Have you built a ‘Smart’ Coupon strategy for your business?
They are a great way to entice repeat purchases and build brand loyalty?
Most wineries are deploying coupons the same way they always have. What if there was a smarter way to increase youreCommercesales while building your database at the same time through referrals!
Today most consumers are aware that in most cases they do not have to pay full price for the products they purchase. They will scan the web looking for coupons - often from your competitors. If they are set on your product/s then they will check out your socials andwebsite, even add products into the shopping cart, then abandon it, and wait for an abandoned cart offer before they proceed. Let's face it - today everyone wants a deal!
So it is best to get on the front foot and build a proactive coupon strategy to drive re-engagement, repeat sales, and referrals.
Welcome to vinCreative’s Advanced Coupons
It’s not the tool, it's how you use it that matters! So to help you plan out your coupon strategy we have provided some examples and tips below. Hopefully, they will provide food for thought but we encourage you to build your own unique personalised campaigns that work for your audience.
8 Tips on how to use Advanced Coupons to increase DTC wine sales
1.Time-limited
'Buy a 12 pack of 2021 Shiraz before the 12/5 and save $50’
Using ‘FOMO’ (fear of missing out) is a proven method of increasing engagement and adding a deadline date will build urgency.
These types of campaigns are great for clearing wines that are hard to move and can also drive upsell campaigns, as you can add a minimum number of specific products that must be purchased for the coupon to be valid.
2. Countdown Promotion
‘Keep an eye on your inbox on the 4/9 as we will be sending you an exclusive offer that has never been provided before’
A Countdown promotion is similar to a Time-limited coupon but focuses on customers checking their inbox on a specific date. The use of countdown times is powerful if you push this message out several times. The actual offer should have a very limited timeframe so maybe ‘only available until Midnight tonight’. This drives your audience into a purchasing timeslot which is perfect for cash flow and sales forecasting.
3. Abandoned Checkout
‘Did you forget something? We noticed you still have items in your cart. We don't want you to miss out as we empty abandoned carts after 48 hours to free up the stock. So here's a further $20 off your total cart so our beautiful wines taste even better.
Many customers abandon their cart and wait and see if they get an offer. Depending on your target market you may want to entice them with a discount or just send a reminder without an offer.
Timing is critical when sending abandoned checkout offers as they shouldn’t be sent too quickly and you can’t leave it for days either. Balancing the timing and the amount you are prepared to give away is a matter of testing your client base to see what works best for you. We can then set an automated message to be sent after a set period of time. Our White paper 'How to Drive Digital Commerce growth for wineries' focuses on reducing cart abandonment and increasing eCommerce sales,download it here.
4. Double up the offer
Buy a 6 pack of our Rose and save $40 plus we will throw in FREE shipping.
Free shipping is almost a given these days so doubling up an offer makes perfect sense. This strategy removes friction at the point of the offer as customers are not left wondering if additional charges will be added at the checkout!
5. Rarity
First, come best dressed. We have only 50 cases of our Single Vineyard Riesling left, and at just $120 a case you're saving over 40% so get in quick!
This offer is a little like the Time-limited one above but focuses on a specific SKU and offers a deep discount off the RRP which is great for clearing out wine that is proving hard to shift.
You can use this strategy to move stock fast, but a discount will not always be required.
Only 20 cases of our ‘Award Winning’ Single Vineyard Riesling is left, and at just $180 a case you will need to get in quick!
This offer is a little like the one above but focuses on Wine Quality so discounts are not required.
6. Upsell/bundling
Buy 6 of the xxx range and then add another 6 from the xx range and we will give you $50 off your order and a $20 voucher off your next purchase.
Bundling not only increases the basket size per sale but offering a follow-up coupon drives them back to buy again, especially if you time-limit the voucher. You could also bundle up other products that match what wine they purchase so maybe ‘add 6 of our xxx range and our branded wine glasses and save $50’ for example. The follow-up coupon is best sent with the customer's order as it gets a better uptake and can be promoted to be shared with friends too.
7. Referral
Love our wines, we know you do, so here’s a gift that keeps on giving! Enjoy $20 off your next purchase within a set timeframe. Oh, by the way, share it with your friends as we are sure you won’t want them to miss out!
This offer is perfect to drive sales and makes your customers feel good as they give their friends a ‘cash’ discount for buying from you too. Everyone wins and your customers are now helping you to grow your database so a win-win right?
8. Freebies
Save big on our limited stock museum wines, buy any 12 and save $120 plus we will throw in a FREE magnum of our 2018 award-winning Cabernet.’ Get in quick as this offer is only valid for the first 20 purchasers!
Who doesn’t love a freebie, especially a large format, sure the cost of shipping increases but if you tie the $ value into the offer you can recover the cost quite easily so give it a try.
There are plenty more ways to use Coupons to increase your sales but keep in mind you are also building your database and re-engaging customers with your brand, and that is the key to growing your business.Â
So here are a few more to ponder:
- Social channel-specific campaigns - grow your social channels by offering coupons that people can share with their friends.
- If you have social influencers then provide them with coupons that are exclusive to them in return for them promoting you and track those sales to see how influential they actually are.
- Maximise Club Member revenue. It is well known that club members spend more, and more often than non-members as they are brand converts. So, incentivise them to spend more by providing them with well-timed coupons, in between their club processing dates is best, and always push the ‘refer a friend option’ of sharing the coupon.Â
- Merchandise is cheap but is a highly regarded member benefit. So, send a coupon to members allowing them to get a FREE hat or shirt. These are your brand warriors and will proudly wear your merchandise and will be sure to promote yourWine Clubto their friends when they do!Â
SmartFlows
An extension of your coupon strategy is to build Smart Workflows to increase profitability and engagement. Sephora is on the right path with their campaign below - but is missing a key element of Sales 101. That is to do whatever you can to acquire the first purchase, and then drive repeat sales!
You want to encourage the subscriber who has not purchased (red) to buy now by offering an amazing offer!Â
The first-time buyer (blue) has already engaged with the brand so it's time to drive repeat sales but this should be timed better. When would they have used their initial product purchase? Send an email - did you love the XYZ Product? Here is a thank you for your support, use this 10% OFF coupon in the next 30 days.
Summary
Keep in mind, that coupon marketing strategies always work best when delivered in combination with other tactics.Â
Don’t rely on discount coupons alone to grow your business as this often leads to the opposite effect because your customers see you as a Discount Brand and the value in your product is lost, forever!
Get to know who your ideal customer is and then aim to meet their expectations. From there, you can build a coupon marketing strategy that gets noticed, and converts more customers but does not impact your Brand Equity.
