Written by Brook Schaaf

Let’s talk about a big problem in our space: leaked coupon codes. Broadly defined, this refers to when a coupon code intended for one channel or partner gets exposed elsewhere. For example, INFLUENCER10 from TikTok or YouTube gets posted on a coupon site.

The coupon site usually claims this to be UGC – user-generated content, as in Cassie Customer spots the code and shares it with her community, a sort of Coupon Robin Hood. Does this actually happen? Sure, but let’s be honest – much UGC is gathered and posted by the site itself or, perhaps, by the influencer, who gets credit for each sale. The coupon site typically doesn’t mind that the leakage leaks, because it keeps the user base happy.

The merchant, however, may be driven up the wall by the problem. Leaked codes can thwart attribution, confound campaigns, erode profit margins, strain relationships, and even cause massive overspending. “It’s one of the biggest blemishes on the channel and something every merchant faces. On the flip side, it can be difficult for publishers to control and manage at scale,” wrote Joey Asleson, Director of Client Partnerships, Growth with Team Bespoke.

Policing this is a manual, time-consuming, frustrating game of whack-a-mole. 

Blacklisting, or disqualifying, commissions on the program platform can help somewhat but no lists are currently available by API. And, as noted above, not every affiliate even cares if they don’t get commissions.

For the past several years, at just about every show I’ve been to, someone has asked if FMTC, which provides only functional, accurate, approved codes and deals, might not be able to develop a solution. I proposed this in a blurb late last year and we had an overwhelming response. 

Thus, I am pleased to announce the beta of FMTC’s forbidden codes feed. Here’s how it works: 

1) Program managers upload their disallowed coupon codes, which are then accessible to affiliates for retrieval by API or through our site’s user interface. 

2) The affiliate, which does not have to be an FMTC subscriber, then scrubs these coupons by matching them to the merchant ID.

Now, this solution is admittedly not perfect: the merchant must trust the affiliate to first, not post or share all the codes and second, to comply. If you do not trust someone, you should not work with them and there is, unfortunately, little a merchant can do without a relationship because there is no real leverage. If you do trust someone enough to work with them, this will enable them to hold up their end of the bargain with no ifs, ands, or buts. 

Enablement is the bridge between trust and verification.

If you represent a merchant who’d like to participate in the beta program or if you have any feature suggestions, please leave a comment.

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