Coupons Impact on Consumer Buying Behavior Case Study

Introduction - Boost Sales with Effective Coupon Strategies

Background of study

Buying intention is the readiness of a customer regarding buying a specific product and goods. Purchase intention fully depends on an inconstant variable which further depends on the various external and internal factors. Purchase intention is measured by thoroughly understanding the purchaser's attitude in the direction of the purchasing of a product or availing service (Hsu and Lin, 2015). For marketing a product and promoting the product or facility in the market it is very important to analyze the purchase intention of the customer of the company, with the needs and expectations of the customer from the respective product or service which they are willing to avail.

The research focuses on how coupons work as a tool for influencing purchasing intention of customers. The coupons have the power to drive customers of the business towards the business, which help in encouraging existing customer engagement by increasing the profits for the business. Coupons also play a very important role when it comes to introducing innovative product lines and inspiring clienteles to try and experience more and more company’s products and services (Chen, et. al.2018). The research highlights how coupons as a tool of promotion help businesses influence the purchasing power of the customer.

Coupons are the tickets or documents which are redeemable against any financial discount or repayment while buying any product or service of a particular company. Coupons have their marketing sectors known as coupons marketing which is a business methodology preferred by companies to engage, attract and reward customers by providing various forms of encouragement. Coupons help in boosting sales for the short-term and it is also used in creating effective customer relationship strategies which further drive the company towards delivering better customer experience which is tailored to meet the marketing stage and sector, which results in business growth and increases the revenue of the company (Shahid, et. al. 2017).

Purchase intention is the power within the hands of the customer which have a huge impact on the businesses. Offering coupons include an introduction to new clientelesregarding the products and services presented by the company. with the help of these coupons' customers get to know about newly opened stores, websites, new products and services that recently launched in the market, etc these coupons also help in selling excess and unwanted inventory by introducing discount coupons by which the company can make room for its new products(Peña-García, et. al.2020). Coupons are used strategically to reassure customers to purchase the new and more profitable product which will revert in increase revenue for the company. Coupons are also a sign of loyalty towards existing customers, as the company offers these coupons to an existing customer as a gift or reward for most purchases or for being loyal to the company for a long period these coupons also help in ensuring that they remain a customer to the company for upcoming future as well.

Aim and objective of the study

The major aim of this research is to attain the following objectives:

• To study the factors which influence the customer's behaviour.
• To identify the factors which influence purchasing intention of customers.
• To determine the importance and role of coupons in attracting customers.
• To evaluate the impacts of coupons on influencing purchasing intention of customers.

Research questions

• What does the customer think about coupons?
• Are coupons effective in attracting customers?
• Are coupons useful for customers?
• Do customers' purchase intentions are influenced by promotional activities?
• Do coupons influence the purchase intentions of customers?

Rationale and justification

The research is conducted to examine the position of promotion tools like coupons having a huge influence on the purchase intention of the customer which further affects the businesses (Nangoy, and Tumbuan, 2018). The business environment is very active as it changes every day, so every company needs to focus thoroughly on its work. And to help to sustain its position in this competitive business environment, for resolving this company has to refer to certain important steps which will help them to stand in this market against its competitors. By using proper promotional or advertising techniques, the company can impact the purchase intention of its customer to the great extent (Išorait?, 2016). Marketing which is based on purchase intentions directs to rise in the return on investment of the company regarding marketing activities.

Several factors help in shaping the acquisition intention of the customer, out of all those factors research focuses on coupons. Coupons are a piece of paper, which have the power to drive customers towards the product and services offered by the company.Having an idea or exact measure of the purposes of the customers could help in designing the marketing activities in the manners in which the company can reach the target customer base and higher return on the investment made by the company (Familmaleki,et. al. 2015). This situation occurs due to the absence of the requirement of creating awareness regarding the product and services which are made available by the brand in the consumer's mind further promoting. Purchase intentions to an extent might help the company to predict or record which are based on the data regarding customer behaviour or any other interaction data collected by the company when customers try to buy a product or service and the transaction gets terminated or the purchase did not complete successfully (Gan, and Wang, 2017).

The research throws light on the influences that affect the purchase intention of the customer, these factors are consumer behaviours, various other promotional tools which are used by companies in view to attract the customer towards the products and services, the influence of coupons on the buying behaviour of the customer, and the importance and effect opting coupons as the promotional tool by the company (Rauschnabelet. al. 2022). The research also discusses the advantages and disadvantages of using coupons as a promotional tool for influencing customers buying behaviour. The study will draw on the current market situation and consider the recent report which has analyzed the position of coupons in influencing the purchasing behaviour of clienteles.

Literature review

Customer behaviours

The study is conducted to investigateseveral factors which have a great inspiration on the acquisitionintentions of consumers. The most common factors which have a great effect on purchase behavior are emotional factors, social factors, Individual factors, and cultural factors. These factors help in creating the insight of the consumers and based on these factors, a customer plan on buying a particular product or service (Do, et. al.2020). These factors justify several essentials.

All fundamental elements impact the techniquewith which the customer sees a product. Therefore, it is said that various factors influence the purchasing intention various factors influence the buying decisions of consumers. The study also evaluated that all these factors have a constructive relationship with the purchase purpose of the customers. In accumulation to these factors like needs and wants of the customers have very important part in determining the choice of the customers for purchasing a product or using a service. Consumer behavior is the achievement and the choice procedure of people which are involved in buying goods and services for individual consumption (Hultet. al. 2017). Consumer purchasing actions state the detailed study of customers and their behavior while determining whether to purchase a product or service which fulfills the needs of customers. It is a learning of the movements that direct customers to buy and utilize particular products.

