Whilst some people live in a world where money is no object, for many of us, life can be extremely expensive. In spite of a rising cost of living, we continue to need things and often we are faced between buying the things that we need and things that we want. Fortunately for us retailers have picked up on the fact they can shift more of their wares with a few nice incentives, particularly by giving small discounts here and there. This is a win-win. It’s good for them because they bring in more money, and it’s good for us because, if used wisely, we can really stretch our budgets and live with choosing slightly less between what we want and what we need. Fortunately, many groups have picked up on the fact that they can make a decent little profit by bringing all these deals together in one place for us.
There are hundreds of discount aggregators (coupon collectors) globally. This is useful because whilst some are very good, others can be a bit shabby. Good aggregators offer a real variety of deals, so that whether you are looking for the basics, such as clothing and furniture or are looking to have a bit more fun with days out and musical equipment, you aren’t paying extra needlessly. An excellent feature of some of these sites, such as VoucherBin is that they allow you to select a budget, so you don’t end up forking out more than you can afford. However, the advantages that these provide aren’t just good for us, the consumers, they also help the retailers, and thus, the economy.
Businesses want to shift their wares. This is true whether or not they’re going to make the largest margin of profit conceivable on each individual item. Unsold or unpopular items are not gaining value as they sit around in a store or a warehouse, they’re merely taking up space that could be used for a more popular product and often deprecating as they become outdated. Not only does it avoid blockage, but sacrificing a little profit on some items means that more people end up using your business, and may see other things that they like or want and thus end up spending more money on your business than they would have otherwise. Essentially deals act as a nice little advertisement by bringing in business that might have otherwise gone elsewhere. This nice little effect of increasing consumer spending means that the aggregate demand of the economy increases, and this is by many economists, considered to be one of the best measures of the strength an economy.
Yet, no matter how good coupons are for individual businesses or for the economy, the discount aggregator sites need to turn a profit themselves and their business model is quite an interesting one. One of the biggest things that coupon collectors can offer companies is visibility. Those such as VoucherBin and Groupon generate a lot of visitors and thus, they can credibly argue that if a service provider posts their discount on one of these websites, more people will see them and use their service. Once a service provider has our attention, we might see other things we like that we didn’t go there for and spend more of our money with them. If a company knows that the extra custom will generate a significant amount of money, it makes sense to invest a portion of that money in their advertiser. Similarly, traditional online advertising is extremely useful to these companies. So long as online adverts are tasteful, those working on a pay per click basis can bring a bit of extra money into the business model.
Although this method is losing popularity, coupon companies used to make their money by selling coupon books. These are good for consumers because the value of the money that could be saved is vastly greater than the cost of the booklet. However, due to the ease of accessing material online, the fact that the full value of the booklet is unlikely to be redeemed and the increasing importance of visibility, most successful coupon companies do not charge those who wish to use their services, as it would massively reduce the amount of people that use their services and thus, harm their ability to advertise.
Whilst money can certainly be tight at the moment, particularly with economic uncertainty looming, and even those who are financially okay can always do with saving a bit of money here and there, a few good deals can make things a lot easier. Spending just a small amount of time initially can mean that you end up saving quite a bit of cash in the long run, which is a pretty worthwhile investment overall.