Coupons Going Digital Too

Coupons Going Digital Too


By Jane Han
Staff Reporter

Coupons have long carried a stigma of stinginess, people with too much free time and low-income. But they're now stripping away their old image and putting on a hipper one via new phone services.

Companies have enabled bargain hunters to easily download electronic vouchers without the fuss of clipping paper coupons, and the newfound convenience is attracting a younger and wider crowd of savers.

``I didn't like the idea of having to look through booklets to cut out coupons,'' said 28-year-old Kim Hoon. ``Being lazy was one thing, but having to present it in public was also something I wasn't proud to do.''

Noticing the drawback of conventional vouchers, mobile phone companies like SK Telecom, KTF and LG Telecom, along with other service providers, introduced ways to allow users to enjoy paperless discounts.

The latest of these services is SK Networks' ``OK CouFun,'' a customized coupon database which automatically updates daily to provide subscribers with a fresh stock of vouchers that can be redeemed at any time.

``We offer savings anywhere from getting hamburgers, attending musicals, renting cars and joining fitness centers,'' said SK Networks spokesman Chang Sae-chan, adding that currently some 100 products are available for bargain deals. ``The best part of the service is its hassle-free use.''

He explained that once subscribers increase, they can conduct quick searches for whichever coupons they wish to use and take advantage of the savings by showing the cashier the voucher displayed on the phone's screen.

Chang said SK Networks is estimating around 3 million users to subscribe by the first half of this year.

``The tough economy is only going to push consumers to hunt for more bargains,'' he said.

Aside from the coupon database service, barcode discounts, which have been around longer, are also expanding here. This is the method in which users can scan their voucher barcodes on onto shops' code readers.

Industry officials say more store owners and franchise chains are asking to team up with mobile phone companies to attract young and image-conscious shoppers.

Seeing solid results here and other Asian countries, mobile carriers in Europe and the United States are also beginning to target the niche coupon market.

jhan@koreatimes.co.kr


My opinion
A coupon contributes to increase people’s willingness to pay. Therefore, handy coupons make people take out their money more. Mobile coupon is a revolution. It is convinience and potable. Moreover, most of people use a mobile in Korea.
Last class, prof. Lee told that a coupon is needed to real money spenders it’s not for all people. Most of coupon is used in fastfood restorants and cosmetic shop chains. Youngsters have a large wallet share in these markets. If shops use the coupon, they can gather more consumers. Youngsters are easy to do impulse buying.
This new type of coupon will be efficient. The cause of coupon’s narrow using is inconvenience. Therefore few companies made a Couponbook. However, it’s not portable. Nowadays everyone uses mobile. Especially, youngsters are using it more. So, mobile coupon is useful for youngsters who are using coupon. Accordingly, sales strategy and promotion using coupon will be more efficient.
Using this coupon, company can get not only more sales increasing, but also know customer’s personal information. It can make a database, and use it for marketing strategy.
I think SK will be the most profitable company, if the mobile coupon will be common. SK has a good synergy among their companies. Therefore SK has a good chance to get more profit. Surely, every telecommunication companies can gather more profit from mobile coupon using companies. It is an advantage for telecommunication companies, coupon using companies, and consumers. In a conclusion the mobile coupon will be a win-win-win strategy.

20300174 Nahkilwoong entry-6