The study of consumer purchasing behavior is very significant for companies because companies can recognize, what are the expectations of the consumer company. Businesses regularly believe in the proverb that "the customer is always right" statement means that when the customer is happy then the willingness to repeat purchases from those companies which were successful in fulfilling the customer's needs and demands (Magids, et. al.2015). As a result, to which many companies are systematicallylooking after their customer relationship strategies which further assemblereactions on methods and techniques which are required to be upgradedto work on the productivity of the company which will result in providing a decent product to customers.

By analyzing customer behavior, it is very convenient for a company to understand the reasons which encourage consumer purchase intention (Rietveld, et. al.2020). It is essential to evaluate the type of products which is most liked by consumers so the company can work on that particular product and launch that in the market. By analyzing consumers' behavior, a company can comprehend the likes and dislikes of consumers and further plan their advertising and promotional ideas (Osuna et. al. 2016).

Consumer behaviour is significant for every company for the reason that it assists in understanding the factors like what inspirations consumers' purchase intention.By empathetic how consumer adopts a product, and what encourages or attracts the consumer the most, the company can accomplish the breach in the market and recognize the products that are compulsoryand the products which are outdated (Palalic, et. al 2021).Learning about the purchase intention of customer’sbenefitscompanies to work on how to represent their products in the market in a methodthat producesextremeinfluence on consumers. Consumerpurchasing behaviour is the very essential key to the course of attainment and encouraging customers topurchase from a particular company.

A consumer purchasing behaviour study reveals the following questions:

• What are the thoughts of consumers and what do you think about alternative brands and products available in the market?
• What influences the purchase intention of consumers
• What impacts the consumer the most while choosing from alternative products in the market?
• What intention does a consumer have while researching products and shopping?
• Consumer behaviour is frequentlyprejudiced by various factors. Marketers required to study consumer purchase outlines and figure out buyer tendencies (Carlson, et. al.2018)

In most cases, brands have the power to influence the behaviour of consumers with all the things over which they have control. For example, IKEA a Swedish multinational company situated in the Netherlands is popular in designs and deals in selling ready-made furniture, the appliance of the kitchen, home décor, and various other goods and services. It is very popular to think that once a customer enters the IKEA showroom, one never came back empty-handed, it is quite common to be seen that a customer spends more than what they has planned. The result of this example is that the company needs to make strategies that attract a customer that customer never thinks of switching or getting away empty-handed(Zhang, and Benyoucef, 2016).

The three major categories of factors that have a great influence on consumer purchasing behaviours:

• Personal factors: individual thoughtsand interests play an important role which is further prejudiced by demographics like age, culture, gender, etc.
• Emotional factors: customer’s reply to a message of marketing fully depends on observations and attitudes (Marbach, et. al 2016)
• Social factors: Social factors like family, education level, friends, social media, and income, play an important role in influencing consumers' purchasing behaviours.

Types of consumer behaviours

There are 4 types of consumer behaviours:

• Complex buying behaviours - This behaviour is met when customers are looking for purchasing exclusive and expensive products and services. Customers are extremely involved in the buying procedure and also in research regarding the product which is done before investing a high value in the buying product or services (VoramontriandKlieb , 2019).An example of this buying behaviour is buying houses or luxury products.

• Dissonance-reducing buying behaviour - In the purchase process customer is fully complex but several complications determine the variation in-between different brands in the market. Dissonance refers to a situation where the customers doubt that they will regret their selections (Kumar, 2020).Customer involvement in purchasing is high. Customers are not able to determine a substantial difference in-between the various products available in the market. In this kind of condition, the consumer is enormously involved and further looks out for a minor variance in substitute brands.
• Habitual buying behaviour - these are categorized by the factor that the consumer has very less participation in the brand or product group. This kind of behaviour is uncovered in situations where the consumer shows low interest and there are no significant differences in-between brands and their products and services.

• Variety-seeking buying behaviour - In this buying behaviour, the consumer buys a different product to search for variety not because they are not pleased with their previous purchase. Like when individual are trying out new shower gel scents. This kind of consumer behaviour is present in situations where the consumer shows low interest in behaviours but there is a significant difference in the brand of products. Consumers show a very high level of swapping behaviours between brands.

Promotional tools used by companies

Promotions tools are a creative and innovativemethod for businesses to represent their products or services in a market where each customer as well as the competitors for the company can get access to products and services. These promotional tools are very efficient in highlighting and spreading awareness regarding the new brand, encouraging loyalty of the customer, and up surgingsales of a specific product or service (Ferrell et. al 2020). Promotional tools play the role of strategies, resourcesor methods which induce consumers’ purchase intention. Every company’s marketing team and advertising experts use these tools to increase awareness regarding the new product and to increase sales of existing products or services. Professionals also use these tools in long-term, wide-ranging marketing approaches. A company might select one best promotional tool over another depending on various factors, like availability, profitability, and performance (Baker, 2017).

There are several promotional tools offered, it is the responsibility of the company to perform good research on these tools and identify what would be best to promote and market the products and services of the company. The research discusses various promotional tools, and also states their importance in promoting and marketing a product and how effective these tools are in attracting customers and influencing their purchase intentions (Boisen, et. al.2018).

Types of promotional tools

• Advertising - Advertising denotes to any kind of compensated communication that is used to encouragea product or service. Advertising comprises various tools of communication like newspaper ads, TVcommercials, digital advertisements, promoting via announcements, radio stations, and many more. Companies also promote their business by offering free items to their customers (Schultz, 2016). These free items have the brand’s name, logo, and tagline. In this same form companies also uses coupons as part of rewards and gifts to their customers, these coupons provide special offer and discount to customers, which are new to the company or to the existing one to reward their loyalty.
• Sales promotions - is a short-term suggestionthat is used by increasing sales of a particular product or service. This promotion tool compromises inducementsfor clienteles like coupons, samples, rebatesand free trials in case of service(Nas?r, and Bal, 2016). This strategy is frequently used when a company is looking forward to launching a new product or servicein the market or to upsurge sales of a particular product that already exists in the market.
• Public relations - In the case of public relations, the major goal of a company is to establish goodwill and a strong relationship with the customers of the company. Public relations experts use this method of promotion as there are several ways to maintain a good relationship, like making a positive image in the market, sharing interesting information with the customers, organizing a special event, donating or charity work are the best public relations tools(Edwards, 2018).
• Direct marketing - Direct marketing comprisesencouraging a produce or business in a straight line to particular persons. Companies might choose these personsdepending on the demographics which they are considering influencing. Several companies and sales professionals attain this through phone marketing, social media marketing, and email marketing.

