The popularity of coupons is probably one of the few things that is growing as fast as Indian startups. Anyone who does not use Foodpanda coupons while ordering your food is missing out. The Indian e-commerce/m-commerce scene has finally started picking up steam with investments flowing in billions of dollars and new players emerging consistently from nowhere. Although, the industry has taken its time to take off, it has done that in an unprecedented manner. There has been tremendous growth in the recent years and even higher growth is expected in the future with more people embracing online trade each day.
Although there are a variety of factors that can be attributed to have caused such drastic change so quickly in the Indian purchasing behavior including growing internet and smartphone penetration, a large factor remains the deep discounts and incentives that websites have been offering.
The greatest challenge for ecommerce sites, however, remains getting the millions of potential customers to make their first online purchase and get the ball rolling. Many big players like Flipkart and Snapdeal have relied aggressively on TV, newspaper and billboard advertising. However, others like Myntra and Jabong had, in their initial years, depended heavily on coupons to lure new customers to make purchases. At the same time they were having their website promoted through word of mouth and coupon-sharing from customers.
There are companies that still do not use coupons and they just might be losing quite a lot of business. This is because coupons are a tried and tested way of genuinely attracting new customers. The rapid growth of coupon and deal sites like GrabOn should be a signal. Their success however shouldn’t come as a surprise considering the generally price-sensitive purchasing behavior of the average Indian consumer.
The USP of coupons remains their ability to give the customer a unique feeling of satisfaction of having saved ‘extra’. This isn’t the case without coupons even if the price is the lowest available online. Companies have also been known to have successfully used coupons as a means to encourage customers to use online payment methods or purchasing more by restricting the coupons to specific payment options or minimum amount.
The coupon sharing websites are growing and companies that do not feature on these pages are definitely missing out. If you haven’t already, try ordering a pizza with coupons for Dominos by GrabOn.
Karthik Kumar Sunder
Karthik works as a content writer at GrabOn but also guest writes on blogs from time to time. He likes to write about travel, music, technology and startups.