Thursday, 21/11/2019 | 6:56 UTC+0

What is a promo code and what kinds exist?

Remember coupons? Those precious bits of paper usually stuffed into your mailbox or presented to you as a part of an ongoing deal on certain items? The coupon culture is actually still going strong, and brands like Blue Apron, Betminded, and others have decided to use the digital version of the promotion. Enter promo codes.

What Are Promo Codes?

Promotional codes, or coupon codes, are sets of alphanumeric symbols, usually referencing the person or company that brings the company in question an influx of new customers and they are designed to do two things: save the consumer some money and promote the business. For example, Gfuel is a company that makes energy drinks. Pewdiepie, the famous YouTuber, sometimes urges his fans to buy the drinks using his promo code – PEWDIEPIE. When people go online to purchase Gfuel, they are given a field in which they can enter the code, if they have it, in order to receive a discount on their purchase.

The bottom line is that promo codes work in the same manner as coupons, only online. So, if you are looking to save a few bucks on your online purchases, instead of just comparing process, you can also see whether any company you enjoy shopping with offers promo codes.

Who Uses This Strategy and Why?

Many online businesses that deal with providing the public with merchandise and/or service do this in order to promote themselves. Hence the name: promotional code. You will find that this marketing strategy is just as effective, if not more, as buying ads and ad spaces.

It is a great way to draw in new customers and increase your customer base. This is an online age, after all, so it is no wonder that this technology exists.

What Types of Codes Exist?

Depending on the availability, there are essentially three groups of promo codes. Public codes are, as the name implies, available to the general public. There is no secret way of obtaining them and their target comes in the form of new and potential customers. Private codes are there for the customers that have been loyal consumers of the company’s products and services. They are usually there when the company needs to maintain a good relationship with the customer base it already has, particularly in the event that a competing business offers a better deal. Finally, we have restricted codes, one-time offers for customers that are not happy with their purchase.

In terms of services these codes provide, we have a fixed price off, a certain percentage off, free shipping, and other deals. Obviously, you should stick to fixed price promo codes for smaller purchases and percentage codes for larger ones, but that is just a general rule and not without exceptions.

Where to Find Them

There are several places you can look for your very own coupon code. Sometimes, it is offered by the business itself. Other times, through an arrangement with a spokesperson, promo codes are promoted by public figures. However, there is also a third way.

We’ve compared promo codes to coupons at the beginning of this article. One of the reasons for doing this is that there are coupon books that you can use in certain stores. It goes beyond that, though, as there are coupon sites. That’s right, instead of trying aimlessly to find a way to save some money on a purchase without your code, there are websites whose aim is to provide the public on good deals on specific items and services. These sites act like your very own coupon book, except that they don’t really run out – there are new promotions everywhere on a daily basis.

 

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