Benefits of using promotional tools

The important benefits of considering promotional tools are:

• Generates sales - The major benefit of using promotional tools is to generateadditional sales. From using multiple promotional tools companies have the option to select the most effective and valuable tool from all of the options, as it is not possible that the same tools work for each company. When a business finds out the most appropriate tool to perform promotional activity which company can look forward to attracting more customers and further helps in increasing the revenue of the company.
• Supports the company to be different from its competitors - by applying an extensive variety of promotional tools in promoting a company’s products and services, the company could attain various demographics of customers(Shamout, 2016). This is very helpful in encouraging the clarity of the company or the brand in front of customers. Promoting products and facilities to a wider buyer base also supports the company to be different from competitors present on the market.
• Encourages customers to retain the company - customer loyalty promotion is the most effective method of retaining the existing customers of the company and making sure that they will come back to acquisition the product or service from the company (Magatef, and Tomalieh 2015). In a situation where the consumers are faithful to a company or specific brand, they always endorse or recommend the brand or company to their friends, family, colleagues at the office or college and associates.
• Maximizes Budgets - Promotions tools are cost-effective advertising approaches implemented by companies which are more beneficial as compared to other methods which are available for marketing. Various kinds of promotional tools are free to be used and only require a particular period to be applied. If there is a new business or looking forward to making the most ofus out of marketing strategy, which also consider using low-cost or maybe free promotional techniques.

Some of the major tools which are used by companies to market their products or services are:

• Online advertising - Online advertising is a paid promotional tool that is a cost-effective strategy of marketing, specifically in the case of small businesses with a limited budget for advertising. There are various kindsof online advertising tools exist, such as:
  
  • Advertisement on the banner: Companies showadvertisements on websites in their targeted locations, for example at the topmost of the page or the sidebar. They differ in size and are also usually in square or rectangular to help fit in logically with the webpage.
  • Pay-per-click: Companies also have the option of paying click advertisement, this kind of advertisement is done when the company wants its relations to be shown first in any search engine outcome, and for that company pays a certain fixed amount to the creator each time an individual visits the website andclicks on the link (Katsikeas, et. al.2020). This is an active marketing method, as it is very well known that every individual uses a search engine by this method it has become very easier for consumers to search about a company.
  • Ad re-targeting: It is an effective tool in which the company directs ads to customers who show little interest and have visited the company’s website. Usually, companies opt for sending mail to their customers.
• Open web advertising - In this advertisement method company partners with an open web advertisement company or either a platform that helps the company to connect to its customer through digital content creation which attracts the customer the most. By considering the recommendation, open web advertisementsoffer digital content which has a huge mainstream, a network of media brands and publishers (Sutherland, 2020). These online platforms permit the company to select particular target options which helps the company to attract its targeted audience. All these services particularly allowtracking campaigns which further helps the company to analyze which digital content the company is working effectively in attaining potential customers in the market.
• Email marketing campaigns - Email marketing is a very popular method of marketing nowadays. It is a very effective promotional tool that targets individuals who show interest in the product or service of the company. Email marketing is created to motivate new visitors to the website to become customers of the particular company and these also work in motivating current customers of the company to purchase again and again from the company, and to be loyal towards the company (Hudáket. al. 2017). Companies achieve this goal by directing email circulars and offers on sales in a constant period to the interested.
• Printing advertising - it is very well known that digital advertisement tools are very popular amongst customers, but some of the old marketing and advertisement tools are effective and popular and provide advantages to the company in many different ways. These non-digital forms of advertisements are Newspapers, magazines, coupons, pamphlets, etc (Lehnert, et. al. 2021). Newspapers are a very popular and beneficial tool for promoting a product or service to every age group of people as from old age to mid people everyone reads the newspaper and treats it as part of their daily life. With help of a newspaper, the company can reach a wide range of target audiences by selecting from the local, community, or national newspapers to do advertisements. Another non-digital form of advertising is magazines which is also an operative way to upsurge a brand's reputation in eyes of customers.
  There are colourful, vivacious, and melodramatic publications used in magazines which give the freedom to customers to use imagination and inspiration while advertising. Another in this non-digital advertising tool on the list is coupons; they are the most efficient tool for attracting customers to purchase products or services of the specific company. Coupons offer several discounts and special offers to the customers which attract the customer toward buying that product. In the case of expensive and luxurious items coupons play a very important as a customer with mid-budget levels having the option to buy their favourite luxury item which is a bit expensive for them to buy. Coupons also play a very crucial role when it comes to retaining customer, it also works as an item of reward to customers who regularly purchase from the specific customer and are loyal to the company.

Impact of coupons on influencing customer’s purchase intentions

Consumer’s purchase intention is affected by several factors depending on the situation of the market, current trends going on in the market, various advertisement activities and strategy which implemented by a company to attract customers like TV ads, free samples, coupons, and so many different factors are there in the market which affects the purchase intention (Khan, et. al.2019). Companies work efficiently on attaining information for preparing a strategy on how to achieve their targeted audience in the all-possible methods and in the most effective way. Commonly, coupons have a very efficient effect on changing consumer behavior to the value of the marketing or promotion of the brand (Agmekaet. al. 2019).

