Online retailers ramp up promo code offers as consumer demand for discounts surges, study finds

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Jul 25, 2024, 08:15 ET

SimplyCodes latest study reveals a 31% increase in promo codes and higher discount value as retailers compete for online shoppers

LOS ANGELES, July 25, 2024 /PRNewswire/ -- Good news for the 64% of Americans who shop online at least once a week: A new study released today by SimplyCodes, the leading social savings and AI-powered promo code platform, shows a substantial uptick in the issuance of promo codes by online retailers and brands. Merchants are deploying more promo codes and making these discounts more enticing.

SimplyCodes examined nearly 400,000 retailers on the platform from January to June 2024. They found that, on average, retailers issued nine unique codes — an increase of 31% compared to the same period in 2023.

Promo codes are not only more plentiful, but they also offer greater discounts. This year's data shows that promo codes provide an average discount of 17.6%, up 2.6% from last year's 17.17%. Additionally, the average dollar amount off per promo code has increased by 22%, rising from $27.26 to $33.25.

Alongside common and seasonal promo codes, there has been a rise in single-use codes. These unique codes are given directly to customers, often through email, and can only be used once. The number of retailers offering single-use codes has increased by 47% compared to last year.

The data underscores a growing reliance on these incentives by both consumers and retailers amid competition and economic factors such as inflation and cost of living. According to a recent study, nearly 70% of Americans say having promotional codes makes them more inclined to make a purchase and 62% of Americans actively seek out and use promo codes when making online purchases.

SimplyCodes' comprehensive dataset further reveals prevalent trends in coupon usage. Among the most common coupon phrases identified, several key themes emerge:

OFF
SAVE
WELCOME
FREE
NEW
SHIP
SUMMER
LOVE
BF
SPRING

These phrases reflect seasonal and promotional trends and highlight popular strategies that retailers use to attract and engage shoppers throughout the year.

With the influx of promo codes available, it would be reckless for consumers not to take advantage and shop without first looking for codes. Tools like SimplyCodes, a browser extension and app, provides shoppers with the most robust, real-time, working promo codes thanks to advanced AI technology and crowdsourcing.

Methodology
The findings were compiled using data from SimplyCodes' robust database on merchants and promo codes. SimplyCodes analyzed data from January 1 to June 30, 2024, and compared it to the same period in 2023.

About SimplyCodes
SimplyCodes is a social savings and promo codes platform that leverages AI and a passionate shopping community. Users share real-time discount codes and deals, enabling everyone to save money on their online purchases. Like the name boldly states, SimplyCodes provides more accurate promo codes than anywhere else, covering 10X more brands through its app and browser extension. To learn more, visit simplycodes.com.

SOURCE Demand.io