Is there coupon code entry?
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Conventional wisdom dictates coupon codes help increase conversion rates because customers save money. However, computer and electronics retailers showed a 40% higher conversion rate when coupon code entry was not available. Likewise, conversion rates were nearly 2x higher at retailers selling high ticket priced items when coupons were not available. Our best guess is in a highly competitive vertical where consumers make major purchases such as flat panel TV’s or jewelry, the benefits of having a coupon are worth the invested time of abandoning a cart and searching the web for one. Shoppers may feel they are not getting the best deal possible and look elsewhere or delay the purchase for a future date, thus lowering conversion rates. The possible savings on low ticket items does not seem material enough to warrant the time investment required to abandon and look for a coupon, thus the comparable conversion rates for both available and unavailable.
25% of Top 100 retailers do not offer coupon code entry, while 33% ask for a coupon on the cart page and 42% ask for them within the checkout process.
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An in-depth report on the checkout tactics used by the Internet's Top 100 online retailers
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