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What are promo codes and why do they work?
Fun fact – A neurophysics study by Claremont Graduate University’s Center for Neuroeconomics found that when shoppers receive a promo code, their oxytocin levels spike. Oxytocin is the hormone that’s responsible for making us feel happy. Did someone say saving money = happiness?
Many stores take advantage of this oxytocin boost to close sales by handing out promo codes, which are just a combination of numbers and letters that customers enter at checkout to save some money.
Every day, millions of online shoppers take to the internet to hunt down “promo codes”, “discount codes”, and “coupon codes” – three ways of describing the same thing. Shoppers love them because the codes save them money, and retailers love them because they increase their conversion rates on sales. It’s a classic win-win.
Studies suggest that approximately 83% of shoppers look for promo codes or offers before purchasing something online.
How do promo codes work?
Follow these steps to use a promo code:
- Copy (or write down) the promo code that you’d like to use.
- Enter the code in the promo code, discount code, or coupon code field on the retailer’s checkout page.
- Hit the apply button on the checkout page.
- Check your savings.
To see a promo code applied in action, check out our video on how to use a promo code (step-by-step).
Which stores offer the best promo codes & coupons?
According to this study published on Pricenomics, these stores offer discounts more than 80% of the time (in order from highest to lowest): Blair, Woman Within, Puritan’s Pride, Autozone, Roamans, Full Beauty, Joann, Vistaprint, Payless Shoes, Kingsize, Michaels, Bed Bath and Beyond, and JC Penney.
The following stores are known for offering the highest average dollar discounts (all over $100, in order from highest to lowest): Musician’s Friend, Pottery Barn, West Elm, Neiman Marcus, Bloomingdales, and Dell.
These stores offer the highest average percent discounts (all over 20%, in order from highest to lowest): Udemy, LOFT, Lulus, Swimsuits for All, Kohl’s, GlassesUSA, Kate Spade, J.Crew, Ann Taylor, ThredUP, CVS Pharmacy, Shutterfly, Vistaprint, Eddie Bauer, GoDaddy, GAP, Blair, and Chicos.
The top 5 department stores by average discount are:
- Lord & Taylor
The top 5 shoe brands by average discount are:
- New Balance
The top 3 travel aggregators by average discount are:
The top 3 printing retailers by average discount are:
The top 3 automotive retailers by average discount are:
- Advance Auto Parts
- Auto Anything
What are the best “hacks” for finding promo codes?
- If you’re logged in at checkout (and the store has your email address), you can try abandoning your cart to see if they send you an email with a promo code as an incentive to complete your purchase.
- If you’re a frequent shopper at a store, consider signing up for their email newsletter. Many stores send exclusive promo codes to subscribers on a regular basis.
- Add the free Dealhack browser extension to your Chrome, Safari, Edge, Opera, or Brave browser. Once installed, you never need to search for promo codes again. When you hit any checkout page we have codes for, our extension will show you all the available codes we’ve found for that store.
- Use Dealhack’s website to search for the retailer or brand you’d like to save at. We have codes for thousands of retail partners.
- Sometimes, it can pay to guess! Many retailers use recurring formats for their codes. It never hurts to get creative and try code combinations like FREESHIP, HOLIDAY, SAVE10, WELCOME, 10OFF, or SAVE20. We’ve compiled a list of some of the most popular promo code formats used by retailers.
How does Dealhack source deals?
Dealhack acquires deals for the stores featured on our website through various methods. These consist of:
- Establishing direct relationships with stores through affiliate partnerships, where we receive their offers either via email or through an API.
- Subscribing to email newsletters.
- Receiving deal suggestions from our users.
- Monitoring brands’ social media accounts for promotions.
How does Dealhack make money?
As explained well in this feature by CNBC, Dealhack makes money by partnering with online retailers to share their promo codes and offers. Retailers regularly send us their codes, and we post them on our site in exchange for a commission when a sale is made. Simply put, when you purchase with a discount you find on Dealhack, we may earn a commission on the sale from the retailer.
How can my store get listed on Dealhack?
If you’d like to learn more about coupons and why they can be an effective part of your marketing strategy, check out this extensive list of converting coupon code ideas.