Sick of relying on coupons and discounts to sell? Learn 5 ways to incentivize customers without coupon codes and discounts in this webinar.

1. Incentivizing Customers
without Coupons
and Discounts
#AddShoppersLive

2. I. Intro
II. Strategies
III. Re-cap
IV. Live Q & A
Agenda

3. When does it
make sense to
coupon?
Liquidating inventory
To reach economies of scale
(e.g. to achieve shipping
discounts, supplier volume
discounts, etc.)
To grow new customer
acquisition
(requires you to have an
accurate metric for customer
LTV)
1
2
3

4. What happens
when you
discount
excessively?
Margin Erosion
Tarnished Brand Perception
Selling discounts instead of
value
1
2
3

5. Coupons by the numbers:
This doesn’t take into account
other costs like customer support,
warehousing, affiliates, etc.
Current Revenue $1,000
Margin 30%
Current Net $300
Revenue w/ Coupon $1,500
Coupon Value 10%
Margin 20%
Net w/ Coupon $300

6. The Right Way
To Discount
Keep it special & targeted
Don’t give coupons away for
free
Don’t show discount offers
to everyone
1
2
3

7. 5 Strategies
Chad Ledford
Chief Revenue Officer + Co-Founder

8. 1. Contests & Giveaways

9. Contests & Giveaways
Pros:
● Incentive is capped and limited
to 1-3 winners
● No risk of coupon leakage
● E-mail opt in rates 43% higher
● No damage to margins &
perceived value
Cons:
● Requires marketing
collaboration
● Requires administration /
customer support time
● Local rules and regulations
need to be considered

10. Email Capture Contest
Field Supply increased email captures by 42.9%

11. Share To Win
Hope’s boosted email captures by 51% & social sharing by 905%

12. Selfie Contest
Scrubs & Beyond Increased Brand Engagement

13. Name That Item
Hope’s captured 1,977% more emails

14. Win Your Wishlist
Silver Jeans boosted sharing by 4,650% & email captures by 224%

15. 2. Shipping Upgrades

16. Shipping Upgrades
Pros:
● No discounting of actual
products
● A proven conversion-booster
● Can be less costly than
couponing, depending on your
typical coupon amount.
Cons:
● Additional expense per order
● Can create conditioning to
expect free shipping

17. Free Shipping
An E-tailing Group study revealed that unconditional free shipping is the #1
criteria for making a purchase. 73% of customers consider it critical to
proceeding to checkout.

18. Expedited Shipping
B&N Membership includes Free Express Shipping

19. Members Only Shipping
Free Shipping for Staples rewards members

20. No Minimum
L.L. Bean Free Shipping - no end date

21. No Return Shipping Fee
81% of consumers are likely to abandon the cart if the return
policy is not lenient.

22. 3. Free Promotional Items

23. Free Promotional Items
Pros:
● No discounting of your standard
products
● Typically less expensive than
offering a coupon
● Can lead to incremental
purchases of the item given
away
Cons:
● Requires additional work from
your order fulfillment team
● Adds incremental cost per order

24. Free Gifts
Free 14 piece gift for orders over $19.50

25. Free Samples with Purchase
Great way to build awareness of new products

26. Free Gift Card
Great way to cross promote other products

27. Extended Warranty / Insurance
Additional value for customers

28. 4. VIP Status

29. VIP Status
Pros:
● Doesn’t incur any additional
costs
● Helps identify & segment your
best customers
Cons:
● Can be confusing to customers
- requires education
● Difficult to keep customers
engaged
● Difficult to make changes
without customer kick-back

30. First Access to New Products

31. Exclusive Offers for Members
Uber VIP - upgraded after 100 rides

32. Early Access to Sales
Presale tickets for top customers

33. Customer Spotlight Opportunities
Make customers feel famous

34. 5. Loyalty Points

35. Loyalty Points
Pros:
● Drives repeat purchases &
loyalty
● Loyalty program participants are
most likely to become brand
influencers
Cons:
● Difficult to change once loyalty
program is established…
*cough* Starbucks *cough* :)
● Requires integration & setup
● Can be difficult to sync across
offline and online shopping

36. Socially Sharing Products
Offer points for product shares

37. Leaving Reviews
Get 10 Birchbox Points for each sample review

38. Refer-a-Friend for Points
50,000 points for you - 10,000 points for your friend!

39. Points for Purchases
Earn 10 points for every dollar you spend

40. Creating an Account
Get double points when you join within a certain time period

41. I. Contests & Giveaways
II. Shipping Upgrades
III. Free Promotional Items
IV. VIP Status
V. Loyalty Points
Strategy Recap

42. Additional Questions? Follow Up:
To learn more about AddShoppers, check
out our trending resources:
addshoppers.com/trending-resources
To register for a Live Demo check out
our schedule:
addshoppers.com/live-demo/
We help the world’s top brands market to their influencers.
chad@addshoppers.com
@ChadLedford