These promotional tools break the direct competition between the value of the gift and the value of the main product. By which the customers to whom the coupons are provided look less interested to compare the gift value with the main item value.

It is very well known that coupons are very popular and are one of the most effective methods of promoting products or services, but also their categories, approaches to distribution, and resources have grown over the previous years (Pan, et. al.2022). Subsequently, what kind initially started as a simple incentive for continuous purchases or as praise for new product or service trials has been converted into a wide and powerful industry which is the value of billions of dollars every year.

There are so many several reasons to make proper use of coupons for marketing a product or service. The primary reason is that coupons are an active methodto attain a large target audience. In a study, it was found that close nine in 10 people in America use coupons for the purchase of products and services, which makes the use of coupons extremely desirable in the target market of the company. In addition to that, coupons are a very inexpensive and convenient method to influence alarge customer base (Cheah, et. al. 2015). On the same path, the other reason for using coupons as an effective marketing tool is that coupons are a very powerful means of creating brand awareness amongst customers. Whenever a customer sees a coupon for a product or service, for example, The Body shop discount code FIRSTBUY applicable on first purchase by new customers, they are more expected to memorize the brand name and further recommend that to their friends and family. This happens because couponing has a strong attraction power which helps in catching customers' consideration and makes them excited about the product or service which are offered by the company (Išorait?, 2015). Finally, an important reason for using coupons for promotion and marketing is that it helps inboosting sales of the company and increase revenue. In fact, according to a report, around two-thirds of consumers in America say they are more likely to buy a product if there is a coupon available.

There are some impacts of a coupon on influencing customers' purchase intention.

Coupon has been highly utilized by businesses as an essential promotional technique and tool in different customer item categories. It is seen that people raised their use of coupons as an amount-saving measure in a poor or turbulent economic atmosphere. Marketers offer coupons intending to increase sales either by higher purchases through the present audience or influencing new audience into the trial purchase or both (Duan, et. al.2022).

Coupons play a vital role in supporting customers to decide where from whom they should buy a product in fewer prices. Coupons are a significant tool for keeping the current audience and asking old customers to give them another try to company.

Here are the important ways that coupon discounts affect consumers' purchase intention.

• Gaining trust - with the help of coupons company can earn the trust of consumers such as by offering them a discount on their main product which can save their costs and through this firm can gain the trust and loyalty of consumers (Zheng et. al. 2017). Providing realistic discounts or price reductions make a sense of comfort and trust.
• Create happiness - it is also seen that using coupons during purchasing items that are perceived as being more expensive than the price tag creates feelings of happiness through the release of oxytocin. This then can create a positive connection with the brand and raise the chances of returning business too.
• Minimizing the desire to look for alternatives - some customers truly enjoy the discount coupons on products, although, in today's digital world it's simpler than ever. That's why giving coupons on product prices is important to encouraging Marketers to act instead of constantly looking for a better deal elsewhere (Ubelet. al. 2016). If a discount coupon is attracting customers and is easily available, then there's a chance that the customers will act on it and purchase the products. A coupon is a promoting tool so it is necessary to apply it properly for customer use so they can use it for purchasing products.
• Creating a sense of urgency - coupons are one of the most useful tools for increasing sales rapidly because companies apply some limits on coupons such as limited-time offers, if the deal is worth it and the product is really good then consumers may worry about missing the deal so it is creating a sense of urgency for buying a product (Shamout, 2016).

There are so many different kinds of coupons that are popular in the market and also amongst customers. Some of the commonly used and popular coupons are as follows:

• Standard dollar or percentage discount - it is one of the most commonly used coupons it is also called a simple discount model in which it offers a price reduction, either as some dollar amount or a fixed percentage of the original price (Myers, 2019). This type of coupon can be used on a certain product, over a specific line, or used on the overall store or catalog.
• Threshold discount coupons - this type of coupon is used to encourage consumers to raise the amount that they spend to gain some specific discounts(Jiang et. al. 2018)
• Limited time offers - this coupon offers to foster a sense of urgency in customers, prompting their psychological vulnerability for not wanting to lose the opportunity. It can be used in several discount types but is most easily applied with the standard dollar amount or percentage off models (Trump, 2016).
• Free shipping coupons - this type of coupon is extremely famous in e-commerce businesses where customers purchase the product online through their mobile phones. To attract consumers for purchasing products from their site marketers offer this free shipping coupon. But now this also offers increasing online competition, and delivery costs which are a well-known sticking point when it comes to customers buying barriers (Wu et. al. 2021). Many companies now give free delivery of a product and frequently this trend is being followed by all the companies to attract their customers.
• Grocery coupons - The most commonly used and popular coupon is a grocery store coupon, these is just a piece of paper that is a cut out of a newspaper or circular or maybe from a pamphlet, which cut out of paper which promises to offer a specific discount on a particular product and service as mentioned by the company (Vadivelooet. al. 2020). These grocery store coupons could be utilized at any store which accepts them and is permitted by the company.
• Manufacture coupons - In this same category there are manufacturer's coupons, which are circulated by the company; these are involved in the making of the product, but not in the case of services. These kinds of coupons are typically seen on the packaging of the company or maybe on the company's official website (King et. al. 2019). These coupons are also allowed to be used at any store which agrees to take them and as per the permission mentioned by the company to these coupons as well.

Role of coupons in attracting customers

A contemporary methodology for attracting, engaging, and rewarding high lifetime values is coupon marketing. Coupons drive up sales to an exceptional extent making them a distinguishable feature for every industry. Small pieces of attraction boost the excitement in customers to buy certain products or services.

