Digital Couponing Lesson 1 Quiz

Questions and Answers

General Electric

Pepsi

Procter & Gamble

Coca-Cola (correct)

Increasing product prices

Encouraging customer engagement and driving sales (correct)

Promoting new employees

Providing feedback to customers

High redemption rates

Limited outreach to consumers (correct)

Easy targeting of specific demographics

Low production costs

1990s Signup and view all the answers

Broader reach and easier tracking Signup and view all the answers

Geofencing Signup and view all the answers

By eliminating printing and distribution expenses Signup and view all the answers

1% Signup and view all the answers

Study Notes

Coca-Cola was among the first companies to implement coupons, dating back to the late 19th century.
The main goal of coupon usage in marketing is to encourage customer engagement and drive sales.

Traditional coupons face a significant limitation in reach, making them less effective in targeting a broad audience.
The first digital coupons emerged in the 1990s, marking a shift towards technology-based savings.

Digital coupons provide a broader reach and easier tracking compared to traditional methods, making them more appealing for both consumers and businesses.
Businesses can reduce costs by utilizing digital coupons, as they eliminate the need for printing and distribution.

The estimated average redemption rate for traditional physical coupons is just 1%, highlighting their lower effectiveness compared to digital options.
Mobile wallets allow consumers to easily store and redeem coupons using their smartphones.

Geofencing technology enables businesses to send mobile coupons directly to customers when they are near a store, facilitating immediate engagement.
A modern trend in coupon marketing involves using artificial intelligence (AI) to create personalized coupon experiences, enhancing the relevance for individual consumers.