Giveaways are a unique type of marketing done by many businesses, both large and small, as a way of promoting their products, but the question remains: is it worth your time and effort to give away your product for free for the marketing that it provides? The answer may be more complicated than you initially think.
The methodology behind promotional giveaways is simple. If you offer up your product for free, it will generate a significant amount of interest in your product and brand. Not only will it attract more attention but there can also be conditional giveaways that encourage customers to visit your store or try other products that you are trying to sell. These potential positive outcomes are worth any business looking into as it can promote your brand to a wider audience and help it stay relevant in the eyes of the consumer but how do you do it efficiently and how effective is it all?
A simple answer to the question is that yes promotional giveaways can work and can allow you to access markets that were previously inaccessible and are hard to market to. However, it is a bit more complex than simply just that. While giveaways are a powerful way of boosting your brand they have to be done correctly or they can be a waste of both time and money. One of the key things that make a successful giveaway is promoting a premium item or items that people would either not be able to afford usually or an article with a limited stock making it more desirable to a wider audience. The promotional item is the biggest draw, but it also has to be reasonable for your business. If you are a retailer giving away one tv out of a stock of five, it may make a little less sense than a car dealer giving away a reasonably priced car of which they have twenty. Another promotional giveaway might be multi-tiered which can attract more people as they are more likely to win, but it can also make your business cost more. The next step is making the giveaway accessible to an audience while promoting your brand or business. Many promotional giveaways usually require a condition such as purchasing a certain number of smaller items to enter a raffle to win the larger premium item. Conditions can be an effective way to get more people buying your products which will then provide you with a larger long-term customer base provided that your products are useful for the client. The idea of winning over buying can give your customer base a much higher satisfaction with your brand and can encourage them to buy from you more than your competitors as they will associate you with the winning of the product.
As stated above, promotional giveaways can be done well to access customers, promote your brand, and increase your brand loyalty but it can also be detrimental if done poorly. Things have to be considered before the giveaway such as the cost of the item to your business, can you afford just to give it away? Are your requirements for entry in the giveaway achievable to customers while also promoting your business? Is the giveaway aimed at your target audience? These are just a few of the questions that need to be considered before promoting your giveaway.
Giveaways are done all over the world at trade shows, radio stations, local retail stores, and multinational corporations. When done well they can provide a massive boost to branding and customer satisfaction, but doing them well is a fine balancing act that can be difficult if not planned well.