Coupons can be used in determining market strategies by manipulating a huge mass crowd with little effort of presentation. Introductory coupons play an essential role in informing the population about the product or service, some exemplary ones zeal up the customers to do impulsive shopping making it profitable for the business (Camilleri, et. al.2018). Broadcasting features at a minimal discount rate can help in driving up sales. The difference in cost is sometimes not even distinguishable but in terms of revenue for the industry, it comes out to be a trademark. The importance of coupons for a company is as follows:

• Coupons direct customers toward the company and also play a very important role in attracting brand-new clients.
• Coupons are very useful to promote new product categories and attract consumers to try a more rewarding product or service.
• Promotional tools like coupons encourage repurchasing of products and services from the current client base.

The advantages of providing coupons comprise the introduction of new customers for store and websites. Coupons also help to promote newly introduce product lines and sell unwanted and excess stock to make space for new products in the company. Coupons are used in the company to deliberatelymotivate clienteles to purchase a new product to improvementthe company's profit margin (Sinha and Verma, 2020). Coupons also have a significant role in creating loyalty in existing customers by offering those discounts as a result too, making sure that the customers continue to the part of the company and purchase from the store.

Mainly coupons are of three types which are Digital coupons, social media promotions, and offline store coupons, all three of them have advantages in revenue turnout but as a coin does not come with two heads, there are some disadvantages of the coupons as well. The advantages and disadvantages of coupons are as follows:

• Advantages:
  
  • Introducing new customers to the brand, store, website, or organization by offering minimal differences.
  • Bringing back the old customers by reassuring their trust.
  • Interactively approaching the population to make it engaging from the beginning.
  • Deliberatelyinspire customers to purchase a new, more money-making product.
  • Help boost the profit boundary to an exceptional level.
  • Promotion, communication, and engagement through coupons uplift the business to new bars (Nagadeepaet. al. 2015)
  • According to a survey, approx 55% of customers thought that businesses which proposal coupons and reductions create a more positive imprint of the organization.
• Disadvantages:
  
  • Costing the business currency, any discount will mean fewer money than originally.
  • Coupons could lead to a decreased profit, but the production cost remains the same, making it crucial to consider the value of coupon promotion and whether it leads to enough new sales.
  • Existing customers might get in the routine of coming up for coupons, cannibalizing the revenue (Lita Epstein, 2022).
  • This creates an unfair situation in which coupon users are being subsidized by nonusers.

Role of coupons as Influential marketing or promotional strategy

Coupons are not only promotional tools but they do benefit customers in many ways. An influential marketing strategy appears to be an attractive money-saver for shoppers. Coupons help in growing a huge customer base when it comes to owning the loyalty of customers. People recommend trusted brands or organizations to their close ones enlarging the network. A wide range of broadcasting methodologies appears to be influential marketing and it creates the essence of a brand or product over shoppers influencing them the best way out to do impulsive shopping leading to trust and building relations in near future. A presentable way of information transmission can grow business and benefits customers.

Coupons are a piece of paper that offers consumers discounts on product or services which is redeemable through any store, manufacturer, or retailer. This promotional tool is mainly offered by retailers or manufacturers in view to promote sales for attaining and accomplishing particular sales goals and objectives of the company, these are quite popular within small businesses because these are the only inexpensive method to distribute and due to their past success. Customers are asattracted to coupons as they provide direct value and savings options to customers, but in current years the expansion of coupon distribution has formed a definite excess in the market. This overflow of coupons provided isusuallycalled coupon clutter,which has resulted in reduced redemption rates in current years.

The major objectives that coupons offer are as follows:

Coupons are issued by the company to serve the variability of several strategic marketing purposes and objectives. One of the most important uses of coupons is to motivate customers to try products that are new to them, coupons are factuallyhas been equitably efficient at encouraging customers to try new products and services by further decreasing the risk of using new products and services. Coupons are also deliveredas part to transfer probationary users to full-time or consistent customers of that product or service provided by the company, like when a sample of a product comprises of cents-off coupon (Osuna et. al. 2016) In addition to that, coupons are a very strong tool for the company to influenceconsumers’ purchase intentionregarding all new flavours, sizes, or kinds of launched products and services.

Some other important objectives which are accomplished by the use of coupons by the company involved:

• Establishing retail circulation and support,
• Stirring out-of-balance inventories,
• Targeting various markets,
• Mitigating price rises
• Attractive promotional efforts with coupon add-ons.

Coupons are commonly used promotional tools by producers as of competitive compression. These promotional tools are utilized offensively contrary to the competition in the market; coupons are distributed to attract customers in a competitive market and product to try a new product and new brand which they have never tried. When this coupon isused defensively, the producer of the product offers coupons to current customers to retain them and further keep them away from influencing their purchase intention and diverting them from buying other competing brand products.

Role of coupons in the business

Coupons have the power to drive customer’stoward specificbusinesses, further boosting current customer engagement rates, and increasing revenue effectively. Physical coupons are introduced in the retail store in paper form, while digital coupons are provided over marketing messages on the company's business internet site and social media promotion platforms. According to research, it is been estimated that around 60% of consumers are most interested in trying the new product as an outcome of providing them a coupon for those products, on the other hand around 46% of customers were not that interested in it was visible that their purchase intention was not at all influenced by coupons as they were not ready to switch (Rus Ackner, 2019).

A coupon is designed to attract customers to repurchase a particular product or services from a company every time they, either by visiting a store or a company’s website, coupons are an effective form of increased sales and profits for the company as they work in retaining existing customers and attracting the new ones. However, it is very essential to prepare an approach and a strategy while presenting coupons to clienteles as they direct towardsainferiorrevenueper sale of a product, contemptengendering new and increased revenue.

