Freebie marketing is a tricky marketing strategy. Several businesses have adopted various marketing tactics successfully to increase awareness. On the other hand, if done incorrectly, it may backfire and end up devaluing your products or services.
Should you avoid it then? Freebie Marketing delivers excellent results when you do it the right way.
Before we dig deep into the heart of Freebie Marketing Strategy, let’s look at how Freebie Strategy works.
Freebie Strategy
Everyone loves free stuff, and the psychology of taking free things comes with the obligation to give back. It could be spreading the word about the products or staying loyal to the brand.
Freebie Strategy, also known as Free Sample Marketing, involves offering prospective customers your products/service for free or low-cost to create brand awareness and increase sales. Over the years, companies lure in customers by offering them some products for free, and these customers end up falling in love with the brand.
Does A Freebie Strategy Work?
In the 20th Century, Jell-O gave out hundreds of Jell-O recipes to people who were unfamiliar with their new product. Jell-O eventually went from earning nothing to making a million dollars in annual sales.
The idea of the freebie strategy is to offer a product of yours for free. You achieve this by showing the target audience that it’s a great deal as they may not know at that time. It raises awareness about that product and encourages consumers to spread words about your offer. Often, most buyers return to purchase the product if they derive benefit from the free sample.
According to a study, people are 20% more likely to talk about brands that offer free products.
10 Tips for Effective Freebie Marketing
So yes, Freebie Marketing works. This article discusses practical ways to create a strong freebie strategy and multiply your sales in 2021.
1. Know Your Objectives
Your free products need a clear purpose, so it’s best to ask yourself questions to identify your goals. Why do you want to offer a freebie? What can your business achieve from it? What problem can it solve for the customers?
Your goal may be to get more followers on your social media, increase your contact list, reach a wider audience or just call attention to a new product you offer.
2. Choose Your Freebie
This is often the tricky part for most people. You want to offer something of value; at the same, you want to get rid of the perception that you’re offering the products for free due to its poor quality.
Make sure the choice of your Freebie is in line with your business and can be valuable to your customers. On the other hand, the freebie must not be too costly or highly valuable in that it puts your business at a loss.
E-books, discount cards, and free monthly subscriptions are some of the most popular freebies offered online.
3. Offer Desirable and Beneficial Products
Offer items that will grab customers’ attention. Also, ensure what you are offering is of high value and quality to encourage customers to return.
The problem is some customers may take the free item and move on. A good strategy is to make sure to have some sort of mechanism against abuse of your freebie offer; online casinos have bonus wagering requirements that protect them against players signing up, winning some money, and leaving.
4. Create a Complementary Product as Freebie
An effective freebie strategy is to create a free complementary product to your paid products.
For example, a brand may offer a free toothbrush to customers who buy their toothpaste. A cosmetic brand may offer a free makeup cleanser for customers who purchase makeup products worth $30.
5. Limited Time Offer Freebies
Limited time offer is also another great freebie method, and it works best for your existing products. It works by cutting down the price of a product for a short period. People are likely to jump on deals that are available for a limited time.
6. Target Customers with Influence
You need to know who you are targeting with the free products before establishing a marketing campaign. Find those people who will find your free product valuable.
This step may require some research and survey. Once you identify your target audience, you will know the best way to address them.
7. Incorporate the Freebie Strategy into Your Marketing Campaign
Your freebie strategy should be consistent with your existing marketing strategy. Try to incorporate it into your current marketing strategy so that it doesn’t look like an isolated campaign.
8. Don’t Get Rid of Old Products as a Freebie Strategy
It’s a bad idea to base your freebie strategy on products that aren’t selling well. Freebie marketing works best through word of mouth. People will only take those products for free, but the chance they will tell others about them is slim.
9. Promotion
If you don’t promote your product, you won’t get desirable outcomes. The whole strategy behind freebie marketing is to create awareness. Therefore, make it clear and visible you are offering freebies.
10. Ask For Feedback
Ask for feedback on the freebies. You can encourage customers to drop reviews, send them questionnaires, and improve your product based on their feedback.
The above steps will ensure your Freebie Strategy delivers good results. The steps are easy, and you only need to implement them to make old customers loyal while keeping new customers flowing in.