With the help of coupons, a frugal consumer can save money by using the free online service offered by different coupon websites. Coupons help you save money when you buy groceries, clothing as well as when you use other professional services. The websites offer coupons that are printable as well as the ones you can use when you shop online. There are many coupon websites that offer these coupons or discounts for businesses and make money out of it. Coupon sites can generate a lot of money, as everyone is on the lookout for a promo code so that they can save some money on their purchase. Let’s see how coupon sites generate money.
Commissions through Affiliate partnerships
Affiliate partnerships is the best way of increasing revenue for a coupon website. The coupon website partners with an affiliate business and the business will send deals and offers to the coupon website. These coupons will be linked to products that are being promoted by the business. The coupons are distributed through the site and also through other social media links and consumers use the coupons to buy the product. Hence, when a customer clicks on the coupon site to reach the merchant’s site and when he makes a purchase, the coupon website is able to get a commission on every sale. This means that the coupon website is actually making money in the form of referral commission. The percentage of the commission depends on the agreement made between the coupon website owner and the business.
Another way how coupon websites make money is by having in text ads. These ads are not very intrusive and don’t annoy the visitors. The visitors will see words that are underlined and when they move the cursor on the word, they can see an ad and click on it. By partnering with some programs such as Google Adsense, the site makes money on the basis of number of clicks on the ad. This is known as the pay per click advertising. They link their websites to popular programs such as Amazon or Google AdSense that offer such monetary incentives in return for advertising. In some cases, the affiliate partner also offers his advertising and the business pays the coupon website for the number of clicks on a particular advertisement.
Fees for Marketing
Some coupon websites also charge the business a fee in turn for marketing their product. This works for popular distributors who are able to boost the business and bring the sales to a high level. This fee is received in addition to the commission on each purchase.