Research Methodology

Data collection

Data collection is the act of gathering and studying information on a prearranged criterion that was used to inform an understanding. As a consequence, information that is useful to the business will be acquired. This may be accomplished using the program for assembling secondary data. General ledgers, publications, and profit and loss accounts will serve as the sources for each piece of information. The content for this research which discusses coupons as a tool for influencing the purchase intention of customers is collected from an extensive range of sources (Thomas, 2015). The research has analyzed several companies' balance sheets, sales data, and financial information as in understanding the effects of promotional tools on customers and the revenue of companies. Newspapers and official documents are only a few of the numerous sources.

Secondary research is organized and price-effective. Using this alternative way of data gathering has several compensations. Utilizing secondary data may expedite and save time on research projects. Secondary data can be used to make up for any shortcomings or gaps in a company's primary product or service. The productivity of research is increased by the availability of secondary data from a diversity of sources (Clark and Vealé, 2018). The data acquisition method has been highly effective. With the aid of this information, this research may discover more about the customers and how their purchase intention is affected. Secondary data can be cast-off to make conclusions on efficiency, cost investments, pertinence, and other benefits.

Data collecting, which the researcher judges to have accurate source authentication, is an essential part of the research process. Accurate and reliable data are collected through the use of data-gathering procedures.The present analysis has taken into account the use of secondary sources to gather data. It is advised to consult secondary sources if researcher wants essential information about the subject which is chosen. This counts the data as having been collected through books, articles, and readings. The primary advantage of using secondary sources is that they help with proper data collection (Neelankavil, 2015). The search strategy is used to give execution of a step-by-step plan to steer and guide the researcher in the data collection process. Google Scholar is being employed in the study research to have an appropriate collection and ensure that the impact of advertising on consumer behaviour is considerably acknowledged.

• Ethical consideration: The present evaluation also takes ethical issues into account. The study follows ethical standards, which has facilitated the accomplishment of high-capacity research outcomes. The conclusions are supported by a wide range of reliable and authentic sources that also adhere to research ethics. Regarding ethics, research procedures that include plagiarism are heavily taken into account. It means that none of the information acquired was stolen. Furthermore, ethics offer a compelling justification for data acquisition (Saunders, and Lewis, 2017).Important achievement factors are also taken into account, thus any source needing consent authorization is not used in the research since it is unethical. It could make it simpler to get better results and guarantee that significant aspects of the topic are respected.
• Limitations: Study restrictions are considered to be factors that might provide difficulties in terms of performing research and concluding the analysis. One of the research's biggest flaws is the utilization of primary secondary sources, which results in a little amount of data on the consequences of consumer behaviour (Alam, 2021). The research uses questionnaires to consider data from primary sources as one of its key accomplishments. In addition to this, a potential drawback of the study is that high-quality material may be found in both primary and secondary sources. Since access to these sources typically requires a premium or paid membership, the present study may be constrained by a lack of funding.

• Research method: A company implements the techniques, tools and tactics used in research methodologies to accomplish its objectives for situation change. The purpose of the study is to gather data that may be used to describe the likely cost and impact of strategic change, the communication strategy to be employed, and the distribution of strategic change. A range of data-collection technologies is used by various data inquiry methodologies. The best method for gathering data for the study is the "Qualitative Approach" (Moore et. al. 2021). Every method is proven effective for the study. According to research criteria, the procedures are flexible and scalable, thus they will be effective for the business. Qualitative research is the greatest research approach for acquiring material pertinent to the subject. The researcher employs the qualitative approach to get thorough information around the business. The information acquired may be used at work to further desired goals (Graue, 2015).
• Research approach: The research methodology's procedures, strategies, and activities are founded on simplifications. Inductive research is used to generate things that might aid in learning outcomes. Information about organizational strategy changes or situational changes may be gathered using this method. The study begins with several studies and evaluations of organizational strategy change drawn from various data sources and the previous results of the example business. The endearing element is backed up by information, evidence, and data obtained.

Reason for choosing survey (questionnaire)

The report has surveyed to discover the answers for a specific and very important topic which is the role of coupons in influencing purchasing behaviour of customers. As it is mentioned above purchase intention of the customer is fully based on the consumer's behaviour, what kind of thought he/she has regarding specific products or services, or on trying new products and services by switching to another brand (Apuke, 2017). The report has conducted a questionnaire in which the report has considered two popular data collection method which is the primary data gathering method and secondary data collection technique, these both are the most convenient method of data collection.

The report has used both of these methods, in the case of the primary data collection method report has measured a questionnaire for surveying the topic of the report which is coupons as a tool to influence purchase intention. The questionnaire is a very popular form of a primary data collection method in which the researcher collects accurate and fresh answers in form of feedback to the questions (Krosnick, 2018). The questionnaire is a list the questions that are put all other in a form or survey to collect responses from the respondents regarding their thoughts, attitude, experience, and opinions. This tool survey provides qualitative as well as quantitative information to the researcher. These are most commonly used in market research and also in social and health sciences research. Designing a questionnaire refers to creating valid and dependable questions which made to address the research objective, help in putting them in a useful order, and selects an appropriate and efficient method of administration. Questionnaires used in this report are self-administrated questions, these questionnaires are usually more common than the other form of questionnaires because these questions are very convenient to implement and are an affordable form of data collection. Self-administrated questionnaires are available in paper as well as online format, in which the questions are distributed to every single person who is participating in a survey; this distribution is done via mail or in printed form distributed in person (Patten, 2016). All the questions are well standardized and all the respondents receive the questions in the same format and identical wording. These types of questions can be cost-effective, self-placed, convenient to answer, and suitable for sensitive topics. The questionnaire includes closed-ended questions which provide the respondents with restricted choices, these questions have a fixed set of answers and they are required to select answers from that set only.

