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How Important Gift Vouchers and Discounts are for Your Amazon Store

How Important Gift Vouchers and Discounts are for Your Amazon Store?

To attract the customers, the sellers keep on offering them promotions, discounts, coupons, and gift vouchers. These enticing offers help in gaining new customers and retaining them to their online store. But sometimes, sellers don’t understand the difference and importance of gift vouchers and discounts. 

We, therefore, come up here to let you know the difference between the gift cards and discounts so that you can better utilize in your Amazon store. This will start the flow of customers and money in your online store and you will get the better results. 

But before going into deep, let’s get discount and gift voucher in one line-

  • What is a discount?

A discount is a few percent reductions on the MRP of the product.

  • What is a gift voucher?

A gift voucher is a coupon worth of fixed price which a customer can redeem to buy things of the same price. 

The important things that you should need to know as an online seller are-

  • Which is better between these two?
  • What should you offer discounts or voucher?
  • And, lastly, When should you offer such alluring offers to the buyers?

Let’s imagine the scenario:

For now, just forget that you are an online seller and fit yourself into the role of an online customer looking for a product to buy. You will search for more items and pick up one based on its qualities, your requirements and more importantly on the basis of its price. The price of the product affects their buying decision. If they find the product in affordable price they instantly make their buying decision while higher prices of the commodities repel them off from your store. They start haunting other stores to find better products at the cheapest price. 

Here comes the role of vouchers and discounts that increases the shopping rate. 

Let’s again imagine the scenario-

You are a customer looking for a coffee machine to buy and you find it two prices- $60 with 30% off and at another store, you see an Amazon voucher worth $18 off on MRP $60.

Which price you will find easy to calculate?

With easy maths, you will find the later price at $42 while for the previous you would be required a little bit calculation to minus the 30% of $60. To be surprised, both the prices are equal, the only difference is how the customer easily grasps the information to make a buying decision. 
Some customers find coupons and gift vouchers more worthy than the discounts while some have opposite views.

No matter the price is equal in the discount offer as well as flat off in the gift voucher, you as a customer will find a voucher more convenient. While sometimes the discount price is more and customers will gonna a click at buy button on the discounted products.

When to offer discounts and Gift Vouchers to customers?

Customers always love to do their shopping at the minimal cost. So your gift vouchers and discounts will always work as the magnet to attract them more often to your store. But to get profit, you must pick the right time and right products. 

  • During the holiday season, festivals, new year etc. there emerges the flow of shoppers seeking a wide range of products. This will be a good time.
  • You can leverage your existing customers with the discounts and coupons so that they would be retained with you.
  • Gift vouchers, coupons, and discounts could encourage buyers to do more purchase. You can offer coupons and discounts on the fixed purchase (say $50 or more) or on their next purchases. 
  • You can offer discounts and coupons on those inventories which you have stocked from a long time in your ware house or Amazon fulfillment centers.
  • In cross-selling and combos, the discounts and coupons could be applied which boosts the sales volume.

Benefits of offering discounts and Coupons-

  • Brings more customers.
  • Increases purchase rate
  • Boost the sales volume of your store.
  • Helps in retaining more customers.
  • Helps in decreasing the piles of extra inventories, and saves your money from paying to FBA for stock piling.

Having a strategy is good-

It is pretty clear that offering discounts and gift coupons mean to reduce the prices of the commodities you are selling, therefore, it is of utmost importance to consider your business profit. Therefore, working with the right pricing strategy is important. 

Read: Right Pricing Strategy- Key tool for Amazon Marketing

  • Calculate your profit margin and then fix the offer price or coupons to be redeemed. 
  • Set the budget and time limit for offers and discounts.
  • Run the promotions for your offers, so that more customers could know more about it.  

Read: Thinking to go for Sponsored Products Ads (PPC Campaign)


Amazon helps its sellers in setting the promotions, discounts within the budget. When the customers use these discounts, coupons and reach the seller’s budget, Amazon takes of the coupon offline and saves the sellers from going into the loss. So, don’t waste your time and get ready to earn online on Amazon. 

If you are stuck anywhere in making a strategy for coupons, offers, running campaigns and promotions on Amazon, sales-boosting planning, come to us at evantage.

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