Harmony in Retail: How Post-Transaction Ads Transform Shopper Discounts into Retailer Profits

Every shopper loves a deal. But the best-case scenario for the consumer comes with a downside for the retailer: discounts destroy profit margins. 

What if there were a way to bring more balance to discounts, delighting consumers while also delivering incremental dollars to a retailer’s bottom line?

Post-transaction advertising presents an innovative way for online retailers to reward their customers with personalized offers and discounts without having to slash prices or take a loss on their own inventory.

Demand for Deals & Discounts: A Tale as Old as Time

In so many ways, ecommerce has conditioned consumers not just to expect deals, but demand them. A recent survey shows 90% of Americans are more interested in receiving discounts, coupons, and cash-back rewards due to rising prices. Furthermore, 82% said they are more likely to complete a purchase when they have a coupon or discount.

For the most part, deals and discounts should be structured and targeted as part of a clear, online marketing strategy focused on attracting and maintaining customer loyalty. While one-off sales are great for moving excess inventory, they don’t always do much to support customer retention goals. 

This is where post-transaction ads come into play. Taking on a key role within the commerce media ecosystem, post-transaction ads sit on ecommerce confirmation pages. They allow retailers to provide customers with all the joy and excitement of a deal or special offer while generating incremental revenue on the back of the exchange. 

Satisfying Shoppers Without Sacrificing Profits

Here’s how it works. Online retailers own the relationship with their customers. This comes with a wealth of first-party data and consumers with a clear intent to buy. Meanwhile, advertisers are eager to partner with ecommerce platforms to tap into this data and reach their target audience.

With post-transaction ads, retailers can present users with curated deals and discounts on behalf of third-party advertisers. Living just beyond the point of purchase, these ads are targeted to customers based on demographic insights, shopping history, and contextual data.

Since these ads appear after the online sale is complete and confirmed, they don’t interrupt the customer’s journey. Instead, they enhance the relationship between the shopper and the retailer, delivering relevant deals as a “thank you” for shopping, not just a persuasive push to keep spending. Retailers also generate incremental revenue on top of the sale, with minimal resources and investment required.

Post-Transaction Discounts Win Hearts and Wallets

Post-transaction ads appear as a natural next step after the customer makes a purchase, helping to ensure viewability and engagement while the consumer is in the buying mindset. 

Demonstrating that you have something special to offer is a tactic that builds loyalty and encourages repeat business. Three forms of post-transaction ads that work well when centered around deals and discounts include: 

• Free Trial Offers
  Free trial offers are especially attractive in a post-transaction advertising setting because they don’t require the customer to spend any additional money. They provide a risk-free opportunity for consumers to experience a product or service firsthand, often leading to increased trust and a deeper understanding of the product’s value.

• Cashback Offers
  Delivered in the same moment a consumer clicks “submit order,” cashback offers reward consumers for making a purchase. The prospect of earning money back on a recent transaction motivates consumers to view the advertiser favorably and consider them for future buying decisions.

• Bonus Offers: 
  Bonus offers help to remove a barrier to entry in the customer journey, essentially giving consumers “free money” in order to try a new product or service. A CTA like “Redeem your $10 bonus today” offers a clear financial incentive while also prompting the user to take immediate next steps.
  

Building Loyalty & Trust with Post-Transaction Ads

The most important relationship a retailer has is with the customer. While it can be easy to get swept up in the commerce media craze, it’s up to the retailer to guard their customer experience carefully while protecting their margins. Post-transaction ads offer a happy medium. As a tool to surprise and delight customers after the purchase, they foster loyalty with consumers while unlocking a new revenue stream for ecommerce businesses. 

Looking to build customer loyalty without eating into profits? Learn more about adflow, Fluent’s post-transaction monetization solution, here.

Check out more resources to get fluent in:

Commerce Media | Post-Transaction Advertising | Contextual Data