Data analysis and Discussion

• Data analysis: Data analysis must also be taken into consideration by the researcher because it helps to bring the study to a close. It may also be referred to as a procedure that supports the investigation by using the proper tools and techniques. Both qualitative and quantitative research approaches are used in the current study.It makes it simpler to concentrate on and understand how coupons affect customers' buying intentions. The basis for carrying out the study based on the qualitative inquiry is having accurate and reliable information on the issue (Goertzen, 2017).In the current study, questionnaires were issued to analyze the research's findings. Important collection-related permission factors are also taken into account, thus any source needing consent authorization is avoided because doing so goes against ethical norms. It could make it simpler to get superior results and guarantee that crucial aspects of the subject are respected.
  For data collection, the report has selected the questionnaire as the qualitative and quantitative data collection for better responses. In this questionnaire method, a certain set of questions were distributed amongst participants in form of Google forms. In this form, there are 10 questions with a close-ended set of answers. These questions which are asked in the questionnaire are related to customers' purchase intention and what affects it the most, and these questions also highlight the promotional tools coupon and their role in influencing the behaviour of customers. The questions asked of respondents are as follows:

1. What does the customer think about coupons? Are they useful or just waste?
2. Are coupons useful in driving attention toward the new product?
3. Are coupons useful for customers?
4. Do customers' purchase intentions are influenced by promotional activities?
5. Do coupons influence the purchase intentions of customers?
6. Are coupons an effective method of promotion?
7. Do you as a customer prefer the use of coupons?
8. Do coupons offer any benefit in purchasing any product or service?
9. Are coupons helpful in encouraging you to try a new product?
10. Does your buying behaviour towards the particular company influence by free coupons?

These were the respective questions asked to the participants regarding their buying behaviour, purchase intentions, and their thought regarding the use of coupons.

Are coupons useful for customers?	Do customers purchase intentions are influence by promotional activities?	Do coupons influence the purchase intentions of customers?	Is coupons an effective method of promotion?	Are you as customer prefer the use of coupons?	Do coupons offer any benefit in purchasing any product or services?	Are coupons helpful in encouraging you to try new product?	Does your buying behaviour towards particular company is influenced by free coupons?
Sometimes	Moderate effective	not that effective	Extremely effective	Sometimes	no benefit at all	Moderate effective	Sometimes
Many times	Extremely effective	Yes	Definitely	Moderate Beneficial	Extremely effective	Sometimes
Sometimes	Moderate effective	Moderate effective	Extremely effective	Definitely	Moderate Beneficial	not that effective	Not effective
Many times	Extremely effective	Moderate effective	Extremely effective	Definitely	very beneficial	Extremely effective	Definitely
Many times	Moderate effective	Moderate effective	Moderate effective	Definitely	Moderate Beneficial	Moderate effective	Definitely
Sometimes	Moderate effective	extremely effective	Yes	Sometimes	very beneficial	Extremely effective	Definitely
No use	Not that effective	Moderate effective	Extremely effective	Definitely	very beneficial	Extremely effective	Definitely

The answers to the questions can be evaluated through the below chart attached in figure 1 for analysing and effective making of this research.

Figure 1: Questionnaire answers from 7 people about the Coupons

Discussion

Coupons have the power to drive business from one store to another and help in creating a discounting promotional strategy to grow the company's long-term business and sales from each customer. Coupons also entice clients towards more money-making products and services. However, it is very important to equivalence the net profit made from a coupon campaign or coupon marketing strategy adopted by the company to the costs of the discount offered or less profit on each product attained from new as well as existing customers.

While planning for applying a coupon strategy, the company needs to think about how it wants to implement this promotional strategy to improve working and revenue generation for the company, following points are to be considered by the company:

• When a coupon directs the customer to the store, those customers might also buy some other products which are not part of the discounted section, it is a common strategy used by food and clothes companies (Corey Ferreira, 2019).
• The coupon can launch new customers to stores, which further helps in fostering a long-term relationship with the customer with the help of communications through social media platforms and email marketing.
• The coupon has the power to reassure customers who are not been part of the company for some time. For example, a company could refer a coupon to customers who are not recent customers of the company, by using a piece of good marketing information.

Coupons are essential for e-commerce since they motivate customers to participate. Coupons are more likely to be profitable for emerging or new brands. A majority of consumers are motivated by digital coupons, and 54% of consumers select new brand simply because it is less inexpensive. The correct coupon marketing approach allows businesses to reach customers using email, SMS and social media when they already socialize online. A relevant, timely, and perceived-value-driven coupon campaign might benefit a business by increasing awareness and bringing customers to a close. Some of the recommended strategies to be applied by the company are as follows:

• Add discounts to lead forms – Lead magnets, as the name implies, are an effective instrument for capturing fresh leads. Due to this customization, lead magnets enable businesses to provide a range of advantages in compliance with their business model and target market expectations. For instance, members may receive an eBook, access to a webinar, a checklist, a resource guide, or even a film with expert knowledge in return for providing their email id.The discount offer is one of the most common lead magnet kinds (Shani Leead, 2022). Customers can receive a discount whether in percentage or money off of future purchases. Lead magnets arise on a business' website once clients do the following actions:
  
