If you have ever shopped at a grocery store or opened the Sunday paper, then chances are, you have encountered several coupons. With the rise of online shopping, this incredible way to save loads of money on your purchases has also gotten a huge upgrade in the form of coupon codes.
Just what are these coupon codes you ask? Coupon codes are a series of numbers and letters, which when entered on certain shopping websites, that allow you to receive significant discounts on products available on that particular website. They offer the same discounts as your customary paper coupon, without the frustration of paper clippings and those nasty paper cuts!
Just where can one obtain such coupon codes you ask? There are actually a host of websites that offer these money saving tools. These websites actually profit by enabling you to utilize these frugal tools to save you big money on your purchases. I know, I know. That sounds confusing. There’s actually a really good reason why a website would profit by providing you with means to reduce your spending.
You have to realize that these coupons are the equivalent to an advertisement. It is a tool to draw more customers. Think about it, at which store would you spend your hard earned money: the one that sells items strictly at sticker price or the one that offers discounts to faithful shoppers? That’s a no-brainer!
Even if a company may lose 15% of their profit by customers using coupons to by their goods, the amount of NEW customers drawn to these discounts makes up for the loss. The company that offers these coupons actually gets a larger piece of the market pie!
Websites that offer these coupon codes get paid every time a customer uses a code provided by that website to buy products from a company. A coupon code contains information like the origin of the coupon, therefore making it very easy to determine which coupon site should be paid for which customers.
There are several shopping websites that attach coupons directly onto a “shopping cart”. In turn, this makes shopping very easy. Although, this can prove to be dangerous. The items in the pre-filled shopping cart may not be necessary to the customer and may not be considered in their budget.
How are these coupon codes used? A typical paper coupon is presented to the cashier at the time of purchase. The coupon is then entered into the computer as a purchase. The value of that particular coupon is recognized as a negative number and therefore deducts the amount of the discount from the total .
Coupon codes work in very much the same way. Although, with coupon codes, the verification process is a lot quicker. The code activates stored information on a website’s database. This allows the code to be deducted from the total amount of your purchase very fast.