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Every customer loves a good deal.
As a matter of fact, 81% of all Indian buyers are looking for some sort of discount or cashback for every online transaction they make. And to stay ahead of your competition, you have to provide your customers with the best offers out there.
That’s why we are proud to introduce Offer Engine by Cashfree Payments – a simple, yet powerful mechanism that makes it easy for businesses to create, configure and manage offers across all online payment modes directly from the Cashfree Payment Gateway dashboard.
In this blog, we will dig deeper into why we built this, what’s in it for you and your customers, how to set it up, and more. Let’s begin by understanding the importance of offers in the online ecosystem.
Do Offers and Discounts Really Boost Your Sales By 28%?
Well, yes.
However, there is more to that story.
Products discounted between 10-20% show a 7% increase in revenue and a 28% increase in unit sales. However, the revenue and sales uptick may differ depending on the amount of discount.
But why do offers and discount work so well? Let’s discover some reasons why
- Attracts new customers: What better way to attract new customers than to provide them with an interesting discount/cashback offer that you can configure paid messaging around. It creates urgency and excitement for your potential customers and helps convert casual visitors into customers.
- Builds customer loyalty: Offering cashback and discounts on the checkout page like it’s tailor-made for them is the best way to reward your existing customers for their brand loyalty and ensure higher retention.
- Decreases Cart Abandonment: While offers are a direct cost to your business, it decreases the cart abandonment rate and increases the conversion rate in turn positively impacting the overall sales or revenue.
- Drive site traffic: Promote a lucrative offer that no customer can resist and see your site traffic increase in no time.
What’s an Offer Engine and How Does It Help You??
Offer Engine is a mechanism that enables merchants like you to offer discounts or cashback for a payment mode (cards, net banking, wallets, UPI, and card EMIs) on Cashfree’s standard checkout flow based on the partnerships you have established with issuers/providers. And here is everything you can do with it:
- Unique Offer Mapping: Enables you to map offers to a specific payment method, define t&C against that offer, and establish guardrails such as maximum discount, minimum transaction value, duration etc.
- Customized Offer Model: Choose between discount/cashback, flat or percentage and curate a model that works for your business. Ex – For an e-commerce clothing store, it makes more sense to provide an upfront percentage discount to make items look affordable but for a cloud kitchen a flat discount/cashback would be more practical.
- Comprehensive Reporting: Enables you to pull transaction reports that indicate the offer used against a particular transaction, and also see transactions against a particular offer.
- Offer Deactivation Control: You have complete control over deactivating offers anytime before the actual expiry date enabling you to stop offers either due to an overwhelming success with the complete clearance of your inventory or to cut down on excess cash burn in case of emergency working capital requirements.
- Offer Filtration: Enables you to show only those offers to customers on checkout which satisfy certain criteria such as minimum order value, the maximum number of offers per customer/card, offers on certain BIN lists, maximum cashback amount, etc.
- Evergreen Offers: Enable offers for your customers like 5% cashback on all prepaid transactions and watch your sales rise to the next level.
- No-Cost EMIs: Extend no-cost EMIs as an option to the merchants both via standard checkout and next-gen APIs. Let them pay at ease without worrying about any additional interest charges.
What’s In It For The Customers?
- Valid Offer Visibility: Customers would be able to have a collective view of all the valid offers based on the order type/amount and choose the best out of the lot.
- Reduced Effective Pricing: Customers would be able to see the reduced effective price after applying the offer of their choice along with the offer details on checkout.
How to Setup Offer Engine on your Checkout??
Please visit our documentation page to understand each step in more detail.
Boost Your Revenue By 20-50% With Cashfree’s Offer Engine Now
Cashfree Payments’ Offer Engine’s primary objective is to help merchants increase their conversion ratio, increase site traffic, and reduce cart abandonment while still building customer loyalty.
The all-new Offer Engine is all set to increase your revenue exponentially.
Sounds interesting? Get in touch with our Offer Engine experts today!
