Website launched for distressed stock and promotion codes

ASAP Ventures has launched a beta version of promotions.co.uk in a bid to give travel firms a portal to distribute last-minute deals via online discount codes. The online comparison specialist, which also operates fly.co.uk and carrentals.co.uk, has developed the b2b website as a central point for companies with distressed inventory wanting distribute them via discount codes…

ASAP Ventures has launched a beta version of promotions.co.uk in a bid to give travel firms a portal to distribute last-minute deals via online discount codes.

The online comparison specialist, which also operates fly.co.uk and carrentals.co.uk, has developed the b2b website as a central point for companies with distressed inventory wanting distribute them via discount codes on third party websites.

ASAP online strategy director Doug Scott said online codes were playing an increasing role for retailers from all sectors.

“We have had approaches from suppliers who at certain times don’t want to be seen to be offloading product at discount prices.”

Scott said the process worked particularly well for electrical retailers and was also catching on within the travel industry.

“There are companies, within the top 10 online, that know they are not going to be able to sell all their inventory before the holiday departs so they issue promotional codes on particular websites such as moneysavingexpert.com, which have a loyal following.”

He added that companies end up distributing the codes to search engine marketing and affiliate companies hoping they will end up on sites, which convert well.

However, one industry observer said the challenge for this kind of model was a consistent supply of inventory as well as increasing sophistication from suppliers on where they put their distressed inventory.

Promotions.co.uk acts as a database for companies to store, manage and distribute their codes to agencies and affiliates.

Scott said evidence from search engines data showed discount codes, which were practically non-existent four years ago, are now a £300 million market across all industries with growth rates of up to 200% year-on-year.

“I can’t see that stopping because the end-user is getting used to it.”

Scott described early results on promotions.co.uk as “ridiculous”, and said the company had had conversations with a number of senior people in travel.