How to reduce voucher and promotion fraud

Voucher and coupon fraud and mal-redemption is unfortunately fairly common in the promotions space, especially when it comes to generic, bulk, paper-based coupons, which is of course costly to any business.

For example: a consumer may have a coupon for 20% off a Diet Coke, go into their local store to redeem, pick up a Pepsi, go to the till and the sales assistant accepts the coupon without reading the details stating that the voucher is only for a Diet Coke, not a Pepsi. Now imagine that before going into store the consumer photocopies the voucher only to hand out to their friends.

Mal-redemption and voucher fraud can be a big and expensive problem for brands, merchants and retailers and without proper measures in place to prevent this happening, you could be left with lots of stock unaccounted for against the amount of coupons issued and lost revenue.

digital promotions - minimise voucher fraud
digital coupons, eliminate fraud
digital coupons, eliminate fraud


The use of a single-use code can eliminate the risks and costs associated with mal-redemption and coupon fraud. A digital promotions solution can generate a fully trackable code which can only be redeemed once and for its sole intended purpose.

Now, when the consumer goes in to store to redeem 20% off their Diet Coke, the sales assistant would need to scan the unique bar code, if the consumer had picked up a Pepsi, it would be rejected due to real-time validation at the till through basket data analysis.

Knowing your consumers in real-time

Once the coupon has been scanned and accepted in real-time, the basket data from that consumer is collected and fed to your CRM system, via a digital promotions platform such as Eagle Eye AIR. This allows you to profile consumers and send targeted and personalised promotions in the future, to maximise redemptions, drive in-store footfall and sales and increase customer loyalty.

Reducing the costs associated with vouchers

The single-use code allows a for single customer view and can be used across paper coupons, vouchers and offers or can be sent digitally; via SMS, email, social media push notification etc, allowing a fully multi-channel approach, to ensure maximum reach.

By sending out coupons via a digital channel, you can dramatically reduce the costs linked to paper-based vouchers such as the printing and counting of them once they have been collected at the point of sale.

For more information on reducing the cost of voucher and promotion fraud and mal-redemption or reducing the general operational costs associated with vouchers and promotions contact us or give us a call.