What is a Promo Code? - 5 Uses for Promo Codes

What is a promo code?

Woman holding 20% off sign.

A Promo Code is a specific alphanumeric code.

Coupon with a promo code

Customers can enter this code during checkout when purchasing online or sometimes in physical stores.

Businesses typically provide these codes as part of their marketing strategy to encourage customers to purchase or take advantage of special offers.

A Promo Code can offer various types of incentives, such as:

  1. Percentage Discounts: These reduce the total purchase amount by a certain percentage, like 10% off or 20% off.

  2. Fixed Amount Discounts: These subtract a specific dollar amount from the total purchase, such as $10 or $20 off.

  3. Free Shipping: This promo code eliminates shipping costs, making the purchase more attractive to customers.

  4. Buy-One-Get-One (BOGO) Deals: These promo codes allow customers to receive an additional item for free or at a discounted price when purchasing one item at a total price.

  5. Free Gifts: Some promo codes offer free items or samples with a purchase, adding extra value to the transaction.

Businesses use scratch cards to promote promo codes to stimulate sales, reward loyal customers, attract new customers, clear out inventory, promote seasonal items, or boost traffic to their online or physical stores.

Advertise promo codes through various channels, including email newsletters, social media platforms, affiliate websites, and printed advertisements.

Customers typically enter promo codes during the checkout process on a retailer’s website or mobile app. The discount or offer associated with the promo code is applied to the total purchase before the customer completes their transaction.

Overall, promo codes serve as a powerful tool in the marketing arsenal of businesses, offering benefits to both consumers and retailers alike.

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