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It even motivates shoppers to take an action just to qualify for free shipping. The same principle of urgency applies, however, the effectiveness now becomes relative because of the customer’s perception.įree shipping is the number one option why shoppers checkout online. “Apply 5% Discount For Your Order at Vascarabag”. If shoppers won’t purchase the item now at a discounted price, chances are they’ll miss out saving money when they purchase at a later time.Ī percentage-based incentive works the same as a cash discount/coupon, except that you are offering the incentive with a percentage reduction of the item’s value, e.g. A price-off incentive can appear as a direct cash discount or with the use of a coupon code.Į-commerce stores often use cash discounts to take advantage of the principle of urgency, as these cash discounts are most of the time only available for a limited time. Here are the most commonly used types by popular online stores:Ī direct price-off incentive that an eCommerce store offers to a shopper in return for a purchase made, e.g. Now, we’ll look at some of the most popular ways you can use discounts to drive customer loyalty and conversions and, of course, how to most effectively use them. As a general rule, most customers are attracted to buy a product if they see more value in it. In fact, 96% of consumers use coupons and 92% of consumers always look for a deal when shopping. Whether you run a print-on-demand or dropshipping store, this is where presenting offers, discounts, and deals will help your store achieve your revenue goals. There’s a subtle art to make it appear that you’re offering a better price without sacrificing your bottom-line. Better pricing doesn’t always have to be dropping your prices instantly.