Don’t run away with the idea that there is little to go wrong in a campaign where you give away products. Some major companies, many with massive turnovers, have made basic mistakes. Here are some things to consider when choosing an item to give away in your campaign.
1/ Define the purpose
You need to decide the target before you start planning. It might be, for instance, a way of rewarding loyal customers, generating loyalty, gaining subscribers to your email marketing list. Keep it in mind at all times.
2/ What does your target demographic want?
Don’t pick an item just because it hasn’t sold well. It will flop. Research what your target group want. If you are aiming at a new audience then ask those from it what they want.
3/ The price must be right
Keep a tight control on costs. If this is your first such campaign and you have no data of previous ones to work to, keep it simple and cheap. Otherwise work out how much each subscriber costs you. At the end of a set period, say six months, see whether those you attracted have remained customers and how valuable they are.
The prize should stand out. This doesn’t have to be by value, although that always helps. It might be a must-have or the latest gizmo. Whatever you choose, make sure people will notice it. One prize worth £5,000 can be worth more to you than a thousand prizes of £5.
And test again before starting. Make sure the wording of the conditions limits your liability. It must also comply with the law.
As the campaign progresses check regularly that you have no complaints, that the software is coping and that there are no other problems.
7/ Give up
If the results are disappointing after the set period, if you decide to extend, then change something.
8/ Control costs
Limit your liability by limiting the number of prizes. Have a ‘First Five Hundred’ or use a lottery, taking particular notice of the legislation in order to comply.
The word Free can be a substantial hook. Use it with care.