There seems to be a concerning amount of people running competition offers.
Now, I know we all love a bargain! And I’m a huuuuuuuge fan of a BOGOF or a bulk buy saving, hello Costco!
For brands, and services that are just getting started, it’s a worrying trend
(As much as I don’t agree with the methods, I’m not going to criticise how someone chooses to run their business, so let’s for the sake of the post, use Thingamijig as the item in question)
Imagine this exchange:
Customer: I have this fantastic new thingamajig I want to sell, its taken me X amount of time to design it and make it, I’ve spent Y on development and materials and its costs Z
Advisor: Sure, let’s give it away free!
NO! NO! NO! Why would you do this?
There is a temptation that in order to bring it to market, to get people to see it, to use it, and then encourage others to buy it, that a freebie would be a good idea. But here’s the thing, often you will only attract freebie hunters. And many freebie hunters will NEVER go on to buy.
We will have all seen a competition to “win a weekend at Thingami 5 star hotel”, and how many times have you seen the person who enters that competition go “oh well, I didn’t win but let’s go to Thingami 5 star hotel anyway”
Nope, they rarely do. They just enter the next competition, and then the next, and then the next.
Yes, these competitions can drive a level of engagement, but is it the right engagement for your brand? Well, not always. Will these competition winners or bargain hunters turn into repeat customers? Probably not*. Will they recommend to their friends? Possibly, but more than likely they will hold out for your next offer.
And are they engaging fully? Do they know about your brand? Did they read about it or watch your videos? Did they find out how you developed this incredible product? Does it solve a problem or want for them? Do they desire and want it?
Or did they just read the word FREE and hit the like and share?
Hmmm, I think you already know my opinion on that.
There are instances where these tactics can work, but it’s incredibly dependant on the type of thingamajig you are offering and how you are placing yourself on the market.
A good marketer will go through the options with you and work on a long term strategy that can incorporate the best methods for YOUR THINGAMIJIG!
We happen to be rather good marketers so if you want to have a chat about what direction your brand should be taking, get in touch firstname.lastname@example.org
*I say probably not here, but you could be one of the well oiled machines that have the correct methods in place to put your data into a sales funnel and then turn a “probably not” customer into a “oh my goodness YES” customer, in which case, well done! I absolutely salute you!