What is a Promo Code? - Knowledge Base

By Greenpromocode Team 1 hour ago read

If you're shopping online, you're always on the lookout for the best deal possible. Promo codes, or promotional codes, are an exceptional resource for helping you reduce the price of your purchases to get an excellent deal for your desired products or services.

Often found in media—whether in emails, social media posts, or even traditional print communications—and only used once by customers, promo codes offer immense value to merchants, brands, and their consumers.

In this article, we're going to explore what the difference is between a promo code and a coupon, what are the different types of promo codes that you can use, what benefits they provide for brands, and even some frequently asked questions that you're likely already pondering about promo codes.

After reading this, you'll understand all that you need to know not only to find the promo codes you desire but also to ensure that you optimize their use so you can continue to enjoy extraordinary sales and discounts. 

What's the Difference Between a Promo Code and a Coupon?

Many people often wonder if promo codes and coupons are the same or if there are differences between these two commonly seen terms online. Fortunately, promo codes and coupon codes are often interchangeable and defined nearly identically. They are also used usually in the same manner and often found through the same channels.

Similar Distribution and Format

Promo codes and coupons are the same, often distributed through channels like social media, print advertising, and more. They are nearly everywhere for those looking for the best coupon codes and promotional opportunities!

When you download a promotional code, you'll also notice that—whether the brand identifies it as a coupon or promo code—it often entails a combination of letters and numbers that signal to the brand that there should be a percentage or small discount off your original price.

Comparable Terms and Conditions

Promo codes and coupons also come with terms and conditions that outline how you can use these specific codes to your benefit. This entails definitions about how many times the codes can be used, how often they can be used, and an expiration date. Expiration dates are nearly always used to ensure that coupons are specific to seasonal sales or specific marketing goals of the company.

However, even then, there are companies out there that have no expiration date for their coupons, which is an excellent bonus for those who collect several over time!

What Are the Different Types of Promo Codes?

Now that you know that promo codes and coupons are pretty much the same, it's critical to know about the different types of promo codes you'll encounter in your search for the best price for your desired products or services. Here are five common promo code types that you will encounter that offer distinct benefits—but also exclusivity for some of them.

Public Codes

Public codes are the promo codes that anyone can find on the internet, making them the most widely accessible and used around the world. You can find these when searching on social media, company websites, or even promotional code websites that gather available coupons in one place for your convenience. These are great options for those who want to enjoy the discounts without signing up for loyalty programs.

Private Codes

As the name implies, private codes are unique because they are not accessible to everyone. You won't find these online on public channels; instead, if you are a member of a loyalty group or a VIP customer for a brand, you'll receive them through specialized channels.

These are designed to enhance the retention of a brand's most loyal customers who continue to support their company. If you sign up for a company's loyalty programs, you'll likely receive regular coupons and enjoy additional discounts in addition to those made available to the general public.

Restricted Codes

Restricted codes differ from public codes in that there are often more terms and conditions and specific requirements for using them. For example, a public code may only have an expiration date to adhere to, but a restricted code requires you not only to purchase a specific item but also to limit how much you purchase and how many times that discount can be added.

This helps businesses control their promotions, limit their losses, and ensure that they are turning over the right inventory so that they continue to thrive in the market. However, consumers shouldn't worry about the restrictions on codes, as they'll still get that highly desirable discount that they're after as long as they adhere to their terms!

Referral Codes

Promo codes don't have to come directly from the company but can also come from customers who drive others to the same brands. If you have ever sent a code to a friend and gotten a discount for you or even for both of you, then you've used a referral code. These promo codes are exceptional for ensuring that brands can continue to reach new demographics. Best of all, because they are referral codes, word-of-mouth marketing is quite effective at driving people to a brand to purchase and try their offerings.

Free Shipping

The last—if not one of the most common—promo codes are the free shipping codes that brands often deliver to their customers. These can be in the form of codes marketed online or even present when you go to their website, and they offer free shipping for orders over $25 or any other amount. While these eliminate shipping costs, they can often increase sales for brands. At the same time, consumers like you can enjoy more items for less money and leave no items left behind in your cart.

The Benefits of Coupon Codes for Merchants

With an understanding of the various types of promo codes or coupon codes that exist, you're likely curious what are the benefits for merchants. They are often obvious, but others are less clear to customers who enjoy the benefits of reduced pricing. Here are some of the most common pros to using discount codes if you are a brand or have a company:

Drive Sales to Your Brand: One of the best and most obvious reasons to use coupon codes is to drive sales to your site. Not only do these fantastic discounts help customers feel more motivated to purchase from you, but you will also drive more engagement and conversions, gathering more customers and potentially even expanding your current customer demographics.

