Coupons: What is it? The UNTOLD truth about coupon


Coupons – We have all come across coupons and have been excited to use them. What is a coupon? In simple words, a coupon is a token or a document that has some financial discount value. These are issues by manufacturers or retailers as a part of their sales promotions. Since they are distributed in large quantities, they are mostly handed out through mail, coupon magazines or the internet. There are other ways through which these are distributed as well and we will go in those details later in the article.

The concept of the coupon industry, and how it works, is much deeper than what it seems to be on the surface. People usually do not find the underlying cause of it. In this article, we will uncover some of the truths of the coupon industry. Just to give an example of how interesting the working is, suppose there is a clothing brand that sells clothes. It is making a profit at the price it is normally selling these clothes. Now, if the brand offers coupons for sales, they are targeting people who would not normally buy their clothes. This leaves them with enough profit as well. The reason is that people who would not normally buy these branded clothes would step forward to buy them at a discounted price.

People who can afford an item would not wait around for a sale coupon and the ones who cannot afford it, would not have bought the item if they did not have the coupon. Although these are just logical assumptions, they are not true in all cases.

Another reason why manufacturers distribute coupons is to get customers to try out a product that they would not normally buy. Coupons also find a use if a new product line opens up. Coupons are handed out to get customers to try out these new products.

Another common reason manufacturer gives out sale coupons is because they end up manufacturing a lot of product and don’t want to have those products wasting space in warehouses. Suppose a company ends up making many winter jackets and the winter season is about to end. It puts on items on 50% discount to get people to buy these products instead of holding on to them for a whole year. This is a tactful way of not letting their product go to waste and still making money out of it. Even though the season might be ending, but a discounted price may make customers get the product.

These are just some of the reasons why retailers offer coupons. There might be much more that makes retailers put their products up at a discounted price.

History – Origin of this marketing technique

Coupons marketing technique

In 1886, when Asa Chandler became a partner of Coca-Cola Company, he transformed the company from an insignificant tonic to one of the bestselling products making use of good advertisement techniques. These techniques incorporated selling of coupons to people through sales representatives. The marketing team also mailed complimentary coupons to potential customers. This soon made the drink popular amongst the Americans. In 1895, Chandler stated that Coca-Cola was served in every state.  

Different values of coupons and their types

Different types of coupons value

There are different values given to coupons such as discounts, free shipments or even buy one get one free option. The retailer selling the products at a discounted price defines the value. There can be multiple uses of coupon, to get customers to purchase a specific product or to provide a free sample and make it better for marketers to understand the needs of customers.

Use of coupons for manufacturers

Ragu Manufacturer's coupons

One of the major uses of coupons for retailers is in research. Coupons measure the price sensitivity of different buyer groups. It is the general assumption that the customers who collect coupons and use it to buy products are more price sensitive. This type of information is important in business evolution and for target marketing.

Grocery coupons

printable Grocery Coupons

There are two main types of grocery coupons: Store coupons and manufacturer’s coupons. The difference between these coupons is that the discount coupons issued by a particular store only wok for the items you buy in that store. A few stores accept the coupons of competitor stores as well. In comparison, customers when doing grocery shopping at any store can take up discount issued by manufacturers. Grocery coupons are an attraction for people who want to save money. Whereas, manufacturer coupons are intended to attract more customers towards a particular brand. There are certain stores that double the value of coupons to bring in more customers as well.

coupons have an expiration date after which their value is does not hold anymore. Once the date passes, they are not valid for discount anymore.

Delivery methods for coupons

Clients may get these coupons from different sources, including newspapers, magazines, and the Internet, with sites offering free printable basic food item coupons. These can be printed at home and then used at a retail store. Some significant food manufacturing chains additionally produce advanced coupons that are sent to the homes of faithful customers. There are coupon-furnishing sites that give clients coupons from different stores. These locales collect coupons from different sources and buy products at a discounted rate.

