Are Mobile Coupons The Answer To Higher Redemption Rates?

0aaaDan Slavin CodeBroker

As some frustrated marketers continue to see their traditional paper coupon redemption rates drop, others are discovering viable and successful alternatives. While some marketers continue to wrestle with low direct mail response and struggle with finding ways to deliver actionable incentives, others are finding the answer. More marketing research is mounting, indicating the solution is in mobile coupons.

A Valassis coupon intelligence report indicates that 70% of shoppers are influenced by discounts and 80% admit to making a purchase for a product they would not have otherwise made due to a coupon. It is also interesting to note that 40% of coupon users say coupons have prompted them into an online search of a product or service.

The data mirror some of the findings made by CodeBroker’s 2018 Mobile Coupon Survey. The survey polled 1,204 U.S. consumers and concluded that mobile coupons now approach the 50/50 tipping point with traditional printed coupons, a trend that shows no sign of slowing. But beyond demonstrating the growing influence of digital coupons, the survey also points to insights on how to reach consumers with these digital offers.


Mobile coupons delivered via text message, for example, drive higher levels of purchases along with a sense of urgency. The survey indicated that not only do 25% of people redeem texted coupons within three days, 60% redeem them within a week.

The research shows that “welcome” coupons and offers can also be a productive way to use mobile coupons. Of those responding, 68% said they would be more likely to join a retailer’s marketing list if they receive an instant coupon. That means not only can an initial offer help build a marketing list, it is an efficient way to engage consumers for the first time. Of course, that initial engagement can easily lead to a variety of ways to gather valuable marketing data.

Perhaps one of the more intriguing pieces of information from the CodeBroker survey is the power of on-demand, single-use mobile coupons. On-demand coupons delivered via text are showing the strength to drive purchases, with 78% saying that they are likely or very likely to redeem a coupon that they request in response to an advertisement. Another finding is that consumers prefer to redeem single-use coupons that offer a higher discount when compared to multiple-use coupons that offer lower value discounts.

Of course, relevancy is also key. Knowing your prospects and customers and staying relevant to their ongoing needs is critical. Thankfully, with available data supplied by prospects, clients and customer relationship management (CRM), this is easier to accomplish than ever. Digital coupons can “magically” appear for use just when those on your list may be desiring them most.

More than ever, consumers and especially Millennials are used to getting what they want when they want it. When it comes to couponing, on-demand coupons delivered by text is the optimal way to meet those expectations. Delivering coupons through mobile devices that Millennials clutch like a lifeline ensures that coupons are received when and where they are desired, and are easy to redeem.

Survey Details

Of the 1,204 participants in the CodeBroker survey, 55% were female and 45% were male. There were 27% who stated their income level was $25,000 or less, 25% said they earned between $25,000 and $50,000 annually, 18% fell between $50,000 and $75,000 and 12% noted income levels of $75,000-$100,000. The remaining 18% stated their income level was at $100,000+. Respondents were also demographically diverse, with 28% 18-29 years of age, 36% from 30-44, 22% ranging from 45-60 and the remaining 14% over 60 years of age.


Dan Slavin is CEO and co-founder of CodeBroker, a provider of mobile marketing solutions. He was CEO of Framework Technologies, VP of Open Market, and CEO of International Testing Services. He earned a BS in Electrical Engineering from Yale and an MBA from Harvard. You can reach him at

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