Increase Your Following: Brands that want to grow their companies will offer discounts to help entice people and increase their followership. These coupon codes will be highly beneficial in driving people to social media platforms and sites and even to sign up for newsletters. All it takes is a $10 off coupon for a customer to sign up for an email list, and you suddenly have even more followers, ensuring your company continues to grow.

Customer Loyalty: Coupon codes, without a doubt, lead to even more customer loyalty over time, ensuring that people continue to come back to your brand. If consumers know—for example—that you run a sale every single holiday season, they will feel compelled to come back and feel as though your brand is the right place to shop. The more value that you offer, the more a brand benefits and the happier and more loyal your customers will become.

Gain New Customers: Coupons are an exceptional way to gain new customers and to potentially even expand your target market. As you consider how to provide discount codes and to what extent you can market them to specific demographics who would not normally buy from you. However, upon purchasing with a valid coupon or two, they will become loyal and see your brand's value, ultimately driving even more expansion for your ideal audiences.

Avoid Losing Customers: There's nothing worse than losing customers, especially those who have been loyal to the brand for several years. Fortunately, you can use promo codes to keep your customers happy and to ensure that you retain as many of them as you can. It is inevitable that you might lose some customers, but ultimately, if you are able to use promotional codes to keep your customers, then it is worth it in the end for the longevity of your company.

Frequently Asked Questions

  1. Can I use two different promo codes at the same time?
    This is usually up to the brands, as they may not allow two coupons to be used at the same time. Often, many companies will require that only one discount be used per purchase. For the most specific information, please check with the brand you intend to purchase from to see what terms and conditions they have for their particular discount codes.
  2. What if my promo code does not work?
    There are many reasons why your promo code may not be working. For instance, you may have already passed the expiration date by the time that you want to use the coupons. You may also have already used it, which can be easily checked at the store or even online, depending on where you are shopping.
    If you have to manually put in a code, you may be mistyping it, which can definitely lead to issues. If you find any other issues even after checking these concerns, do reach out to the company to see what can be done or if they would be able to provide further insight.
  3. Where can I find promo codes?
    Promotional codes are found nearly anywhere you can imagine online and in print media today. You can find promo codes on retail websites, from newsletters that these brands send, on social media pages, coupon websites, and even through loyalty programs. The options are endless!
  4. Are promo codes available for every single company?
    While you may want to enjoy discounts from every company, not every single company is going to offer promo codes. Unfortunately, not every company has discounts, but there are still many coupons to take advantage of.
  5. Can I reuse a promo code?
    In most cases, you likely cannot use a promo code once you have already used it in one specific purchase. However, even though this is usually the case, your particular coupon and brand may have a different policy. Be sure to check with them to see if you can reuse coupons ahead of the expiration date.
  6. Can promo codes be restricted in their distribution to customers?
    Yes, promo codes are often restricted in terms of the number of coupons that are available. If you have ever seen a marketing campaign that says, “Claim your discount today while promo codes last,” this is exactly what it looks like when companies restrict the number of discounts that can be distributed and used by their customers.
  7. Are there any rules for using promo codes?
    Yes, as described in the article, there is usually a set of rules—called terms and conditions—that outline how a promo code or coupon can be used. These often relate to the expiration date, the number of times it can be used, and how it can be used with specific products or deals already in the store.
  8. How often do promo codes become available to the public?
    Promo codes and their availability often depend on the company and the time of year, as not every company makes coupons available to the public. However, you can check with specific brands or even websites that distribute coupon codes to see how often they are available.
  9. How can I know when there is a new promo code that I can use?
    If you want to know when a new promo code becomes available, the best thing to do would be to sign up for company newsletters for your favorite brands, follow them on social media to never miss discounts and sales, and also to check websites that display multiple coupons. That way, you can always be informed about the latest discounts that are available.
  10. How effective are promo codes for a brand's marketing efforts?
    Promo codes are highly effective for a brand's marketing efforts, as we have explored. They can drive sales, increase customer conversions, foster more loyalty from your existing customers, and even attract brand-new customers or customer demographics. Therefore, coupons are widely successful and effective at what they do!

Take Advantage of Promo Codes on Green Promo Code

To ensure that you always know when the best coupons and discounts are happening for your favorite brands, you need to be informed. With Green Promo Code, you can take advantage of all the promo codes you can find so you always get the best deal possible for your desired purchases. Check out our coupon codes today!