  1. Delivery through print media Cutting coupons from papers has been the most famous approach to get coupons, however, Internet and Mobile Phone coupons are increasing widely. A few retailers and organizations use confirmation strategies, for example, extraordinary scanner tags, coupon ID numbers, holographic seals, and watermarked paper as security from unapproved replicating or use. Other than paper, there are additionally coupon book distributors and retailers who accumulate vouchers and coupons into books, either available to be purchased freely.
  2. Delivery of coupons through Internet
    Online retailers frequently allude to coupons as “coupon codes”, “special codes”, “advancement codes”, “markdown codes”, “keycodes”, “promotion codes”, “surplus codes”, “versatile codes”, “shopping codes”, “voucher codes”, “remunerate codes”, “rebate vouchers”, “referral codes” or “source codes”. Web coupons normally give diminished expense or free dispatching, a particular dollar, rate markdown or to procure cashback while some idea to urge shoppers to buy explicit items or to buy from explicit retailers. Since paper coupons would be hard to disperse and recover, ordinarily mystery words or codes are circulated for customers to type in at checkout. Advertisers can utilize various codes for various direct or gatherings to separate reaction rates.
  3. Delivery of coupons through mobile
    A portable coupon is an electronic ticket requested as well as conveyed to a cell phone that can be traded for money related markdown or discount when purchasing an item. Coupons are normally issued by product manufacturers or retailers, to be utilized in retail locations as a major aspect of business advertisement. They are regularly distributed through SMS or MMS, through GEO Fencing innovation or other portable methods. The client receives the coupon at store or on the web. At times, clients may reclaim the portable coupon at the purpose of sale. What is one of a kind about versatile coupons is the memory of data in the coupons regularly outlive the termination dates of the coupons themselves, activating real buys at later dates. Researchers speculate it is driven by the commitment created by the cell phone. Numerous retailers bolster the reclamation of email and paper coupons through cell phones. Notwithstanding appropriating such offers utilizing their email records, SMS memberships, and applications, they are additionally regularly made accessible through coupon applications.
  4. Delivery through mobile app
    A mobile application coupon can be either a normal coupon for reclamation (limited worth or limited rate) utilized at checkout conveyed by the application producers or extraordinary, individual referral codes claimed by every client to select new clients with referral benefits. The last structure requires individual sharing for the benefit of clients to their systems.

Although discount and sales might seem like a good option to buy products but what retailers do not want you to know is the fact that you are being ripped off. How? Let us dive a little deeper into how coupons work.

When ripping out becomes ripping off – Coupons and how to know you are being ripped off

Recently, a Yonkers, N.Y. lady purchased $130.18 worth of goods and spread out just $7.07 in hard money. She paid for the remainder of her grocery store buys with coupons, coupons she has cut, exchanged, documented and recorded for quite a long time.

Susan Samtur’s home is loaded up with box tops, sideboards, front boards, widespread item code images and gigantic document of coupon offers accessible everywhere throughout the nation. She has turned a one-lady exertion to set aside cash by utilizing pennies off coupons into a flourishing business, a pamphlet from which supporters figure out how to benefit as much as possible from makers’ limited-time discounts.

However, there are people who have started making fake coupons. Coupon exchange is also going around. This makes it hard for the company to figure out their market reach.

That is a “penny-risk stuff” contrasted with the huge activities that have been revealed lately. Four employees of a Midwest paper were captured a month ago for saving section coupons from the majority of the paper’s unsold duplicates and offering them at decreased rates to a fence.

The fencing is done to retail food merchants who recover the coupons unlawfully however for short of what they are valued. In any case, a few walls set up postage information for supermarkets, send the coupons to the producers, who send the discount checks to the fake mail addresses. Thomas says less and less of that is going on because PCs have made it simpler to check whether a supermarket has been a maker’s client. When the false tasks utilize the sends, it turns into an issue for the Postal Inspection Service and the punishments for utilizing the sends to dupe are not kidding. The nourishment business has been working with the Postal Service to control the more egregious maltreatment.

Some newspapers print a lot a larger number of duplicates of coupon pages. This is done to fence them later on. Others offer magazine wholesalers a penny or two for duplicates of magazines that have come back to the distribution centers, cutting the coupons and fencing them. Industry sources ascertain the expense of coupon redemption somewhere in the range of $100 and $143 million. These figures have climbed consistently as the utilization of coupons for limited time purposes has expanded. At its yearly show in Dallas in May, the Food Marketing foundation passed a goal “lamenting coupon mishandles.” FMI approached its individuals to receive an authoritative reclamation arrangement and to instruct employees and purchasers.

What’s more, there are grievances from food merchants about “clients” who render stock unsalable by detaching these coupons bundles and marks.” One storekeeper clarified that with high dollar esteem coupons some “customers” purchase the product, reclaim the coupon, at that point take the product back to us sometime in the not too distant future and get cashback at the ordinary rack cost.

