Online shopping is the most accessible and popular it has ever been. People do it practically anytime, anywhere—on their commutes, during lunch, while waiting for coffee, and late into the night. When browsing through new products, whatever the category may be because they are all available online, has become so easy, abandoning the purchase halfway through can be just as quick and painless. How then do online retailers ensure that their shoppers actually check out in what has become an increasingly competitive and saturated market?
Coupons and promo codes have long been online retailers’ incentives of choice to prompt shoppers to add more items to their shopping carts and get them to check out. As a trusted partner of online retailers (including brands with an online shop and e-commerce businesses), Appier has been equipping AiDeal, our conversion optimization cloud, with innovative features to help online retailers overcome their many challenges.
We are proud to spotlight our latest feature—the “Dynamic Coupon”—in this blog post because when your customers have grown so much and have such diverse interests and behaviors, your coupons need to be more dynamic.
What is Appier’s dynamic coupon?
The dynamic coupon feature is a mechanism by which our clients can use AiDeal to distribute different coupons to different types of hesitant shoppers. It allows brands to set multiple coupons that may differ in the gift received or the discount provided and target shoppers that may be hesitating for different reasons.
What has set AiDeal apart from a typical coupon distribution tool since its launch is the AI component used to identify and only target hesitant shoppers. AiDeal allows marketers to target shoppers who need an extra push to make a purchase based on the 400+ behavioral data attributes the solution collects about each browser, so that there is no coupon wasted on shoppers who will definitely buy or definitely not buy regardless of incentives. Without giving out these unnecessary coupons, companies can optimize their profits by reducing unnecessary costs.
Doubling down on this AI aspect, the dynamic coupon uses said data attributes (e.g., what content has been browsed) to figure out which coupon will be most effective for any given hesitant shopper and delivers it at the most opportune time to facilitate checking out. With the new feature, Appier’s clients can even more precisely target their hesitant shoppers and see tangible results.
The key benefits of the dynamic coupon
To illustrate the benefits of the dynamic coupon, let’s use the example of the fictional e-commerce site Appier Shop, a horizontal e-commerce website that sells just about anything and everything you can think of. Because of its vast product offerings, this e-commerce powerhouse has a sizable number of visitors each day from different demographics.
Suppose Appier Shop has three distinct gifts (i.e., a skincare sample, an electronic toy, and a new snack) it would like to use as incentives to urge shoppers to purchase. It can leverage AiDeal to figure out which gift will work best for which shopper at which moment, segment them accordingly, and use the dynamic coupon to deliver the appropriate message. By being able to select multiple gifts and present the right one depending on the individual, the online retailer can convert more hesitant browsers into shoppers.
Similarly, the dynamic coupon allows Appier Shop to set varying discounts for different minimum purchase values. Thus, for any online retailer with products that range from low price points to high price points, this feature allows the brand to capture more shoppers with different budgets.
What it comes down to is the bottom line: AiDeal’s dynamic coupon can reach or even surpass the same revenue goals while saving on the coupon budget. By leveraging multiple coupons, brands can find the right combination of incentive types and volume that work to optimize their business.
An approach that changes with the times
It is no secret that consumption levels rise and fall depending on trends, the economy, and so many other factors. Likewise, the performance of incentives fluctuates over time. While one coupon may be effective this month, it may have no effect the next. This is precisely why dynamic coupons help businesses, because they protect against such fluctuations and the wasted cost that an ineffective coupon would represent.
As clients continue to use AiDeal, the solution collects more insights about shoppers and the incentives that worked on them. So, not only does AiDeal help increase profits in the short run but it also sets businesses up with insights for strategic planning in the long run.
Intrigued by AiDeal and its latest feature? Reach out to us now to learn more.