How Coupon Companies Make Money
This was one of the doubts that were uppermost on my mind when I was only beginning to learn the ropes of couponing. I got initiated into it when my son was adamant that I buy him a video game that which was obviously not in my budget.
His birthday was slowly crawling up and I knew that it would be on the top of his wishlist. I had begun saving but I realized that even if saved big time by giving up smaller comforts there was no way I was going to be able to make him happy on the D day!
That was when I hit upon this concept:
Internet research can yield a lot of benefits. I began reading how people cut and stack coupons to get a good deal at shopping; clothes, grocery, gifts, services, it had everything covered!
But I wanted to know how these coupon companies make money. In order to be able to survive and pay their overheads, it is obvious that they need to make money too.
Couponing companies bridge the gap between the direct sellers and the consumers:
While they help distribute the coupons to the customers and increase the store or website traffic, the customers get great deals by cutting their coupons and availing the discounts on its face value.
It is undeniable now that I scourge couponing websites, I love doing this because in the past I got a great deal here and it is extremely dependable.
Here is how couponing companies make their money:
- Advertisements on their websites fetch them big income;
- The payment that they may receive from the direct sellers as a commission for the service;
- When consumers sign up for package coupon deals;
- Bulk sales of coupons can yield them considerable income;
- Affiliate programs that help them disburse the coupons on monthly basis with sales targets.