We tried it for the opening of our new location (in a chain of about 10 stores). We ran a 50% off any order (limit $10 in value) and so far the return has been quite amazing. It’s hard to tell if the coupons are pouring in because the value is so good or because the medium is so effective, but I must say that I never thought anyone even looked at the back of the register tapes. This sure proved me wrong. The true test will be when we change the offer in 4 months to something much less aggressive. At that point we will see how effective the medium is vs the offer. At that point we will decide whether or not to continue the program.
For comparison purposes, our cost is about $150 a month and from what I can tell the vast majority of this coupon’s users are new customers, not the same customers over and over (we haven’t been long enough for such a high number of repeat customers yet anyways).