Background of the study
Digital coupon strategies have emerged as a popular method for driving sales performance in the retail sector by offering consumers attractive discounts and incentives. In Kaduna, Nigeria, grocery chains are increasingly adopting digital coupon initiatives to attract price-sensitive customers and boost in-store and online purchases (Umeh, 2023). These strategies leverage mobile apps, social media, and email marketing to disseminate coupon codes, track redemption rates, and analyze consumer behavior. By providing personalized and timely discounts, digital coupons can stimulate impulse buying and enhance customer loyalty. However, the success of these strategies depends on various factors, including coupon design, distribution channels, and redemption ease (Nwankwo, 2024). This study compares different digital coupon strategies employed by a grocery chain in Kaduna, evaluating their impact on overall sales performance. The research examines how these strategies influence consumer purchasing decisions, the challenges encountered in their implementation, and the potential for scaling these initiatives to maximize revenue growth (Ola, 2025).
Statement of the problem
Grocery chains in Kaduna face difficulties in optimizing digital coupon strategies due to challenges such as low redemption rates, coupon misuse, and inconsistent campaign performance (Umeh, 2023). Despite the potential of digital coupons to drive sales, there exists a gap between coupon issuance and actual consumer purchase behavior. This study aims to investigate the factors that limit the effectiveness of digital coupon strategies and identify ways to enhance their impact on sales performance. It seeks to provide actionable recommendations for addressing these challenges and improving campaign outcomes (Nwankwo, 2024).
Objectives of the Study
To compare various digital coupon strategies used by a grocery chain.
To evaluate the impact of these strategies on sales performance.
To propose recommendations for optimizing digital coupon initiatives.
Research Questions
How do digital coupon strategies affect sales performance in grocery retail?
What challenges hinder the effective use of digital coupons?
How can digital coupon strategies be improved to enhance sales?
Significance of the study
This study is significant as it provides insights into the effectiveness of digital coupon strategies in boosting sales performance. Its findings will help grocery retailers in Kaduna refine their discount initiatives, leading to increased revenue and customer loyalty. The research contributes to digital marketing practices by offering practical recommendations for coupon optimization (Ola, 2025).
Scope and Limitations of the Study
This study is limited to a comparative analysis of digital coupon strategies on sales performance within a grocery chain in Kaduna, Nigeria.
Definitions of Terms
Digital Coupon Strategies: Marketing tactics involving electronic coupons to incentivize purchases.
Sales Performance: The effectiveness of sales efforts, measured by revenue and conversion rates.
Grocery Chain: A retail organization that operates multiple grocery stores.
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