In addition to the coupons, and evidence of procurement that must be gathered – and can occupy impressive space – if you pursue the advice of a coupon newsletter.  You will require a document box to hold the 5-by-8 cards on which you will record the different discounts, dividers to use between the diverse item classifications, loads of envelopes – some long, some short – and many stamps. At that point, if you truly need to get into this thing, you should purchase “buy organizer pages” to demonstrate you to utilize the deals you have purchased in your dinner arranging.

The magazines and newsletters offer itemized guidance on the most proficient method to approach discounts and coupons. “NEVER dispose of any covering. On the off chance that there is no present discount accessible for the specific thing, makers will for the most part either present or rehash offers later on to advance their item. Meanwhile, you are working up a ‘qualifier’ document which moves toward becoming in truth a wellspring of future pay.” There are guidelines to keep the “qualifier” record from assuming control more than one of the rooms in your home, or possibly, on the off chance that you have been grinding away long enough, the entire house.

As discounting turns into a potential wellspring of monstrous extortion, the important part on the back of coupons has taken on an additionally compromising tone. The new dialect has been included the most recent year.

Today practically every one of the coupons expresses something with this impact: “Great just on the buy of the item depicted. Some other use establishes misrepresentation. Offer constrained to one coupon for each buy.”

Your grocery store is ripping you off – The ad campaign

There is an ongoing research that states grocery stores are ripping off customers. They pass off rotten vegetables and fruits as fresh. And sometimes overcharge with impunity. There are many TV ads that have been going around uncovering this. One TV advertisement includes the proprietors of the anecdotal Vanhill’s Grocery, a boring store highlighting a monster pyramid of apples in the produce area. “Lidl supermarkets don’t have organic product pyramids,” the organization director gripes. “It’s either natural product pyramids, or we begin selling apples that are in reality crisp,” the CEO reacts. At that point, they and their gathering of sycophants giggle and chuckle.

A few additional ads highlighting the cash grubbing Vanhills are required to air in the East Coast states where Lidl has stores, over the coming months.

The advertisements are intended to target “broken and enlarged” basic food item chains that utilize “stunts to con buyers into paying more for second rate and wasteful items,” clarified battle maker The Martin Agency.

Lidl was to some degree progressively conciliatory in clarifying its intentions in running the advertisements. “This new battle is intended to bring issues to light about the exorbitant wasteful aspects of conventional general stores and the reserve funds that Lidl’s streamlined methodology brings to clients consistently,” said Lidl U.S. chief of brand promoting Elina Elvholm. “At the point when clients shop at Lidl, they experience less unpredictability, lower costs and better quality decisions.”

The promotions likewise refer to an ongoing Lidl-subsidized examination that “Lidl is up to half less expensive than different food merchants”. Yet, that equivalent examination likewise found that contenders would, in general, set their costs lower at whatever point a Lidl opened around the local area, blunting the effect of Lidl’s lower costs. Also, Lidl doesn’t acknowledge maker’s coupons, so bargain searchers can regularly discover better costs somewhere else. Another TV advertisement includes the proprietors of the anecdotal Vanhill’s Grocery, a boring store highlighting a monster pyramid of apples in the produce area. “Lidl supermarkets don’t have organic product pyramids,” the organization director gripes. “It’s either natural product pyramids, or we begin selling apples that are in reality crisp,” the CEO reacts. At that point, they and their gathering of sycophants giggle and chuckle.

Such ads and statements lead us to think if we are actually being ripped off by retailers. It is a fact that even with discounted prices, retailers are able to make profit. Coupons allow shops to sell the products remaining in the profit margins. Because of their names, it becomes even easier for popular brands to rip off their customers.

Retailers ripping you off with fake coupons

Target Fake coupon

In 2011, news that Target was blamed for reneging on store coupons had numerous customer gatherings ready to fight. Yet, regardless of whether they know it or not, shoppers can bring matters into their very own hands and find a way to ensure they get every profit by a store coupon.

There are no uncertainty buyers love their coupons, and those coupons, regardless of whether they’re off the paper or online assortment, frequently drive shoppers to make buys they may not customarily make.

As per an ongoing report from Forrester Research for Whaleshark Media, six of every 10 study beneficiaries said they would be bound to make a buy when given a coupon, even after dismissing that buy before accepting a coupon. Also, around 80% said that accepting coupons lights up their attitude toward the organization giving that coupon.

In any case, not all coupon projects are on the level. Counterfeit coupons, coupons with an excessive amount of “fine print,” and coupons that are rejected at the purpose of procurement are only a couple of ways customers can get the pole in a coupon bargain.

