Cashback coupons and discount coupons are saving tools that allow you to save. They are different in when and how the customer benefits. Cashback coupons give back a rebate or refund after the purchase has been made. The customer pays the full price first, and a portion or a set amount is paid back later, either in the form of store credit or as a direct deposit.
Discount coupons, on the other hand, provide an instant discount in the price at the time of checkout. When applied, the discount is deducted from the cost, and the customer pays the lowered amount immediately. What is different is the timing: cashback offers savings after purchase, while discount coupons offer savings immediately during the transaction. The following are the differences that exist between them:
Payment
For a discount coupon, the customer pays less upfront. For cashback coupons, they receive the reward later and after they buy something. You pay the full amount upfront and get a part paid back later.
Benefits
Cashback coupons provide a reward or rebate once you’ve made the purchase. An example of the offer for “10% cashback” on a $100 product means you pay $100 upfront and receive $10 as a refund later. In discount coupons, you instantly save during the purchase. For instance, if you have a 20% discount coupon on your total, in this situation, you pay $80 for a $100 product.
Customer incentives
Cashback coupons have the tendency to induce repeat buying from the same brand, as the incentive will usually be a store credit. Discount coupons, on the other hand, are useful for consumers making impulse buys and instant gratification.
In short, coupon usage helps you drive sales, but differently. A cashback coupon will make you more profitable in the short run, while a discount coupon will make you more profitable in the long run. Either way, though, you’re capitalizing on an existing relationship with your customer.
The preferred choice
When it comes to cashback vs discount coupons, the better option depends on your current business goals. Cashback coupons are a great choice if you’re aiming to increase customer retention–they encourage shoppers to keep coming back to spend their store credit. Discount coupons work best to drive quick sales and attract new shoppers. The immediate savings discounts are a powerful motivator for hesitant buyers. Both methods have advantages and the majority of companies apply a combination of them, depending on the season and nature of the sale they’re implementing.
Merging cashback and discount coupons
Having covered the distinctions, let’s examine the best part—merging them to save even more. Although each method saves money independently, putting them together can yield substantial reductions, ensuring your shopping trip is more economical. First, combine cashback with discount coupons by joining a reputable cashback program. Many apps that let you understand what is a coupon have offers on items you have already purchased, so you can “double dip” by using a coupon when you checkout and then scanning your receipt for cashback.
Conclusion
Before you go to the shop or online retailer, take a peek at the Big Coupons website for both cashback and discount coupons to discover what discounts are available for the items you intend to purchase. Both discount and cashback coupons provide strong means of lowering the price of your buys and saving money. While discount coupons provide you with instant savings during checkout, cashback coupons pay you back in money after the purchase. By recognizing the variations and knowing how to stack these strategies together, you can boost your savings significantly.