  • Spending time looking for company’s store
  • Scrolling down on the web page of the company
  • Moving the cursor to the page, the idea generated here is to get people’s attention and encourage them to retain on the website for a longer period by providing encouragement
• Use limited-time offers -A limited-time offer is a discount that a customer can take advantage of for a specific period. The company might choose availability to be a few hours or a few days, for instance, by including an expiration date on the coupon. The major aim is to encourage customers to take action fast. The purchaser may consider that a product is much more desired now than it was even a few days ago before the discount campaign went live credit to this form of constraint marketing. Limited-time deals sometimes appear around promotional events or noteworthy seasons, like the holidays. Additionally, this strategy attracts customers that are still in the considering phase of their customer journey. They have investigated their choices and reduced their number. When customers arrive at the company's website and discover the deal, they see the value recently provided by the company in addition to receiving what they want at a lower price. The company is required to conduct some research to learn about, what kinds of deals other companies are offering to make other offers stand out from the crowd. After this company can work on finding out how to get farther (Fora Financial, 2022).
  For example, in the case, of a company offering free delivery with the initial purchase of each new customer, follow the same gesture and include a gift card for a relative and friend. Keeping customers of the company alter of limited-time deals by using email marketingwhich can impact the company very positively. Including a countdown timer in emails sent by the company to further remind customers, of a limited amount of time left for them to purchase the item they've been admiring. This will create a feeling of desire that encourages them to act.
• Strategize what types of deals to offer - Due to their effectiveness, percentages and flat-rate discounts are common. The capacity to control costs financially affects the discount which the company offers. The important thing to be offered to first-time buyers is a $20 discount, but the company needs to have second thoughts on how wills this impact. Would the company still be able to earn a profit, or is there any chance of losing allof its money? Beforeestablishing companies discount campaign, a company needs to think about what matters to a targeted audience. Aterrific approach to discovering more about what customer’s desire is only done through customer surveys (Michael Pignataro, 2019). If the business has conducted prior consumer surveys, it will have data insights to use as a guide for developing a discount strategy. Based on this survey outcome and customer feedback, the discount options offered by companies might also include the following:
  
  • Free shipping
  • Unrestricted cart savings
  • Gift with purchase – provide a cheap but useful present that establishes the tone for the new client relationship.
  • An option to the success of achieving giveaway –customers might join up, but in this case, the company needs only distribute a limited quantity of goods
  • Share a recommendation or involve a gift card—it is very impactful because many companies want to be looked at as an innovator.
  • Offer an old customer that may just appreciate a printed type of discount.
• Create a customer reward program - Customer loyalty may be greatly boosted with the use of reward schemes. Customers receive special deals that are valuable and enable them to save money in return for continually choosing to purchase items over those of competitors. Customers' lifetime value (LTV) and revenue both increase with the length of loyalty. Reward schemes appear to be effective overall. Loyalty programs are predicted to increase from $4.43 billion in 2021 to $18.22 billion in 2028, according to studies. This is in part due to the development of machine learning and artificial intelligence, which may give organizations insights into the techniques that are most likely to convert clients.
  Reward the loyalty of customers with exclusive offers. When clients reach particular milestones, the business may even provide extra advantages like a free product as gratitude, such as delivering a gift on a customer's first anniversary. Finding out what the target consumers need is the first step in developing an engaging incentive program. Onbasis of what the company needs to know about them. Such as what goods do repeat customers purchase the most frequently and what benefits they should use most, such as the proportion of total discounts or dollar-for-dollar savings (James Johnson, 2020).
  The next stage is to divide the customers into groups to develop customized campaigns and messages for different customer types. For instance, the ABC Company sells both men's and women's apparel. Establish a rewards program that enables each section to accrue awards, points, etc. for use on particular purchases.

Conclusion

The research is concluding the importance of promotional tools in influencing customer purchasing intentions, which play a very important role in affecting the demand and supply of a particular product or service. The research highlights the importance of the purchase intention of the customer and also discusses the factors that affect the customers buying behaviour. The purchase intention of the customer is mainly measured by evaluating customers' attitudes toward particular products or availing services. A company needs to analyze the purchase intention of the customer, for deciding on which promotional tools are best in attracting the company. The major aim of this research is to identify the factors which influence customers' behaviours and purchase intentions and also focuses on evaluating the impacts of coupons on influencing customers' purchase intentions. The research discusses that various factors influence the purchasing intention and various factors influence buying decisions of consumers.Thestudy helps in understanding how consumer adopts a product and what encourages or attracts the consumer the most, company can fulfil the gap in the market and recognize the products that are required and the products which are outdated. For a detailed understanding of customer behaviour study highlights the types of consumer behaviour which influence the demand for the product in the market.

Concerning the purchase intention of the customers,the study talks about the importance of promotional tools in influencing customerbehaviour. Promotionaltools are very efficient in highlighting and spreading awareness regarding the new brand, encouraging loyalty of the customer, and up surgingsales of a specific product or service. Promotional tools play the role of strategies, resources, or methods which induce consumers’ purchase intention. The research discusses various promotional tools, and also states their importance in promoting and marketing a product and how effective these tools are in attracting customers and influencing their purchase intentions.

The major focus of research is on how coupons work as a tool for influencing purchasing intention of customers. The coupons have the power to drive customers of the business towards the business, help in encouraging existing customer engagement, and also help in increasing the profits for the business. Coupons are the tickets or documents which are redeemable against any financial discount or repayment while buying any product or service of a particular company. Coupons have their marketing sectors known as coupons marketing which is a business methodology preferred by companies to engage, attract, and reward customers by providing various forms of encouragement. The study develops a detailed understanding of the impact of coupons on influencing customer's purchase intention, as it is very well known that coupons are very popular and are one of the most effective methods of promoting products or services, but also their categories, approaches of distribution and resources which has grown over the past year performance. Marketers offer coupons to increase sales either by higher purchases through the present audience or influencing new audience into the trial purchase or both. Coupons play a vital role in supporting customers to decide where they should buy a product. Coupons are a significant tool for keeping the current audience and asking old customers to give them another try to company. The report has considered a questionnaire as the data collection method which provides qualitative as well as quantitative data; the questionnaires were filled out by 7 different respondents. This questionnaire helps research to properly evaluate the purchase intention of the customer and what the respondents think about coupons as a promotional tool attracting new customers and retaining the old ones. At last, the report recommends some factors that a company needs to consider for attracting customers by using coupons as a toll of influencing. While planning for applying a coupon strategy, the company needs to think about how it wants to implement this promotional strategy helps to improve working and revenue generation for the company. The research recommends various methods, schemes, and techniques to utilize coupons effectively and to influence customers' purchase intention.

use my discount

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