Mail-in rebates and how they are ripping off customers
Mail-in refunds can appear to be of help for customers who wish to save money. Retail promotions are loaded up with “refund specials,” frequently including things that are almost free after the discount sum is deducted. These arrangements are difficult to oppose – which is actually, what retailers and manufacturers are relying on. They use refund arrangements to pull in clients and get them into stores. The amazing thing to note here is that organizations regularly never need to pay out that discount cash. As per, over $500 million discounts go unclaimed consistently.

Given below are some tactics that organizations use in order to get customers to walk in with the purpose of using the coupon:

  • They give off multiple rebates for the same product
    Superficially, getting more than one discount on a solitary thing appears to be a big stake for the purchaser. In actuality, however, it regularly makes the procedure unreasonably entangled for some individuals to seek after. “Each discount regularly requires separate mailing and various evidence of procurement,” notes Dworksy. It so happens, the shopper does not understand that he needs numerous duplicates of the receipt or confirmation of procurement until it is past the point of no return.
  • Rebates in the form of debit card
    Lately, numerous organizations have started sending refunds that are pre-stacked on check cards, which can be badly arranged and mistaking for purchasers. “Since these cards accompany termination dates, the organizations can arrange for when they can return that salary on their accounting reports,” says Christopher Grande, head with Walnut Hill Advisors, LLC. Grande has direct involvement with this strategy, having as of late lost about the portion of a $100 discount card when he neglected to utilize the equalization before it terminated. These discount cards additionally at some point have “upkeep expenses” or different charges. Besides, numerous clients who are expecting a customary paper check discount via the post office may discard the platinum card, confusing it with a pre-affirmed Visa offer.
  • It is hard for the customers to provide proof of purchase
    “Many customers find the confirmation of procurement difficult to provide when asked for,” says Dworksy. “It could be under a hard clamshell plastic bundle, for example. Or on the other hand, it could be within the fold of a case, where a client isn’t accustomed to looking.” In cases like these, the buyer may accidentally harm or tear the evidence of procurement while opening the bundle – or may discard it without acknowledging it.
  • This is a lengthy and time consuming process, many customers don’t want to get into it
    “On the off chance that you don’t peruse the fine print and adhere to every one of the directions, your refund is denied,” says Erin Edwards of “Organizations are relying on the way that a few people will forsake the refund procedure altogether or commit errors when rounding out the structure. They additionally include quite certain directions and the expectation you won’t see the fine print or due dates for presenting the discounts.”
    Another prevalent strategy: an incredibly short refund reclamation period, making customers miss the due date on the off chance that they do not present the structures right away.
  • The retailers are counting on forgetful customers
    The fact that sometimes the rebate never actually arrives. The company counts on customers being forgetful in such cases. Due to the busy schedule, it becomes hard for customers to follow the time frame. This gives an edge to the company and makes it easier for it to rip you off given the chance.

To ensure you get the refunds you’re qualified for, be mindful to peruse all the fine print, present all required administrative work rapidly (after making duplicates for your records) and development on the off chance that you don’t get a normal discount in an auspicious way. What’s more, whenever you are shopping, ensure you consider the problem of taking care of a discount guarantee before you buy that thing.

How to avoid getting ripped off by retailers

What are the unmistakable “warnings” that your coupon is not very good? How about we investigate:

  • Fake coupons provided by retailers
    With the advancement of PC illustrations and scanners, anyone with enough knowledge about Photoshop and illustrator can make coupons, or even coupon books, and offer them to clueless buyers. On the other hand, more awful, the customers themselves would utilize the false coupons to get limits to buys. Yet, retailers are wising up, utilizing readable standardized tags on authentic coupons – and progressively, leaving fraudsters to play get up to speed.
  • Knowing the difference between a fake and legit coupon
    If you have a feeling that your coupon might be suspicious, or simply need to make certain before you use it on the web or in a store, look at the buyer backing site Coupon Information Corporation (CIC). The extortion-battling firm has uncovered more than $750 million in deceitful coupons. The site has heaps of information for purchasers to use to have sure they know the effect between a genuine coupon and a phony one.
  • If you are asked to pay money for your coupons, you are being ripped off by the retailer
    The CIC adds a decent tip to the menu – abstain from dishing out money for coupons. The gathering says that “purchasing coupons from organizations/people who ‘sell the administration of section coupons’ rather than the coupons themselves.” The CIC says to be particularly cautious about giving over any close to home budgetary data to organizations hoping to sell coupons.
  • Study the bar codes to know when you are being subjected to a fraud
    To truly ensure you have a genuine coupon, begin by considering the coupon standardized tags. In particular, take a gander at the standardized tag down at the base of the coupon (it is the equivalent on the web or with a physical coupon). Continuously ensure the barcode has 12 digits – on the off chance that it does not, it is a phony. Likewise, the tenth and eleventh digits on the scanner tag ought to compare to the genuine sum, or to at any rate two comparative numbers (for instance, 1 and 0 for $1.00, or 7 and 5 for 75 pennies off). Here’s a reward tip: to guarantee you get the rebate you have coming, consistently check your receipt before you leave the store, or soon after making an online buy. On the off chance that the receipt does not have the markdown included, backtrack and let the retailer, know.

