs and promotion text messages that deliver SMS coupons. And, with that,
they have become masters of their universe. And retailers’ continue to feed the coupon addiction
by employing coupon platform software to deliver mobile coupon marketing programs with single-use
coupons to lure consumers to their doors – both brick & mortar as well as online –
through the heavy use of discounts. And it is working. According to Deloitte, 73% of purchases are
influenced by coupons and promotions.
How does a retailer manage offer liability when there are so many places to find coupons (FSI,
in-store, direct mail, coupon websites, general website searches, email, retailer app, etc.)?
Add mobile coupon marketing to the mix and cashiers can be overwhelmed when presented with a slew
of coupons at the time of checkout. However, what many people do not know is that, if implemented
correctly, coupon platform software and mobile coupon marketing can actually significantly reduce
coupon liability. There are two important parts in managing coupon liability: issuance and
clearing. The following is a brief overview of key considerations.
To fully understand the intricacies of managing mobile coupon marketing programs in a
multi-channel world, consider the following example. A customer subscribes to a retailer’s loyalty
program. The retailer recently alerted the customer that a mobile coupon is available in the
retailer’s app. In addition, the customer goes online, logs in using their email address and
subsequently prints an offer. And, the same customer responds to the retailer’s call to action to
receive a coupon for the same item based on a keyword. At this point, the customer has three
coupons for the same product on their mobile device. From a retailers perspective this could be
fine if the offer is $0.50 off a $20 item. However, it may not be fine if the offer is 50% off a
$20 item.
With respect to issuance, the first step is to make sure the customer receives the identical
mobile coupon in all of the channels they elect to view it, not three versions of a similar coupon
as cited in the above example. In other words, the coupon pushed to the retailer’s app on the
customer’s mobile device should have the same coupon code as the coupons the customer downloaded
to their email and pulled based on the call-to-action – a single use coupon. This is easier said
than done as a link needs to exist between all of the different channels a consumer accesses a
coupon and the consumer’s mobile device. This is where the coupon platform software that employs
single-use coupons comes in. When implemented correctly, regardless of the number of times a
consumer accesses the offer, it will always be the same coupon code. In addition, because the
coupons platform software creates a link between the coupon and customer’s mobile device, the
ability to track mobile coupon usage is available to the retailer.
Unlike traditional methods for clearing paper coupons, clearing mobile coupons can be done
instantaneously with the right coupon platform software. This provides a HUGE advantage in
managing coupon liability. To create an even better customer experience using mobile
coupons, the retailer can use the coupon platform software to ensure that the mobile
coupon is marked as redeemed in all channels. Mark as redeemed eliminates any confusion on the
customer’s part as to which coupons are valid versus expired.
Retailers are increasingly employing coupon software to deliver mobile coupon marketing programs
– and consumers are responding. By having the ability to control the issuance of coupons, track
coupon usage and clear coupons instantaneously in all channels through the delivery of single
use coupons, provides integrity to the coupon life cycle. This integrity ensures retailer’s
ability to minimize liability. It also produces a richer customer experience.