Types of Offers Available in the Online Markets
According to an online survey, Cashkaro Online Shopping Trends, published in 2013, more than 60% of online shoppers in India use discount coupons and cashbacks. In the same survey, it was revealed that 27% of people preferred cashbacks and other deals as the reason for shopping online. Lower prices came in second place with 25% respondents. Results also revealed that 95% of online shoppers were attracted to the concept of cashback, even a cashback on mobile recharge.
Electronics and fashion occupied the top two spots in the hottest categories that people shop for, at 23% and 21%, respectively. Although a service, mobile recharge occupied the third spot at 20%, showing the reach and importance of the mobile phone yet again.
Since the maximum number of people preferred discounts and offers as the reason to shop online, let’s take a look at the various type of offers that retailers come up with to attract customers.
1Percentage Based Offers
This is the most popular scheme that companies come up with to increase their sales. Various discounts are offered as a percentage off the retail price of products, letting the customer also feel that they are getting the most value for money. Cashback offers are also a part of the percentage based offer system. In such offers, a percentage of the total amount spend on a particular product or service is returned to the customer within a limited timeframe. For example, digibank is offering cashback on mobile recharge, which is a type of percentage based offer.
Shipping various products to your preferred location entails shipping charges. Most e-commerce retailers offer discounts on them. They even offer services like free shipping, provided you fulfill the condition of shopping for a particular amount. Once your order cross that minimum level, the retailer will ship the items free of cost to your doorstep.
3Free Gift Offers
Free is a word that will attract many customers. It makes the customers feel that they are getting added value for their money. It can also help to club various products together and thereby increase the order size. It is also a great way to promote products with lesser mobility in the store.
These offers are used strategically to increase the sales of products by retailers, which turns out to be beneficial for both the customer and the retailer. Also, rewarding the customers builds a strong customer base and stronger bonds of customer loyalty.