Ensuring a coupon is genuine is not too troublesome. All you need is a little attentiveness to detail and diligence. Utilize both and you will maximize your coupon book.

Customer rights – Things you should know

Each time you pay for something, regardless of whether it is an item (like a game or a thing of attire) or an administration (like a telephone contract or a rent on a house) you are going into a legitimate contract. That implies that you have lawful rights about those items and administrations. Law maintains these rights, known as shopper rights.

The organization looking after your consumer rights

Shopper Affairs Victoria (CAV) is the official body that takes care of every Victorian purchaser and ensures that their rights are secured. If you have any customer related issues, CAV is an incredible spot to begin. The Australian Competition and Consumer Commission (ACCC) additionally has data about shopping, banking, purchasing a vehicle or bicycle, web access suppliers and what to would on the off chance that you like to object.

Make a complaint if you have been ripped off

On the off chance that you think you’ve been ripped off or treated unreasonably, you can contact CAV a utilizing their contact structures or by calling their helpline on 1300 55 81. If you need to bounce directly to objecting, you can enroll your grievance by visiting their Resolve your concern or protest page and adhering to the guidelines there.

You can likewise make a grievance through the ACCC’s Complaints and Problems pages or call them on 1300 302 502.

What are your rights when shopping?

When you buy things you have a right to expect that:

  • The purchase works the way it is supposed to work
  • The product you are given looks the way it is supposed to and has no deformity
  • You are not handed a piece that is broken or has a fault
  • They pass the safety requirements

Refund policies and exchanges

In case you are upset or not happy with something you purchase since it does not meet the above desires, you might be qualified to request a discount. You ARE NOT consequently qualified for a discount if you essentially alter your perspective on something you have purchased such as in case you do not need it anymore. A few stores may have a trading strategy that gives you a chance to swap something you purchased for something different of equivalent worth; however, it relies upon the individual store approach.

Your rights when shopping online

Web-based shopping accompanies its specific favorable circumstances and inconveniences. The stunt is how to do it without being ripped off. The majority of your standard buyer rights apply when you shop with an Australian online business. Those rights likewise apply when you purchase from an abroad online business, however the way toward getting fixes, discounts or substitutions can be a lot trickier just because that business is not situated in Australia – the standards are more enthusiastically to authorize in such circumstances.

Keeping an eye out for scams

There are many ways that individuals attempt to take your cash and give you nothing. Since many customers are scammed in this way, you should pay special attention to these tricks and keep yourself away from such scams. If you are misled, however, some things can be done. CAV’s Scams pages have information on regular tricks and how to keep away from them, just as a test that gives you a chance to test how clever you are. There’s likewise data on what you can do on the off chance that you get defrauded, incorporating how to dub in a con artist and what to do in case you’re in a difficult situation since you’ve been misled. The Australian Government looks after Scam Watch, an exhaustive site with data pretty much a wide range of tricks presently known to work in Australia. It likewise has some straightforward tips on the most proficient method to secure yourself.

Vimal Lalani is senior correspondent for Ishli, Medical and Wellness unit, reporting breaking news and health consumer reporting on

Written by Vimal Lalani

Vimal Lalani is senior correspondent for Ishli, Medical and Wellness unit, reporting breaking news and health consumer reporting on


2 Pings & Trackbacks

  1. Pingback:

  2. Pingback:

Leave a Reply

Your email address will not be published. Required fields are marked *





Bluetooth Speakers

The Best Bluetooth Speakers to Fit Your Portable Music Needs

Fall asleep faster

How to Fall Asleep in a Second at Night